I 
114TH CONGRESS 
2D SESSION 
H. R. 6451 
To improve the Government-wide management of Federal property. 
IN THE HOUSE OF REPRESENTATIVES 
DECEMBER 7, 2016 
Mr. DENHAM (for himself and Mr. CHAFFETZ) introduced the following bill; 
which was referred to the Committee on Oversight and Government Re-
form, and in addition to the Committee on Transportation and Infra-
structure, for a period to be subsequently determined by the Speaker, in 
each case for consideration of such provisions as fall within the jurisdic-
tion of the committee concerned 
A BILL 
To improve the Government-wide management of Federal 
property. 
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 Property Man-
agement Reform Act of 2016’’. 
SEC. 2. PURPOSE. 
The purpose of this Act is to increase the efficiency 
and effectiveness of the Federal Government in managing 
property of the Federal Government by— 
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‘‘(4) FEDERAL
AGENCY.—The term ‘Federal 
agency’ means— 
‘‘(A) an executive department or inde-
pendent establishment in the executive branch 
of the Government; or 
‘‘(B) a wholly owned Government corpora-
tion (other than the United States Postal Serv-
ice). 
‘‘(5) FIELD
OFFICE.—The term ‘field office’ 
means any office of a Federal agency that is not the 
headquarters office location for the Federal agency. 
‘‘(6) POSTAL
PROPERTY.—The term ‘postal 
property’ means any property owned or leased by the 
United States Postal Service. 
‘‘(7) 
PUBLIC-PRIVATE
PARTNERSHIP.—The 
term ‘public-private partnership’ means any partner-
ship or working relationship between a Federal 
agency and a corporation, individual, or nonprofit 
organization for the purpose of financing, con-
structing, operating, managing, or maintaining one 
or more Federal real property assets. 
‘‘(8) UNDERUTILIZED
PROPERTY.—The term 
‘underutilized property’ means a portion or the en-
tirety of any real property, including any improve-
ments, that is used— 
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‘‘(A) irregularly or intermittently by the 
accountable Federal agency for program pur-
poses of the Federal agency; or 
‘‘(B) for program purposes that can be 
satisfied only with a portion of the property. 
‘‘§ 622. Collocation among United States Postal Serv-
ice properties 
‘‘(a) IDENTIFICATION OF POSTAL PROPERTY.—Each 
year, the Postmaster General shall— 
‘‘(1) identify a list of postal properties with 
space available for use by Federal agencies; and 
‘‘(2) not later than September 30, submit the 
list to— 
‘‘(A) the Committee on Homeland Security 
and Governmental Affairs of the Senate; and 
‘‘(B) the Committee on Oversight and Gov-
ernment Reform of the House of Representa-
tives. 
‘‘(b) VOLUNTARY IDENTIFICATION OF POSTAL PROP-
ERTY.—Each year, the Postmaster General may submit 
the list under subsection (a) to the Council. 
‘‘(c) SUBMISSION OF LIST OF POSTAL PROPERTIES 
TO FEDERAL AGENCIES.— 
‘‘(1) IN
GENERAL.—Not later than 30 days 
after the completion of a list under subsection (a), 
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the Council shall provide the list to each Federal 
agency. 
‘‘(2) REVIEW
BY
FEDERAL
AGENCIES.—Not 
later than 90 days after the receipt of the list sub-
mitted under paragraph (1), each Federal agency 
shall— 
‘‘(A) review the list; 
‘‘(B) review properties under the control of 
the Federal agency; and 
‘‘(C) recommend collocations if appro-
priate. 
‘‘(d) TERMS OF COLLOCATION.—On approval of the 
recommendations under subsection (c) by the Postmaster 
General and the applicable agency head, the Federal agen-
cy or appropriate landholding entity may work with the 
Postmaster General to establish appropriate terms of a 
lease for each postal property. 
‘‘(e) RULE OF CONSTRUCTION.—Nothing in this sec-
tion exceeds, modifies, or supplants any other Federal law 
relating to any competitive bidding process governing the 
leasing of postal property. 
