II 

Calendar No. 631 

110TH CONGRESS 

2D SESSION S. 1667 

[Report No. 110–279] 

To establish a pilot program for the expedited disposal of Federal real 

property. 

IN THE SENATE OF THE UNITED STATES 

JUNE 20, 2007 

Mr. CARPER (for himself and Mr. COBURN) introduced the following bill; 

which was read twice and referred to the Committee on Homeland Security and Governmental Affairs 

APRIL 7, 2008 

Reported by Mr. LIEBERMAN, with an amendment 

[Strike out all after the enacting clause and insert the part printed in italic] 

A BILL 

To establish a pilot program for the expedited disposal of 

Federal real property. 

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


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1 SECTION 1. FEDERAL REAL PROPERTY DISPOSAL PILOT 

2 PROGRAM. 

3 (a) IN GENERAL.—Chapter 5 of subtitle I of title 40, 

4 United States Code, is amended by adding at the end the 

5 following: 

6 ‘‘SUBCHAPTER VII—EXPEDITED DISPOSAL OF 

7 REAL PROPERTY 

8 ‘‘§ 621. Pilot program 

9 ‘‘(a) The Director of the Office of Management and 

10 Budget and Budget (in this subchapter referred to as the 

11 ‘Director’) shall conduct a pilot program, to be known as 

12 the ‘Federal Real Property Disposal Pilot Program’, 

13 under which real property that is not meeting Federal 

14 Government needs may be disposed of in accordance with 

15 this subchapter. 

16 ‘‘(b) For purposes of this subchapter, the Director 

17 shall identify criteria for determining whether real prop18 erty is not meeting Federal Government needs. 

19 ‘‘(c) The Federal Real Property Disposal Pilot Pro20 gram shall terminate 5 years after the date of the enact21 ment of this subchapter. 

22 ‘‘§ 622. Selection of real properties 

23 ‘‘Agencies will recommend candidate disposition 

24 properties to the Director for participation in the pilot 

25 program. The Director, with the concurrence of the head 

26 of the executive agency concerned and consistent with the 


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1 criteria established in section 621, may then select such 

2 candidate properties for participation in the pilot program 

3 and notify the recommending agency accordingly. 

4 ‘‘§ 623. Expedited disposal requirements 

5 ‘‘(a) For purposes of the pilot program, an ‘expedited 

6 disposal of a real property’ is a sale of real property for 

7 cash that is conducted pursuant to the requirements of 

8 section 545 of this title. 

9 ‘‘(b) Real property sold under the pilot program must 

10 be sold at not less than the fair market value as deter11 mined by the Director in consultation with the head of 

12 the executive agency. Costs associated with disposal may 

13 not exceed the fair market value of the property unless 

14 the Director approves incurring such costs. 

15 ‘‘(c) A real property may be sold under the pilot pro16 gram only if the property will generate monetary proceeds 

17 to the Federal Government, as provided in subsection (b). 

18 A disposal of real property under the pilot program may 

19 not include any exchange, trade, transfer, acquisition of 

20 like-kind property, or other non-cash transaction as part 

21 of the disposal. 

22 ‘‘(d) Nothing in this subchapter shall be construed 

23 as terminating or in any way limiting authorities that are 

24 otherwise available to agencies under other provisions of 


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1 law to dispose of Federal real property, except as provided 

2 in subsection (e). 

3 ‘‘(e) Any expedited disposal of a real property con4 ducted under this section shall not be subject to— 

5 ‘‘(1) subchapter IV of this chapter; 

6 ‘‘(2) sections 550 and 553 of title 40, United 

7 States Code; 

8 ‘‘(3) section 501 of the McKinney-Vento Home9 less Assistance Act (42 U.S.C. 11411); 

10 ‘‘(4) any other provision of law authorizing the 

11 no-cost conveyance of real property owned by the 

12 Federal Government; or 

13 ‘‘(5) any congressional notification requirement 

14 other than that in section 545 of this title. 

