Ranking Members Larsen, Titus Statements from Hearing to Examine the Right Sizing Federal Real Estate Portfolio

Hearing

"Chairman Perry, thank you for having this hearing. And I thank our witnesses -- Nina Albert, Commissioner of the General Services Administration's Public Buildings Service, and David Marroni, Acting Director, Physical Infrastructure, at the Government Accountability Office (GAO), both of whom have participated in previous federal real estate hearings and roundtables hosted by this subcommittee.

Mr. Marroni, I am particularly appreciative of the time and effort that you and your staff have devoted to the topic that we are discussing today. Were it not for GAO's 20 years of High-Risk Reports, Congress might not be aware of the challenges GSA has faced in maintaining its owned and leased portfolio.

With the expiration of the COVID-19 health emergency, the use of maximum telework for federal employees ended and OMB directed agencies to update their post-reentry plans. Agencies have begun responding to OMB's direction, with the Department of Energy, the Environmental Protection Agency, the Federal Deposit Investment Corporation, the Department of Veterans affairs, the Federal Emergency Management Administration, the Department of Education, and the Treasury each publishing increased in-office work requirements.

But half of GSA's almost 8,000 leases are expiring within the next three years and GSA has insufficient capital to repair and modernize the 1,500 buildings it owns.

While some Members of Congress may use this hearing as an opportunity to express their frustration about the use of remote and telework amongst federal agencies, the truth is that the General Services Administration (GSA) does not set federal work policies and does not have the authority to demand that federal employees return to their desks. The frequency of federal employees' in-person work schedules varies widely and is often determined by department heads or supervisors. GSA provides real estate and real estate services to civilian agencies and helps agencies define their space requirements, but GSA does not establish or implement federal workforce policies.

And even though some agencies are sorting through their in-office policies, the truth is that we are still in the middle of a shift in the real estate market that could take decades to play out.

But we can't wait decades. What does GSA need? Authority? Accountability? Funding? How can Congress help GSA during these confusing times?"

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