[Congressional Bills 108th Congress]
[From the U.S. Government Publishing Office]
[H.R. 2548 Introduced in House (IH)]







108th CONGRESS
  1st Session
                                H. R. 2548

 To amend chapter 5 of subtitle I of title 40, United States Code, to 
       enhance Federal asset management, and for other purposes.


_______________________________________________________________________


                    IN THE HOUSE OF REPRESENTATIVES

                             June 19, 2003

  Mr. Sessions (for himself, Mr. Tom Davis of Virginia, Mr. Burton of 
Indiana, Mr. Shays, Mr. Souder, Mr. Ose, Mrs. Jo Ann Davis of Virginia, 
   Mr. Platts, Mr. Putnam, Mr. Turner of Ohio, Mr. Janklow, and Mr. 
   Cooper) introduced the following bill; which was referred to the 
  Committee on Government Reform, and in addition to the Committee on 
  Transportation and Infrastructure, for a period to be subsequently 
   determined by the Speaker, in each case for consideration of such 
 provisions as fall within the jurisdiction of the committee concerned

_______________________________________________________________________

                                 A BILL


 
 To amend chapter 5 of subtitle I of title 40, United States Code, to 
       enhance Federal asset management, and for other purposes.

    Be it enacted by the Senate and House of Representatives of the 
United States of America in Congress assembled,

SECTION 1. SHORT TITLE.

    This Act may be cited as the ``Federal Property Asset Management 
Reform Act of 2003''.

SEC. 2. DEFINITION OF LANDHOLDING AGENCY.--

    Section 102 of title 40, United States Code, is amended--
            (1) by redesignating paragraphs (7) through (10) in order 
        as paragraphs (8) through (11); and
            (2) by inserting after paragraph (6) the following:
            ``(7) The term `landholding agency'--
                    ``(A) subject to subparagraphs (B) and (C), means 
                any Federal agency that, by specific or general 
                statutory authority, has jurisdiction, custody, and 
                control over property (as defined in paragraph (9)) 
                that is real property;
                    ``(B) does not include a Federal agency with 
                respect to the agency--
                            ``(i) disposing of an interest in real 
                        property for public benefit purposes pursuant 
                        to any of sections 541 through 555 of this 
                        title;
                            ``(ii) holding lands in trust or restricted 
                        fee status for individual Indians or Indian 
                        tribes; or
                            ``(iii) having jurisdiction over National 
                        Park System lands, National Forest System 
                        lands, or National Wildlife Refuge System 
                        lands; and
                    ``(C) does not include the Bureau of Land 
                Management.''.

SEC. 3. LIFE CYCLE PLANNING AND MANAGEMENT; ENHANCED AUTHORITIES FOR 
              REAL PROPERTY ASSET MANAGEMENT.

    (a) In General.--Chapter 5 of subtitle I of title 40, United States 
Code, is amended by adding at the end the following:

    ``SUBCHAPTER VII--LIFE CYCLE PLANNING AND MANAGEMENT; ENHANCED 
             AUTHORITIES FOR REAL PROPERTY ASSET MANAGEMENT

