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GAO-16-716R 1 (2016-09-27)

handle is hein.gao/gaobaakgt0001 and id is 1 raw text is: GAOU.S. GOVERNMENT ACCOUNTABILITY OFFICE 441 G St. N.W. Washington, DC 20548 September 27, 2016 The Honorable Jason Chaffetz Chairman The Honorable Elijah E. Cummings Ranking Member Committee on Oversight and Government Reform House of Representatives The Honorable John L. Mica Chairman The Honorable Tammy Duckworth Ranking Member Subcommittee on Transportation and Public Assets Committee on Oversight and Government Reform House of Representatives Delegated Leasing Authority: Review of Selected Leases and Information on GSA's Changes to Delegation Procedures Federal real property management is on GAO's high-risk list due to complex and long-standing issues, including an overreliance on costly leasing.1 Federal agencies spend billions annually to lease many types of properties, ranging from office space and laboratories to aircraft hangars and boat docks. The General Services Administration (GSA) leases space on behalf of many federal agencies, but some agencies lease space on their own. The legal authority that allows agencies to lease space is either provided directly to the agency in statute or through delegations of leasing authority by GSA.2 GSA reported that it annually approved an average of 1,195 general purpose delegations from 2011 to 2015. There are previously-identified problems with these delegations of leasing authority. For example, in 2007, we and the GSA Office of Inspector General (OIG) reported on problems with GSA's management and oversight of these and other types of delegations.3 In 2012, GSA found 1GAO, High-Risk Series: An Update, GAO- 5-290 (Washington, D.C.: Feb. 11,2015). Other reasons for the designation included unreliable data, excess and underutilized property, and challenges associated with protecting the physical security of federal facilities. 2See GAO, Federal Real Property: Actions Needed to Enhance Information on and Coordination among Federal Entities with Leasing Authority, GAO-16-648 (Washington, D.C.: July 6, 2016). 3 GAO, General Services Administration: Improvements Needed in Managing Delegated Authority of Real Property Activities, GAO-07-1000 (Washington D.C.: Sept. 5, 2007) and GSA, Office of Inspector General, Review of Public Buildings Service's Delegations of Authority to Lease Space, Report Number A060082/P/6/R07004 (Aug. 24, 2007). In some instances, GSA delegates authority for real property management activities, including operations and maintenance, utility services, lease management, repair and alteration activities, and real estate leasing. GAO-16-716R Federal Real Property Page 1

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