S. 3091: Disposing of Inactive Structures and Properties by Offering for Sale And Lease Act

This bill, titled the **Disposing of Inactive Structures and Properties by Offering for Sale And Lease Act** (or DISPOSAL Act), mandates the disposal of certain federal buildings that are deemed inactive. The Administrator of General Services is responsible for managing this process. Here’s a breakdown of the key aspects of the bill:

1. Federal Buildings to be Disposed

The Administrator is required to sell or lease the following specific federal buildings:

• Frances Perkins Federal Building in Washington, DC
• James V. Forrestal Building in Washington, DC
• Theodore Roosevelt Federal Building in Washington, DC
• Robert C. Weaver Federal Building in Washington, DC
• Department of Agriculture South Building in Washington, DC
• Hubert H. Humphrey Federal Building in Washington, DC

2. Disposal Methods

For the buildings listed above, the Administrator has the option to:

• Sell the buildings at fair market value, maximizing their best use.
• Enter into a ground lease of up to 99 years.

3. Administrator's Discretion

The Administrator is granted the authority to determine the best terms and conditions for the disposal transactions, which may include:

• Relocating any federal agency currently occupying the building to another federal building.
• Leasing back the building for a period of no more than five years post-sale.

4. Exemption from Certain Requirements

Disposals under this bill are exempt from several legal requirements, including:

• The McKinney-Vento Homeless Assistance Act
• The National Environmental Policy Act of 1969
• The National Historic Preservation Act

5. Prohibition of Foreign Ownership

The Administrator is prohibited from selling or leasing any of the specified federal buildings to foreign entities or individuals. This means that all transactions must be with domestic entities only.

6. Relocation of Federal Agencies

The Administrator has the authority to relocate any federal agencies affected by the building disposals, with some requirements:

• Consultation with agency heads to consider their relocation needs.
• No "build-to-suit" leases are allowed for new spaces specifically tailored to the needs of a relocated agency.
• Advance notice must be given to the relevant congressional committees before any announcements regarding relocations outside of Washington, DC.

7. Financial Provisions

Any net proceeds from the sale of the buildings will be allocated as follows:

• Funds necessary for implementation of this section will be deposited into the Federal Buildings Fund.
• Any additional funds will be deposited into the general fund of the Treasury to help reduce the national deficit.

8. Judicial Review Limitations

Actions taken by the Administrator under this bill cannot be challenged in court, which means there will be no processes for judicial review of these actions.

9. Additional Provisions

The Administrator has the option to add more federal buildings to the disposal list, but must give notice to Congress and is limited to adding no more than 20 additional buildings each year. The authority to dispose of the buildings will terminate on December 31, 2028, unless extended.

Relevant Companies

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