[Congressional Bills 112th Congress]
[From the U.S. Government Publishing Office]
[S. 2178 Introduced in Senate (IS)]

112th CONGRESS
  2d Session
                                S. 2178

To require the Federal Government to expedite the sale of underutilized 
                         Federal real property.


_______________________________________________________________________


                   IN THE SENATE OF THE UNITED STATES

                             March 8, 2012

 Mr. Carper (for himself, Mr. Portman, Mr. Pryor, Mr. Coburn, and Mr. 
    Begich) introduced the following bill; which was read twice and 
referred to the Committee on Homeland Security and Governmental Affairs

_______________________________________________________________________

                                 A BILL


 
To require the Federal Government to expedite the sale of underutilized 
                         Federal real property.

    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 Real Property Asset 
Management Reform Act of 2012''.

SEC. 2. SALE OF EXCESS FEDERAL PROPERTY.

    (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--EXPEDITED DISPOSAL OF REAL PROPERTY

``Sec. 621. Definitions
    ``In this subchapter:
            ``(1) Administrator.--The term `Administrator' means the 
        Administrator of General Services.
            ``(2) Council.--The term `Council' means the Federal Real 
        Property Council established by section 623(a).
            ``(3) Director.--The term `Director' means the Director of 
        the Office of Management and Budget.
            ``(4) Landholding agency.--The term `landholding agency' 
        means a landholding agency (as defined in section 501(i) of the 
        McKinney-Vento Homeless Assistance Act (42 U.S.C. 11411(i))).
            ``(5) Underutilized property.--
                    ``(A) In general.--The term `underutilized 
                property' means a parcel of property under the 
                administrative jurisdiction of the Federal Government 
                that is--
                            ``(i) excess;
                            ``(ii) surplus;
                            ``(iii) underperforming; or
                            ``(iv) otherwise not meeting the needs of 
                        the Federal Government, as determined by the 
                        Director.
                    ``(B) Exclusion.--The term `underutilized property' 
                does not include--
                            ``(i) any parcel of real property, and any 
                        building or other structure located on real 
                        property, that is to be closed or realigned 
                        under the Defense Authorization Amendments and 
                        Base Closure and Realignment Act (10 U.S.C. 
                        2687 note; Public Law 100-526);
                            ``(ii) any property that is excluded for 
                        reasons of national security by the Director or 
                        by the Secretary of Defense;
                            ``(iii) any public lands (as defined in 
                        section 203 of the Public Lands Corps Act of 
                        1993 (16 U.S.C. 1722)) administered by--
                                    ``(I) the Secretary of the 
                                Interior, acting through the Director 
                                of the Bureau of Land Management, the 
                                Director of the National Park Service, 
                                or the Commissioner of Reclamation; or
                                    ``(II) the Secretary of 
                                Agriculture, acting through the Chief 
                                of the Forest Service;
                            ``(iv) any Indian lands (as defined in 
                        section 203 of the Public Lands Corps Act of 
                        1993 (16 U.S.C. 1722));
                            ``(v) any properties operated and 
                        maintained by the Tennessee Valley Authority;
                            ``(vi) any properties located outside the 
                        United States that are operated or maintained 
                        by the Department of State or the United States 
                        Agency for International Development;
                            ``(vii) any properties that are excepted 
                        from the definition of `property' under section 
                        102; or
                            ``(viii) any properties under the custody 
                        and control of the United States Postal 
                        Service, unless otherwise specified in this 
                        subchapter.
``Sec. 622. Duties of landholding agencies
    ``Each landholding agency shall--
            ``(1) maintain adequate inventory controls and 
        accountability systems for property under the control of the 
        agency;
            ``(2) define current and future workforce projections so as 
        to have the capacity to assess the needs of the Federal 
        workforce regarding the use of Federal real property;
            ``(3) continuously survey property under the control of the 
        agency to identify underutilized property;
            ``(4) promptly report underutilized property to the 
