The Government Accountability Office has warned that the Public Buildings Reform Board, created under the 2016 FASTA law to speed the sale of unneeded federal properties, will cease operations on Dec. 31 due to a lack of congressional funding.
Funding gaps cripple federal property sales
Congress appropriated $90 million for the disposal fund between 2016 and 2022, but provided no new money for fiscal years 2023‑2025. Meanwhile, proceeds from earlier sales accumulated, totaling about $538 million from the 2019 High‑Value Assets Round.
In fiscal 2026 lawmakers added roughly $143 million, bringing total appropriations to about $233 million—still about $305 million short of the available proceeds. The General Services Administration (GSA) requested $193.3 million for disposal activities but received only about $143 million.
Progress and remaining challenges
As of August 2026, 14 of the 23 properties approved for disposal have been sold, generating roughly $576 million in value. All but two of those sales came from the 2019 round; the remaining $38 million stemmed from two 2025‑round transactions.
The 2025 Second Round, however, has stalled, with nine of its 11 approved properties still awaiting disposal. Board executive director Paul Walden cites funding uncertainty as a major obstacle.
Board’s final actions and legislative response
The Board plans to submit its final round of disposal recommendations to the White House Office of Management and Budget within days, giving OMB time to review before the Board’s authority expires.
House Republicans introduced H.R. 10305, sponsored by Rep. Scott Perry (R‑PA), which would extend the Board’s life to Dec. 31, 2028 and require GSA and OMB to share utilization data the Board has struggled to obtain. The measure also allows GSA to retain a federal building temporarily as swing space, provided costs do not exceed savings from related transactions.
GSA’s response
A GSA spokesperson said the agency “expects rapid implementation of directives but lacks the spending authority Congress provides only a fraction of.” The agency claims it has the expertise to manage the real‑estate portfolio efficiently but needs flexible funding to meet taxpayer expectations.
GAO findings also note that GSA’s disposal data were incomplete, with nearly 45 % of values missing for key dates, a gap the agency says it is working to address.
Original reporting: KTBS 3 (Shreveport) — read the source article.
