[House Report 113-731] [From the U.S. Government Publishing Office] 113th Congress } { Rept. 113-731 HOUSE OF REPRESENTATIVES 2d Session } { Part 1 ====================================================================== EXCESS FEDERAL BUILDING AND PROPERTY DISPOSAL ACT OF 2013 _______ January 2, 2015.--Committed to the Committee of the Whole House on the State of the Union and ordered to be printed _______ Mr. Issa, from the Committee on Oversight and Government Reform, submitted the following R E P O R T [To accompany H.R. 328] [Including cost estimate of the Congressional Budget Office] The Committee on Oversight and Government Reform, to whom was referred the bill (H.R. 328) to establish a pilot program for the expedited disposal of Federal real property, having considered the same, report favorably thereon without amendment and recommend that the bill do pass. CONTENTS Page Committee Statement and Views.................................... 2 Section-by-Section............................................... 3 Explanation of Amendments........................................ 5 Committee Consideration.......................................... 5 Application of Law to the Legislative Branch..................... 5 Statement of Oversight Findings and Recommendations of the Committee...................................................... 6 Statement of General Performance Goals and Objectives............ 6 Duplication of Federal Programs.................................. 6 Disclosure of Directed Rule Makings.............................. 6 Federal Advisory Committee Act................................... 6 Unfunded Mandate Statement....................................... 6 Earmark Identification........................................... 6 Duplication of Federal Programs.................................. 7 Committee Estimate............................................... 7 Budget Authority and Congressional Budget Office Cost Estimate... 7 Changes in Existing Law Made by the Bill as Reported............. 10 Committee Statement and Views PURPOSE AND SUMMARY H.R. 328, the Excess Federal Building and Property Disposal Act of 2013, directs the Administrator of the General Services Administration (GSA) to conduct a pilot program in consultation with the Director of the Office of Management and Budget (OMB) for the expedited disposal of real property that is no longer meeting the needs of the Federal Government. The bill establishes a grant program under which homeless-serving organizations use a portion of property sale proceeds under the pilot to provide permanent housing for the homeless. H.R. 328 also makes permanent changes to the Federal property disposal process and incentivizes agencies to appropriately manage and efficiently dispose of their real property assets. BACKGROUND AND NEED FOR LEGISLATION Since 2003, the Government Accountability Office (GAO) has cited Federal real property management as a ``high-risk'' area for several reasons.\1\ ``GAO has cited concerns about the reliability of real property data, the deteriorating condition of facilities, the large quantity of excess and underutilized properties, an overreliance on leasing, and insufficient security of facilities.\2\ --------------------------------------------------------------------------- \1\General Accountability Office, High Risk Series: An Update, GAO- 11-278, Feb. 2011 [hereinafter GAO High Risk Series]. \2\Id. --------------------------------------------------------------------------- The Congressional Research Service (CRS) reports that as of fiscal year 2010, the Federal Government holds approximately 77,700 buildings that are either not utilized or underutilized.\3\ It spends $1.67 billion to operate and maintain vacant or underutilized buildings.\4\ And it holds over 900,000 buildings and structures,\5\ and approximately 41 million acres of land worldwide.\6\ According to testimony from OMB, the Federal Government currently has approximately 14,000 buildings and structures designated as excess.\7\ --------------------------------------------------------------------------- \3\Garrett Hatch, Congressional Research Service, Disposal of Unneeded Federal Buildings: Legislative Proposals in the 112th Congress, CRS no. R42646, Aug. 6, 2012. \4\Id. \5\GAO High Risk Series. \6\CRS no. R41240. \7\Federal Asset Management: Eliminating Waste by Disposing of Unneeded Federal Real Property, Hearing before the Subc. on Fed. Financial Mgmt., Gov't. Info., Fed. Services, and Int'l Sec. of the S. Comm. on Homeland Sec. and Gov't. Affairs, 112th Cong. 1 (2011) (statement of Hon. Daniel I. ``Danny'' Werfel, Controller, OMB). --------------------------------------------------------------------------- During the June 2011 budget deficit reduction debate, the media reported that the sale of surplus Federal real property was suggested as a means to generate revenue to offset spending elsewhere.\8\ In July 2011, President Obama sent draft real property disposal legislation to Congress. The draft legislation advanced by the President seeks to expedite the disposal of unneeded and underutilized Federal civilian real property assets, with the goal of generating billions of dollars in revenue for the Federal Government. It creates a Civilian Property Realignment Board (CPRB) analogous to the Department of Defense Base Realignment and Closure (BRAC) Commission. Under this proposal, the Board would be responsible for recommending properties for disposal. Ultimately, OMB and Congress would approve or disapprove of the entirety of the Board's recommendations in order for the agencies to begin disposing of the properties. According to the Administration, the legislation would allow the government to realize $15 billion in gross proceeds and other savings from the disposal of Federal real property over a 3-year period, once the Board becomes fully operational. --------------------------------------------------------------------------- \8\Laura Meckler, Federal Land Up for Budget Grabs, Wall St. J., July 16, 2011. --------------------------------------------------------------------------- In a June 27, 2011, letter to the Committee, the Congressional Budget Office (CBO) estimated that the President's proposal would actually increase direct spending by $60 million over 10 years, and could increase discretionary spending by $420 million over 5 years.\9\ CBO also said the proposal would probably not yield significant sale proceeds from the disposal of unneeded Federal properties.