[House Report 119-238]
[From the U.S. Government Publishing Office]


119th Congress }                                              { Report
                        HOUSE OF REPRESENTATIVES
 1st Session   }                                              { 119-238

=======================================================================



 
               SHARED PROPERTY AGENCY COLLABORATION AND
                        ENGAGEMENT ACT OF 2025

                           ----------------
                                
 September 8, 2025.--Committed to the Committee of the Whole House on 
            the State of the Union and ordered to be printed

                           ----------------                              

          Mr. Graves, from the Committee on Transportation and
                 Infrastructure, submitted the following


                              R E P O R T

                        [To accompany H.R. 3424]

      [Including cost estimate of the Congressional Budget Office]

    The Committee on Transportation and Infrastructure, to whom 
was referred the bill (H.R. 3424) to require the Administrator 
of the General Services Administration to collaborate with 
Federal tenants with respect to shared-space arrangements, and 
for other purposes, having considered the same, reports 
favorably thereon without amendment and recommends that the 
bill do pass.

                                CONTENTS

                                                                   Page
Purpose of Legislation...........................................     2
Background and Need for Legislation..............................     2
Hearings.........................................................     3
Legislative History and Consideration............................     3
Committee Votes..................................................     4
Committee Oversight Findings and Recommendations.................     4
New Budget Authority and Tax Expenditures........................     4
Congressional Budget Office Cost Estimate........................     4
Performance Goals and Objectives.................................     6
Duplication of Federal Programs..................................     6
Congressional Earmarks, Limited Tax Benefits, and Limited Tariff 
  Benefits.......................................................     6
Federal Mandates Statement.......................................     6
Preemption Clarification.........................................     6
Advisory Committee Statement.....................................     6
Applicability to Legislative Branch..............................     6
Section-by-Section Analysis of the Legislation...................     6
Changes in Existing Law Made by the Bill, as Reported............     7

                         PURPOSE OF LEGISLATION

    The purpose of H.R. 3424, the Shared Property Agency 
Collaboration and Engagement (SPACE) Act of 2025, is to require 
the Administrator of the General Services Administration to 
collaborate with Federal tenants with respect to shared-space 
arrangements, and for other purposes.