15 ‘‘§ 624. Special rules for deposit and use of proceeds 

16 from expedited disposals 

17 ‘‘(a) Agencies that conduct expedited disposals of real 

18 properties under this subchapter shall be reimbursed from 

19 the proceeds for the administrative expenses associated 

20 with the disposal of such properties. Such amounts will 

21 be credited as offsetting collections to the account that in22 curred such expenses, to remain available until expended 

23 without further appropriations. 

24 ‘‘(b) After payment of such administrative costs, the 

25 balance of the proceeds shall be distributed as follows: 


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1 ‘‘(1) 80 percent shall be deposited into the 

2 Treasury as miscellaneous receipts. 

3 ‘‘(2) 20 percent shall be deposited into the ac4 count of the agency that owned the real property 

5 and initiated the disposal action. Such funds shall be 

6 available without further appropriation, to remain 

7 available for the period of the pilot program, for ac8 tivities related to Federal real property capital im9 provements and disposal activities. Upon termination 

10 of the pilot program, any unobligated amounts shall 

11 be transferred to the general fund of the Treasury.’’. 

12 (b) CLERICAL AMENDMENT.—The table of sections 

13 at the beginning of chapter 5 of subtitle I of title 40, 

14 United States Code, is amended by inserting after the 

15 item relating to section 611 the following: 

‘‘SUBCHAPTER VII—EXPEDITED DISPOSAL OF REAL PROPERTY

‘‘Sec. 621. Pilot program. 

‘‘Sec. 622. Selection of real properties. 

‘‘Sec. 623. Expedited disposal requirements. 

‘‘Sec. 624. Special rules for deposit and use of proceeds from expedited disposals.’’. 

16 SECTION 1. FEDERAL REAL PROPERTY DISPOSAL PILOT 

17 PROGRAM. 

18 (a) IN GENERAL.—Chapter 5 of subtitle I of title 40, 

19 United States Code, is amended by adding at the end the 

20 following: 


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1 ‘‘SUBCHAPTER VII—EXPEDITED DISPOSAL OF 

2 REAL PROPERTY 

3 ‘‘§ 621. Definitions 

4 ‘‘In this subchapter: 

5 ‘‘(1) DIRECTOR.—The term ‘Director’ means the 

6 Director of the Office of Management and Budget. 

7 ‘‘(2) EXPEDITED DISPOSAL OF A REAL PROP8 ERTY.—The term ‘expedited disposal of a real prop9 erty’ means a demolition of real property or a sale 

10 of real property for cash that is conducted under the 

11 requirements of section 545. 

12 ‘‘(3) LANDHOLDING AGENCY.—The term ‘land13 holding agency’ means a landholding agency as de14 fined under section 501(i)(3) of the McKinney-Vento 

15 Homeless Assistance Act (42 U.S.C. 11411(i)(3)). 

16 ‘‘(4) REAL PROPERTY.— 

17 ‘‘(A) IN GENERAL.—The term ‘real prop18 erty’ means— 

19 ‘‘(i) a parcel of real property under the 

20 administrative jurisdiction of the Federal 

21 Government that is— 

22 ‘‘(I) excess; 

23 ‘‘(II) surplus; 

24 ‘‘(III) underperforming; or 


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1 ‘‘(IV) otherwise not meeting the 

2 needs of the Federal Government, as 

3 determined by the Director; and 

4 ‘‘(ii) a building or other structure lo5 cated on real property described under 

6 clause (i). 

7 ‘‘(B) EXCLUSION.—The term ‘real property’ 

8 excludes any parcel of real property or building 

9 or other structure located on such real property 

10 that is to be closed or realigned under the De11 fense Base Closure and Realignment Act of 1990 

12 (part A of title XXIX of Public Law 101–510; 10 

13 U.S.C. 2687 note). 

14 ‘‘(5) REPRESENTATIVE OF THE HOMELESS.—The 

15 term ‘representative of the homeless’ means a rep16 resentative of the homeless as defined under section 

17 501(i)(4) of the McKinney-Vento Homeless Assistance 

18 Act (42 U.S.C. 11411(i)(4)). 

19 ‘‘§ 622. Pilot program 

20 ‘‘(a) The Director of the Office of Management and 

21 Budget shall conduct a pilot program, to be known as the 

22 ‘Federal Real Property Disposal Pilot Program’, under 

23 which real property that is not meeting Federal Govern24 ment needs may be disposed of in accordance with this sub25 chapter. 