        Administrator;
            ``(5) establish goals that lead the agency to reduce 
        underutilized property in the inventory of the agency;
            ``(6) reassign underutilized property to another activity 
        within the agency if the property is no longer required for 
        purposes of the appropriation used to make the purchase;
            ``(7) transfer underutilized property under the control of 
        the agency to other Federal agencies and to organizations 
        specified in section 321(c)(2);
            ``(8) obtain underutilized properties from other Federal 
        agencies to meet mission needs before acquiring non-Federal 
        property; and
            ``(9) adopt workplace practices, configurations, and 
        management techniques that can achieve increased levels of 
        productivity and decrease the need for real property assets.
``Sec. 623. Establishment of a Federal Real Property Council
    ``(a) Establishment.--There is established within the Office of 
Management and Budget a council to be known as the `Federal Real 
Property Council'.
    ``(b) Purpose.--The purpose of the Council shall be to develop 
guidance for the asset management program of each executive agency.
    ``(c) Composition.--
            ``(1) In general.--The Council shall be composed 
        exclusively of--
                    ``(A) the senior real property officers of each 
                executive agency;
                    ``(B) the Deputy Director for Management of the 
                Office of Management and Budget;
                    ``(C) the Controller of the Office of Management 
                and Budget;
                    ``(D) the Administrator; and
                    ``(E) any other full-time or permanent part-time 
                Federal officials or employees, as the Chairperson 
                determines to be necessary.
            ``(2) Chairperson.--The Deputy Director for Management of 
        the Office of Management and Budget shall serve as Chairperson 
        of the Council.
            ``(3) Administrative support.--The Office of Management and 
        Budget shall provide funding and administrative support for the 
        Council, as appropriate.
    ``(d) Duties.--The Council, in consultation with the Director and 
the Administrator, shall--
            ``(1) establish an asset management plan, to be updated 
        annually, which shall include performance measures to determine 
        the effectiveness of Federal real property management that are 
        designed--
                    ``(A) to enable Congress and heads of landholding 
                agencies to track progress in the achievement of 
                property management objectives on a government-wide 
                basis; and
                    ``(B) allow for comparison of the performance of 
                landholding agencies against industry and other public 
                sector agencies in terms of performance;
            ``(2) in developing and implementing the performance 
        measures described in paragraph (1), use existing data sources 
        and automated data collection tools;
            ``(3) not later than 90 days after the date of enactment of 
        this subchapter, submit to the Committees on Environment and 
        Public Works and Homeland Security and Governmental Affairs of 
        the Senate and the Committees on Transportation and 
        Infrastructure and Oversight and Government Reform of the House 
        of Representatives a report that contains--
                    ``(A) an analysis of the existing inventory of 
                Federal civilian real properties and the condition of 
                those assets, including data relating to--
                            ``(i) the age and condition of the 
                        property;
                            ``(ii) the size in square footage and 
                        acreage;
                            ``(iii) the geographical location, 
                        including an address and description;
                            ``(iv) operating costs;
                            ``(v) the history of capital expenditures;
                            ``(vi) sustainability metrics;
                            ``(vii) the number of Federal employees and 
                        functions housed in the respective property; 
                        and
                            ``(viii) the relevance of each Federal real 
                        property to the mission of the landholding 
                        agency;
                    ``(B) an identification of properties that can be 
                removed from the Federal inventory and sold for 
                proceeds, transferred, or otherwise disposed of, so as 
                to reduce the civilian real property inventory and 
                operating costs of the Federal Government;
                    ``(C) a list of civilian real property assets that 
                are agency field offices that are suitable for co-
                location into another Federal civilian real property 
                asset;
                    ``(D) an evaluation of the leasing process in 
                effect as of the date of submission of the report to 
                identify and document inefficiencies in that process;