                  BACKGROUND AND NEED FOR LEGISLATION

    The General Services Administration (GSA) currently manages 
363 million square feet of space in 8,397 owned and leased 
assets.\1\ The Government Accountability Office (GAO) reports 
that operating, maintaining, and leasing office space costs 
more than $8 billion annually.\2\ While GSA continues to reduce 
the amount of leased space, more than half of GSA's operating 
leases (96 million square feet) will expire in the next five 
years.\3\
---------------------------------------------------------------------------
    \1\U.S. Gen. Serv. Admin., GSA Properties (last updated Sept. 19, 
2024), available at https://www.gsa.gov/real-estate/gsa-properties.
    \2\U.S. Gov't Accountability Off., GAO-24-106919, Federal Real 
Property: Actions Needed to Better Assess Office Sharing Pilot's 
Broader Applicability (Sept. 11, 2024), available at https://
www.gao.gov/products/gao-24-106919.
    \3\Press Release, U.S. Gen. Serv. Admin., GSA Accelerates Efforts 
to Right-Size Federal Real Estate with Plans for 1.5 Million Square 
Feet in Reductions and More than $475 Million in Cost Avoidance to 
Taxpayers (Dec. 4, 2024), available at https://www.gsa.gov/about-us/
newsroom/news-releases/gsa-accelerates-efforts-to-rightsize-federal-
real-estate-12042024.
---------------------------------------------------------------------------
    In recent years, there have been increasing reports of 
``shadow'' or ``dark'' space in Federal buildings and leases 
which is unassigned, unused space.\4\ The concerns about 
``shadow'' or ``dark'' space were emphasized during the 
Subcommittee on Economic Development, Public Buildings, and 
Emergency Management of the Committee on Transportation and 
Infrastructure's Roundtable on ``The State of Federal Real 
Estate,'' held on March 22, 2023, where participants noted that 
30 percent of Federal employees plan to retire within the next 
five years and nearly 30 percent of Federal employees with 
remote work agreements live outside their assigned region.\5\
---------------------------------------------------------------------------
    \4\U.S. Gen. Serv. Admin., Unused & Underused Space (Last reviewed 
Mar. 4, 2022), available at https://www.gsa.gov/real-estate/gsa-
properties/unused-underused-space.
    \5\The State of Federal Real Estate: Roundtable Before the Subcomm. 
on Economic Development, Public Buildings, and Emergency Management of 
the H. Comm. on Transp. and Infrastructure, 118th Cong. (Mar. 22, 
2023).
---------------------------------------------------------------------------
    During the 117th Congress, the Committee requested that GAO 
conduct a study on office space utilization rates across the 24 
Chief Financial Officer (CFO) Act agency headquarters to better 
understand how the Federal Government is utilizing its real 
estate portfolio.\6\ In order to assess space utilization, GAO 
collected building size and attendance data from all 24 
agencies for one week each in January, February, and March of 
2023. Utilization was then calculated by dividing in-office 
attendance by the building's useable square footage or 
capacity.\7\ GAO found that on average, 17 of the 24 CFO agency 
headquarters were at 25 percent or less utilization.\8\ GAO 
found the headquarters buildings for certain agencies, 
including GSA, the Department of Agriculture, the Department of 
Housing and Urban Development, the Office of Personnel 
Management, the Small Business Administration, and the Social 
Security Administration were as low as a nine percent space 
utilization.\9\
---------------------------------------------------------------------------
    \6\Letter from Peter DeFazio, Chairman, H. Comm. on Transp. and 
Infrastructure, et al. to Gene Dodaro, Comptroller General, GAO (Nov. 
10, 2021) (on file with Comm.).
    \7\Briefing from Staff, U.S. Gov't Accountability Off., to Staff, 
H. Comm. on Transp. and Infrastructure (June 26, 2023, 11:00 AM EST).
    \8\U.S. Gov't Accountability Off., GAO-24-107006, Federal Real 
Property: Agencies Need New Benchmarks to Measure and Shed 
Underutilized Space (Oct. 2023) available at https://www.gao.gov/
assets/d24107006.pdf.
    \9\Id.
---------------------------------------------------------------------------
    In response to the concern raised in the GAO report, 
Subcommittee Chairman Perry introduced the Utilizing Space 
Efficiency and Improving Technologies (USE IT) Act of 2023.\10\ 
This legislation mandates GSA and Office of Management and 
Budget (OMB) establish standardized methods for measuring 
office occupancy across Federal agencies.\11\ The Act 
introduced a government-wide 60 percent occupancy metric, 
directing Federal agencies to consolidate, repurpose, or sell 
underused office space to increase operational efficiency and 
reduce real estate costs.\12\ This initiative aims to maximize 
space utilization, particularly in light of the ongoing shift 
to hybrid and remote work models.\13\ The USE IT Act also 
specifically directs that department and agency headquarters 
buildings in the National Capital Region be consolidated and 
excess space sold to meet the minimum 60 percent occupancy 
metric.\14\ On January 4, 2025, the USE IT Act was signed into 
law as part of the larger Thomas R. Carper Water Resources 
Development Act (WRDA) of 2024.\15\
---------------------------------------------------------------------------
    \10\Utilizing Space Efficiency and Improving Technologies Act of 
2023, Pub. L. No. 118-272.
    \11\Id.
    \12\Id.
    \13\Id.
    \14\Id.
    \15\Thomas R. Carper Water Resources Development Act of 2024, Pub. 
L. No. 118-272.
---------------------------------------------------------------------------

                                HEARINGS

    For the purposes of rule XIII, clause 3(c)(6)(A) of the 
119th Congress, the following hearing was used to develop or 
consider H.R. 3424:
    On March 5, 2025, the Subcommittee on Economic Development, 
Public Buildings, and Emergency Management of the Committee on 
Transportation and Infrastructure held a hearing entitled, 
``America Builds: Making Federal Real Estate Work for the 
Taxpayer.'' The Subcommittee received testimony from Mr. David 
Marroni, Director, Physical Infrastructure, GAO and Mr. David 
Winstead, Board Member, Public Buildings Reform Board.

                 LEGISLATIVE HISTORY AND CONSIDERATION

    H.R. 3424 was introduced in the United States House of 
Representatives on May 15, 2025, by Mr. Onder of Missouri and 
referred to the Committee on Transportation and Infrastructure. 
Within the Committee on Transportation and Infrastructure, H.R. 
3424 was referred to the Subcommittee on Economic Development, 
Public Buildings, and Emergency Management. The Subcommittee on 
Economic Development, Public Buildings, and Emergency 
Management was discharged from further consideration of H.R. 
3424 on June 11, 2025.
    The Committee considered H.R. 3424 on June 11, 2025, and 
ordered the measure to be reported to the House with a 
favorable recommendation, without amendment, by voice vote.

