Relocation of the EPA Regional Office From Kansas City, Missouri, to Kansas City, Kansas

GGD-85-55: Published: May 16, 1985. Publicly Released: May 16, 1985.

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Although the Eleven Oak building lease included a 5-year renewal option at a low rate, EPA indicated renewal was undesirable for security, safety, and administrative reasons. An economic analysis indicated that relocating the EPA office would increase the government's space costs but failed to take into account the cost of a sprinkler system that would be needed to comply with fire safety requirements if the lease for existing space in the Eleven Oak Building were renewed. GAO noted that: (1) the Regional Administrator knew approximately 1 month before the lease award that the amount of space would be inadequate but did not inform GSA that additional space was needed until after the lease award; and (2) GSA renewed the lease and initiated a 1-year deferment of the requirement for sprinklers to allow itself time to obtain suitable space to relocate the agencies involved. GAO found that: (1) GSA acted reasonably and properly in selecting the lowest offer; (2) EPA did not properly follow established regulations when it withheld the regional office's need for more space; and (3) not providing the additional space requirements restricted GSA ability to obtain competition for the additional space.

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