\10\ --------------------------------------------------------------------------- \9\Letter from Hon. Douglas W. Elmendorf, Director, CBO, to Hon. Darrell Issa, Chairman, Comm. on Oversight & Gov't Reform, June 27, 2011, available at http://www.cbo.gov/ftpdocs/122xx/doc12270/06-28- IssaLtrProperty.pdf. \10\Id. --------------------------------------------------------------------------- The President's legislation, due to cost and approach, would not likely be supported by Congress. H.R. 328 provides a viable, bipartisan alternative by working within the existing real property disposal process rather than creating a novel process. LEGISLATIVE HISTORY The provisions of H.R. 328 have been introduced in bills and supported during previous Congresses. During the 111th Congress, Representative Chaffetz introduced a bill very similar to H.R. 328. On February 11, 2011, during the 112th Congress, he reintroduced the bill as H.R. 665. It was referred to the Committee on Oversight and Government Reform, and on November 17, 2011, the Full Committee held a business meeting to mark up H.R. 665. Representative Quigley offered an ANS which was supported by Representative Chaffetz. Ultimately, the ANS was accepted and the bill was adopted by voice vote. On March 20, 2012, H.R. 665 was passed in the House under suspension of the rules, and agreed to by a unanimous recorded vote, 403-0. Section-by-Section Section 1. Short title This section is the short title of the bill ``Excess Federal Building and Property Disposal Act of 2013.'' Section 2. Federal Real Property Disposal Pilot Program This section of the bill creates the pilot program to dispose of unneeded Federal real property in an expeditious and efficient manner with the goal of maximizing profit. According to OMB, there are properties within the Federal real property portfolio which can be sold to raise revenue.\11\ --------------------------------------------------------------------------- \11\Fed. Asset Management: Eliminating Waste By Disposing of Unneeded Fed. Real Property. Hearing before the S. Comm. on Homeland Sec. & Gov't Affairs Subc. on Fed. Financial Mgmt. Gov't Info. Fed. Serv. & Int'l Security, 112th Cong. (June 9, 2011) (oral statement of Daniel Werfel, Controller, OMB). --------------------------------------------------------------------------- Under the pilot program created by this section, the OMB Director, in consultation with the head of the General Services Administration (Administrator), is directed to identify, with input from Federal agencies, 15 real properties to be placed on a rolling list for disposal. These properties must meet certain criteria, such as possessing high fair market value. Certain properties such as United States Postal Service properties and properties owned by Indian and Native Alaskans are excluded from the pilot. The Administrator is further directed to dispose of the properties through a public auction. Once a property is auctioned and transferred, the Administrator has 15 days to identify another property to be placed on the list for disposal. This rolling list is also referred to as the real property pilot program. It is authorized for five years. The standard disposal process will occur for other properties contemporaneous with the pilot. Pilot properties are exempt from certain statutory constraints to disposal. For example, properties sold as part of the pilot program will not be subject to the requirements of Title V of the McKinney-Vento Homeless Assistance Act or the public benefit conveyance requirements. Proceeds from sales under the pilot program are required to be distributed as follows: 98 percent to the General Fund of the Treasury and two percent to a grant fund for homeless assistance. With the two percent proceeds, the Department of Housing and Urban Development (HUD) is authorized to make grants to nonprofit entities for the purchase or rehabilitation of real property suitable to assist the homeless. The HUD Secretary is directed to give preference to nonprofit entities located in the areas in which real property is being sold through the pilot program. This section also requires the GAO to conduct a study of the effectiveness of the pilot program. Section 3. Duties of the General Services Administration and executive agencies This section directs GSA to issue guidance for agencies regarding the development of real property plans. Agencies are required to continuously monitor their real property portfolio and dispose of any unneeded properties in a timely manner. GSA is required, three years after enactment, to issue a one-time report on the efficacy of this section. Section 4. Enhanced authorities with regard to preparing properties to be reported as excess This section applies to the standard disposal process under Title 40. Specifically, it amends 40 U.S.C. 572(a)(2) to allow GSA and the agencies to be reimbursed for the costs associated with the disposal of real property. After costs are paid, proceeds are distributed pursuant to Section 6, described below. Section 5. Enhanced authorities with regard to reverted real property This section amends 40 U.S.C. 572(a)(2)(A) to allow GSA to be reimbursed for the direct and indirect costs associated with a reversion of real property and the disposal of reverted real property. It should be noted that reverted real property at one time or another likely underwent the standard disposal process. This section also allows the Administrator to dispose of reverted real property through sale under certain circumstances, and places certain requirements on these types of disposals. Prior to selling reverted real property, the GSA Administrator shall allow public benefit conveyances. Section 6. Agency retention of proceeds This section amends 40 U.S.C. 571 to allow the net proceeds of a sale of real property conducted under the standard disposal process to be returned to the agency that conducted the disposal for the purpose of continuing disposal activities and maintenance to properties. Any remainder shall go to the Treasury for deficit reduction. It also allows proceeds from the sale of personal property to be deposited into the Treasury. Section 7. Federal real property database This section codifies the requirement for a Federal real property database and requires GSA to publish the existing database, which the Committee understands is owned by OMB and managed by GSA. Classified information and national security sensitive information is excludable from publication. Section 8. Sustainable disposal of property This section directs agencies to recycle at least 50 percent of construction and demolition materials. Section 9. Streamlining the McKinney-Vento Homeless Assistance Act This section streamlines the McKinney-Vento homeless review process. Under Title V of the McKinney-Vento Homeless Assistance Act, a surplus Federal property must be made available to entities serving the homeless before it can be conveyed for other public use.