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1 ‘‘(b) The Federal Real Property Disposal Pilot Pro2 gram shall terminate 5 years after the date of the enactment 

3 of this subchapter. 

4 ‘‘§ 623. Selection of real properties 

5 ‘‘(a) Agencies shall recommend candidate disposition 

6 real properties to the Director for participation in the pilot 

7 program established under section 622. 

8 ‘‘(b) The Director, with the concurrence of the head of 

9 the executive agency concerned and consistent with the cri10 teria established in this subchapter, may then select such 

11 candidate real properties for participation in the pilot pro12 gram and notify the recommending agency accordingly. 

13 ‘‘(c) The Director shall ensure that all real properties 

14 selected for disposition under this section are listed on a 

15 website that shall— 

16 ‘‘(1) be updated routinely; and 

17 ‘‘(2) include the functionality to allow members 

18 of the public, at their option, to receive such updates 

19 through electronic mail. 

20 ‘‘(d) The Secretary of Housing and Urban Develop21 ment shall ensure that efforts are taken to inform represent22 atives of the homeless about— 

23 ‘‘(1) the pilot program established under section 

24 622; and 

25 ‘‘(2) the website under subsection (c). 


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1 ‘‘(e) The Secretary of Housing and Urban Develop2 ment shall— 

3 ‘‘(1) make available to the public upon request 

4 all information (other than valuation information), 

5 regardless of format, in the possession of the Depart6 ment of Housing and Urban Development relating to 

7 the properties listed on the website under subsection 

8 (c), including environmental assessment data; and 

9 ‘‘(2) maintain a current list of agency contacts 

10 for making referrals to inquiries for information re11 lating to specific properties. 

12 ‘‘§ 624. Suitability determination 

13 ‘‘(a) After the Director selects the candidate real prop14 erties that may participate in the pilot program under sec15 tion 623, the Secretary of Housing and Urban Development 

16 shall determine whether each such real property is suitable 

17 for use to assist the homeless. 

18 ‘‘(b) The Secretary of Housing and Urban Develop19 ment shall base the suitability determination required 

20 under subsection (a)— 

21 ‘‘(1) on the suitability criteria identified by the 

22 Secretary of Housing and Urban Development under 

23 section 501(a) of the McKinney-Vento Homeless As24 sistance Act (42 U.S.C. 11411(a)); 


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1 ‘‘(2) for real properties located within a Federal 

2 installation, campus, or compound, on whether such 

3 property can easily be transported to an off-site loca4 tion; and 

5 ‘‘(3) for real properties where the predominant 

6 use is other than housing, on whether the size of the 

7 real property is equal to or greater than 100,000 

8 square feet. 

9 ‘‘(c) Immediately after a determination of suitability 

10 is made under this section, the Director shall publish, on 

11 the website described in section 623(c) the following infor12 mation: 

13 ‘‘(1) The address of each such real property. 

14 ‘‘(2) The result of the suitability determination 

15 required under subsection (a) for each such real prop16 erty. 

17 ‘‘(3) The date on which the suitability deter18 mination was made. 

19 ‘‘§ 625. Unsuitable real property 

20 ‘‘(a) If a real property is determined unsuitable under 

21 section 624, such real property may not be disposed of or 

22 otherwise used for any other purpose for at least 20 days 

23 after such determination was made. 

24 ‘‘(b)(1) Not later than 20 days after a real property 

25 has been determined unsuitable under section 624 and beVerDate Aug 31 2005 23:36 Apr 07, 2008 Jkt 069200 PO 00000 Frm 00010 Fmt 6652 Sfmt 6203 E:\BILLS\S1667.RS S1667

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1 fore disposal of the real property in accordance with sub2 section (d), any representative of the homeless may appeal 

3 to the Secretary of Housing and Urban Development for 

4 a secondary review of such determination. 