``Sec. 621. Asset management principles, performance measurement, and 
              database
    ``(a) Management Principles.--(1) Under the authorities vested in 
the Administrator under section 121(c) of this title, the Administrator 
of General Services (in this subchapter referred to as the 
`Administrator'), in consultation with the heads of Federal agencies 
and the Director of the Office of Management and Budget, shall 
establish and maintain current management principles to be applied by 
Federal agencies where appropriate to real and personal property assets 
subject to this chapter and under the jurisdiction, custody, and 
control of such agencies.
    ``(2) With respect to the outlease of property through the use of 
public-private partnerships authorized under section 624(d) of this 
title, the principles under this subsection shall include the 
following:
            ``(A) Under no circumstances shall the liability of the 
        Federal Government arising from an arrangement with a 
        nongovernmental entity or from the operation of any 
        partnership, cooperative venture, limited liability company, 
        corporation, trust, or other business arrangement created as 
        the result of an agreement with a nongovernmental entity exceed 
        the amount of the Federal Government's capital contribution or 
        equity contribution.
            ``(B)(i) Such projects may only be undertaken if the 
        Federal asset is not developed to its highest and best use and 
        the project is economically viable.
            ``(ii) For purposes of this subparagraph, determination of 
        economic viability would include, among other relevant economic 
        factors, the internal rate of return of the investment to the 
        Government (with preference given to higher rates of return) at 
        leaseback rates not exceeding market rates.
            ``(C) Such projects may only be undertaken if the market 
        conditions are favorable to development and full occupancy by 
        government and private tenants.
    ``(b) Performance Measurement Benchmarks.--(1) The Administrator, 
in consultation with the heads of landholding agencies, shall establish 
performance measures to determine the effectiveness of Federal real 
property management.
    ``(2) The performance measures shall monitor and assess the 
following:
            ``(A) The disposal of real property assets.
            ``(B) The reduction in vacant Federal space.
            ``(C) The realization of equity value in Federal real 
        property assets.
            ``(D) The value added to Federal agency missions through 
        cooperative arrangements with the commercial real estate 
        community.
            ``(E) The enhancement of Federal agency productivity 
        through an improved working environment.
    ``(3) The performance measures shall be designed to--
            ``(A) enable the Congress and heads of Federal agencies to 
        track progress in the achievement of property management 
        objectives on a Governmentwide basis; and
            ``(B) allow for comparing the performance of Federal 
        agencies against industry and other public sector agencies.
    ``(4) In developing and implementing the performance measures, the 
Administrator shall use existing data sources and automated data 
collection tools to the maximum extent practical.
    ``(c) Inventory Database.--(1) The Administrator shall establish 
and maintain a single, comprehensive, and descriptive database of all 
real property interests under the custody and control of each Federal 
agency.
    ``(2)(A) For purposes of paragraph (1), the Administrator, in 
cooperation with the heads of other Federal agencies, shall collect 
from each Federal agency such descriptive information, except for 
classified information, as the Administrator considers will best 
describe the nature, use, and extent of the real property holdings of 
the Federal Government. The head of a Federal agency shall promptly 
provide to the Administrator, upon request, such information regarding 
real property holdings under the custody and control of the agency.
    ``(B) For purposes of this paragraph, the term `real property 
holdings' includes--
            ``(i) all public lands (as that term is defined in section 
        103 of the Federal Land Policy and Management Act of 1976 (43 
        U.S.C. 1702)); and
            ``(ii) all real property of the Federal Government that is 
        located outside of the 50 States, including the District of 
        Columbia, Puerto Rico, American Samoa, Guam, the Northern 
        Mariana Islands, and the United States Virgin Islands.
    ``(3) To facilitate reporting of information on a uniform basis, 
the Administrator may establish data and other information technology 
standards for use by Federal agencies in developing or upgrading 
Federal agency real property information systems.
    ``(d) Public Access to Information.--(1) Except as provided in 
paragraphs (2) and (3), the listing compiled under this section shall 
be a public record.
    ``(2) The Administrator may withhold from public disclosure 
information included in the listing, including the location of 
classified facilities, if the Administrator determines that withholding 
such information would be in the public interest.
    ``(3) Nothing in this subsection requires an agency to make 
available to the public information that is exempt from disclosure 
pursuant to section 552 of title 5, United States Code, popularly known 
as the Freedom of Information Act.
    ``(e) Jurisdiction of Administrator.--Except for the purpose of 
maintaining the property listing required under subsection (c), nothing 
in this section authorizes the Administrator to assume jurisdiction 
over the acquisition, management, or disposal of real property not 
subject to this chapter.
``Sec. 622. Senior real property officers
    ``(a) In General.--(1) Within 180 days after the effective date of 
this section, the head of each landholding agency shall appoint, or 
designate from among senior management officials of such agency, a 
Senior Real Property Officer. Such individual shall have education, 
training, and real estate portfolio or facilities management experience 
required to administer the functions described under this section.
    ``(2) The head of any landholding agency may appoint a Real 
Property Officer for any major component of the agency. A Real Property 
Officer of a landholding agency, for the purposes of complying with the 
requirements of this chapter, shall report to the Senior Real Property 
Officer.
    ``(b) Responsibilities.--The Senior Real Property Officer of a 
landholding agency shall be responsible for continuously monitoring 
real property assets of the agency so that--
            ``(1) real property of the agency, including its functional 
        use, occupancy, reinvestment requirements, and future utility, 
        is managed in a manner that is--
                    ``(A) consistent with and supportive of the goals 
                and objectives set forth in the agency's strategic plan 
                under section 306 of title 5, United States Code;
                    ``(B) consistent with the real property asset 
                management principles established by the Administrator 
                under section 621(a) of this title; and
                    ``(C) reflected in an agency asset management plan 
                issued under subsection (c);
            ``(2) real property assets that can benefit from the 
        application of the enhanced asset management tools described in 
        section 624 of this title are identified;
            ``(3) such enhanced asset management tools, in those cases 
        in which a real property asset can so benefit, are applied in 
        such a way that any resulting transaction shall--
                    ``(A) result in the agency receiving fair market 
                value which, in the case of an exchange or sale of 
                Federal real property, shall be based on an appraisal; 
                and