\12\ This section excludes national security properties from the review conducted by HUD, to increase the efficiency of the standard disposal process. --------------------------------------------------------------------------- \12\Garrett Hatch, Congressional Research Service, Disposal of Unneeded Federal Buildings: Legislative Proposals in the 112th Congress, CRS no. R41892, June 24, 2011 (citing 40 U.S.C. Sec. 102). --------------------------------------------------------------------------- Under the current process, HUD publishes available properties in the Federal Register. This section repeals this onerous requirement and directs HUD or GSA to publish the available properties on a website. Explanation of Amendments No amendments to H.R. 328 were offered. Committee Consideration On March 20, 2013, the Committee met in open session and ordered reported favorably the bill, H.R. 328, by voice vote, a quorum being present. Application of Law to the Legislative Branch Section 102(b)(3) of Public Law 104-1 requires a description of the application of this bill to the legislative branch where the bill relates to the terms and conditions of employment or access to public services and accommodations. This bill directs the Administrator of GSA to conduct a pilot program in consultation with the Director of OMB for the expedited disposal of real property that is no longer meeting the needs of the Federal Government. As such this bill does not relate to employment or access to public services and accommodations. Statement of Oversight Findings and Recommendations of the Committee In compliance with clause 3(c)(1) of rule XIII and clause (2)(b)(1) of rule X of the Rules of the House of Representatives, the Committee's oversight findings and recommendations are reflected in the descriptive portions of this report. Statement of General Performance Goals and Objectives In accordance with clause 3(c)(4) of rule XIII of the Rules of the House of Representatives, the Committee's performance goals and objectives are reflected in the descriptive portions of this report. Duplication of Federal Programs No provision of H.R. 328 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. Disclosure of Directed Rule Makings The Secretary of Housing and Urban Development is directed to issue regulations necessary to make grants to nonprofit entities for the purchase or rehabilitation of real property suitable to assist the homeless as described in section 2. Federal Advisory Committee Act The Committee finds that the legislation does not establish or authorize the establishment of an advisory committee within the definition of 5 U.S.C. App., Section 5(b). Unfunded Mandate Statement Section 423 of the Congressional Budget and Impoundment Control Act (as amended by Section 101(a)(2) of the Unfunded Mandate Reform Act, P.L. 104-4) requires a statement as to whether the provisions of the reported include unfunded mandates. In compliance with this requirement the Committee has received a letter from the Congressional Budget Office included herein. Earmark Identification H.R. 328 does not include any congressional earmarks, limited tax benefits, or limited tariff benefits as defined in clause 9 of rule XXI. Duplication of Federal Programs H.R. 328 does not establish or reauthorize a Program of the Federal Government known to be duplicative of another Federal program. Committee Estimate Clause 3(d)(2) of Rule XIII of the Rules of the House of Representatives requires an estimate and a comparison by the Committee of the costs that would be incurred in carrying out H.R. 328. However, clause 3(d)(3)(B) of that rule provides that this requirement does not apply when the Committee has included in its report a timely submitted cost estimate of the bill prepared by the Director of the Congressional Budget Office under section 402 of the Congressional Budget Act. Budget Authority and Congressional Budget Office Cost Estimate With respect to the requirements of clause 3(c)(2) of rule XIII of the Rules of the House of Representatives and section 308(a) of the Congressional Budget Act of 1974 and with respect to requirements 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 following cost estimate for H.R. 328 from the Director of Congressional Budget Office: July 16, 2013. Hon. Darrell Issa, Chairman, Committee on Oversight and Government Reform, House of Representatives, Washington, DC. Dear Mr. Chairman: The Congressional Budget Office has prepared the enclosed cost estimate for H.R. 328, the Excess Federal Building and Property Disposal Act of 2013. If you wish further details on this estimate, we will be pleased to provide them. The CBO staff contact for this estimate is Matthew Pickford. Sincerely, Douglas W. Elmendorf. Enclosure. H.R. 328--Excess Federal Building and Property Disposal Act of 2013 Summary: H.R. 328 would amend the Federal Property and Administrative Services Act (Property Act) to provide the General Services Administration (GSA) new authorities aimed at facilitating the disposal of federal real property. In addition, the legislation would establish a five-year pilot program with a goal of expediting the disposal of excess and surplus federal property. CBO estimates that enacting the bill would increase direct spending by $20 million over the 2014-2023 period because it would authorize GSA to spend proceeds from the sale of federal property that are expected to be collected, but not spent, under current law. Because the legislation would affect direct spending, pay-as-you-go procedures apply. In addition, CBO estimates that, assuming the availability of appropriated funds, implementing H.R. 328 would cost $2 million over the 2012-2018 period for additional administrative and reporting costs related to property disposal. Enacting H.R. 328 would not affect revenues. H.R. 328 contains no intergovernmental or private-sector mandates as defined in the Unfunded Mandates Reform Act (UMRA) and would impose no costs on state, local, or tribal governments. Estimated cost to the Federal Government: The estimated budgetary impact of H.R. 328 is shown in the following table. The costs of this legislation fall within budget function 800 (general government). -------------------------------------------------------------------------------------------------------------------------------------------------------- By fiscal year, in millions of dollars-- ----------------------------------------------------------------------------------------------------- 2014 2015 2016 2017 2018 2019 2020 2021 2022 2023 2014-2018 2014-2023 -------------------------------------------------------------------------------------------------------------------------------------------------------- CHANGES IN DIRECT SPENDING\a\ Estimated Budget Authority........................ 2 2 2 2 2 2 2 2 2 2 10 20 Estimated Outlays................................. 