                    ``(E) a suggested strategy to reduce the reliance 
                of landholding agencies on leased space for long-term 
                needs if ownership would be less costly; and
                    ``(F) an assessment of domestically held, federally 
                leased space, including--
                            ``(i) a description of the overall quantity 
                        and type of space leased by landholding 
                        agencies; and
                            ``(ii) an identification of current 
                        contracts for leased office space in which the 
                        leased space is not fully used or occupied 
                        (including a plan for subletting of unoccupied 
                        space);
            ``(4) not later than 120 days after the date of enactment 
        of this subchapter, and annually thereafter, submit to the 
        Director, for the year covered by the report--
                    ``(A) all underutilized property under the 
                jurisdiction of each landholding agency;
                    ``(B) an asset disposal plan, or an update of an 
                asset disposal plan, that includes an annual goal 
                established under section 622(5) to be used by 
                landholding agencies in reducing, by not later than 2 
                years after the date of enactment of this subchapter, 
                underutilized real property in the inventory of the 
                Federal Government;
                    ``(C) the number of real property disposals 
                completed, including the disposal method used for each 
                individual real property; and
                    ``(D) specific milestones, measurable savings, and 
                evaluation criteria for the disposal of real property 
                under this subchapter;
            ``(5) in accordance with subsection (e), identify and 
        compile a list of civilian real property assets that are agency 
        field offices that are suitable for co-location into other 
        Federal civilian real property assets; and
            ``(6)(A) review contracts for leased office space that are 
        in effect as of the date of submission of the report; and
            ``(B) work with landholding agencies to renegotiate leases 
        having at least 2 years remaining in the term of the leases to 
        recognize potential cost savings as quickly as practicable.
    ``(e) Co-Location Among Postal Service Properties.--
            ``(1) Definitions.--In this subsection:
                    ``(A) Agency field office.--The term `agency field 
                office' means the field office of a landholding agency.
                    ``(B) Postal property.--The term `Postal property' 
                means real property owned by the United States Postal 
                Service.
            ``(2) Identification of real property assets.--Each year, 
        the Council shall--
                    ``(A) identify and compile a list of agency field 
                offices that are suitable for co-location with another 
                Federal civilian real property asset; and
                    ``(B) submit the list to the Director of the Office 
                of Management and Budget and the Postmaster General.
            ``(3) Postal property.--
                    ``(A) In general.--Not later than 30 days after the 
                completion of the list under paragraph (2), the 
                Director of the Office of Management and Budget, in 
                collaboration with the Postmaster General, shall 
                identify agency field offices on the list that are 
                within reasonable distance of a Postal property.
                    ``(B) Reasonable distance.--For purposes of this 
                paragraph, an agency field office shall be considered 
                within reasonable distance of a Postal property if the 
                office would be able to fulfill the mission of the 
                office if the office is located at the Postal property.
                    ``(C) Review by postal service.--Not later than 90 
                days after the receipt of the list submitted under 
                paragraph (2)(B), the Postmaster General shall--
                            ``(i) review the list; and
                            ``(ii) submit to the Director of the Office 
                        of Management and Budget a report containing 
                        the conclusions of the review.
            ``(4) Terms of co-location.--On approval of the 
        recommendations under paragraph (3) by the Postmaster General 
        and the applicable agency head, the co-location of a Postal 
        property and an agency field office shall consist of the 
        Executive agency that owns or leases the agency field office 
        entering into a lease for space within the Postal property with 
        United States Postal Service that has--
                    ``(A) an initial lease term of not less than 5 
                years;
                    ``(B) a cost that is within 5 percent of the 
                prevailing market lease rate for a similarly situated 
                space identified under this subsection.
    ``(f) OMB Scorecard.--The Director shall prepare an annual 
