I 
112TH CONGRESS 
1ST SESSION H. R. 1205 
To amend title 40, United States Code, to enhance authorities with regard 
to the disposal of real property, and for other purposes. 
IN THE HOUSE OF REPRESENTATIVES 
MARCH 17, 2011 
Mr. QUIGLEY (for himself and Mr. CUMMINGS) introduced the following bill; 
which was referred to the Committee on Oversight and Government Reform 
A BILL 
To amend title 40, United States Code, to enhance authori-
ties with regard to the disposal of real property, and 
for other purposes. 
Be it enacted by the Senate and House of Representa-
tives of the United States of America in Congress assembled, 
SECTION 1. SHORT TITLE. 
This Act may be cited as the ‘‘Federal Real Property 
Disposal Enhancement Act of 2011’’. 
SEC. 2. DUTIES OF THE GENERAL SERVICES ADMINISTRA-
TION AND EXECUTIVE AGENCIES. 
(a) IN GENERAL.—Section 524 of title 40, United 
States Code, is amended to read as follows: 
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‘‘§ 524. Duties of the General Services Administration 
and executive agencies 
‘‘(a) DUTIES OF THE GENERAL SERVICES ADMINIS-
TRATION.— 
‘‘(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 devel-
opment and implementation of executive agency real 
property plans. Such guidance shall include rec-
ommendations on— 
‘‘(A) how to identify excess properties; 
‘‘(B) how to evaluate the costs and benefits 
involved with disposing of real property; 
‘‘(C) how to prioritize disposal decisions 
based on agency missions and anticipated fu-
ture need for holdings; and 
‘‘(D) how best to dispose of those prop-
erties identified as excess to meet the needs of 
the agency. 
‘‘(2) ANNUAL REPORT.— 
‘‘(A) IN
GENERAL.—The Administrator 
shall submit an annual report, for each of the 
first 5 years after 2011, to the congressional 
committees listed in subparagraph (C) based on 
data submitted from all executive agencies, de-
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tailing executive agency efforts to reduce real 
property assets and the information required by 
subparagraph (B). 
‘‘(B) REPORT
CONTENTS.—The report 
shall contain the following information for the 
year covered by the report: 
‘‘(i) The aggregated estimated market 
value and number of real property assets 
under the custody and control of all execu-
tive agencies, set forth government-wide 
and by agency, and for each at the con-
structed asset level and at the facility/in-
stallation level. 
‘‘(ii) The aggregated estimated mar-
ket value and number of surplus and ex-
cess real property assets under the custody 
and control of all executive agencies, set 
forth government-wide and by agency, and 
for each at the constructed asset level and 
at the facility/installation level. 
‘‘(iii)(I) The aggregated cost for 
maintaining all surplus and excess real 
property under the custody and control of 
all executive agencies, set forth govern-
ment-wide and by agency, and for each at 
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the constructed asset level and at the facil-
ity/installation level. 
‘‘(II) For purposes of subclause (I), 
costs for real properties owned by the Fed-
eral Government shall include recurring 
maintenance and repair costs, utilities, 
cleaning and janitorial costs, and roads 
and grounds expenses. 
‘‘(III) For purposes of subclause (I), 
costs for real properties leased by the Fed-
eral Government shall include lease costs, 
including base and operating rent and any 
other relevant costs listed in subclause (II) 
not covered in the lease contract. 
‘‘(iv) The aggregated estimated de-
ferred maintenance costs of all real prop-
erty under the custody and control of all 
executive agencies, set forth government- 
wide and by agency, and for each at the 
constructed asset level and at the facility/ 
installation level. 
‘‘(v) For each surplus and excess real 
property facility/installation disposed of, an 
indication of— 
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‘‘(viii) Such other information as the 
Administrator considers appropriate. 
‘‘(C) CONGRESSIONAL COMMITTEES.—The 
congressional committees listed in this subpara-
graph are as follows: 
‘‘(i) The Committee on Oversight and 
Government Reform and the Committee on 
Transportation and Infrastructure of the 
House of Representatives. 
‘‘(ii) The Committee on Homeland Se-
curity and Governmental Affairs and the 
Committee on Environment and Public 
Works of the Senate. 