                    ``(B) protect the Federal Government from 
                unreasonable financial or other risks;
            ``(4) provide to the Administrator annually--
                    ``(A) a listing and description of the real 
                property assets under the jurisdiction, custody, and 
                control of that agency, including public lands of the 
                United States and property located in foreign lands; 
                and
                    ``(B) any other relevant information the 
                Administrator may request, for inclusion in the 
                Governmentwide listing of all Federal real property 
                interests established and maintained under section 
                621(c) of this title;
            ``(5) determine the performance of the agency against the 
        performance measures established under section 621(b) of this 
        title; and
            ``(6) report the results to the Committee on Governmental 
        Affairs of the Senate and the Committee on Government Reform of 
        the House of Representatives.
    ``(c) Consideration of Available Real Property Holdings.--Except as 
otherwise provided by Federal law, before a landholding agency acquires 
any interest in real property from any non-Federal source, the Senior 
Real Property Officer of the agency must give first consideration to 
available Federal real property holdings.''.
``Sec. 623. Criteria for using enhanced asset management tools
    ``(a) In General.--Subject to the requirements of subsection (b) of 
this section, the head of a landholding agency may apply an enhanced 
asset management tool described in section 624 of this title to a real 
property interest under the agency's jurisdiction, custody, and control 
if--
            ``(1) the head of the agency has determined that such real 
        property interest is not excess property, and includes as part 
        of the documentation required under subsection (b)(3) a 
        description of the need and mission requirement fulfilled by 
        the Federal property;
            ``(2) the real property interest is used to fulfill or 
        support a continuing mission requirement of the agency; and
            ``(3) the real property interest can, by the application of 
        the enhanced asset management tool, improve the support of such 
        mission.
    ``(b) Criteria for Application.--Before applying an enhanced asset 
management tool defined in section 624 of this title to a real property 
interest identified under subsection (a), the head of the agency, in 
consultation with the Administrator, must determine that such 
application meets all of the following criteria:
            ``(1) The application supports the goals and objectives set 
        forth in the agency's strategic plan under section 306 of title 
        5, United States Code, and the agency's real property asset 
        management plan under section 622 of this title.
            ``(2) Use of the real property is economical, cost 
        effective, and in the best interests of the United States.
            ``(3) The application is documented in a business plan 
        that, commensurate with the nature of the selected tool--
                    ``(A) analyzes all reasonable options for using the 
                property;
                    ``(B) describes how the application will be in 
                compliance with applicable provisions of law, including 
                such provisions of--
                            ``(i) the National Environmental Policy Act 
                        of 1969 (42 U.S.C. 4321 et seq.); and
                            ``(ii) the McKinney-Vento Homeless 
                        Assistance Act (42 U.S.C. 11301 et seq.), 
                        including by--
                                    ``(I) describing the result of the 
                                determination under that Act by the 
                                Secretary of Housing and Urban 
                                Development of the suitability of the 
                                property for use to assist the 
                                homeless; and
                                    ``(II) explaining the rationale for 
                                the landholding agency's decision not 
                                to make the property available for use 
                                to assist the homeless; and
                    ``(C) establishes effective procedures for 
                soliciting, assessing, and taking into account input 
                from the local community.
``Sec. 624. Enhanced asset management tools
    ``(a) Interagency Transfers or Exchanges.--The head of any 
landholding agency may acquire replacement real property by transfer or 
exchange of real property subject to this chapter with other Federal 
agencies under terms mutually agreeable to the heads of the agencies 
involved.
    ``(b) Sales to or Exchanges With Non-Federal Sources.--The head of 
a landholding agency may acquire replacement real property by selling 
or exchanging a real property asset or interests therein with any non-
Federal source: Provided, That--
            ``(1) the transaction does not conflict with other 
        applicable laws governing the acquisition of interests in real 
        property by Federal agencies;
            ``(2) following consultation with the Administrator, the 
        agency first made the property available for transfer or 
        exchange to other Federal agencies; and
            ``(3) the transaction results in the agency receiving fair 
        market value, which shall be based upon an appraisal.
    ``(c) Subleases.--(1) The head of any landholding agency may, by 
lease, permit, license or similar instrument, make available in 
accordance with this subsection to any other Federal agency or to any 
non-Federal entity the unexpired portion of any government lease for 
real property.
    ``(2) The term of any sublease under this subsection shall not 
exceed the unexpired portion of the term of the original government 
lease of the property.
    ``(3) The head of a landholding agency may not sublease property 
under this subsection unless the sublease results in the agency 
receiving fair market rental value for the property.
    ``(4) Before subleasing property under this subsection to a private 
person, the head of a landholding agency, in consultation with the 
Administrator, shall give consideration to the needs of the following 
entities, with the needs of entities listed in subparagraph (A) being 
considered before the needs of entities listed in subparagraph (B):
            ``(A) The needs of each of the following entities, equally, 
        shall be given first consideration by the agency:
                    ``(i) Federal agencies.
                    ``(ii) Indian tribes (as that term is defined in 
                section 4 of the Indian Health Care Improvement Act (25 
                U.S.C. 1603)), urban Indian organizations (as defined 
                in that section), and tribal organizations (as defined 
                by section 4 of the Indian Self-Determination and 
                Education Assistance Act (25 U.S.C. 450b)), through the 
                Secretary of the Interior and the Secretary of Health 
and Human Services, if the property is to be used for purposes in 
connection with an Indian self-determination contract or grant pursuant 
to the Indian Self-Determination Act (25 U.S.C. 450f et seq.).
            ``(B) The needs of each of the following entities, equally, 
        shall be given second consideration by the agency:
                    ``(i) State and local governments.
                    ``(ii) Indian tribes, tribal organizations, and 
                urban Indian organizations (as defined in the 
                provisions referred to in subparagraph (A)(ii)), 
                through the Secretary of the Interior and the Secretary 
                of Health and Human Services, if the property is to be 
                used for purposes other than the purposes referred to 
