ACQUISITION OF LEASED SPACE

• Document Type: CREST
• Collection: General CIA Records
• Document Number (FOIA) /ESDN (CREST): CIA-RDP89-00874R000100150025-4
• Release Decision: RIPPUB
• Original Classification: K
• Document Page Count: 6
• Document Creation Date: December 22, 2016
• Document Release Date: June 6, 2008
• Sequence Number: 25
• Content Type: REPORT

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ACQUISITION OF LEASED SPACE
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1. Mr. Fitzwater then addressed the first item on the agenda,
Acquisition of Leased Space. Ile stated the following points:
a. New activities have been approved by the Congress
and the President with inherent increases in personnel..
b. Today we have a new need for 15,000 square feet
of space and management is asking why we can't acquire it
now.
c, We now ' 150,000 square feet of
d. A new project originally planned for
will now be located here.
e. We need the capabilities to lease 150,000 square
feet of space.
f. It has taken eight months for GSA to sign the
Credit Union lease and it will have been fourteen months
to occupy that space even under a sole source acquisition.
g. It has taken two years for GSA to acquire an
h. Regional GSA Offices inform that it will take
one year to perform communications upgrading modifications
to Agency Field Office space in Federal Office Buildings
2. Mr. Fitzwater then requested GSA to delegate the Agency a
one time authority to lease 150,000 square feet of space. He
mentioned we would work closely with GSA and not cut them out of
the effort. The DCI has special authorities to lease space under
the National Security Act. of 1949. We would rather work through
GSA or request GSA grant the Agency the authority to acquire it.
He added that we don't presently have all the money to do all the
construction modifications, but that we do have the money to lease
this space.
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3. Mr. Fitzwater continued by stati that in the next
five years there would be more people to STAT
accommodate. There will be new and more projects in-the Science
and Technology areas.
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a. If the Agency could have forseen these requirements
we would have informed GSA. We agree everything is not a
priority, but there is no way we can forsee these unique
requirements.
b. Planning for the budget cycle is impossible 1:0
project in today's rapidly changing conditions and it is
going to get worse and more difficult in the 1990's.
4. Mr. Alderson asked when the Agency would require this
150,000 square feet of space and if GSA had previously been requested
to acquire this space. Mr. Fitzwater stated that we need 30,000
square feet now and that we had previously requested 100,000 square
feet from Mr. Carmen resulting in a response that GSA would pursue
such acquisition subject to the prospectus process.
5. Mr. Fitzwater informed that he has tried three times to
obtain the Director's special authorities to acquire and salvage
reprogrammed money for this 150,000 square feet of space.
Mr. McDonald added that at the twelfth hour of the
acquisition, GSA indicated that leasing funding was not in their
appropriation, that they could not accept Agency money for this
purpose, and could therefore not lease that building for us.
Accordingly, the Agency requested a Delegation of Authority to
lease the building, using the GSA prepared lease, and signed
the lease. We have amended the lease to add an.additional floor
to accommodate increased numbers of employees which were new
requirements.
6. Mr. Fitzwater stated it goes back to his original comments
that the way we do business, you can not, under your rules;, respond
to us for many reasons including restrictions on the use of money
and prospectus. He further indicated he did not want to cut GSA
out, but is there some way we can use our respective authorities
by working together and getting this work done.
7. Mr. McDonald informed that if a building were available
today, it would take 10 to 16 months to prepare and occupy..
Mr. Fitzwater stated that we did not know of the 30,000 square
foot requirement until one month ago and in response to Mr. Davis'
question informed that the 30,000 square feet was part of the
150,000 square foot requirement. Mr. Fitzwater then stated
Mr. McDonald was attempting to obtain the Director's special
authority to lease 15,000 square feet for a new operational
function and that our most immediate need is for these two space
increments totalling 45,000 square feet in the Route 123 corridor
to take advantage of the existence of communications systems and
the efficiencies of transportation and common support systems in
this area.
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8. Mr. McDonald also informed that after the 150 000 square
foot acquisition, that space for an additional people STAT
in FY-84 and FY-85 would be required. In response to Mr. Davis'
question, Mr. McDonald said we are planning to construct a new
building at Langley to consolidate the Agency. He informed that
we have established an AaE Selection Team, plan to start design
in FY-83 and complete design in FY-84, and plan to obtain con-
struction funding in FY-84. In response to Mr. Langfeld's question,
Mr. Fitzwater stated that the 150,000 square foot building would
probably not be needed in FY-88, the anticipated completion date
of the proposed new building.
9. In response to all the above dialogue, Mr. Davis stated
he did not know or anticipate this particular requirement would hit
us and began to respond with a series of thoughts as follows:
a. There are many misconceptions about the NAPA Report.
