In the hands of nonfederal entities, the previously underutilized properties may be used to provide services to the public, such as temporary housing, or contribute to economic development. Postal Service (USPS), which each have independent statutory authority to dispose of their own properties. It concludes with an overview of the environmental and historic preservation requirements that apply to the disposal of properties at all federal agencies. Centralized Disposal Through the General Services Administration5

The Federal Real Property and Administrative Services Act of 1949 (Property Act) applies to real property held by most federal agencies. The Property Act gives GSA the authority to dispose of real property that federal agencies no longer need, although some agencies have been granted the authority to dispose of some or all of their own property. Public Benefit Conveyance

If no federal agency wants an unneeded property, it is declared "surplus" and made available to state and local governments, and nonprofits. These entities may have surplus property transferred to them for a discount of up to 100% of fair market value, provided they use the property for a public benefit. Negotiated Sale

Surplus property that is not disposed of through the public benefit conveyance process may be sold to state and local governments at fair market value. Both DOD and USPS have independent statutory authority to dispose of unneeded real property, although the scope of that authority differs. While USPS has been given autonomy in disposing of all of its properties, DOD's disposal authorities are more limited and more complicated. Postal Service27

Congress has given USPS independent statutory authority to dispose of its real estate as it deems proper. 2694a, a section that authorizes a Secretary to convey to a State, one of its political subdivisions, or a nonprofit organization any surplus real property under his jurisdiction that is suitable for conservation purposes, has been made available for a public benefit conveyance, and is not subject to a pending request for transfer to another federal agency, after notification of the relevant congressional committees and waiting 21 days; 10 U.S.C. Though created under different laws, each series has become commonly referred to as a Base Realignment and Closure, or BRAC, round. Actions necessary to complete the review process are generally integrated into the broader due diligence process established in federal regulation, during which the landholding agency would be required to assess and determine various details about the property, such as
any past activities or present conditions at the site that could pose a human health or safety hazard—the existence of mold hazards, radon hazards, asbestos-containing materials, or lead-based paint in any building; whether pesticides have been applied in the management of the property; or whether past activities at the site resulted in the release of hazardous substances that must be remediated; the property's location—in a federally designated floodplain, wetland, or coastal zone; or in an area that contains federally threatened or endangered species; and the property's historical significance—a site, buildings or fixtures on the site that are historically, architecturally, or culturally significant. The principal federal statutes that govern the environmental review process, identification and remediation of hazardous substances, and historic preservation are outlined below, followed by a summary of the requirements of each statute. The National Environmental Protection Act (NEPA; 42 U.S.C. The Comprehensive Environmental Response, Compensation, and Liability Act of 1980 (CERCLA; 42 U.S.C. The National Historic Preservation Act (NHPA; 16 U.S.C.
The federal government holds thousands of properties that agencies no longer need to accomplish their missions. When the government disposes of unneeded properties—through transfer, donation, or sale—it generates savings by eliminating maintenance costs. In addition, when state or local governments, nonprofits, or businesses acquire unneeded federal properties, they may be used to provide services to the public, such as temporary housing, or contribute to economic development.
The General Services Administration (GSA) plays a central role in disposing of unneeded property at most federal agencies. The Federal Real Property and Administrative Services Act of 1949 (Property Act) gives GSA the authority to dispose of real property at all federal agencies unless they have independent statutory authority to dispose of their own properties themselves. A number of agencies have independent disposal authority—ranging from limited to broad in scope—including two of the largest federal landholders, the U.S. Postal Service (USPS) and the Department of Defense.
When an agency notifies GSA that it has unneeded real property, GSA first offers to transfer the property to another federal agency, which must pay fair market value for it. If no other agency wishes to acquire the property, GSA may then convey it to a state or local government, or a qualified nonprofit, for up to a 100% discount—provided it is used for an approved public benefit. Should a state or local government or qualified nonprofit wish to acquire the property for a use other than one of the approved public benefits, GSA has the option to sell the property to them at fair market value. Finally, if the property is not sold to a public or nonprofit entity, it is offered for sale to the public.
The disposal of a federal property may be subject to a number of environmental requirements and historic preservation mandates, although which requirements apply depends on a number of site-specific conditions. Three principal federal statutes govern the environmental review process, identification and remediation of hazardous substances, and historic preservation: the National Environmental Protection Act (NEPA), the Comprehensive Environmental Response, Compensation and Liability Act of 1980 (CERCLA), and the National Historic Preservation Act (NHPA).
Among the agencies with independent statutory disposal authority, USPS has the greatest autonomy. The Postal Service has, in essence, been granted the authority to dispose of its properties as it deems appropriate, without the assistance of GSA. DOD also has independent statutory disposal authority, but of a more limited scope. DOD must use GSA to dispose of all properties that do not otherwise fall under the scope of special, temporary disposal authorities, commonly referred to as Base Realignment and Closure (BRAC) legislation.