BISMARCK, N.D. – The Water Resources Development Act of 2024 included legislation from U.S. Senators Kevin Cramer (R-ND), Chairman of the Senate Environment and Public Works (EPW) Transportation and Infrastructure (T&I) Subcommittee, and Mark Kelly (D-AZ), member of the EPW Committee, to rightsize the federal government’s real estate portfolio and ensure taxpayer-funded buildings do not sit empty. Their legislation, the Federal Assets and Transfers Act (FASTA) Reform Act, builds on the success of FASTA, which was passed by Congress and signed into law in 2016.

FASTA established a six-year pilot program overseen by the Public Buildings Reform Board (PBRB) to recommend the disposal of unused federal properties in three rounds. The PBRB began operating in 2019, and its work resulted in the sale of 10 buildings, generating over $193 million in revenue. However, as of 2022, the federal government still had 7,697 vacant buildings. Over the past two years, this problem has worsened with the federal agencies’ embrace of remote and telework policies. A Government Accountability Office (GAO) study from October 2023 found 17 of 24 surveyed federal agencies, on average, used an estimated 25 percent or less of the capacity of their headquarters buildings. The GAO study also estimated over $81 million is wasted each year due to this underutilization of office space.

Cramer and Kelly sent a letter to PBRB requesting it complete the final round of disposals required under FASTA and FASTA Reform Act to bring “tangible benefits” to the taxpayer.

“The Public Building Reform Board (PBRB) must build on this success by taking a comprehensive approach aimed at maximizing savings and reducing waste,” the senators wrote. “It is critical the PBRB and OMB collaborate to ensure this round delivers the best possible result.

“Congress and taxpayers alike recognize the urgent need to address our government’s inefficient real estate portfolio,” the senators concluded. “We look forward to the completion of the third round and the tangible benefits it will bring.”

Click here for the letter.