                in subparagraph (A)(ii) and such use of the property is 
                authorized by law other than this subsection.
    ``(d) Outleases and Public Private Partnerships.--(1) The head of 
any landholding agency may make available by outlease agreements with 
other Federal agencies and non-Federal entities any unused or underused 
portion of or interest in any real and related personal property of the 
landholding agency, if--
            ``(A) the agency head finds that--
                    ``(i) there is no long-term mission requirement for 
                the property, but the Federal Government is not 
                permitted to dispose of it; or
                    ``(ii)(I) there is a continuing, long-term mission 
                requirement of the landholding agency for the property 
                to remain in Government ownership; and
                    ``(II) the use of the real property by the lessee 
                will not be inconsistent with such mission; and
            ``(B) in the case of an outlease to a non-Federal entity, 
        the outlease is conducted competitively.
If the agency head makes a finding under subparagraph (A)(ii), the 
agency head shall include a written rationale for the finding of a 
continuing Federal need for the property in the business plan submitted 
under section 623(b)(3) of this title.
    ``(2) To reduce vacant space and realize the equity value of 
Government-owned real property assets, provide Federal agencies with 
modern functional work environments, and work cooperatively with the 
commercial real estate community, the landholding agency may enter into 
an agreement with a non-Federal entity. Any agreement under this 
subsection--
            ``(A) may be to a partnership, cooperative venture, limited 
        liability company, corporation, trust, sole proprietorship, or 
        other business arrangement;
            ``(B) shall be for a term no longer than 50 years;
            ``(C) shall result in the agency receiving fair market 
        value which, in the case of an exchange or sale of Federal real 
        property, shall be based upon an appraisal;
            ``(D) may provide a leaseback option to the Federal 
        Government to occupy space in any facilities acquired, 
        constructed, repaired, renovated, or rehabilitated by the 
        nongovernmental entity: Provided, That the agreement does not 
        guarantee Government occupancy; any subsequent agreements to 
        leaseback space in such facilities must be in accordance with 
        the competition requirements of title III of the Federal 
        Property and Administrative Services Act of 1949 (41 U.S.C. 251 
        et seq.);
            ``(E) shall provide--
                    ``(i) that neither the United States, nor its 
                agencies or employees, shall be liable for any actions, 
                debts, or liability of the non-Federal entity; and
                    ``(ii) that neither the lessee nor the non-Federal 
                entity shall be authorized to execute and shall not 
                execute any instrument or document creating or 
                evidencing any indebtedness unless such instrument or 
                document specifically disclaims any liability of the 
                United States, and of any Federal agency or employee 
                thereunder, in excess of the Government's capital 
                contribution in the non-Federal entity;
            ``(F) shall provide--
                    ``(i) that the Government's interest under the 
                agreement is senior to that of any lender to the non-
                Federal entity; and
                    ``(ii) that under no circumstances shall the 
                liability of the United States arising from its 
                arrangement with the non-Federal entity, or from the 
                operations of any partnership, cooperative venture, 
                limited liability company, corporation, trust, or other 
                business arrangement created as the result of the 
                agreement with the non-Federal entity, exceed the 
                amount of the Federal Government's capital contribution 
                or equity contribution to the partnership, cooperative 
                venture, limited liability company, corporation, trust, 
                or other business arrangement; and
            ``(G) may contain such other terms and conditions as the 
        head of the landholding agency making the property available 
        considers necessary to protect the interests of the Federal 
        Government.
    ``(3) In making property available for use or outlease under this 
subsection, the landholding agency shall follow the order of 
consideration listed in subsection (c)(4).
    ``(4) Before a landholding agency executes any agreement authorized 
under this subsection that would result in the development or 
substantial rehabilitation or renovation of Federal assets under a 
business arrangement with a non-Federal entity, the head of such agency 
shall undertake an analysis of the proposed arrangement or transaction 
to determine the business and legal risks and benefits to the Federal 
Government that would likely result from the proposed arrangement or 
transaction.
    ``(5)(A) For the sole purpose of scoring leaseback agreements for 
purposes of the Federal budget, if the non-Federal entity shall 
exercise management control of the business of the public-private 
entity referenced under paragraph (2)(A) and holds a majority interest 
in ownership in the public-private venture, then the project shall not 
be considered to be constructed on Government-owned land.
    ``(B) All leaseback agreements must meet the requirements of an 
operating lease as specified in relevant Office of Management and 
Budget circulars.
    ``(6) If, during the term of an outlease involving the development 
or substantial rehabilitation or renovation of a Federal asset in a 
business arrangement with a non-Federal entity, the head of the 
landholding agency determines that the property is no longer needed by 
the landholding agency, the head of the agency may initiate action for 
the transfer to the non-Federal entity of all right, title, and 
interest of the United States in the property by requesting the 
Administrator of General Services to dispose of the property. A 
disposition under this section may be made for such consideration as 
the head of the landholding agency and the Administrator jointly 
determine is in the best interests of the United States and upon such 
other terms and conditions as the head of the landholding agency and 
the Administrator consider appropriate.
    ``(7)(A) If a landholding agency retains authority over any 
decision to construct or alter buildings on property leased by the 
agency to a non-Federal entity under this subsection, then any such 
construction or alteration shall comply with section 628 of this title.
    ``(B)(i) If landholding agency does not retain authority over any 
decision to construct or alter buildings on property leased by the 
agency to a non-Federal entity under this subsection, then any such 
construction or alteration shall comply with all laws described in 
clause (ii) that would apply to such construction or alteration if the 
property were not Federal property.
    ``(ii) The laws referred to in clause (i) are all laws of a State, 
and of a political subdivision of a State, relating to zoning, 
landscaping, open space, minimum distance of a building from a property 
line, maximum building height, historic preservation, esthetic 
qualities of a building, building codes, and similar matters, and any 
other State or local laws relating to construction or alteration of a 
building, respectively, by the non-Federal entity on non-Federal lands.
    ``(8) This subsection shall not be construed to affect any other 
authority of any Federal agency to outlease property or to otherwise 
make property available for any reason.
    ``(9) The authority to enter into agreements under subsection (b) 