2 2 2 2 2 2 2 2 2 2 10 20 -------------------------------------------------------------------------------------------------------------------------------------------------------- aIn addition to the costs shown above, CBO estimates that implementing H.R. 328 would cost $2 million over the 2014-2018 period for administrative and reporting costs related to property disposal, assuming the availability of appropriated funds. Basis of estimate: For this estimate, CBO assumes that H.R. 328 will be enacted late in 2013. Direct spending Under the Property Act, GSA currently manages the disposal of surplus federal property for most agencies. The act allows GSA to spend 12 percent of any proceeds from the sale of federal buildings to cover its direct costs related to preparing the property for sale; such costs include auction fees and the cost of obtaining appraisals. The remaining proceeds from surplus property sales are deposited in the Treasury as offsetting receipts and, for the most part, cannot be spent without further appropriation. Under current law, CBO estimates that GSA's net receipts from the sale of surplus federal property total about $20 million per year. Under H.R. 328, GSA would be allowed to spend additional proceeds from property sales to pay for the indirect costs related to preparing properties for sale. Such costs would include market research, cost/benefit analyses, and other costs to identify and prepare properties for disposal that have not yet been declared excess to the government's needs. The legislation would not cap the portion of sales proceeds that could be spent on indirect costs. CBO estimates that authorizing GSA to spend additional proceeds from property sales to pay for such indirect costs would increase direct spending by $2 million a year from the receipts from property sales anticipated to occur under current law. The increase in spending could be as much as $20 million a year, however, depending on how GSA would use this new authority. The legislation would also establish a five-year pilot program and authorize the expedited disposal of certain excess and surplus federal property. The Director of the General Services Administration, in consultation with the Office of Management and Budget (OMB) and using recommendations from affected agencies, would be required to identify 15 federal properties to be disposed of through this new program. Additional properties would be added to the program as properties were sold, and the program would terminate five years after enactment. Based on an analysis of information from GAO, OMB, GSA, and other federal landholding agencies, CBO expects that little additional property would be sold under this pilot program for several reasons:First, many of the largest federal agencies that manage significant numbers of properties would probably opt to continue using their enhanced-use leasing authorities rather than GSA's property disposition services to leverage value from underused real property; Second, any additional properties that would be made available for disposal under the bill would first have to be evaluated for, and could be used as, public benefit conveyances--for homeless shelters or for educational or recreational uses--rather than being offered for sale; and Third, since June 2010, the President has already directed agencies to accelerate efforts to dispose of unneeded property, reduce facility operating costs, and adopt more efficient real estate management practices. It is not clear how the pilot program authorized in the bill would significantly accelerate disposal efforts beyond what would occur under current law. For those reasons, CBO expects that gross proceeds from federal property sales would not increase significantly under this pilot program, and this cost estimate incorporates no increase in such proceeds. However, if the new pilot program and new spending authority to cover indirect costs related to property sales were to result in a 10 percent increase in sales proceeds, that amount would be sufficient to offset CBO's estimate of new direct spending under the bill. Spending subject to appropriation H.R. 328 would require GSA and GAO to prepare additional reports and would require GSA to improve its database of federal property. Those requirements would include the creation within one year of an online, searchable database of federal real property for use by federal agencies and the public. CBO estimates that implementing those provisions would increase the workloads of GSA and other agencies. Based on information from GSA and some landholding agencies, CBO estimates that those activities would cost $2 million over the 2014-2018 period, assuming availability of appropriated funds. Better information about federal real property holdings, in conjunction with additional funds for GSA to dispose of surplus facilities, could result in additional property disposals, thus reducing the need for annual appropriations to operate and maintain those facilities. On one hand, GAO has reported that operation and maintenance costs typically account for between 60 percent and 85 percent of the lifetime costs of owning a building. On the other hand, GAO has also reported that the Federal Real Property Profile (the single comprehensive inventory system that contains data on all federal real property assets) often overstates a property's condition and annual operating costs. Those uncertainties make it impossible to estimate potential savings from disposing of property. Pay-As-You-Go considerations: The Statutory Pay-As-You-Go Act establishes budget-reporting and enforcement procedures for legislation affecting direct spending or revenues. The net changes in outlays that are subject to those pay-as-you-go procedures are shown in the following table. Enacting the legislation would have no effect on revenues. CBO ESTIMATE OF PAY-AS-YOU-GO EFFECTS FOR H.R. 328, THE EXCESS FEDERAL BUILDING AND PROPERTY DISPOSAL ACT OF 2013, AS ORDERED REPORTED BY THE HOUSE COMMITTEE ON OVERSIGHT AND GOVERNMENT REFORM ON MARCH 20, 2013 -------------------------------------------------------------------------------------------------------------------------------------------------------- By fiscal year, in millions of dollars-- ------------------------------------------------------------------------------------------------------------- 2013 2014 2015 2016 2017 2018 2019 2020 2021 2022 2023 2013-2018 2013-2023 -------------------------------------------------------------------------------------------------------------------------------------------------------- NET INCREASE OR DECREASE (-) IN THE DEFICIT Statutory Pay-As-You-Go Impact 0 2 2 2 2 2 2 2 2 2 2 10 20 -------------------------------------------------------------------------------------------------------------------------------------------------------- Intergovernmental and private-sector impact: H.R. 328 contains no intergovernmental or private-sector mandates as defined in UMRA and would impose no costs on state, local, or tribal governments. Estimate prepared by: Federal spending: Matthew Pickford; Impact on state, local, and tribal governments: Paige Piper/ Bach; Impact on the private sector: Elizabeth Cove Delisle. Estimate approved by: Theresa Gullo, Deputy Assistant Director for Budget Analysis. Changes in Existing Law Made by the Bill, as Reported In compliance with clause 3(e) of rule XIII of the Rules of the House of Representatives, changes in existing law made by the bill, as reported, are shown as follows (existing law proposed to be omitted is enclosed in black brackets, new matter is printed in italic, existing law in which no change is proposed is shown in roman): TITLE 40, UNITED STATES CODE * * * * * * * SUBTITLE I--FEDERAL PROPERTY AND ADMINISTRATIVE SERVICES * * * * * * * CHAPTER 5--PROPERTY MANAGEMENT SUBCHAPTER I--PROCUREMENT AND WAREHOUSING Sec. 501. Services for executive agencies. * * * * * * * SUBCHAPTER II--USE OF PROPERTY * * * * * * * [524. Duties of executive agencies.] 