‘‘§ 623. Establishment of a Federal Real Property 
Council 
‘‘(a) ESTABLISHMENT.—There is established a Fed-
eral Real Property Council. 
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‘‘(b) PURPOSE.—The purpose of the Council shall 
be— 
‘‘(1) to develop guidance and ensure implemen-
tation of an efficient and effective real property 
management strategy; 
‘‘(2) to identify opportunities for the Federal 
Government to better manage property and assets of 
the Federal Government; and 
‘‘(3) to reduce the costs of managing property 
of the Federal Government, including operations, 
maintenance, and security associated with Federal 
property. 
‘‘(c) COMPOSITION.— 
‘‘(1) IN GENERAL.—The Council shall be com-
posed exclusively of— 
‘‘(A) the senior real property officers of 
each Federal agency; 
‘‘(B) the Deputy Director for Management 
of the Office of Management and Budget; 
‘‘(C) the Controller of the Office of Man-
agement and Budget; 
‘‘(D) the Administrator; and 
‘‘(E) any other full-time or permanent 
part-time Federal officials or employees, as the 
Chairperson determines to be necessary. 
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‘‘(2) CHAIRPERSON.—The Deputy Director for 
Management of the Office of Management and 
Budget shall serve as Chairperson of the Council. 
‘‘(3) EXECUTIVE DIRECTOR.— 
‘‘(A) IN GENERAL.—The Chairperson shall 
designate an Executive Director to assist in 
carrying out the duties of the Council. 
‘‘(B) 
QUALIFICATIONS.—The 
Executive 
Director shall— 
‘‘(i) be appointed from among individ-
uals who have substantial experience in the 
areas of commercial real estate and devel-
opment, real property management, and 
Federal operations and management; and 
‘‘(ii) hold no outside employment that 
may conflict with duties inherent to the po-
sition. 
‘‘(d) MEETINGS.— 
‘‘(1) IN
GENERAL.—The Council shall meet 
subject to the call of the Chairperson. 
‘‘(2) MINIMUM.—The Council shall meet not 
fewer than 4 times each year. 
‘‘(e) DUTIES.—The Council, in consultation with the 
Director and the Administrator, shall— 
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‘‘(1) not later than 1 year after the date of en-
actment of this subchapter, establish a real property 
management plan template, to be updated annually, 
which shall include performance measures, specific 
milestones, measurable savings, strategies, and Gov-
ernment-wide goals based on the goals established 
under section 524(a)(7) to reduce surplus property 
or to achieve better utilization of underutilized prop-
erty, and evaluation criteria to determine the effec-
tiveness of real property management that are de-
signed— 
‘‘(A) to enable Congress and heads of Fed-
eral agencies to track progress in the achieve-
ment of property management objectives on a 
Government-wide basis; 
‘‘(B) to improve the management of real 
property; and 
‘‘(C) to allow for comparison of the per-
formance of Federal agencies against industry 
and other public sector agencies; 
‘‘(2) 
develop 
utilization 
rates 
consistent 
throughout each category of space, considering the 
diverse nature of the Federal portfolio and con-
sistent with nongovernmental space use rates; 
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‘‘(3) develop a strategy to reduce the reliance of 
Federal agencies on leased space for long-term needs 
if ownership would be less costly; 
‘‘(4) provide guidance on eliminating inefficien-
cies in the Federal leasing process; 
‘‘(5) compile a list of field offices that are suit-
able for collocation with other property assets; 
‘‘(6) research best practices regarding the use 
of public-private partnerships to manage properties 
and develop guidelines for the use of those partner-
ships in the management of Federal property; and 
‘‘(7) not later than 1 year after the date of en-
actment of this subchapter and annually during the 
4-year period beginning on the date that is 1 year 
after the date of enactment of this subchapter and 
ending on the date that is 5 years after the date of 
enactment of this subchapter, the Council shall sub-
mit to the Director a report that contains— 
‘‘(A) a list of the remaining excess prop-
erty that is real property, surplus property that 
is real property, and underutilized property of 
each Federal agency; 
‘‘(B) the progress of the Council toward 
developing guidance for Federal agencies to en-
sure that the assessment required under section 
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524(a)(11)(B) is carried out in a uniform man-
ner; 
‘‘(C) the progress of Federal agencies to-
ward achieving the goals established under sec-
tion 524(a)(7); 
‘‘(D) if necessary, recommendations for 
legislation or statutory reforms that would fur-
ther the goals of the Council, including stream-
lining the disposal of excess or underutilized 
real property; and 
‘‘(E) a list of entities that are consulted 
under subsection (f). 
