I 

116TH CONGRESS 

1ST SESSION H. R. 3158 

To establish a pilot program to execute lease agreements using alternative 

procedures, and for other purposes. 

IN THE HOUSE OF REPRESENTATIVES 

JUNE 6, 2019 

Mr. MEADOWS (for himself and Mr. PENCE) introduced the following bill; 

which was referred to the Committee on Transportation and Infrastructure 

A BILL 

To establish a pilot program to execute lease agreements 

using alternative procedures, and for other purposes. 

1 Be it enacted by the Senate and House of Representa2 tives of the United States of America in Congress assembled, 

3 SECTION 1. STREAMLINED LEASING PILOT PROGRAM. 

4 (a) EXECUTION OF LEASES.—The Administrator of 

5 General Services shall establish and conduct a pilot pro6 gram to execute lease agreements using alternative proce7 dures pursuant to authority provided under section 585 

8 of title 40, United States Code, and pursuant to the provi9 sions of this section. 


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1 (b) GOALS OF PROCEDURES.—The goals of the alter2 native procedures are— 

3 (1) reducing the costs to the Government of 

4 leased space, including— 

5 (A) executing long-term leases with firm 

6 terms of 10 years or more and reducing costly 

7 holdover and short-term lease extensions, in8 cluding short firm term leases; 

9 (B) improving office space utilization rates 

10 of Federal tenants; and 

11 (C) streamlining and simplifying the leas12 ing process to take advantage of real estate 

13 markets; and 

14 (2) significantly reducing or eliminating the 

15 backlog of expiring leases over the next 5 years. 

16 (c) LEASEHOLD INTERESTS IN REAL PROPERTY.— 

17 (1) SIMPLIFIED PROCEDURES.—Notwith18 standing subsection (b) of section 3305 of title 41, 

19 United States Code, but otherwise in accordance 

20 with such section, the Administrator shall provide 

21 special simplified procedures for acquisitions of 

22 leasehold interests in real property at rental rates 

23 that do not exceed the simplified lease acquisition 

24 threshold, as defined in paragraph (2). The rental 

25 rate under a multiyear lease does not exceed the 


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1 simplified lease acquisition threshold if the average 

2 annual amount of the rent payable for the period of 

3 the lease does not exceed such threshold. 

4 (2) ACQUISITION THRESHOLD.—For purposes 

5 of this section, the simplified lease acquisition 

6 threshold is $500,000. 

7 (d) CONSOLIDATED LEASE PROSPECTUSES.—The 

8 Administrator may, when acquiring leasehold interests 

9 subject to section 3307 of title 40, United States Code, 

10 transmit, pursuant to subsection (b) of such section, to 

11 the committees designated in such section for approval of 

12 a prospectus to acquire leased space, and waive the re13 quirements pursuant to paragraphs (3) and (6) of section 

14 3307(b), subject to the following requirements: 

15 (1) COST PER SQUARE FOOTAGE.—The cost per 

16 square footage does not exceed the maximum pro17 posed rental rate designated for the respective geo18 graphical area. 

19 (2) SPACE UTILIZATION.—The overall space 

20 utilization rate is 170 usable square feet per person 

21 or less based on actual agency staffing levels when 

22 occupied. 

23 (3) LEASE TERM.—The lease firm term is 10 

24 years or greater. 


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1 (4) GEOGRAPHIC LOCATION.—The geographical 

2 location is identified as having a large amount of 

3 square footage of Federal office space and lease 

4 turnover and will likely result in providing for the 

5 ability, on a timely basis, of the agency to consoli6 date space effectively or meet any requirements for 

7 temporary or interim space required for planned 

8 consolidations. 

9 (5) SUBMARKETS.—Agencies may consider 

10 space in submarket locations that meet mission re11 quirements. 

12 (e) CONSOLIDATIONS GENERALLY.—The Adminis13 trator may consolidate more than one project into a single 

14 prospectus submitted pursuant to section 3307(b) of title 

15 40, United States Code, if such consolidation will facilitate 

16 efficiencies and reductions in overall space and improved 

17 utilization rates. 

18 (f) WAIVER AUTHORITY.—The Administrator may— 

19 (1) waive notice and comment rulemaking, if 

20 the Administrator determines the waiver is necessary 

21 to implement this section expeditiously; and 

22 (2) carry out the alternative procedures under 

23 this section as a pilot program. 

24 (g) REPORTS.— 


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1 (1) ANNUAL REPORTS.—During the period in 

2 which the pilot program is conducted under this sec3 tion, the Administrator shall submit, annually, to 

4 the Committee on Transportation and Infrastructure 

5 of the House of Representatives and the Committee 

6 on Environment and Public Works of the Senate a 

7 progress report that provides updates on the number 

8 and square footage of leases expiring in the 5-year 

9 period beginning on the date of enactment of this 

10 Act, by agency and region, and which shall include 

11 for the expiring leases— 

12 (A) an average of the lease terms, includ13 ing firm terms, for leases executed; and 

14 (B) the percentage of leases managed in15 house or through the use of commercial real es16 tate leasing services. 

17 (2) FINAL REPORT.—Not later than 180 days 

18 after termination of the pilot program, the Adminis19 trator shall submit a final report to the Committee 

20 on Transportation and Infrastructure of the House 

21 of Representatives and the Committee on Environ22 ment and Public Works of the Senate. The final re23 port shall include— 

24 (A) a review and evaluation of the lease 

25 agreements executed under the alternative proVerDate Sep 11 2014 05:04 Jun 13, 2019 Jkt 089200 PO 00000 Frm 00005 Fmt 6652 Sfmt 6201 E:\BILLS\H3158.IH H3158

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1 cedures established pursuant to this section in 

2 comparison to those agreements not executed 

3 pursuant to the alternative procedures; 

4 (B) recommendations on any permanent 

5 changes to the General Services Administra6 tion’s leasing authority; and 

7 (C) a progress evaluation in meeting the 

8 goals described in subsection (b). 

9 (h) TERMINATION.—The authorities under this sec10 tion shall terminate on December 31, 2024. 

Æ 


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