524. Duties of the General Services Administration and executive agencies. * * * * * * * 530. Federal real property database. SUBCHAPTER III--DISPOSING OF PROPERTY * * * * * * * 560. Sustainable disposal of property. * * * * * * * SUBCHAPTER VII--EXPEDITED DISPOSAL OF REAL PROPERTY 621. Federal real property disposal pilot program. 622. Selection of real properties. 623. Expedited disposal requirements. 624. Special rules for deposit and use of proceeds from expedited disposals. 625. Homeless assistance grants. * * * * * * * SUBCHAPTER II--USE OF PROPERTY * * * * * * * [Sec. 524. Duties of executive agencies [(a) Required.--Each executive agency shall-- [(1) maintain adequate inventory controls and accountability systems for property under its control; [(2) continuously survey property under its control to identify excess property; [(3) promptly report excess property to the Administrator of General Services; [(4) perform the care and handling of excess property; and [(5) transfer or dispose of excess property as promptly as possible in accordance with authority delegated and regulations prescribed by the Administrator. [(b) Required as Far as Practicable.--Each executive agency, as far as practicable, shall-- [(1) reassign property to another activity within the agency when the property is no longer required for the purposes of the appropriation used to make the purchase; [(2) transfer excess property under its control to other federal agencies and to organizations specified in section 321(c)(2) of this title; and [(3) obtain excess property from other federal agencies.] Sec. 524. Duties of the General Services Administration and executive agencies (a) Duties of the General Services Administration.-- (1) Guidance.--Not later than 6 months after the date of the enactment of this section, and when necessary thereafter, the Administrator of General Services shall issue guidance for the development and implementation of executive agency real property plans. Such guidance shall include recommendations on-- (A) how to identify excess properties; (B) how to evaluate the costs and benefits associated with disposing of real property; (C) how to prioritize disposal decisions based on agency missions and anticipated future need for holdings; and (D) how best to dispose of those properties identified as excess to meet the needs of the agency. (2) Assistance.--The Administrator shall assist executive agencies in the identification and disposal of excess real property. (b) Duties of Executive Agencies.-- (1) In general.--Each executive agency shall-- (A) maintain adequate inventory controls and accountability systems for property under its control; (B) continuously survey property under its control to identify excess property; (C) promptly report excess property to the Administrator; (D) perform the care and handling of excess property; and (E) transfer or dispose of excess property as promptly as possible in accordance with authority delegated and regulations prescribed by the Administrator. (2) Specific requirements with respect to real property.--With respect to real property, each executive agency shall-- (A) develop and implement a real property plan in order to identify properties to declare as excess using the guidance issued under subsection (a)(1); (B) identify and categorize all real property owned, leased, or otherwise managed by the agency; (C) establish adequate goals and incentives to reduce excess real property in such agency's inventory; and (D) when appropriate, use the authorities in section 572(a)(2)(B) of this title in order to identify and prepare real property to be reported as excess. (3) Additional requirements.--Each executive agency, as far as practicable, shall-- (A) reassign property to another activity within the agency when the property is no longer required for the purposes of the appropriation used to make the purchase; (B) transfer excess property under its control to other Federal agencies and to organizations specified in section 321(c)(2) of this title; and (C) obtain excess properties from other Federal agencies to meet mission needs before acquiring non-Federal property. * * * * * * * Sec. 530. Federal real property database (a) Database Required.--Not later than one year after the date of the enactment of this section, the Administrator of General Services shall publish a single, comprehensive, and descriptive database of all Federal real property under the custody and control of all executive agencies, other than Federal real property excluded for reasons of national security, in accordance with subsection (b). (b) Required Information for Database.--The Administrator shall collect from the head of each executive agency descriptive information, except for classified information, of the nature, use, and extent of the Federal real property of each such agency, including the following: (1) The geographic location of each Federal real property of each such agency, including the address and description for each such property. (2) The total size of each Federal real property of each such agency, including square footage and acreage of each such property. (3) The relevance of each Federal real property to the agency's mission. (4) The level of use of each Federal real property for each such agency, including whether such property is excess, surplus, underutilized, or unutilized. (5) The number of days each Federal real property is designated as excess, surplus, underutilized, or unutilized. (6) The annual operating costs of each Federal real property. (7) The replacement value of each Federal real property. (c) Access to Database.-- (1) Federal agencies.--The Administrator shall, in consultation with the Director of the Office of Management and Budget, make the database established and maintained under this section available to other Federal agencies. (2) Public access.--To the extent consistent with national security, the database shall be accessible by the public at no cost through the Web site of the General Services Administration. (d) Transparency of Database.