‘‘(f) CONSULTATION.—In carrying out the duties de-
scribed in subsection (e), the Council shall also consult 
with representatives of— 
‘‘(1) State, local, and tribal authorities, as ap-
propriate, and other affected communities; and 
‘‘(2) appropriate private sector entities and 
nongovernmental organizations that have expertise 
in areas of— 
‘‘(A) commercial real estate and develop-
ment; 
‘‘(B) government management and oper-
ations; 
‘‘(C) space planning; 
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‘‘(D) community development, including 
transportation and planning; 
‘‘(E) historic preservation; and 
‘‘(F) providing housing to the homeless 
population. 
‘‘(g) COUNCIL RESOURCES.—The Director and the 
Administrator shall provide staffing, and administrative 
support for the Council, as appropriate. 
‘‘(h) ACCESS TO REPORT.—The Council shall pro-
vide, on an annual basis, the real property management 
plan template required under subsection (e)(1) and the re-
ports required under subsection (e)(7) to— 
‘‘(1) the Committee on Homeland Security and 
Governmental Affairs of the Senate; 
‘‘(2) the Committee on Environment and Public 
Works of the Senate; 
‘‘(3) the Committee on Oversight and Govern-
ment Reform of the House of Representatives; 
‘‘(4) the Committee on Transportation and In-
frastructure of the House of Representatives; and 
‘‘(5) the Comptroller General of the United 
States. 
‘‘(i) EXCLUSIONS.—In this section, surplus property 
shall not include— 
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‘‘(1) any military installation (as defined in sec-
tion 2910 of the Defense Base Closure and Realign-
ment Act of 1990 (10 U.S.C. 2687 note; Public Law 
101–510)); 
‘‘(2) any property that is excepted from the def-
inition of the term ‘property’ under section 102; 
‘‘(3) Indian and native Eskimo property held in 
trust by the Federal Government as described in 
section 3301(a)(5)(C)(iii); 
‘‘(4) real property operated and maintained by 
the Tennessee Valley Authority pursuant to the Ten-
nessee Valley Authority Act of 1933 (16 U.S.C. 831 
et seq.); 
‘‘(5) any real property the Director excludes for 
reasons of national security; 
‘‘(6) any public lands (as defined in section 203 
of the Public Lands Corps Act of 1993 (16 U.S.C. 
1722)) administered by— 
‘‘(A) the Secretary of the Interior, acting 
through— 
‘‘(i) the Director of the Bureau of 
Land Management; 
‘‘(ii) the Director of the National 
Park Service; 
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‘‘(iii) the Commissioner of Reclama-
tion; or 
‘‘(iv) the Director of the United 
States Fish and Wildlife Service; or 
‘‘(B) the Secretary of Agriculture, acting 
through the Chief of the Forest Service; or 
‘‘(7) any property operated and maintained by 
the United States Postal Service. 
‘‘§ 624. Information on certain leasing authorities 
‘‘(a) IN GENERAL.—Except as provided in subsection 
(b), not later than December 31 of each year following 
the date of enactment of this subchapter, a Federal agency 
with independent leasing authority shall submit to the 
Council a list of all leases, including operating leases, in 
effect on the date of enactment of this subchapter that 
includes— 
‘‘(1) the date on which each lease was executed; 
‘‘(2) the date on which each lease will expire; 
‘‘(3) a description of the size of the space; 
‘‘(4) the location of the property; 
‘‘(5) the tenant agency; 
‘‘(6) the total annual rental payment; and 
‘‘(7) the amount of the net present value of the 
total estimated legal obligations of the Federal Gov-
ernment over the life of the contract. 