                            COMMITTEE VOTES

    Clause 3(b) of rule XIII of the Rules of the House of 
Representatives requires each committee report to include the 
total number of votes cast for and against on each record vote 
on a motion to report and on any amendment offered to the 
measure or matter, and the names of those members voting for 
and against.
    No record votes were requested during consideration of H.R. 
3424.

            COMMITTEE OVERSIGHT FINDINGS AND RECOMMENDATIONS

    With respect to the requirements of clause 3(c)(1) of rule 
XIII of the Rules of the House of Representatives, the 
Committee's oversight findings and recommendations are 
reflected in this report.

               NEW BUDGET AUTHORITY AND TAX EXPENDITURES

    Clause 3(c)(2) of rule XIII of the Rules of the House of 
Representatives does not apply where a cost estimate and 
comparison prepared by the Director of the Congressional Budget 
Office under section 402 of the Congressional Budget Act of 
1974 has been timely submitted prior to the filing of the 
report and is included in the report. Such a cost estimate is 
included in this report.

               CONGRESSIONAL BUDGET OFFICE COST ESTIMATE

    With respect to the requirement of clause 3(c)(3) of rule 
XIII of the Rules of the House of Representatives and section 
402 of the Congressional Budget Act of 1974, the Committee has 
received the enclosed cost estimate for H.R. 3424 from the 
Director of the Congressional Budget Office:

Legislation Considered Under Suspension of the Rules

    The Majority Leader of the House of Representatives 
announces bills that will be considered under suspension of the 
rules in that chamber. Under suspension, floor debate is 
limited, all floor amendments are prohibited, points of order 
against the bill are waived, and final passage requires a two-
thirds majority vote.
    At the request of the Majority Leader and the House 
Committee on the Budget, CBO estimates the effects of those 
bills on direct spending and revenues. CBO has limited time to 
review the legislation before consideration. Although it is 
possible in most cases to determine whether the legislation 
would affect direct spending or revenues, time may be 
insufficient to estimate the magnitude of those effects. If CBO 
has prepared estimates for similar or identical legislation, a 
more detailed assessment of budgetary effects, including 
effects on spending subject to appropriation, may be included.

             EFFECTS ON DIRECT SPENDING AND REVENUES OF LEGISLATION CONSIDERED UNDER SUSPENSION OF THE RULES IN THE HOUSE OF REPRESENTATIVES
                                                                Week of September 8, 2025
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                                                                                                  Additional
                                                                                                information on                          Suspension bill
           Bill number                   Title         Effect on direct   Effect on revenues    direct spending    Link to published        text at
                                                           spending                               and revenue          estimates        docs.house.gov
                                                                                                    effects
--------------------------------------------------------------------------------------------------------------------------------------------------------
H.R. 2591.......................  Mental Health in    None..............  None..............  ..................  https://            https://
                                   Aviation Act of                                                                 www.cbo.gov/        docs.house.gov/
                                   2025, as amended.                                                               publication/61623.  billsthisweek/
                                                                                                                                       20250908/
                                                                                                                                       HR%202591.pdf
H.R. 3055.......................  TRANSPORT Jobs      None..............  None..............  ..................  ..................  https://
                                   Act, as amended.                                                                                    docs.house.gov/
                                                                                                                                       billsthisweek/
                                                                                                                                       20250908/
                                                                                                                                       HR%203055.pdf
H.R. 3423.......................  FROST Act, as       Increase by Less    None..............  ..................  https://            https://
                                   amended.            Than $500K.                                                 www.cbo.gov/        docs.house.gov/
                                                                                                                   publication/61630.  billsthisweek/
                                                                                                                                       20250908/
                                                                                                                                       HR%203423.pdf
H.R. 3424.......................  SPACE Act of 2025.  None..............  None..............  ..................  ..................  https://
                                                                                                                                       docs.house.gov/
                                                                                                                                       billsthisweek/
                                                                                                                                       20250908/
                                                                                                                                       HR%203424.pdf
H.R. 3425.......................  POST Act of 2025,   None..............  None..............  ..................  ..................  https://
                                   as amended.                                                                                         docs.house.gov/
                                                                                                                                       billsthisweek/
                                                                                                                                       20250908/
                                                                                                                                       HR%203425.pdf
H.R. 3426.......................  CASE Act, as        None..............  None..............  ..................  ..................  https://
                                   amended.                                                                                            docs.house.gov/
                                                                                                                                       billsthisweek/
                                                                                                                                       20250908/
                                                                                                                                       HR%203426%Amended
                                                                                                                                       .pdf
H.R. 3428.......................  Mid-Atlantic River  None..............  None..............  ..................  ..................  https://
                                   Basin Commissions                                                                                   docs.house.gov/
                                   Review Act.                                                                                         billsthisweek/
                                                                                                                                       20250908/
                                                                                                                                       HR%203428.pdf
H.R. 4550.......................  United States       Reduce by Less      None..............  ..................  https://            https://
                                   Grain Standards     Than $500K.                                                 www.cbo.gov/        docs.house.gov/
                                   Reauthorization                                                                 publication/61725.  billsthisweek/
                                   Act of 2025.                                                                                        20250908/
                                                                                                                                       HR%204550.pdf
H. Res. __......................  Honoring the        None..............  None..............  ..................  ..................  https://
                                   victims and                                                                                         docs.house.gov/
                                   survivors of the                                                                                    billsthisweek/
                                   mass shooting at                                                                                    20250908/
                                   Annunciation                                                                                        MN%20Res.pdf
                                   Catholic Church
                                   and School in
                                   Minneapolis,
                                   Minnesota.
--------------------------------------------------------------------------------------------------------------------------------------------------------
Source: Congressional Budget Office.