5 ‘‘(2) Not later than 20 days after a real property has 

6 been determined unsuitable under subsection (b)(3) of sec7 tion 624, the Secretary of Housing and Urban Development 

8 shall deem such real property suitable notwithstanding the 

9 requirements of that subsection if a representative of the 

10 homeless has produced clear and convincing evidence that 

11 such property can be utilized for the benefit of the homeless. 

12 Any determination under this paragraph shall be com13 mitted to the unreviewable discretion of the Secretary of 

14 Housing and Urban Development. 

15 ‘‘(c) Not later than 20 days after the receipt of any 

16 appeal under subsection (b), the Secretary of Housing and 

17 Urban Development shall respond to such appeal and shall 

18 make a final suitability determination regarding the real 

19 property. 

20 ‘‘(d)(1) If at the end of the 20-day period required 

21 under subsection (a), no appeal for review of a determina22 tion of unsuitability is received by the Secretary of Housing 

23 and Urban Development, such real property shall be dis24 posed of in accordance with section 627. 


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1 ‘‘(2) If after conducting a secondary review of a deter2 mination of unsuitability under subsection (b), the Sec3 retary of Housing and Urban Development determines that 

4 the real property remains unsuitable under subsection (c), 

5 such real property shall be disposed of in accordance with 

6 section 627. 

7 ‘‘(3) If after conducting a secondary review of a deter8 mination of unsuitability under subsection (b), the Sec9 retary of Housing and Urban Development determines that 

10 the real property is suitable under subsection (c), such real 

11 property shall be treated as suitable property for purposes 

12 of section 626. 

13 ‘‘§ 626. Suitable real property 

14 ‘‘(a)(1) If a real property is determined suitable under 

15 section 624 or upon a secondary review under section 

16 625(d), any representative of the homeless shall have not 

17 more than 90 days after such determination to submit an 

18 application to the Secretary of Health and Human Services 

19 for the transfer of the real property to that representative. 

20 If an application cannot be completed within the 90-day 

21 period due to non-material factors, the Secretary of Health 

22 and Human Services, with the concurrence of the appro23 priate landholding agency, may grant reasonable exten24 sions. 


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1 ‘‘(2) If at the end of the time period described under 

2 paragraph (1), no representative of the homeless has sub3 mitted an application, such real property shall be disposed 

4 of in accordance with section 627. 

5 ‘‘(b)(1) Not later than 20 days after the receipt of any 

6 application under subsection (a)(1), the Secretary of Health 

7 and Human Services shall assess such application and de8 termine whether to approve or deny the request for the 

9 transfer of the real property to such applicant. 

10 ‘‘(2) If the application of a representative of the home11 less is denied by the Secretary of Health and Human Serv12 ices under paragraph (1), such real property shall be dis13 posed of in accordance with section 627. 

14 ‘‘(3) If the application of a representative of the home15 less is approved by the Secretary of Health and Human 

16 Services under paragraph (1), such real property shall be 

17 made promptly available to that representative by permit 

18 or lease, or by deed, as a public health use under subsections 

19 (a) through (d) of section 550. 

20 ‘‘§ 627. Expedited disposal requirements 

21 ‘‘(a) Real property sold under the pilot program estab22 lished under this subchapter shall be sold at not less than 

23 the fair market value, as determined by the Director in con24 sultation with the head of the executive agency. Costs associ25 ated with such disposal may not exceed the fair market 


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1 value of the property unless the Director approves incurring 

2 such costs. 

3 ‘‘(b) A real property may be sold under the pilot pro4 gram established under this subchapter only if the property 

5 will generate monetary proceeds to the Federal Government, 

6 as provided in subsection (a). A disposal of real property 

7 under the pilot program may not include any exchange, 

8 trade, transfer, acquisition of like-kind property, or other 

9 non-cash transaction as part of the disposal. 