scorecard measuring the success of each landholding agency in achieving 
savings under this subchapter.
``Sec. 624. Limitation on certain leasing authorities
    ``(a) In General.--Notwithstanding any other provision of this 
subchapter, a landholding agency with independent leasing authority 
shall--
            ``(1) obtain congressional approval for all leases 
        requiring a prospectus under section 3307;
            ``(2) acquire space at rates consistent with prevailing 
        market rates for comparable facilities within the specified 
        geographical area; and
            ``(3) not later than 180 days after the date of enactment 
        of this subchapter and annually thereafter, submit to the 
        Administrator a report that describes the use of the 
        independent leasing authority during the period covered by the 
        report.
    ``(b) Subleasing.--The head of a landholding agency may by lease, 
permit, license, or similar instrument make available to State and 
local governments the unexpired portion of any government lease for 
real property if the head of the landholding agency determines that the 
property is underutilized.
``Sec. 625. Database
    ``The Administrator shall--
            ``(1) not later than 1 year after the date of enactment of 
        this subchapter, establish and maintain a single, 
        comprehensive, and descriptive database of all real property 
        under the custody and control of all landholding branch 
        agencies, except when otherwise required for reasons of 
        national security;
            ``(2) collect from each landholding agency such descriptive 
        information (except for classified information) as the 
        Administrator determines will best describe the nature, use, 
        and extent of real property holdings for the Federal 
        Government; and
            ``(3) to the extent consistent with national security, make 
        the database established under paragraph (1) accessible to the 
        public at no cost through the website of the General Services 
        Administration.
``Sec. 626. Expedited disposal program
    ``(a) In General.--
            ``(1) Required disposal.--
                    ``(A) In general.--On an annual basis, the Director 
                shall require landholding agencies to dispose of, by 
                sale, transfer, or other means of disposal, any real 
                property determined by the Director to be underutilized 
                property under the goal established under section 
                622(5).
                    ``(B) Fair market value requirement.--Underutilized 
                property required to be disposed of under subparagraph 
                (A) may not be sold for less than the fair market 
                value, as determined by the Administrator, in 
                consultation with the head of the applicable executive 
                agency.
                    ``(C) Monetary proceeds requirement.--
                            ``(i) In general.--Underutilized property 
                        may be sold under this section only if disposal 
                        of the property will generate monetary proceeds 
                        to the Federal Government that exceed the costs 
                        of disposal of the property.
                            ``(ii) Prohibitions on noncash 
                        transactions.--A disposal of real property 
                        under this section may not include any 
                        exchange, trade, transfer, acquisition of the 
                        like-kind property, or other noncash 
                        transaction as part of the disposal.
            ``(2) Website.--
                    ``(A) In general.--Except as provided in 
                subparagraph (B), the Administrator shall ensure that 
                all real properties selected for disposal under this 
                section are listed on a website that shall--
                            ``(i) be updated routinely; and
                            ``(ii) include the functionality to allow 
                        any member of the public, at the option of the 
                        member, to receive updates of the list through 
                        electronic mail.
                    ``(B) National security exemption.--The Director or 
                the Secretary of Defense may, for purposes of national 
                security, exclude from listing on the website under 
                subparagraph (A) any real property selected for 
                disposal under this section.
            ``(3) Applicability of certain law.--Any expedited disposal 
        of a real property conducted under this section shall not be 
        subject to--
                    ``(A) any section of An Act Authorizing the 
                Transfer of Certain Real Property for Wildlife, or 
                other Purposes (16 U.S.C. 667b);
                    ``(B) sections 107 and 317 of title 23;
                    ``(C) sections 545(b)(8), 550, 553, 554, and 
                1304(b) of this title;
                    ``(D) section 501 of the McKinney-Vento Homeless 
                Assistance Act (42 U.S.C. 11411);
                    ``(E) section 47151 of title 49;
                    ``(F) section 13(d) of the Surplus Property Act of 