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‘‘(b) EXCEPTION.—Subsection (a) shall not apply 
to— 
‘‘(1) the United States Postal Service; or 
‘‘(2) any other property the Director excludes 
from subsection (a) for reasons of national secu-
rity.’’. 
(b) TECHNICAL AND CONFORMING AMENDMENTS.— 
(1) TABLE OF SECTIONS.—The table of sections 
for chapter 5 of subtitle I of title 40, United States 
Code, is amended by inserting after the item relating 
to section 611 the following: 
‘‘SUBCHAPTER VII—PROPERTY MANAGEMENT 
‘‘Sec. 621. Definitions. 
‘‘Sec. 622. Collocation among United States Postal Service properties. 
‘‘Sec. 623. Establishment of a Federal Real Property Council. 
‘‘Sec. 624. Information on certain leasing authorities.’’. 
(2) TECHNICAL AMENDMENT.—Section 102 of 
title 40, United States Code, is amended in the mat-
ter preceding paragraph (1) by striking ‘‘The’’ and 
inserting ‘‘Except as provided in subchapter VII of 
chapter 5 of this title, the’’. 
SEC. 4. UNITED STATES POSTAL SERVICE PROPERTY MAN-
AGEMENT. 
(a) IN GENERAL.—Part III of title 39, United States 
Code, is amended by adding at the end the following: 
‘‘CHAPTER 29—PROPERTY MANAGEMENT 
‘‘Sec. 
‘‘2901. Definitions. 
‘‘2902. Property management. 
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‘‘§ 2901. Definitions 
‘‘In this chapter: 
‘‘(1) EXCESS
PROPERTY.—The term ‘excess 
property’ means any postal property that the Postal 
Service determines is not required to meet the needs 
or responsibilities of the Postal Service. 
‘‘(2) POSTAL
PROPERTY.—The term ‘postal 
property’ means any property owned or leased by the 
Postal Service. 
‘‘(3) UNDERUTILIZED
PROPERTY.—The term 
‘underutilized property’ means a portion or the en-
tirety of any real property that is postal property, 
including any improvements, that is used— 
‘‘(A) irregularly or intermittently by the 
Postal Service for program purposes of the 
Postal Service; or 
‘‘(B) for program purposes that can be 
satisfied only with a portion of the property. 
‘‘§ 2902. Property management 
‘‘(a) IN GENERAL.—The Postal Service— 
‘‘(1) shall maintain adequate inventory controls 
and accountability systems for postal property; 
‘‘(2) shall develop current and future workforce 
projections so as to have the capacity to assess the 
needs of the Postal Service workforce regarding the 
use of property; 
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‘‘(3) may develop a 5-year management tem-
plate that— 
‘‘(A) establishes goals and policies that will 
lead to the reduction of excess property and un-
derutilized property in the inventory of the 
Postal Service; 
‘‘(B) adopts workplace practices, configu-
rations, and management techniques that can 
achieve increased levels of productivity and de-
crease the need for real property assets; 
‘‘(C) assesses leased space to identify space 
that is not fully used or occupied; 
‘‘(D) develops recommendations on how to 
address excess capacity at Postal Service facili-
ties without negatively impacting mail delivery; 
and 
‘‘(E) develops recommendations on ensur-
ing the security of mail processing operations; 
and 
‘‘(4) if the Postal Service develops a template 
under paragraph (3) shall, as part of that template 
and on a regular basis— 
‘‘(A) conduct an inventory of postal prop-
erty that is real property; and 
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‘‘(B) publish a report that covers each 
property identified under subparagraph (A), 
similar to the USPS Owned Facilities Report 
and the USPS Leased Facilities Report, that 
includes— 
‘‘(i) the date on which the Postal 
Service first occupied the property; 
‘‘(ii) the size of the property in square 
footage and acreage; 
‘‘(iii) the geographical location of the 
property, including an address and descrip-
tion; 
‘‘(iv) the extent to which the property 
is being utilized; 
‘‘(v) the actual annual operating costs 
associated with the property; 
‘‘(vi) the total cost of capital expendi-
tures associated with the property; 
‘‘(vii) the number of postal employees, 
contractor employees, and functions housed 
at the property; 
‘‘(viii) the extent to which the mission 
of the Postal Service is dependent on the 
property; and 
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‘‘(ix) the estimated amount of capital 
expenditures projected to maintain and op-
erate the property over each of the next 5 
years after the date of enactment of this 
chapter. 