‘‘(3) ASSISTANCE.—The Administrator shall as-
sist executive agencies in the identification and dis-
posal 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; 
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‘‘(C) promptly report excess property to 
the Administrator; 
‘‘(D) perform the care and handling of ex-
cess property; and 
‘‘(E) transfer or dispose of excess property 
as promptly as possible in accordance with au-
thority 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 prop-
erty plan in order to identify properties to de-
clare as excess using the guidance issued under 
subsection (a)(1); 
‘‘(B) identify and categorize all real prop-
erty owned, leased, or otherwise managed by 
the agency; 
‘‘(C) establish adequate goals and incen-
tives that lead the agency to reduce excess real 
property in such agency’s inventory; 
‘‘(D) demonstrate, before declaring any 
real property as excess, that there will be no 
loss of public recreational opportunities or other 
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public benefits as a result of declaring the real 
property as excess; and 
‘‘(E) when appropriate, use the authorities 
in section 572(a)(2)(B) of this title in order to 
identify and prepare real property to be re-
ported as excess. 
‘‘(3) ADDITIONAL REQUIREMENTS.—Each exec-
utive 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 appro-
priation used to make the purchase; 
‘‘(B) transfer excess property under its 
control to other Federal agencies and to organi-
zations 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.’’. 
(b) CLERICAL AMENDMENT.—The item relating to 
section 524 in the table of sections at the beginning of 
chapter 5 of such title is amended to read as follows: 
‘‘524. Duties of the General Services Administration and executive agencies.’’. 
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SEC. 3. ENHANCED AUTHORITIES WITH REGARD TO PRE-
PARING PROPERTIES TO BE REPORTED AS 
EXCESS. 
Section 572(a)(2) of title 40, United States Code, is 
amended— 
(1) by redesignating subparagraphs (B) and 
(C) as subparagraphs (C) and (D), respectively; and 
(2) by inserting after subparagraph (A) the fol-
lowing new subparagraph: 
‘‘(B) ADDITIONAL AUTHORITY.—(i) From 
the fund described in paragraph (1), subject to 
clause (iv) of this subparagraph, the Adminis-
trator 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 pur-
suant to section 571 of this title. 
‘‘(iv) The authority under clause (i) to ob-
ligate funds to prepare properties to be reported 
excess does not include the authority to convey 
such properties by use, sale, lease, exchange, or 
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otherwise, including through leaseback arrange-
ments or service agreements. 
‘‘(v) Nothing in this subparagraph is in-
tended to affect subparagraph (D).’’. 
SEC. 4. ENHANCED AUTHORITIES WITH REGARD TO RE-
VERTED REAL PROPERTY. 
(a) AUTHORITY TO PAY EXPENSES RELATED TO RE-
VERTED REAL PROPERTY.—Section 572(a)(2)(A) of title 
40, United States Code, is amended by adding at the end 
the following: 
‘‘(iv) The direct and indirect costs as-
sociated with the reversion, custody, and 
disposal of reverted real property.’’. 
(b) REQUIREMENTS RELATED
TO SALES
OF RE-
VERTED
PROPERTY
UNDER
SECTION
550.—Section 
550(b)(1) of title 40, United States Code, is amended— 
(1) by inserting ‘‘(A)’’ after ‘‘(1) IN
GEN-
ERAL.—’’; and 
(2) by adding at the end the following: ‘‘If the 
official, in consultation with the Administrator, rec-
ommends reversion of the property, the Adminis-
trator shall take control of such property, and, sub-
ject to subparagraph (B), sell it at or above ap-
praised fair market value for cash and not by lease, 
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exchange, leaseback arrangements, or service agree-
ments. 
‘‘(B) Prior to sale, the Administrator shall 
make such property available to State and local gov-
ernments and certain non-profit institutions or orga-
nizations pursuant to this section and sections 553 
and 554 of this title.’’. 
(c) REQUIREMENTS RELATED
TO SALES
OF RE-
VERTED
PROPERTY
UNDER
SECTION
553.—Section 
553(e) of title 40, United States Code, is amended— 
(1) by inserting ‘‘(1)’’ after ‘‘THIS SECTION.— 
’’; and 
(2) by adding at the end the following: ‘‘If the 
Administrator determines that reversion of the prop-
erty is necessary to enforce compliance with the 
terms of the conveyance, the Administrator shall 
take control of such property and, subject to para-
graph (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 govern-
ments and certain non-profit institutions or organi-
zations pursuant to this section and sections 550 
and 554 of this title.’’. 