                1944 (50 U.S.C. App. 1622(d));
                    ``(G) any other provision of law authorizing the 
                conveyance of real property owned by the Federal 
                Government for no consideration; or
                    ``(H) any congressional notification requirement 
                other than that in section 545 of this title.
    ``(b) Use of Proceeds.--
            ``(1) In general.--Of the proceeds received from the 
        disposal of any real property under this subchapter--
                    ``(A) not less than 80 percent shall be returned to 
                the general fund of the Treasury for debt reduction;
                    ``(B) the lesser of 18 percent or the share of 
                proceeds otherwise authorized to be retained under law 
                shall be retained by landholding agencies, subject to 
                paragraphs (2) and (3);
                    ``(C) not more than 2 percent shall be made 
                available to carry out section 627, subject to annual 
                appropriations; and
                    ``(D) any remaining share of the proceeds shall be 
                returned to the general fund of the Treasury for debt 
                reduction.
            ``(2) Limitation on use of proceeds.--Any proceeds retained 
        by landholding agencies under this section shall be--
                    ``(A) deposited into the appropriate real property 
                account of the agency that had custody and 
                accountability for the real property, with the funds 
                expended only as authorized in annual appropriations 
                Acts;
                    ``(B) used--
                            ``(i) by not later than 1 year after the 
                        date of disposal of the real property; and
                            ``(ii) only for activities relating to 
                        Federal real property asset management and 
                        disposal, including paying costs incurred by 
                        the General Services Administration for any 
                        disposal-related activity authorized by this 
                        title; and
                    ``(C) if not used by the date described in 
                subparagraph (A)(i), returned to the general fund of 
                the Treasury for debt reduction purposes.
            ``(3) Postal property proceeds.--The proceeds resulting 
        from the disposal of any property owned by the United States 
        Postal Service shall be deposited in the Postal Service Fund 
        established under section 2003 of title 39.
    ``(c) Public Benefit.--
            ``(1) Conveyance.--If an underutilized property has not 
        been disposed of by the date that is 3 years after the date of 
        designation of the property as underutilized, the Director, in 
        consultation with the Administrator and the Secretary of 
        Housing and Urban Development, may consider a request from the 
        disposing agency that the underutilized property be conveyed to 
        State and local governments or nonprofit organizations for 
        various public purposes or uses as permitted by applicable law.
            ``(2) Predominant use and size standards.--Underutilized 
        property the predominant use of which is other than housing, 
        and the area of which is equal to or greater than 25,000 square 
        feet or the fair market value of which exceeds $2,000,000, 
        shall be considered to be unsuitable for disposal under this 
        subsection.
    ``(d) Enforcement.--
            ``(1) In general.--Except as provided in paragraph (3), if 
        a landholding agency fails to make available for public sale 
        the underutilized properties described in subsection (a) by the 
        date that is 18 months after the date of a determination by the 
        Director under subsection (a), no landholding agency may 
        acquire any real property not under the administrative 
        jurisdiction of the Federal Government, by sale or lease, until 
        the Director submits a certification to Congress of the 
        disposal of all of those surplus real properties.
            ``(2) Sequestration authority.--Except as provided in 
        paragraph (3), if a landholding agency fails to dispose of, or 
        make available for public sale, the underutilized properties 
        described in subsection (a) by the date that is 2 years after 
        the date of a determination by the Director under subsection 
        (a)--
                    ``(A) the Director shall order a 1-time 
                sequestration from the annual budget of the landholding 
                agency equal to 80 percent of the fair market value of 
                the underutilized property, with the sequestered funds 
                returned to the general fund of the Treasury for debt 
                reduction purposes; and
                    ``(B) the Director shall submit a sequestration 
                report to Committees on Budget, Environment and Public 
                Works, and Homeland Security and Governmental Affairs 
                of the Senate and the Committees on Budget, 
                Transportation and Infrastructure, and Oversight and 