‘‘(b) RULE
OF CONSTRUCTION.—Nothing in sub-
section (a)(4)(B) shall be construed to require the Postal 
Service to obtain an appraisal of postal property.’’. 
(b) TECHNICAL AND CONFORMING AMENDMENT.— 
The table of chapters for part III of title 39, United States 
Code, is amended by adding at the end the following: 
‘‘29. Property Management ........................................................... 2901’’. 
SEC. 5. INSPECTOR GENERAL REPORT ON UNITED STATES 
POSTAL SERVICE PROPERTY. 
(a) DEFINITION OF EXCESS PROPERTY.—In this sec-
tion, the term ‘‘excess property’’ has the meaning given 
the term in section 2901 of title 39, United States Code, 
as added by section 4. 
(b) EXCESS PROPERTY REPORT.—Not later than 2 
years after the date of enactment of this Act, the Inspector 
General of the United States Postal Service shall submit 
to Congress a report that includes— 
(1) a survey of excess property held by the 
United States Postal Service; and 
(2) recommendations for repurposing property 
identified in paragraph (1)— 
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(A) to— 
(i) reduce excess capacity; and 
(ii) increase collocation with other 
Federal agencies; and 
(B) without diminishing the ability of the 
United States Postal Service to meet the service 
standards established under section 3691 of 
title 39, United States Code, as in effect on 
January 1, 2016. 
SEC. 6. DUTIES OF FEDERAL AGENCIES. 
(a) IN GENERAL.—Section 524(a) of title 40, United 
States Code, is amended— 
(1) in paragraph (4), by striking ‘‘and’’ at the 
end; 
(2) in paragraph (5), by striking the period at 
the end and inserting a semicolon; and 
(3) by adding at the end the following: 
‘‘(6) develop current and future workforce pro-
jections so as to have the capacity to assess the 
needs of the Federal workforce regarding the use of 
real property; 
‘‘(7) establish goals and policies that will lead 
the executive agency to reduce excess property and 
underutilized property in the inventory of the execu-
tive agency; 
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‘‘(8) submit to the Federal Real Property Coun-
cil an annual report on all excess property that is 
real property and underutilized property in the in-
ventory of the executive agency, including— 
‘‘(A) whether underutilized property can be 
better utilized, including through collocation 
with other executive agencies or consolidation 
with other facilities; and 
‘‘(B) the extent to which the executive 
agency believes that retention of the underuti-
lized property serves the needs of the executive 
agency; 
‘‘(9) adopt workplace practices, configurations, 
and management techniques that can achieve in-
creased levels of productivity and decrease the need 
for real property assets; 
‘‘(10) assess leased space to identify space that 
is not fully used or occupied; 
‘‘(11) on an annual basis and subject to the 
guidance of the Federal Real Property Council— 
‘‘(A) conduct an inventory of real property 
under control of the executive agency; and 
‘‘(B) make an assessment of each property, 
which shall include— 
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‘‘(i) the age and condition of the prop-
erty; 
‘‘(ii) the size of the property in square 
footage and acreage; 
‘‘(iii) the geographical location of the 
property, including an address and descrip-
tion; 
‘‘(iv) the extent to which the property 
is being utilized; 
‘‘(v) the actual annual operating costs 
associated with the property; 
‘‘(vi) the total cost of capital expendi-
tures incurred by the Federal Government 
associated with the property; 
‘‘(vii) sustainability metrics associated 
with the property; 
‘‘(viii) the number of Federal employ-
ees and contractor employees and functions 
housed at the property; 
‘‘(ix) the extent to which the mission 
of the executive agency is dependent on the 
property; 
‘‘(x) the estimated amount of capital 
expenditures projected to maintain and op-
erate the property during the 5-year period 
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beginning on the date of enactment of this 
paragraph; and 
‘‘(xi) any additional information re-
quired by the Administrator of General 
Services to carry out section 623; and 
‘‘(12) provide to the Federal Real Property 
Council and the Administrator of General Services 
the information described in paragraph (11)(B) to 
be used for the establishment and maintenance of 
the database described in section 21 of the Federal 
Assets Sale and Transfer Act of 2016.’’. 