--To the extent practicable, the Administrator shall ensure that the database-- (1) uses an open, machine-readable format; (2) permits users to search and sort Federal real property data; and (3) includes a means to download a large amount of Federal real property data and a selection of such data retrieved using a search. (e) Applicability.--Nothing in this section may be construed to require an agency to make available to the public information that is exempt from disclosure pursuant to section 552(b) of title 5. SUBCHAPTER III--DISPOSING OF PROPERTY * * * * * * * Sec. 550. Disposal of real property for certain purposes (a) * * * (b) Enforcement and Revision of Instruments Transferring Property Under This Section.-- (1) In general.--(A) Subject to disapproval by the Administrator of General Services within 30 days after notice of a proposed action to be taken under this section, except for personal property transferred pursuant to section 549 of this title, the official specified in paragraph (2) shall determine and enforce compliance with the terms, conditions, reservations, and restrictions contained in an instrument by which a transfer under this section is made. The official shall reform, correct, or amend the instrument if necessary to correct the instrument or to conform the transfer to the requirements of law. The official shall grant a release from any term, condition, reservation or restriction contained in the instrument, and shall convey, quitclaim, or release to the transferee (or other eligible user) any right or interest reserved to the Federal Government by the instrument, if the official determines that the property no longer serves the purpose for which it was transferred or that a release, conveyance, or quitclaim deed will not prevent accomplishment of that purpose. The release, conveyance, or quitclaim deed may be made subject to terms and conditions that the official considers necessary to protect or advance the interests of the Government. If the official, in consultation with the Administrator, recommends reversion of the property, the Administrator shall take control of such property, and, subject to subparagraph (B), sell it at or above appraised fair market value for cash and not by lease, exchange, leaseback arrangements, or service agreements. (B) Prior to sale, the Administrator shall make such property available to State and local governments and certain non-profit institutions or organizations pursuant to this section and sections 553 and 554 of this title. * * * * * * * Sec. 553. Property for correctional facility, law enforcement, and emergency management response purposes (a) * * * * * * * * * * (e) Enforcement and Revision of Instruments Transferring Property Under This Section.--(1) The Administrator shall determine and enforce compliance with the terms, conditions, reservations, and restrictions contained in an instrument by which a transfer or conveyance under this section is made. The Administrator shall reform, correct, or amend the instrument if necessary to correct the instrument or to conform the transfer to the requirements of law. The Administrator shall grant a release from any term, condition, reservation or restriction contained in the instrument, and shall convey, quitclaim, or release to the transferee (or other eligible user) any right or interest reserved to the Government by the instrument, if the Administrator determines that the property no longer serves the purpose for which it was transferred or that a release, conveyance, or quitclaim deed will not prevent accomplishment of that purpose. The release, conveyance, or quitclaim deed may be made subject to terms and conditions that the Administrator considers necessary to protect or advance the interests of the Government. If the Administrator determines that reversion of the property is necessary to enforce compliance with the terms of the conveyance, the Administrator shall take control of such property and, subject to paragraph (2), sell it at or above appraised fair market value for cash and not by lease, exchange, leaseback arrangements, or service agreements. (2) Prior to sale, the Administrator shall make such property available to State and local governments and certain non-profit institutions or organizations pursuant to this section and sections 550 and 554 of this title. * * * * * * * Sec. 560. Sustainable disposal of property The head of each Federal agency shall divert at least 50 percent of construction and demolition materials and debris by the end of fiscal year 2015. SUBCHAPTER IV--PROCEEDS FROM SALE OR TRANSFER Sec. 571. General rules for deposit and use of proceeds [(a) Deposit in Treasury as Miscellaneous Receipts.-- [(1) In general.--Except as otherwise provided in this subchapter, proceeds described in paragraph (2) shall be deposited in the Treasury as miscellaneous receipts. [(2) Proceeds.--The proceeds referred to in paragraph (1) are proceeds under this chapter from a-- [(A) transfer of excess property to a federal agency for agency use; or [(B) sale, lease, or other disposition of surplus property. [(b) Payment of Expenses of Sale Before Deposit.--Subject to regulations under this subtitle, the expenses of the sale of old material, condemned stores, supplies, or other public property may be paid from the proceeds of sale so that only the net proceeds are deposited in the Treasury. This subsection applies whether proceeds are deposited as miscellaneous receipts or to the credit of an appropriation as authorized by law.] (a) Proceeds from Transfer or Sale of Real Property.-- (1) Deposit of net proceeds.--Net proceeds described in subsection (d) shall be deposited into the appropriate real property account of the agency that had custody and accountability for the real property at the time the real property is determined to be excess. (2) Expenditure of net proceeds.--The net proceeds deposited pursuant to paragraph (1) may only be expended as authorized in annual appropriations Acts, for activities described in sections 543 and 545 of this title, including paying costs incurred by the General Services Administration for any disposal- related activity authorized by this title. (3) Deficit reduction.--Any net proceeds described in subsection (d) from the sale, lease, or other disposition of surplus real property that are not expended under paragraph (2) shall be used for deficit reduction. (b) Effect on Other Sections.--Nothing in this section is intended to affect section 572(b), 573, or 574 of this title. (c) Disposal Agency for Reverted Property.--For the purposes of this section, for any real property that reverts to the United States under sections 550 and 553 of this title, the General Services Administration, as the disposal agency, shall be treated as the agency with custody and accountability for the real property at the time the real property is determined to be excess. (d) Net Proceeds.