GSA has key leadership responsibilities related to real property  management for the federal government. Warehouse Inventory Is Vast and Diverse, but Data in the Federal Real Property Database Are Not Consistent or Transparent

		GSA, Interior, and DOE Hold or Lease Over Half of Civilian Warehouse Space Owned or Leased by the Federal Government

According to FRPP data, in fiscal year 2013, three agencies held or  leased most of the civilian warehouse space either owned or leased by  the federal government: GSA, Interior, and DOE. In addition, civilian  agencies leased about 1,000 warehouses covering about 24-million  square feet of warehouse space. These  warehouses were occupied by GSA or other federal agencies, as GSA  provides other agencies with warehouse space from its government- owned inventory as well as through leases with private lessors. 2.) 3.) We found that among the  warehouses listed in the FRPP as utilized, some were vacant for long  periods of time. As such, while  GSA’s interpretation of utilization in the FRPP may be explained given its  government landlord role, its warehouse data in the FRPP—for  warehouses GSA uses and those that it provides to tenant agencies— could be misinterpreted by decision makers, including Congress, OMB,  and agencies, to mean that nearly all GSA warehouse space is being  used for storage. Selected Agencies Report a Wide Range of Challenges in Acquiring, Managing, and Disposing of Warehouse Space

		Challenges Acquiring Warehouse Space: Storage Specifications and Funding Constraints Increase Reliance on Leased Space

GSA, in its landlord role, is responsible for acquiring warehouses on  behalf of federal agencies and works with those agencies to identify their  storage needs. According to fiscal year 2013 FRPP data, the federal government leased  about 24million square feet of warehouse space for civilian use, a  substantial increase from the approximately 19-million square feet of  leased warehouse space for both civilian and defense agencies reported  in a 1999 GSA report on government warehouse, storage, and  distribution functions. Aging buildings can also mean warehouses no longer meet agencies’  storage requirements, which can result in agencies vacating for newer  space. However, required environmental assessments  and remediation of excess or surplus property can be expensive and time  consuming. GSA’s Office of Government-wide Policy (OGP) is the primary  unit that performs such a role. Conclusions

The federal government’s vast and diverse civilian warehouse portfolio  presents challenges to agencies—including reliance on costly, long-term  leasing and aging and obsolete warehouses—when acquiring, managing,  and disposing of warehouse space. Recommendations for Executive Action

To enhance the transparency of the FRPP data and help GSA make  more informed decisions regarding the planning, effective and efficient  management, and disposal of civilian warehouse assets, we recommend  that the Administrator of GSA take the following three actions:  In GSA’s FRPP documents, GSA should make transparent how its  mission, which is to provide space to federal agencies, affects the  reporting of its real property portfolio as it relates to utilization and  status data elements. Appendix I: Objectives, Scope, and Methodology

Our objectives were to examine (1) available information on federal  warehouses held or leased by civilian agencies in terms of size, location,  utilization, and purpose; (2) challenges selected civilian agencies report in  acquiring, managing, and disposing of warehouse space; and (3) the  extent to which GSA has fulfilled its federal real property leadership role  with respect to warehouses. We identified three real property-holding  agencies for our review: the General Services Administration (GSA), the  Department of the Interior (Interior), and the Department of Energy  (DOE).
Why GAO Did This Study

GAO has identified managing the federal government's real property portfolio—which includes warehouses— as a high-risk area, due to long-standing problems such as reliance on long-term leasing. In 2013, federal civilian agencies reported that they occupied approximately 19,000 warehouses consisting of approximately 90-million square feet of space. GAO was asked to examine the management of federal civilian warehouses.
This report examines (1) available information on the characteristics of federal warehouses held or leased by civilian agencies; (2) the challenges selected civilian agencies report in acquiring, managing, and disposing of warehouse space; and (3) the extent to which GSA has fulfilled its federal real property leadership role with respect to warehouses. GAO analyzed fiscal year 2013 FRPP data on warehouses held or leased by federal civilian agencies; visited 30 GSA, Interior, and DOE warehouses—selected to reflect a variety of uses and sizes—and interviewed officials from the three agencies about real property data, the characteristics of warehouses, challenges to warehouse management, and GSA's real-property leadership role.

What GAO Found

The federal government's vast civilian warehouse inventory supports a wide range of agencies' storage needs; however, some data in the Federal Real Property Portfolio (FRPP) are not transparent for decision makers. According to the fiscal year 2013 FRPP data, three civilian agencies—the General Services Administration (GSA), the Department of the Interior (Interior), and the Department of Energy (DOE)—held or leased the most civilian warehouse space. GSA's warehouse portfolio— the largest covering about 29-million square feet—was divided across multiple agencies. This is because of GSA's landlord role to provide federal agencies with space from its government-owned inventory, as well as through leases with private companies. In the FRPP, GSA classified nearly all of this warehouse space as utilized and active. However, GAO found that among these warehouses were buildings that were vacant for extended periods of time. This discrepancy raises questions about the transparency and usefulness of FRPP warehouse data, which could be misinterpreted by decision makers, including Congress and the Office of Management and Budget.
GSA, Interior, and DOE officials reported a wide range of challenges in acquiring , managing , and disposing of warehouse space, for example:
Storage specifications related to the materials being stored, such as humidity controls for paper documents, can pose challenges acquiring space.
Aging and historical facilities can be difficult to manage because they require costly maintenance or may no longer meet agencies' storage requirements.
Agencies are required to address contamination or environmental concerns when disposing of warehouses—for example through sale or demolition—which can be expensive and time consuming. Disposing of warehouses in remote or secured areas can be particularly challenging.

What GAO Recommends

GAO recommends that GSA take actions to (1) enhance transparency of the FRPP data, (2) develop and implement a strategy to prioritize and plan for warehouse space, and (3) develop a strategy for its government-wide policy role in relation to warehouses. GSA generally agreed with the recommendations.