10 ‘‘(c) Nothing in this subchapter shall be construed as 

11 terminating or in any way limiting authorities that are 

12 otherwise available to agencies under other provisions of 

13 law to dispose of Federal real property, except as provided 

14 in subsection (d). 

15 ‘‘(d) Any expedited disposal of a real property con16 ducted under this subchapter shall not be subject to— 

17 ‘‘(1) subchapter IV of this chapter; 

18 ‘‘(2) sections 550 and 553 of this title; 

19 ‘‘(3) section 501 of the McKinney-Vento Home20 less Assistance Act (42 U.S.C. 11411); 

21 ‘‘(4) any other provision of law authorizing the 

22 no-cost conveyance of real property owned by the Fed23 eral Government; or 

24 ‘‘(5) any congressional notification requirement 

25 other than that in section 545. 


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1 ‘‘§ 628. Special rules for deposit and use of proceeds 

2 from disposal of real property 

3 ‘‘(a) Agencies that conduct the disposal of real prop4 erties under this subchapter shall be reimbursed from the 

5 proceeds, if any, from such disposal for the administrative 

6 expenses associated with such disposal. Such amounts shall 

7 be credited as offsetting collections to the account that in8 curred such expenses, to remain available until expended. 

9 ‘‘(b)(1) After payment of such administrative costs, the 

10 balance of the proceeds shall be distributed as follows: 

11 ‘‘(A) 80 percent shall be deposited into the Treas12 ury as miscellaneous receipts. 

13 ‘‘(B) 20 percent shall be deposited into the ac14 count of the agency that owned the real property and 

15 initiated the disposal action. 

16 ‘‘(2) Funds deposited under paragraph (1)(B) shall re17 main available until expended for the period of the pilot 

18 program, for activities related to Federal real property cap19 ital improvements and disposal activities. Upon termi20 nation of the pilot program, any unobligated amounts shall 

21 be transferred to the general fund of the Treasury. 

22 ‘‘§ 629. Limitation on number of permissible cash 

23 sales 

24 ‘‘The total number of cash sales of real properties to 

25 be disposed of under this subchapter over the 5-year term 


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1 of the Federal Real Property Disposal Pilot Program shall 

2 not exceed 750. 

3 ‘‘§ 630. Government Accountability Office study 

4 ‘‘(a) Not later than 36 months after the date of enact5 ment of this subchapter, the Comptroller General of the 

6 United States shall submit to Congress and make publicly 

7 available a study of the effectiveness of the pilot program. 

8 ‘‘(b) The study described under subsection (a) shall in9 clude at a minimum— 

10 ‘‘(1) recommendations for permanent reforms to 

11 statutes governing real property disposals and no cost 

12 conveyances; and 

13 ‘‘(2) recommendations for improving the perma14 nent process by which Federal properties are made 

15 available for use by the homeless.’’. 

16 (b) TECHNICAL AND CONFORMING AMENDMENT.—The 

17 table of sections for chapter 5 of subtitle I of title 40, United 

18 States Code, is amended by inserting after the item relating 

19 to section 611 the following: 

‘‘SUBCHAPTER VII—EXPEDITED DISPOSAL OF REAL PROPERTY

‘‘Sec. 621. Definitions. 

‘‘Sec. 622. Pilot program. 

‘‘Sec. 623. Selection of real properties. 

‘‘Sec. 624. Suitability determination. 

‘‘Sec. 625. Unsuitable real property. 

‘‘Sec. 626. Suitable real property. 

‘‘Sec. 627. Expedited disposal requirements. 

‘‘Sec. 628. Special rules for deposit and use of proceeds from disposal of real 

property. 

‘‘Sec. 629. Limitation on number of permissible cash sales. 

‘‘Sec. 630. Government Accountability Office study.’’. 


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Calendar No. 631 

110TH CONGRESS 

2D SESSION S. 1667 

[Report No. 110

–279] 

A BILL 

To establish a pilot program for the expedited 

disposal of Federal real property. 

APRIL 7, 2008 

Reported with an amendment 


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