--The net proceeds described in this subsection are proceeds under this chapter, less expenses of the transfer or disposition as provided in section 572(a) of this title, from a-- (1) transfer of excess real property to a Federal agency for agency use; or (2) sale, lease, or other disposition of surplus real property. (e) Proceeds from Transfer or Sale of Personal Property.-- (1) In general.--Except as otherwise provided in this subchapter, proceeds described in paragraph (2) shall be deposited in the Treasury as miscellaneous receipts. (2) Proceeds.--The proceeds described in this paragraph are proceeds under this chapter from-- (A) a transfer of excess personal property to a Federal agency for agency use; or (B) a sale, lease, or other disposition of surplus personal property. (3) Payment of expenses of sale before deposit.-- Subject to regulations under this subtitle, the expenses of the sale of personal property may be paid from the proceeds of sale so that only the net proceeds are deposited in the Treasury. This paragraph applies whether proceeds are deposited as miscellaneous receipts or to the credit of an appropriation as authorized by law. Sec. 572. Real property (a) In General.-- (1) * * * (2) Payment of expenses from the fund.-- (A) Authority.--From the fund described in paragraph (1), the Administrator may obligate an amount to pay the following direct expenses incurred for the use of excess property and the disposal of surplus property under this subtitle: (i) * * * * * * * * * * (iv) The direct and indirect costs associated with the reversion, custody, and disposal of reverted real property. (B) Additional authority.--(i) From the fund described in paragraph (1), subject to clause (iv) of this subparagraph, the Administrator may obligate an amount to pay the direct and indirect costs related to identifying and preparing properties to be reported excess by another agency. (ii) The General Services Administration shall be reimbursed from the proceeds of the sale of such properties for such costs. (iii) Net proceeds shall be dispersed pursuant to section 571 of this title. (iv) The authority under clause (i) to obligate funds to prepare properties to be reported excess does not include the authority to convey such properties by use, sale, lease, exchange, or otherwise, including through leaseback arrangements or service agreements. (v) Nothing in this subparagraph is intended to affect subparagraph (D). [(B)] (C) Limitations.-- (i) * * * * * * * * * * [(C)] (D) Direct payment or reimbursement.-- An amount obligated under this paragraph may be used to pay an expense directly or to reimburse a fund or appropriation that initially paid the expense. * * * * * * * SUBCHAPTER VII--EXPEDITED DISPOSAL OF REAL PROPERTY Sec. 621. Federal real property disposal pilot program (a) In General.--The Administrator of General Services (in this subchapter referred to as the ``Administrator''), in consultation with the Director of the Office of Management and Budget (in this subchapter referred to as the ``Director''), shall conduct a pilot program to be known as the ``Federal Real Property Disposal Pilot Program'', under which the Administrator, in consultation with the Director, shall determine which 15 Federal Government real properties that are excess or surplus and have the highest fair market value and the greatest potential to sell and shall dispose of such properties in accordance with this subchapter and through an expedited disposal of real property. (b) Disposal.--During the five-year period beginning on the date of the enactment of the Excess Federal Building and Property Disposal Act of 2013, the Administrator, in consultation with the Director, shall dispose of real property under the Federal Real Property Disposal Pilot Program through a public auction. (c) Adding Properties to the Pilot Program.--Not later than 15 days after a property is disposed of under subsection (b), the Administrator, in consultation with the Director, shall designate an additional property, in accordance with subsection (a), to be disposed of under the Federal Real Property Disposal Pilot Program. (d) Exceptions.--The Administrator shall not include for purposes of the Federal Real Property Pilot Program any of the following types of property: (1) A parcel of real property, building, or other structure located on such real property that is to be closed or realigned under the Defense Base Closure and Realignment Act of 1990 (10 U.S.C. 2687 note). (2) Properties that are excluded for reasons of national security by the Director of the Office of Management and Budget. (3) Indian and Native Eskimo properties including-- (A) any property within the limits of any Indian reservation to which the United States owns title; and (B) any property title which is held in trust by the United States for the benefit of any Indian tribe or individual or held by an Indian tribe or individual subject to restriction by the United States against alienation. (4) Properties operated and maintained by the Tennessee Valley Authority pursuant to the Tennessee Valley Authority Act of 1933 (16 U.S.C. 831 et seq.). (5) Postal properties owned by the United States Postal Service. (6) Properties used in connection with river, harbor, flood control, reclamation, or power projects. (7) Properties that the Administrator has determined are suitable for assignment to the Secretary of the Interior for transfer to a State, a political subdivision or instrumentality of a State, or a municipality for use as a public park or recreation area under section 550(e) of this title. In making such determination, the Administrator may consider the appraised value of the property and the highest and best use. (8) Properties used, as of the date of the enactment of this subchapter, in connection with Federal programs for recreational and conservation purposes, including research for such programs. (e) GAO Report.--Not later than 24 months after the date of the enactment of this subchapter, the Comptroller General of the United States shall submit to Congress and make publicly available a study of the effectiveness of the Federal Real Property Pilot Program. (f) Termination.--The Federal Real Property Disposal Pilot Program shall terminate on the date that is five years after the date of the enactment of the Excess Federal Building and Property Disposal Act of 2013. Sec. 622. Selection of real properties The head of each executive agency shall recommend properties to the Director for disposal under the Federal Real Property Pilot Program. The Director, in consultation with the Administrator, shall then select properties for disposal under the pilot program and notify the recommending executive agency accordingly. Sec. 623. Expedited disposal requirements (a) Expedited Disposal of Real Property Defined.--For purposes of this subchapter, an ``expedited disposal of real property'' is the sale of real property for cash that is conducted pursuant to the requirements of section 545(a) of this title. (b) Fair Market Value Requirement.