House panel presses federal agencies to implement public buildings reforms

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Federal buildings reforms 2024

Highlights

House Committee on Transportation and Infrastructure examines agencies' delays and obstacles in implementing 2024 public buildings reforms aimed at shrinking and consolidating federal space.
WRDA 2024 and the USE IT Act mandate agencies meet at least a 60% building utilization rate or forfeit underused property, amplifying pressure to reform asset management.
Recent occupancy data submitted two months late with errors led GSA to create a review team, highlighting longstanding inefficiencies in federal property reporting and oversight.

Implementation hurdles and policy options

As stated by the House Committee on Transportation and Infrastructure, Subcommittee Chairman Scott Perry told a roundtable on federal real estate that lawmakers are examining how agencies are carrying out the public buildings reforms enacted in 2024 and what obstacles are slowing efforts to shrink and consolidate space.

Perry says the discussion is focused on practical ways to reduce the federal footprint, including public-private partnerships, a greater shift toward leasing rather than owning office space, and faster disposal of unneeded property. He also raises the question of how agencies can maximize returns for taxpayers after buildings are vacated, rather than selling assets at heavily discounted values.

The chairman says Congress has made clear that agencies must let go of space if they fail to meet the new utilization standard. Under the WRDA 2024 reforms, including the USE IT Act, agencies are required for the first time to meet at least a 60% building utilization rate.

Data quality and pressure on agencies

Perry says the recent submission of occupancy data required under the USE IT Act underscores broader process problems inside government. He says the data arrived two months late and contained errors and anomalies, prompting the General Services Administration to assemble a team to review the figures and recommend improvements to guidance and collection procedures.

He argues that agencies now need to either fill the space they control or give it up, framing the reforms as a test of whether federal property management can finally become more efficient. The issue carries wider significance because federal real estate has remained on the GAO's high-risk list for 23 years, making building reform a continuing operational and fiscal issue for the U.S. government.

Our earlier report on the RURAL Healthcare Act and locum tenens workforce rules explained how House lawmakers are weighing a bill to classify qualified temporary clinicians as independent contractors under key federal labor laws. We noted the goal is to reduce legal uncertainty created by differing state definitions, supporting staffing flexibility for hospitals and protecting patient access to care, especially in rural communities.

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