                Government Reform of the House of Representatives.
            ``(3) Waiver.--Paragraphs (1) and (2) shall not apply to a 
        landholding agency if--
                    ``(A) the landholding agency submits to the 
                Director and the Committees on Environment and Public 
                Works and Homeland Security and Governmental Affairs of 
                the Senate and the Committees on Transportation and 
                Infrastructure and Oversight and Government Reform of 
                the House of Representatives a written justification 
                describing the reasons why the surplus real properties 
                described in subsection (a) under the jurisdiction of 
                the landholding agency were not disposed of; and
                    ``(B) Congress enacts a law approving the waiver.
            ``(4) Report.--Not later than 1 year after the date of 
        enactment of this subchapter and annually thereafter, the 
        Council shall submit to the Director a report listing each 
        landholding agency that fails to meet the applicable 
        underutilized property reduction goal established under section 
        622(5), along with a list of the remaining underutilized 
        properties of the landholding agency.
    ``(e) Termination of Authority.--The authority provided by this 
section terminates on the date that is 7 years after the date of 
enactment of this subchapter.
``Sec. 627. Homeless assistance grants
    ``(a) Definitions.--In this section:
            ``(1) Homeless.--The term `homeless' has the meaning given 
        the term in section 103 of the McKinney-Vento Homeless 
        Assistance Act (42 U.S.C. 11302), except that subsection (c) of 
        that section shall not apply.
            ``(2) Permanent housing.--The term `permanent housing' has 
        the meaning given the term section 401 of the McKinney-Vento 
        Homeless Assistance Act (42 U.S.C. 11360).
            ``(3) Private nonprofit organization.--The term `private 
        nonprofit organization' has the meaning given the term in 
        section 401 of the McKinney-Vento Homeless Assistance Act (42 
        U.S.C. 11360).
            ``(4) Representative of the homeless.--The term 
        `representative of the homeless' has the meaning given the term 
        in section 501(i) of the McKinney-Vento Homeless Assistance Act 
        (42 U.S.C. 11411(i)).
            ``(5) Secretary.--The term `Secretary' means the Secretary 
        of Housing and Urban Development.
            ``(6) Transitional housing.--The term `transitional 
        housing' has the meaning given the term in section 401 of the 
        McKinney-Vento Homeless Assistance Act (42 U.S.C. 11360).
    ``(b) Grant Authority.--To the extent amounts are made available 
under section 626 for use under this section, the Secretary shall make 
grants to eligible private nonprofit organizations under subsection (c) 
through the continuum of care program established under subtitle C of 
title IV of the McKinney-Vento Homeless Assistance Act (42 U.S.C. 11381 
et seq.), to purchase property suitable for use to assist the homeless 
in accordance with subsection (d).
    ``(c) Eligible Grantees.--To be eligible to receive a grant under 
subsection (b), a private nonprofit organization shall be a 
representative of the homeless.
    ``(d) Use of Properties for Housing or Shelter for the Homeless.--
            ``(1) Eligible uses.--A private nonprofit organization that 
        receives a grant under subsection (b) shall use the amounts 
        received only to acquire or rehabilitate real property for use 
        to provide permanent housing, transitional housing, or 
        temporary shelter to the homeless.
            ``(2) Term of use.--The Secretary may not make a grant 
        under subsection (b) to a private nonprofit organization unless 
        the private nonprofit organization provides to the Secretary 
        such assurances as the Secretary determines necessary to ensure 
        that any property acquired or rehabilitated using amounts 
        received under a grant is used only for the uses described in 
        paragraph (1) for a period of not less than 15 years.
    ``(e) Preference.--In awarding grants under subsection (b), the 
Secretary shall give preference to private nonprofit organizations that 
operate within areas in which Federal real property is being sold under 
the disposal program authorized under section 626.
    ``(f) Regulations.--The Secretary may promulgate such regulations 
as are necessary to carry out this section.''.
    (b) Technical and Conforming Amendment.--The table of sections for 
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--expedited disposal of real property

``Sec. 621. Definitions.
``Sec. 622. Duties of landholding agencies.
``Sec. 623. Establishment of a Federal Real Property Council.
``Sec. 624. Limitation on certain leasing authorities.
``Sec. 625. Database.
``Sec. 626. Expedited disposal program.
``Sec. 627. Homeless assistance grants.''.
    (c) Report of the Comptroller General.--Not later than 3 years 
after the date of enactment of this Act, the Comptroller General of the 
United States shall submit to Congress a report on the use by executive 
agencies of the authorities provided by this Act and amendments made by 
this Act.
                                 <all>