FRPP data elements as performance measures: utilization, condition  index, annual operating costs, and mission dependency. In June 2010, the President directed federal civilian agencies to achieve  $3 billion in savings by the end of fiscal year 2012 through reducing  annual operating costs, generating income through disposing of assets,  using existing real property more effectively by consolidating existing  space, expanding telework, and other space realignment efforts. Excess and Underutilized Property Data Are Inconsistent and Inaccurate because of Lack of Sound Data Collection Practices

FRPC has not followed sound data collection practices, and, as a result,  FRPP data do not describe excess and underutilized properties  consistently and accurately. Although Some Progress Has Been Made, Federal Property Management Is Still Challenging and Efforts Lack a National Strategy

The federal government has taken some steps to address excess and  underutilized property management problems by developing the FRPP  database, among other things. However, these efforts have not led to proven cost savings associated  with the management of these properties. Cost savings goals set by the previous administration were  discontinued. For example, all five agencies  we reviewed have taken steps to use property more efficiently, as follows:  Identifying underutilized assets to meet space needs. Reducing employee work space. Even with long-standing efforts to improve the  management of excess and underutilized properties and save costs,  federal agencies continue to face many of the same challenges that we  have reported for over a decade. We recommend that the Director of OMB require the OMB Deputy  Director for Management, as chair of FRPC, in collaboration and  consultation with FRPC member agencies, to develop and publish a  national strategy for managing federal excess and underutilized real  property that includes, but is not limited to, the following characteristics: a statement of purpose, scope, and methodology; problem definition and risk assessment; goals, subordinate objectives, activities, and performance measures,  including the milestones and time frames for achieving objectives;  resources, investments, and risk management; organizational roles, responsibilities, and coordination; and  integration and implementation plans. OMB agreed that  challenges remain in the management of the federal government's excess  and underutilized properties; however, OMB raised concerns with some  of the phrasing in our report and offered further context and clarification  regarding the administration’s overall efforts on real property reform. Appendix I: Objectives, Scope, and Methodology

Our objectives were to determine to what extent (1) the Federal Real  Property Profile (FRPP) database consistently and accurately describes  the nature, use, and extent of excess and underutilized federal real  property, and (2) progress is being made toward more effectively  managing excess and underutilized federal real property. To determine to what extent the FRPP database described the nature,  use, and extent of excess and underutilized federal real property, we  obtained and analyzed FRPP data submissions and other real property  data from the five selected agencies; interviewed real property officers at  these agencies; visited sites where the agencies had reported excess or  underutilized properties; interviewed Office of Management and Budget  (OMB) staff; and reviewed FRPC guidance and other documents related  to the agencies’ real property data and the FRPP database. Disposed. Appendix IV: Comments from the General Services Administration

	GAO Comments

1. GSA  has agreed with this recommendation and has taken action to begin  correcting the problems we identified. In reference to our findings on problems with cost savings associated  with the June 2010 presidential memorandum, VA stated that it  disagreed with findings in a previous GAO report (GAO-12-305) that  we referenced.
Why GAO Did This Study

The federal government has made some progress addressing previously identified issues with managing federal real property. This includes establishing FRPCchaired by the Office of Management and Budget (OMB)which created the FRPP database managed by GSA. GAO was asked to determine the extent to which (1) the FRPP database accurately describes the nature, use, and extent of excess and underutilized federal real property, and (2) progress is being made toward more effective management of these properties. GAO analyzed the data collection process and agency data, visited 26 sites containing excess and underutilized buildings from five civilian federal real property holding agencies with significant portfolios, and interviewed officials from these five agencies and OMB staff about how they collect FRPP data and manage excess and underutilized properties.

What GAO Found

The Federal Real Property Council (FRPC) has not followed sound data collection practices in designing and maintaining the Federal Real Property Profile (FRPP) database, raising concern that the database is not a useful tool for describing the nature, use, and extent of excess and underutilized federal real property. For example, FRPC has not ensured that key data elementsincluding buildings' utilization, condition, annual operating costs, mission dependency, and valueare defined and reported consistently and accurately. GAO identified inconsistencies and inaccuracies at 23 of the 26 locations visited related to these data elements (see the fig. for an example). As a result, FRPC cannot ensure that FRPP data are sufficiently reliable to support sound management and decision making about excess and underutilized property.
The federal government has undertaken efforts to achieve cost savings associated with better management of excess and underutilized properties. However, some of these efforts have been discontinued and potential savings for others are unclear. For example, in response to requirements set forth in a June 2010 presidential memorandum for agencies to achieve $3 billion in savings by the end of fiscal year 2012, the General Services Administration (GSA) reported approximately $118 million in lease cost savings resulting from four new construction projects. However, GSA has yet to occupy any of these buildings and the agencys cost savings analysis projected these savings would occur over a 30-year periodfar beyond the time frame of the memorandum. The five federal agencies that GAO reviewed have taken some actions to dispose of and better manage excess and underutilized property, including using these properties to meet space needs by consolidating offices and reducing employee work space to use space more efficiently. However, they still face long-standing challenges to managing these properties, including the high cost of property disposal, legal requirements prior to disposal, stakeholder resistance, and remote property locations. A comprehensive, long-term national strategy would support better management of excess and underutilized property by, among other things, defining the scope of the problem; clearly addressing achievement goals; addressing costs, resources, and investments needed; and clearly outlining roles and coordination mechanisms across agencies.

What GAO Recommends

GAO recommends that, in consultation with FRPC, GSA develop a plan to improve the FRPP and that OMB develop a national strategy for managing federal excess and underutilized real property. GSA agreed with GAOs recommendation and agreed with the reports findings, in part. OMB agreed that real property challenges remain but raised concerns about how GAO characterized its findings on FRPP accuracy and other statements. GAO believes its findings are properly presented. The details of agencies comments and GAOs response are addressed more fully within the report.