--Real property sold under the Federal Real Property Pilot Program may not be sold at less than the fair market value as determined by the Administrator, in consultation with the Director. Costs associated with disposal may not exceed the fair market value of the property unless the Director approves incurring such costs. (c) Monetary Proceeds Requirement.--Real property shall be sold under the Federal Real Property Pilot Program only if the property will generate monetary proceeds to the Federal Government, as provided in subsection (b). A disposal of real property under the Federal Real Property Pilot Program may not include any exchange, trade, transfer, acquisition of like-kind property, or other non-cash transaction as part of the disposal. (d) Rule of Construction.--Nothing in this subchapter shall be construed as terminating or in any way limiting authorities that are otherwise available to agencies under other provisions of law to dispose of Federal real property, except as provided in subsection (e). (e) Exemption from Certain Requirements.--Any expedited disposal of a real property conducted under this subchapter shall not be subject to-- (1) subchapter IV of this chapter; (2) sections 550 and 553 of this title; (3) section 501 of the McKinney-Vento Homeless Assistance Act (42 U.S.C. 11411); (4) any other provision of law authorizing the no- cost conveyance of real property owned by the Federal Government; or (5) any congressional notification requirement other than that in section 545 of this title. Sec. 624. Special rules for deposit and use of proceeds from expedited disposals The proceeds from an expedited disposal of real property under this subchapter shall be deposited into the General Fund of the Treasury. Two percent of such proceeds is authorized to be appropriated until expended to fund the grant program under section 625. Sec. 625. Homeless assistance grants (a) Grant Authority.--To the extent amounts are made available pursuant to section 624 for use under this section, the Secretary of Housing and Urban Development shall make grants to eligible private nonprofit organizations under subsection (b) to purchase property suitable for use to assist the homeless as provided in subsection (c). (b) Eligible Grantees.--To be eligible to receive a grant under subsection (a), a private nonprofit organization shall be a representative of the homeless, as such term is defined in section 501(i)(4) of the McKinney-Vento Homeless Assistance Act (42 U.S.C. 11411(i)(4)). (c) Use of Properties for Housing or Shelter for the Homeless.-- (1) Eligible uses.--A nonprofit organization that receives a grant under subsection (a) shall use the amounts received under such grant only to acquire or rehabilitate real property for use to provide permanent housing (as such term is defined in section 401 of the McKinney-Vento Homeless Assistance Act (42 U.S.C. 11360)), transitional housing (as such term is defined in such section 401), or temporary shelter, for persons who are homeless. (2) Term of use.--The Secretary of Housing and Urban Development may not make a grant under subsection (a) to a private nonprofit organization unless the organization provides the Secretary with such assurances as the Secretary determines necessary to ensure that any property acquired or rehabilitated using the amounts received under such grant is used only as provided in paragraph (1) of this subsection for a period of not fewer than 15 years. (d) Preference.--In awarding grants under subsection (a), the Secretary of Housing and Urban Development shall give preference for such grants to private nonprofit organizations that operate within areas in which Federal real property is being sold under the Federal Real Property Disposal Pilot Program under this subchapter. (e) Nonprofit Organization.--For purposes of this section, the following definitions shall apply: (1) Homeless.--The term ``homeless'' has the meaning given such term in section 103 of the McKinney-Vento Homeless Assistance Act (42 U.S.C. 11302(a)), except that subsection (c) of such section shall not apply for purposes of this section. (2) Private nonprofit organization.--The term ``private nonprofit organization'' has the meaning given such term in section 401 of the McKinney-Vento Homeless Assistance Act (42 U.S.C. 11360). (f) Regulations.--The Secretary of Housing and Urban Development may issue any regulations necessary to carry out this section. * * * * * * * ---------- MCKINNEY-VENTO HOMELESS ASSISTANCE ACT * * * * * * * TITLE V--IDENTIFICATION AND USE OF SURPLUS FEDERAL PROPERTY SEC. 501. USE OF UNUTILIZED AND UNDERUTILIZED PUBLIC BUILDINGS AND REAL PROPERTY TO ASSIST THE HOMELESS. (a) Identification of Suitable Property.--The Secretary of Housing and Urban Development shall, on a quarterly basis, request information from each landholding agency regarding Federal public buildings and other Federal real properties (including fixtures) that are excess property or surplus property or that are described as unutilized or underutilized in surveys by the heads of landholding agencies under section 202(b)(2) of the Federal Property and Administrative Services Act of 1949 (40 U.S.C. 483(b)(2)). No later than 25 days after receiving a request from the Secretary, the head of each landholding agency shall transmit such information to the Secretary. No later than 30 days after receiving such information, the Secretary shall identify which of those buildings and other properties are suitable for use to assist the homeless. Agencies shall not be required to submit information to the Secretary regarding properties located in an area for which the general public is denied access in the interest of national security. * * * * * * * (c) Publication of Properties.--(1)(A) No later than 15 days after the last day of the 45-day period provided for under subsection (b)(1), the Secretary shall publish [in the Federal Register] on the Web site of the Department of Housing and Urban Development or the General Services Administration-- (i) * * * * * * * * * * (d) Holding Period.--(1) * * * * * * * * * * (3) Property that is reviewed by the Secretary under subsection (a) and that is not identified by the Secretary as being suitable for use to assist the homeless may not be made available for any other purpose for 20 days after the determination of unsuitability to allow for review of the determination at the request of the representative of the homeless. The Secretary shall disseminate immediately this information to the regional offices of the Department of Housing and Urban Development and to the United States Interagency Council on Homelessness. If no such review of the determination is requested within the 20-day period, such property will not be included in subsequent publications unless the landholding agency reclassifies the property as available and the Secretary subsequently determines the property is suitable. * * * * * * * [all]