and this subsection expires 10 years after the date of enactment of 
this subsection.
    ``(10) The Comptroller General of the United States shall submit 
biennial reports to the Congress, including to the Committee on 
Government Reform of the House of Representatives and the Committee on 
Governmental Affairs of the Senate, on the effectiveness of the use of 
authority under this subsection.
``Sec. 625. Review and revision of transactions by administrator
    ``The Administrator may, in the sole discretion of the 
Administrator, review any transaction of an agency undertaken utilizing 
authority under section 624 of this title. After such review, the 
Administrator may disapprove such transaction if the Administrator 
determines the transaction does not reflect due diligence by the 
agency, is not in the best interest of the United States, or does not 
comply with the requirements of this chapter.
``Sec. 626. Forms of consideration
    ``Notwithstanding any other provision of law, the forms of 
consideration received by the United States in a transaction under 
section 624 of this title may include cash or cash equivalents, other 
property (either real or personal), in-kind assets, services related to 
the transaction, future consideration, or any combination thereof.
``Sec. 627. Transactional reports
    ``(a) In General.--For those transactions authorized under section 
624 of this title involving the sale, exchange, or outlease to a non-
Federal entity of any asset valued in excess of $700,000 at the time of 
the transaction, the head of the landholding agency performing the 
transaction shall submit the business plan required by section 
623(b)(3) of this title to the Director of the Office of Management and 
Budget, the Committee on Governmental Affairs of the Senate, and the 
Committee on Government Reform of the House of Representatives at least 
30 calendar days before the final execution of such transaction.
    ``(b) Adjustment of Threshold.--The Administrator of General 
Services may increase or decrease the dollar amount in subsection (a) 
to reflect a percentage increase or decrease in the Department of 
Commerce Consumer Price Index.
``Sec. 628. Compliance with nationally recognized codes
    ``(a) Building Codes.--Each building with respect to which this 
section applies may be constructed or altered, to the maximum extent 
feasible as determined by the head of the landholding agency having 
authority with respect to the property on which the building is (or 
will be) located, only in compliance with one of the nationally 
recognized model building codes and with other applicable nationally 
recognized codes. Such other codes shall include, but not be limited 
to, electrical codes, fire and life safety codes, and plumbing codes, 
as determined appropriate by the head of that agency. In carrying out 
this subsection, the head of that agency shall require use of the 
latest edition of the nationally recognized codes referred to in this 
subsection.
    ``(b) Zoning Laws.--Each building with respect to which this 
section applies may be constructed or altered only after consideration 
of all requirements (other than procedural requirements) of--
            ``(1) zoning laws; and
            ``(2) laws relating to landscaping, open space, minimum 
        distance of a building from the property line, maximum height 
        of a building, historic preservation, and esthetic qualities of 
        a building, and other similar laws,
of a State or a political subdivision of a State that would apply to 
the building if it were not a building constructed or altered by a 
Federal agency.
    ``(c) Special Rules.--
            ``(1) State and local government consultation, review, and 
        inspections.--For purposes of meeting the requirements of 
        subsections (a) and (b) with respect to a building, the person 
        carrying out the construction or alteration shall--
                    ``(A) in preparing plans for the building, consult 
                with appropriate officials of the State or political 
                subdivision, or both, in which the building is (or will 
                be) located;
                    ``(B) upon request, submit such plans in a timely 
                manner to such officials for review by such officials 
                for a reasonable period of time not exceeding 30 days; 
                and
                    ``(C) permit inspection by such officials during 
                construction or alteration of the building, in 
                accordance with the customary schedule of inspections 
                for construction or alteration of buildings in the 
                locality, if such officials provide to the person--
                            ``(i) a copy of such schedule before 
                        construction of the building is begun; and
                            ``(ii) reasonable notice of their intention 
                        to conduct any inspection before conducting 
                        such inspection.
            ``(2) Limitation on state responsibilities.--Nothing in 
        this section imposes an obligation on any State or political 
        subdivision to take any action under paragraph (1).
    ``(d) State and Local Government Recommendations.--Appropriate 
officials of a State or a political subdivision of a State may make 
recommendations to the head of a landholding agency concerning measures 
necessary to meet the requirements of subsections (a) and (b). Such 
officials may also make recommendations to the head of the landholding 
agency concerning measures that should be taken in the construction or 
alteration of the building to take into account local conditions. The 
head of the landholding agency shall give due consideration to any such 
recommendations.
    ``(e) Effect of Noncompliance.--No action may be brought against 
the United States and no fine or penalty may be imposed against the 
United States for failure to meet the requirements of subsection (a), 
(b), or (c) or for failure to carry out any recommendation under 
subsection (d).
    ``(f) Limitation on Liability.--The United States and its 
contractors shall not be required to pay any amount for any action 
taken by a State or a political subdivision of a State to carry out 
this section (including reviewing plans, carrying out on-site 
inspections, issuing building permits, and making recommendations).
    ``(g) National Security Waiver.--This section shall not apply with 
respect to any building if the head of the landholding agency 
determines that the application of this section to the building would 
adversely affect national security. A determination under this 
subsection shall not be subject to administrative or judicial review.
``Sec. 629. Limitation on certain agency actions
    ``(a) In General.--Notwithstanding any other provision of law, no 
Federal agency may take any of the actions described in subsection (b) 
with respect to--
            ``(1) Federal land and improvements in Los Angeles, 
        California, consisting of approximately 388 acres, bounded by 
        the 405 Freeway, Ohio Avenue, Butler Avenue, Rochester Avenue, 
        Federal Avenue, San Vicente Boulevard, Bringham Avenue, Chayote 
        Street, Woodburn Drive, and Waterford Street; or
            ``(2) Federal land and improvements in Sepulveda, 
        California, consisting of approximately 154 acres, bounded by 
        Woodley Avenue, Lassen Street, Haskell Avenue, and Plumber 
        Street.
    ``(b) Actions Described.--Actions referred to in subsection (a) are 
the following:
            ``(1) Actions involving the use of enhanced asset 
        management tools under section 624 of this title.
            ``(2) Determining real property to be excess property.
            ``(3) Disposing of real property.''.
    (b) Repeal.--Section 1302 of title 40, United States Code, is 
repealed.
    (c) Clerical Amendment.--The table of sections at the beginning of 
chapter 5 of subtitle I of title 40, United States Code, is amended by 
inserting after the item relating to section 611 the following:

    ``SUBCHAPTER VII--LIFE CYCLE PLANNING AND MANAGEMENT; ENHANCED 
             AUTHORITIES FOR REAL PROPERTY ASSET MANAGEMENT

``Sec. 621. Asset management principles, performance measurement, and 
                            database.
``Sec. 622. Senior Real Property Officers.
``Sec. 623. Criteria for using enhanced asset management tools.
``Sec. 624. Enhanced asset management tools.
``Sec. 625. Review and revision of transactions by Administrator.
``Sec. 626. Forms of consideration.
``Sec. 627. Transactional reports.
``Sec. 628. Compliance with nationally recognized codes.
``Sec. 629. Limitation on certain agency actions.''.

SEC. 4. INCENTIVES FOR REAL AND PERSONAL PROPERTY MANAGEMENT 
              IMPROVEMENT.

    (a) Treatment of Proceeds of Federal Property Disposals.--
Subchapter IV of chapter 5 of title 40, United States Code, is amended 
as follows:
            (1) In section 572--
                    (A) by redesignating subsection (b) as subsection 
                (d); and
                    (B) by striking subsection (a) and inserting the 
                following:
``Sec. 572. Real property
    ``(a) Agency Retention of Proceeds From Real and Personal 
Property.--(1) Proceeds resulting from the transfer or disposition of 
real property and related personal property under this chapter shall be 
credited to the fund, account (including the capital asset account 
under subsection (b)), or appropriation of the landholding agency that 
made the property available for transfer or disposition and shall be 
treated as provided in subsections (b) and (c).
    ``(2) Proceeds from any transfer of excess personal property to a 
Federal agency or from any sale, lease, or other disposition of surplus 
personal property shall be treated as prescribed in section 573 of this 
title or as otherwise authorized by law.
    ``(3) All proceeds from the transfer or disposition of property 
under this chapter that are not deposited or credited to a specific 
agency account shall be covered into the Treasury as miscellaneous 
receipts except as provided in sections 572, 573, and 574 of this title 
or as otherwise authorized by law.
    ``(b) Monetary Proceeds to Agency Capital Asset Accounts.--(1) 
Monetary proceeds received by agencies from the transfer or disposition 
of real and related personal property shall be credited to an existing 
account or an account to be established in the Treasury to pay for the 
capital asset expenditures of the particular agency making the property 
available. Such account shall be known as the agency's capital asset 
account.
    ``(2) Subject to subsection (c), any amounts credited or deposited 
to such account under this section, along with such other amounts as 
may be appropriated or credited from time to time in annual 
appropriations Acts, shall be devoted to the sole purpose of funding 
that agency's capital asset expenditures, including any expenses 
necessary and incident to the agency's real property capital 
acquisitions, improvements, and dispositions, and such funds shall 
remain available until expended, in accordance with the agency's asset 
management plan under section 622 of this title, without further 
authorization: Provided, That--
            ``(A) moneys from an exchange or sale of real property, or 
        a portion of a real property holding, under section 624(b) of 
        this title shall be applied only to the replacement of that 
        property or to the rehabilitation of the portion of that real 
        property holding that remains in Federal ownership; and
            ``(B) the head of each landholding agency shall include 
        with the materials the agency annually submits under section 
        1105 of title 31, United States Code, a detailed accounting of 
        all real property transactions carried out under this title and 
        of receipts and disbursements from the agency's capital asset 
        account during the previous fiscal year.
    ``(c) Transactional and Other Costs.--Federal agencies may be 
reimbursed from the monetary proceeds of real property dispositions 
under this chapter or from other available resources, including from 
the agency's capital asset account, for the full costs, direct and 
indirect, to the agency disposing of such property, including the costs 
of site remediation, restoration, or other environmental services, 
relocating affected tenants and occupants, advertising and marketing, 
community outreach, surveying, appraisal, brokerage, historic 
preservation services, title insurance, due diligence, document 
notarization and recording services, and the costs of managing leases 
and providing necessary services to the lessees.''.
            (2) In subsection (d)(5) of section 572, as so 
        redesignated--
                    (A) in subparagraph (A), by striking ``(less 
                expenses of the transfer or disposition as provided in 
                subsection (a))'' and inserting ``(less the costs of 
                the disposition, as provided in subsection (c))''; and
                    (B) by striking ``To the extent provided in an 
                appropriations law, an amount'' and inserting ``An 
                amount''.
            (3) By amending section 573 to read as follows:
``Sec. 573. Personal property
    ``(a) In General.--A Federal agency may retain from the proceeds of 
the sale of personal property amounts necessary to recover, to the 
extent practicable, the full costs, direct and indirect, incurred by 
the agency in disposing of such property, including the costs for 
warehousing, storage, environmental services, advertising, appraisal, 
and transportation of the property.
    ``(b) Deposit, Availability, and Transfer.--Such amounts shall be 
deposited into an account that shall be available for such costs 
without regard to fiscal year limitations. Amounts that are not needed 
to pay such costs shall be transferred at least annually to the general 
fund or to a specific account in the Treasury as otherwise authorized 
by law.''.
    (b) Relationship to Other Law.--(1) Nothing in this Act shall be 
construed to repeal or supersede any other provision of Federal law 
directing the use of proceeds from specific real property transactions 
or directing how or where a particular Federal agency is to deposit, 
credit, or use the proceeds from the sale, exchange, or other 
disposition of Federal property except as expressly provided for in 
this Act.
    (2) Section 2(a) of the Land and Water Conservation Fund Act of 
1965 (16 U.S.C. 460l-5(a)) is superseded only to the extent that 
chapter 5 of title 40, United States Code, or a provision of this Act, 
provides for an alternative disposition of the proceeds from the 
disposal of any surplus real property and related personal property 
subject to this Act, or the disposal of any interest therein.
    (3) Subsection 3302(b) of title 31, United States Code, is 
superseded only to the extent that this Act or any other Act provides 
for the disposition of money received by the Government.
    (c) Implementation for Fiscal Years 2003-2007.--For purposes of 
implementing this section, the following shall apply:
            (1) For each of fiscal years 2003 through 2007, the 
        Director of the Office of Management and Budget shall allocate 
        to each agency a pro rata share of the baseline estimate of 
        total surplus real property sales receipts transferred to the 
        Land and Water Conservation Fund as set forth in the 
        President's budget for fiscal year 2003, made pursuant to 
        section 1109 of title 31, United States Code. The Director of 
        the Office of Management and Budget shall notify the affected 
        agencies and the Appropriations Committees of the House of 
        Representatives and the Senate in writing of this allocation 
        within 30 days after the date of enactment of this Act and 
        shall not subsequently revise the allocation.
            (2) On September 30 of each such fiscal year, each agency 
        shall remit to the Treasury an amount equal to its allocation 
        for that fiscal year, out of the proceeds realized from any 
        sales of the agency's surplus real property assets during that 
        fiscal year.
            (3) If an agency's actual sale proceeds in any such fiscal 
        year are less than the amount allocated to it by the Director 
        of the Office of Management and Budget for that fiscal year, 
        the agency shall remit all of its sale proceeds to the 
        Treasury, and its allocation for the subsequent fiscal year 
        shall be increased by the difference.
            (4) On September 30, 2007, if an agency has remitted less 
        sale proceeds to the Treasury than its total allocation for the 
        five years, the agency shall remit the difference to the 
        Treasury out of any other funds available to the agency.

SEC. 5. STREAMLINED AND ENHANCED DISPOSAL AUTHORITIES.