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(d) REQUIREMENTS RELATED
TO SALES
OF RE-
VERTED
PROPERTY
UNDER
SECTION
554.—Section 
554(f) of title 40, United States Code, is amended— 
(1) by inserting ‘‘(1)’’ after ‘‘THIS SECTION.— 
’’; and 
(2) by adding at the end the following: ‘‘If the 
Secretary, in consultation with the Administrator, 
recommends reversion of the property, the Adminis-
trator shall take control of such property and, sub-
ject to paragraph (2), sell it at or above appraised 
fair market value for cash and not by lease, ex-
change, leaseback arrangements, or service agree-
ments. 
‘‘(2) Prior to sale, the Administrator shall make 
such property available to State and local govern-
ments and certain non-profit institutions or organi-
zations pursuant to this section and sections 550 
and 553 of this title.’’. 
SEC. 5. AGENCY RETENTION OF PROCEEDS. 
The text of section 571 of title 40, United States 
Code, is amended to read as follows: 
‘‘(a) PROCEEDS FROM TRANSFER OR SALE OF REAL 
PROPERTY.— 
‘‘(1) DEPOSIT OF NET PROCEEDS.—Net pro-
ceeds described in subsection (d) shall be deposited 
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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 deter-
mined to be excess. 
‘‘(2) EXPENDITURE OF NET PROCEEDS.—The 
net proceeds deposited pursuant to paragraph (1) 
may only be expended— 
‘‘(A) as authorized in annual appropria-
tions Acts, for activities described in section 
524(b) of this title and disposal activities, in-
cluding paying costs incurred by the General 
Services Administration for any disposal-related 
activity authorized by this title; and 
‘‘(B) as authorized in annual appropria-
tions Acts, by the agency for maintenance and 
repairs of such agency’s real property necessary 
for such real property’s disposal or for the re-
pair or alteration of the agency’s other real 
property, except that proceeds may not be au-
thorized for expenditure in an appropriations 
Act for any repair or alteration project that is 
subject to the requirements of section 3307 of 
this title without a prospectus submitted by the 
General Services Administration and approved 
by the Committee on Transportation and Infra-
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structure of the House of Representatives and 
the Committee on Environment and Public 
Works of the Senate. 
‘‘(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
PROP-
ERTY.—For the purposes of this section, for any real 
property that reverts to the United States under sections 
550, 553, and 554 of this title, the General Services Ad-
ministration, 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 ex-
penses of the transfer or disposition as provided in section 
572(a) of this title, from a— 
‘‘(1) transfer of excess real property to a Fed-
eral agency for agency use; or 
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‘‘(2) sale, lease, or other disposition of surplus 
real property. 
‘‘(e) PROCEEDS FROM TRANSFER OR SALE OF PER-
SONAL PROPERTY.— 
‘‘(1) IN GENERAL.—Except as otherwise pro-
vided in this subchapter, proceeds described in para-
graph (2) shall be deposited in the Treasury as mis-
cellaneous 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 sub-
title, 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 appro-
priation as authorized by law.’’. 
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SEC. 6. DEMONSTRATION AUTHORITY. 
(a) IN GENERAL.—Subchapter II of chapter 5 of title 
40, United States Code, is amended by adding at the end 
the following new section: 
‘‘§ 530. Demonstration program of inapplicability of 
certain requirements of law 
‘‘(a) AUTHORITY.—Effective for fiscal years 2011 
and 2012, the requirements of section 501(a) of the 
McKinney-Vento Homeless Assistance Act (42 U.S.C. 
11411(a)) shall not apply to eligible properties. 
‘‘(b) ELIGIBLE PROPERTIES.—A property is eligible 
for purposes of subsection (a) if it meets both of the fol-
lowing requirements: 
‘‘(1) The property is selected for demolition by 
an agency and is a Federal building or other Federal 
real property located on land not determined to be 
excess, for which there is an ongoing Federal need, 
and not to be used in any lease, exchange, leaseback 
arrangement, or service agreement. 
‘‘(2) The property is— 
‘‘(A) located in an area to which the gen-
eral public is denied access in the interest of 
national security and where alternative access 
cannot be provided for the public without com-
promising national security; or 
‘‘(B) the property is— 
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