(b) DEFINITION OF EXECUTIVE AGENCY.—Section 
524 of title 40, United States Code, is amended by adding 
at the end the following: 
‘‘(c) DEFINITION OF EXECUTIVE AGENCY.—For the 
purpose of paragraphs (6) through (12) of subsection (a), 
the term ‘executive agency’ shall have the meaning given 
the term ‘Federal agency’ in section 621.’’. 
SEC. 7. TECHNICAL AMENDMENTS. 
(a) DEFINITION OF APPLICABLE ACT.—In this sec-
tion, the term ‘‘applicable Act’’ means the Federal Assets 
Sale and Transfer Act of 2016 (H.R. 4465, 114th Con-
gress, 2d Session). 
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(b) BOARD.—Section 4(c) of the applicable Act is 
amended by striking paragraphs (1) through (3) and in-
serting the following: 
‘‘(1) IN GENERAL.—The Board shall be com-
posed of a Chairperson appointed by the President, 
by and with the advice and consent of the Senate, 
and 6 members appointed by the President. 
‘‘(2) APPOINTMENTS.— 
‘‘(A) IN
GENERAL.—In selecting individ-
uals for appointments to the Board, the Presi-
dent shall appoint members in the following 
manner: 
‘‘(i) 2 members recommended by the 
Speaker of the House of Representatives. 
‘‘(ii) 2 members recommended by the 
majority leader of the Senate. 
‘‘(iii) 1 member recommended by the 
minority leader of the House of Represent-
atives. 
‘‘(iv) 1 member recommended by the 
minority leader of the Senate. 
‘‘(B) DEADLINE.—The appointment of 
members to the Board shall be made not later 
than 90 days after the date of enactment of 
this Act. 
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‘‘(3) TERMS.—The term for each member of 
the Board shall be 6 years.’’. 
(c) AGENCY RETENTION OF PROCEEDS.— 
(1) IN
GENERAL.—Section 571 of title 40, 
United States Code (as amended by section 20 of 
the applicable Act), is amended by adding at the end 
the following: 
‘‘(d) SAVINGS PROVISION.—Nothing in this section 
modifies, alters, or repeals any other provision of Federal 
law directing the use of retained proceeds relating to the 
sale of property of an agency.’’. 
(2) EFFECTIVE DATE.—The amendments made 
by this subsection shall take effect as if enacted as 
part of the applicable Act. 
(d) SALE.—Section 24 of the applicable Act is 
amended— 
(1) by redesignating subsection (c) as sub-
section (d); and 
(2) by inserting after subsection (b) the fol-
lowing: 
‘‘(c) REQUIREMENT.—Notwithstanding any other 
provision of law, the sale of the property by the Adminis-
trator of General Services shall ensure continuity of secu-
rity measures, parking access, and infrastructure require-
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ments of the James Forrestal Building while it is occupied 
by the Department of Energy.’’. 
(e) EFFECTIVE DATE.—Except as provided in sub-
section (c)(2), this section and the amendments made by 
this section shall take effect immediately after the enact-
ment of the applicable Act. 
Æ 
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