                    PERFORMANCE GOALS AND OBJECTIVES

    With respect to the requirement of clause 3(c)(4) of rule 
XIII of the Rules of the House of Representatives, the 
performance goal and objective of this legislation is to amend 
title 40, United States Code, to require the Administrator of 
the General Services Administration to collaborate with Federal 
tenants with respect to shared-space arrangements, and for 
other purposes.

                    DUPLICATION OF FEDERAL PROGRAMS

    Pursuant to clause 3(c)(5) of rule XIII of the Rules of the 
House of Representatives, the Committee finds that no provision 
of H.R. 3424 establishes or reauthorizes a program of the 
Federal government known to be duplicative of another Federal 
program, a program that was included in any report from the 
Government Accountability Office to Congress pursuant to 
section 21 of Public Law 111-139, or a program related to a 
program identified in the most recent Catalog of Federal 
Domestic Assistance.

   CONGRESSIONAL EARMARKS, LIMITED TAX BENEFITS, AND LIMITED
                        TARIFF BENEFITS

    In compliance with clause 9 of rule XXI of the Rules of the 
House of Representatives, this bill, as reported, contains no 
Congressional earmarks, limited tax benefits, or limited tariff 
benefits as defined in clause 9(e), 9(f), or 9(g) of the rule 
XXI.

                       FEDERAL MANDATES STATEMENT

    The Committee adopts as its own the estimate of Federal 
mandates prepared by the Director of the Congressional Budget 
Office pursuant to section 423 of the Unfunded Mandates Reform 
Act (Public Law 104-4).

                        PREEMPTION CLARIFICATION

    Section 423 of the Congressional Budget Act of 1974 
requires the report of any Committee on a bill or joint 
resolution to include a statement on the extent to which the 
bill or joint resolution is intended to preempt state, local, 
or tribal law. The Committee finds that H.R. 3424 does not 
preempt any state, local, or tribal law.

                      ADVISORY COMMITTEE STATEMENT

    No advisory committees within the definition of Section 
5(b) of the appendix to Title 5, United States Code, are 
created by this legislation.

                  APPLICABILITY TO LEGISLATIVE BRANCH

    The Committee finds that the legislation does not relate to 
the terms and conditions of employment or access to public 
services or accommodations within the meaning of section 
102(b)(3) of the Congressional Accountability Act (Public Law 
104-1).

             SECTION-BY-SECTION ANALYSIS OF THE LEGISLATION

Section 1. Short title

    This section requires cites the bill as ``Shared Property 
Agency Collaboration and Engagement (SPACE) Act of 2025''.

Section 2. GSA collaboration with Federal tenants

    This section directs that when carrying out section 2302 of 
the Thomas R. Carper Water Resources Development Act of 2024, 
the Administrator of GSA shall collaborate with tenants of 
Federally-leased space to better identify concerns among 
Federal agencies around shared-space arrangements.\16\
---------------------------------------------------------------------------
    \16\Id.
---------------------------------------------------------------------------
    Further, the Administrator shall work to develop a criteria 
that would facilitate the expanded use of space-sharing or 
collocating, identify how special-use spaces can be used to 
improve space-sharing or collocating, and establish measurable 
objectives to quantify the success of shared-space arrangements 
among Federal agencies.
    This section also directs the Administrator of GSA to brief 
the Committee on Transportation and Infrastructure of the House 
of Representatives and the Committee on Environment and Public 
Works of the Senate on the implementation of the requirements 
of this Act.

         CHANGES IN EXISTING LAW MADE BY THE BILL, AS REPORTED

    As reported by the Committee, H.R. 3424 makes no changes in 
existing law.

                                  [all]