GSA has adopted all but two of the eight NAPA Recommendations.
b. If you have an ongoing need for space, let us know
about it.
c. Give us a Form 81 request for space if you are still
going for OMB justification or even if you may not have the
money.
d. Don't put us behind the 8-ball.
e. GSA has some quality people, but the system has
stopped them from getting the job done.
f. A GSA Operations Research Team completed a study
concluding it has taken one year and a day to lease space.
g. GSA has now reduced leasing to under 200 days by
proper attention to planning and identification of six:
milestone steps with assigned dates, the progress of which
must be reported to the Central Office for tracking and
implementation.
h. In the first five months of the program, GSA has
signed more leases than in the total of seven years past.
i. Trying to find space in the 123 corridor is difficult.
j. We can respond. That is why we have had a change
in leadership. There was an urgency that was not there.
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k. GSA cannot allow delays. There is now a different
attitude in the leasing organization. Everyone in the leasing
organization has been replaced.
10. With regard to the Prospectus Process, Mr. Davis' comments
were as follows:
a. GSA will no longer allow prospectuses to walk to Hill
and sit. Prospectus actions have taken from one day to three
years to clear the Committees. -
b. Accordingly, GSA has withdrawn 108 leases, 32 con-
struction contracts, and 8 miscellaneous actions from Congres-
sional review process in order to express and demonstrate its
opposition to the inadequacies and resulting delays of the
present prospectus process.
c. GSA is bringing this action to the attention of the
senior members of Congress in their attempt to have action
taken to overcome this problem.
11. Mr. Davis then stated a desire of GSA to review how the
Agency's 5,000 square foot leasing Delegation of Authority is
progressing and would like to schedule a briefing of GSA on its
status.
12. With regard to the address of the 150,000 square foot
space requirement, Mr. Davis stated the following thoughts:
a. If we can not respond, we have no problem in
giving a Delegation of Authority. The history you know
will not exist.
b. If you have this immediate space need, let us
identify a dedicated individual from GSA and CIA to work
together immediately to implement the solution to the
problem.
c. If it does not work, GSA would give the Delegation
to the Agency.
d. You would have to work with the same limits as we
e. We could examine the lease purchase approach.
f. Rather than. a Delegation, we could use the Team
approach.
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g. Don't understand why GSA can't do it as fast as
CIA can?
13. Mr. McDonald reiterated the previou.sl IGSA STAT
appropriation limitation as a major problem. Mr. Fitzwater asked,
relative to the Team effort referred to above by Mr. Davis, if
under that approach could we sign the lease? Mr. Davis stated
it may be a possibility, but was no sure it was 1 even
though GSA allowed it to be done Mr. Davis STAT
questions the legality of using Agency money or this purpose.
He stated it-was ruled patently illegal by GSA, IG, and 0GC and
was not sure it could be done again. Mr. Davis further added
that if Congress has put a cap on leasing, he,could not see how
GSA could give a Delegation of Authority to the Agency to get
around it. Mr. McDonald stated that the Agency has the :Funding
for this space requirement as a line item in Congressionally
approved budget. Mr. Davis appeared unable to respond to this
condition but appeared to indicate the situation may create a
possible approach following further joint study.
14. Mr. Davis continued to pursue other options relating to
the following:
.a. 0MB is reducing the leasing cap.
b. All SLUC collected is less than that required even.
for reduced leasing cap.
c. It is anticipated that there will be an extreme
reduction in Federal space in FY-83. A draft Executive
Order requiring a 20 percent reduction in office space
across the board is in process.
d. SLUG was projected at an inflationary rate and
now there is a cost-down trend. Accordingly, the combination
of this reserve and the space reductions contemplated above
may provide the necessary GSA money to fund the Agency's
150,000 square foot requirement.
15. Mr. Fitzwater :raised the question of the need for the
45,000 square foot requirement. Mr. Davis said we must get on
this right away and was there any Federal backfill space in the
123 corridor. Mr. McDonald mentioned the absence of such back-
fill as determined by an Agency survey. He mentioned the
availability of 400,000 square feet of space in the Tycon Court-
house Building, the need for a dedicated building, problems with
shared elevators, and sensitivities and incompatability of
secure communications systems in shared buildings, all of which
limit choices of buildings for our unique occupancy requirements.
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16. Mr. Davis asked if there were any other Government agencies
in this area that could be relocated and in the absence of this
knowledge, he stated GSA would get back to the Agency on this
effort early the week of 1 June 1982. He asked if the Agency
would. have a problem identifying and providing a dedicated Agency
officer to work with GSA on this effort immediately. Mr. McDonald
indicated there would be no problem but stated that he was aware
GSA had only one person handling this whole area for the Federal
Government and in turn asked Mr. Davis if he could handle it.
Mr. Davis said he would :Look into this further and would so inform
of the GSA dedicated officer so action can start next week,.
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