    (a) Public Benefit Conveyances to State and Local Governments.--
Section 550(h)(1)(A) of title 40, United States Code, is amended as 
follows:
            (1) By striking ``or municipality'' and inserting 
        ``municipality, or a qualified nonprofit organization 
        established for the primary purpose of preserving historic 
        monuments,''.
            (2) By inserting after the first sentence the following: 
        ``Such property may be conveyed to a nonprofit organization 
        only if the State, political subdivision, instrumentalities 
        thereof, and municipality in which the property is located do 
        not request conveyance of the property under this section 
        within 30 days after notice to them of the proposed conveyance 
        by the Administrator to that nonprofit organization.''.
    (b) Duties of Secretary of Interior.--Section 550(b)(2)(C) of title 
40, United States Code, is amended to read as follows:
            ``(C) the Secretary of the Interior, for property 
        transferred under subsection (e) for public park or recreation 
        use, or under subsection (h) for use as a historic monument;''.
    (c) Negotiated Disposals.--Section 545 of title 40, United States 
Code, is amended as follows:
            (1) In paragraph (1), by striking ``public interest--'' and 
        all that follows through ``for a period'' and inserting 
        ``public interest for a period''.
            (2) By striking paragraphs (2), (3), and (5).
            (3) By redesignating paragraphs (4), (6), (7), (8), and (9) 
        in order as paragraphs (2) through (6).
            (4) By amending paragraph (6) (as so redesignated) to read 
        as follows:
            ``(6) otherwise authorized by this chapter or other law or, 
        with respect to personal property, the negotiated disposal is 
        considered by the agency head to be advantageous to the 
        Government.''.
            (5) In subsection (e), by amending paragraph (1) to read as 
        follows:
            ``(1) Requirement.--An explanatory statement of the 
        circumstances shall be prepared for each disposal by 
        negotiation of any real property that has an estimated fair 
        market value in excess of $700,000. The dollar amount in the 
        preceding sentence may be increased or decreased by the 
        Administrator to reflect a percentage increase or decrease in 
        the Department of Commerce Consumer Price Index.''.
            (6) By striking paragraph (3).
    (d) Conveyances for Airport Use.--
            (1) In general.--Subchapter III of chapter 5 of title 40, 
        United States Code, is amended by adding at the end the 
        following:
``Sec. 560. Conveyance for airport use
    ``The authority of any department, agency, or instrumentality of 
the executive branch or wholly owned Government corporation to convey 
surplus real and related personal property for public airport purposes 
under subchapter II of title 49, shall be subject to the requirements 
of this chapter, and any surplus real property available for conveyance 
under that subchapter shall first be made available to the 
Administrator for disposal under this subchapter, including conveyance 
for any public benefit purposes, including public airport use, as the 
Administrator, after consultation with the affected agencies, considers 
advisable.''.
            (2) Clerical amendment.--The table of sections at the 
        beginning of such chapter is amended by inserting after the 
        item relating to section 559 the following:

``560. Conveyance for airport use.''.
    (e) Acquisition of Personal Property or Related Services.--
            (1) In general.--Section 503 of title 40, United States 
        Code, is amended to read as follows:
``Sec. 503. Exchange or sale of personal property
    ``In acquiring personal property or related services, or a 
combination thereof, any executive agency, under regulations to be 
prescribed by the Administrator, and subject to regulations prescribed 
by the Administrator for Federal Procurement Policy pursuant to the 
Office of Federal Procurement Policy Act (41 U.S.C. 401 et seq.), may 
exchange or sell personal property and may apply the exchange allowance 
or proceeds of sale in such cases in whole or in part payment for 
similar property or related services, or a combination thereof, 
acquired: Provided, That any transaction carried out under the 
authority of this subsection shall be evidenced in writing. Sales of 
property pursuant to this subsection shall be governed by section 545 
of this title, and shall be exempt from the provisions of section 3709 
of the Revised Statutes (41 U.S.C. 5).''.
            (2) Clerical amendment.--The table of sections at the 
        beginning of chapter 5 of title 40, United States Code, is 
        amended by striking the item relating to section 503 and 
        inserting the following:

``503. Exchange or sale of personal property.''.
    (f) Abandonment, Destruction, or Other Disposal.--
            (1) In general.--Section 527 of title 40, United States 
        Code, is amended to read as follows:
``Sec. 527. Abandonment, destruction, or other disposal of property
    ``The Administrator may authorize the abandonment, destruction, or 
other disposal of property if the property has no commercial value, or 
if the estimated cost of continued care and handling of the property 
would exceed the estimated fair market value.''.
            (2) Clerical amendment.--The table of sections at the 
        beginning of chapter 5 of title 40, United States Code, is 
        amended by striking the item relating to section 527 and 
        inserting the following:

``527. Abandonment, destruction, or other disposal of property.''.
    (g) Transfer of Surplus Personal Property to States.--Section 549 
of title 40, United States Code, is amended as follows:
            (1) In subsection (a)(1), by striking ``the fair and 
        equitable distribution, through donation,'' and inserting 
        ``donation on a fair and equitable basis''.
            (2) In subsection (c), by striking paragraph (4).
            (3) By striking subsection (d), and redesignating 
        subsections (e) and (f) in order as subsections (d) and (e).
            (4) Subsection (c)(2) is amended as follows:
            ``(2) Allocation among states.--The Administrator shall, 
        pursuant to criteria that are based on need and utilization and 
        established after such consultation with State agencies as is 
        feasible, allocate surplus personal property among the States 
        on a fair and equitable basis, taking into account the 
        condition of the property and the original acquisition cost 
        thereof.''.
            (5) Subsection (c)(3) is amended--
                    (A) in subparagraph (A), by striking ``or'' after 
                the semicolon at the end;
                    (B) in subparagraph (B)--
                            (i) by striking clause (ii);
                            (ii) in clause (iv), by striking ``schools 
                        for the mentally retarded or physically 
                        handicapped'' and inserting ``schools for 
                        persons with mental or physical disabilities'';
                            (iii) by amending clause (viii) to read as 
                        follows:
                            ``(viii) libraries and educational 
                        activities identified by the Secretary of 
                        Defense as being of special interest to the 
                        Armed Services,'' following the word 
                        ``region,'';
                            (iv) by redesignating clauses (iii) through 
                        (viii) in order as clauses (ii) through (vii); 
                        and
                            (v) by striking the period at the end and 
                        inserting ``; or''; and
                    (C) by adding at the end the following:
                    ``(C) to nonprofit institutions or organizations 
                that are exempt from taxation under section 501 of the 
                Internal Revenue Code of 1986 and that have for their 
                primary function the provision of food, shelter, or 
                other necessities to homeless individuals or families 
                or individuals whose annual income is below the poverty 
                line (as that term is defined in section 673 of the 
                Community Services Block Grant Act) for use in 
                assisting the poor and homeless.''.
    (h) Amendments to McKinney-Vento Homeless Assistance Act.--
            (1) Amendments.--Section 501 of the McKinney-Vento Homeless 
        Assistance Act (42 U.S.C. 11411) is amended as follows:
                    (A) In the first sentence of subsection (a), by 
                inserting before the period the following: ``, and that 
                have not been previously reported on by an agency under 
                this subsection''.
                    (B) In the second sentence of subsection (a), by 
                inserting after ``to the Secretary'' the following: ``, 
                which shall not include information previously reported 
                on by the agency under this subsection''.
                    (C) Each of subsections (b)(1), (c)(1)(A), and 
                (c)(2)(A), by striking ``45'' and inserting ``30''.
                    (D) In subsection (c)(1)(A)(i), by inserting after 
                ``(a)'' the following: ``that have not been previously 
                published''.
                    (E) In subsection (c)(1)(A)(ii), by inserting after 
                ``properties'' the following: ``that have not been 
                previously published''.
                    (F) By striking subsections (c)(1)(D) and (c)(4).
                    (G) In subsection (c)(2)(B), by inserting ``(i)'' 
                after ``(B)'', and by adding at the end the following:
    ``(ii) Efforts required under clause (i) include the following:
            ``(I) Publishing the information on an Internet website 
        maintained by the Secretary.
            ``(II) Providing notice of the information on such list to 
        the local Continuum of Care organization for homeless 
        assistance within the jurisdiction in which the property is 
        located, or if there is no such organization, then to the 
        State.
            ``(III) Providing notice of the information on such list to 
        the Emergency Food and Shelter Program National Board.
            ``(IV) Providing notice of the information on such list to 
        each Emergency Food and Shelter Program local board within the 
        State in which the property is located.
    ``(iii) The efforts required under clause (ii) shall be completed 
within 3 business days after publication of the list in the Federal 
Register. The Secretary shall certify in writing completion of such 
efforts.''.
                    (H) In subsection (d)(1), by striking ``60 days 
                beginning on the date of such publication'' and 
                inserting ``90 days after the date the Secretary 
                certifies completion of the efforts required under 
                subsection (c)(2)''.
                    (I) In subsection (d)(2), by striking ``60'' and 
                inserting ``90''.
                    (J) In subsection (d)(4), by amending so much as 
                precedes subparagraph (B) to read as follows:
    ``(4)(A) Written notice of intent to apply for a property published 
under subsection (c)(1)(A)(ii) may be filed at any time after the 90-
day period described in paragraph (1) has expired. An application 
submitted pursuant to the notice may be approved for disposal for use 
to assist the homeless only if the property remains available for use 
to assist the homeless. If the property remains available for use to 
assist the homeless, the use to assist the homeless shall be given the 
same priority of consideration as a public health use under section 
550(d) of title 40, United States Code.''.
                    (K) In subsection (e)(3), by inserting the 
                following after the first sentence: ``The Secretary of 
                Health and Human Services shall give a preference to 
                applications that contain a certification that their 
                proposal is consistent with the local Continuum of Care 
                strategy for homeless assistance.''.
                    (L) In subsection (f)(3)(A), by adding at the end 
                the following: ``Such priority of consideration shall 
                apply only with respect to properties as to which the 
                written notice of intent to apply for a property 
                referred to in subsection (d)(2) is received by the 
                Secretary of Health and Human Services within the 90-
                day period described in subsection (d)(1).''.
                    (M) In subsection (h) in the heading, by striking 
                ``Applicability to Property Under Base Closure 
                Process'' and inserting ``Exemptions''.
                    (N) In subsection (h), by adding at the end the 
                following:
    ``(3) The provisions of this section shall not apply to buildings 
and property that--
            ``(A) are in a secured area for national defense purposes; 
        or
            ``(B) are inaccessible by road and that can be reached only 
        by crossing private property.''.
                    (O) In subsection (i), by striking ``and'' after 
                the semicolon at the end of paragraph (4), by striking 
                the period at the end of paragraph (5) and inserting 
                ``; and'', and by adding at the end the following:
            ``(6) the term `suitable for use to assist the homeless' 
        includes, without limitation, suitable for permanent 
        housing.''.
            (2) Survey and availability of properties in most recent 
        list.--Within 30 days of the date of enactment of this section, 
        the Secretary of Housing and Urban Development shall survey 
        landholding agencies to determine whether the properties 
        included in the most recent comprehensive list of properties 
        published pursuant to section 501(c)(1)(A) of the McKinney-
        Vento Homeless Assistance Act remain available for application 
        for use to assist homeless. The Secretary shall publish in the 
        Federal Register a list of all such properties. Such properties 
        shall remain available for application for use to assist the 
        homeless in accordance with sections 501(d) and 501(e) of such 
        Act (as amended by this subsection) as if such properties had 
        been published under section 501(c)(1)(A)(ii) of such Act.

SEC. 6. MISCELLANEOUS.

    (a) Scope and Construction.--The authorities granted by this Act to 
the heads of Federal agencies for the management of real and personal 
property and the conduct of transactions involving such property, 
including the disposition of the proceeds therefrom, shall be in 
addition to, and not in lieu of, any authorities provided in any law 
existing on the date of enactment of this Act. Except as expressly 
provided herein, nothing in this Act shall be construed to repeal or 
supersede any such authorities.
    (b) No Waiver.--Nothing in this Act shall be construed to limit or 
waive any right, remedy, immunity, or jurisdiction of any Federal 
agency or any claim, judgment, lien, or benefit due the Government of 
the United States.
    (c) Report of the Comptroller General.--Not later than 5 years 
after the date of enactment of this Act, the Comptroller General of the 
United States shall submit to the Congress a report on the use by 
Federal landholding agencies of the authorities provided by this Act.
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