FEDERAL PROPERTY AND ADMINISTRATIVE SERVICES ACT OF 1949, AS AMENDED

Pub. L. 152, Ch. 288, 63 Stat 377

(Codified as amended in scattered sections of 40 U.S.C. and 41 U.S.C.)

The General Services Administration (GSA) was officially created in June 1949 with the enactment of the Federal Property and Administrative Services Act of 1949 (Property Act). The act was designed, in part, to increase the efficiency and economy of Federal government operations with regard to the procurement, utilization and disposal of property. Since its enactment, the Property Act functions of GSA have been amended by numerous pieces of legislation. Discussed below are sections of the Property Act as codified in 40 U.S.C., Chapter 10--Management and Disposal of Government Property. Chapter 10 contains six subchapters: Subchapter I--General Provisions, Subchapter II--Property Management, Subchapter III--Foreign Excess Property, Subchapter IV--Reconstruction Finance Corporation Property (repealed), Subchapter V--Urban Land Utilization and Subchapter VI--Selection of Architects and Engineers. Although government property comprises everything from desks to depots, the primary purpose of this document is the discussion of the Property Act as it relates to Federal real property.

SUBCHAPTER 1--GENERAL PROVISIONS

Section 471. Congressional declaration of policy.

States the intent of Congress to provide for the Government an economic and efficient system for (a) the procurement and supply of personal property and nonpersonal services and performance of related functions; (b) the utilization of available property; (c) the disposal of surplus property; and (d) records management.

Section 472. Definitions.

Provides the definition of terms used in titles I through VI of the Property Act. Several definitions require special note. "Property" includes all interests in property except (1) the public domain; national forest or national park lands; minerals in withdrawn or reserved public domain lands which the Secretary of the Interior determines are suitable for disposition under the public-land mining and mineral leasing laws; withdrawn or reserved public domain lands (except those determined by the Secretary of the Interior, with the concurrence of the Administrator of General Services, to be unsuitable for return to the public domain status, by virtue of their having been substantially changed in character by improvements, etc.); (2) major classes of naval vessels; and (3) records of the Federal Government. "Excess property" means any property under the control of any Federal agency not required for its needs and responsibilities as determined by the head thereof. "Surplus property" means any property which has been declared excess by a particular Federal agency and which, after a survey of the needs of other Federal agencies, is determined by the Administrator to be no longer required by the Federal Government as a whole.

Section 473. Applicability of existing procedures.

Continues in effect all existing policies, procedures, and directives until superseded or amended under authority of the Property Act.

Section 474. Congress, departments, agencies, corporations, and persons exempted from provisions.

Provides that the authority conferred by the Property Act be in addition and paramount to any authority conferred by any other law--thus firming up the authority of the Administrator to accomplish the purposes of the act. Exempts from operations under the Property Act a number of specified agencies or programs requiring special treatment (Note: Exemption is limited only to the extent that compliance with the Property Act will "impair or affect" operation of their program). Exempts the Senate or the House of Representatives (including Architect of the Capitol) from provisions of the Property Act but contains provision that services or facilities be made available, on a reimbursable basis, upon request.

Section 475. Authorization of appropriations; fund transfer authority.

Authorizes appropriations to carry out provisions of Property Act and authorizes Federal agency use of appropriated funds for the care and handling and disposition of property.

Section 476. Sex discrimination prohibited.

Sex discrimination prohibited under any program or activity carried on or receiving Federal assistance under Property Act.

SUBCHAPTER II--PROPERTY MANAGEMENT

Section 481. Procurement, warehousing and related activities.

Authorizes the Administrator, where it is advantageous to the Government, to regulate the policies and methods of executive agencies with respect to the procurement and supply of personal property and nonpersonal services including related functions such as contracting, transportation, management of public utility services.

Section 482. Clarification of status of Architect of Capitol under this chapter.

Clarifies the term "the Senate and the House of Representatives", as used in the Property Act, includes the Architect of the Capitol and any activities under his direction, and any of the services authorized under such Act be made available upon request.

Section 483. Property utilization. (a) Policies and methods; transfer of excess property among Federal agencies and other organizations; transfer of real property located in Indian reservations to the Secretary of the Interior.

(1) Charges the Administrator with overall responsibility to prescribe the policies and methods to promote the greatest use of excess property and to provide for the transfer of such property among Federal agencies. The Administrator, with the approval of the Director of the Office of Management and Budget (OMB), determine the extent of reimbursement for such transfers of excess property.

(2) Directs the Administrator to transfer, without compensation, certain excess real property to the Secretary of the Interior to be held in trust for use and benefit of Indian Tribes.

(b) Duties of executive agencies.

Imposes upon each executive agency the responsibility (1) to maintain adequate inventory controls and accountability systems for its property; (2) to survey its property continuously to determine which is excess to its needs and promptly report excess property to the Administrator, (3) to care for such excess property, and (4) transfer or dispose of such property in accordance with authority delegated and regulations prescribed by the Administrator.

(c) Additional duties of executive agencies.

Similarly imposes upon each executive agency the responsibility to reassign property among activities within such agency, to transfer its excess property to other agencies, and to obtain for its use property which is excess to the needs of other agencies.

(d) Acquisition of excess personal property by Federal agencies for grantees prohibited; exceptions.

With exceptions, prohibits Federal agencies from obtaining excess personal property for purposes of furnishing such property to grantees of such agencies.

(e) Annual report by executive agencies to Administrator on excess personal property furnished to recipient other than a Federal agency; acquisition, identification, and disposition; report by Administrator to Congress.

Directs each executive agency to submit to the Administrator an annual report reflecting the use and/or disposition of personal property. The Administrator submits an analytical summary of such reports to Congress.

(f) Repealed. (g) Temporary assignment of excess real property space.

Authorizes the Administrator to assign and reassign space in excess real property to any Federal agency for office, storage, or related facilities on a temporary rather than permanent basis.

(h) Abandonment, destruction, or donation of property.

Authorizes the abandonment, destruction, or donation to public bodies of property having no commercial value, or of which the estimated cost of continued care and handling would exceed the estimated proceeds from its sale.

Section 484. Disposal of surplus property. (a) Supervision and direction.

Provides that the Administrator shall have supervision and direction over the disposition of property surplus to the needs of the entire Government.

(b) Care and handling.

Provides that the care and handling of surplus property pending its disposition, and the disposal of surplus property, may be performed by GSA or any executive agency designated by the Administrator. An agency other than the one in possession, however, cannot be designated to perform care and handling or disposal without its consent.

(c) Method of disposition.

Provides that any agency disposing of surplus property may do so by sale, exchange, lease, permit, or transfer, for cash, credit, or other property, with or without warranty, and may execute such documents for the transfer of the property as may be necessary.

(d) Validity of deed, bill of sale, lease, etc.

Makes instruments purporting to transfer title or other interest in surplus property under the Property Act, which are executed by an executive agency, conclusive evidence of compliance with the Act in the absence of notice of defects. Designed to protect the interest of bona fide grantees or transferees.

(e) Bids for disposal; advertising; procedure; disposal by negotiation; explanatory statement.

(1) Requires that surplus property be disposed of by public advertising, unless disposal is made by abandonment, destruction, or donation; through contract realty brokers; on a negotiated basis in the nine situations set for in paragraph (3); or, in case of personal property, by sales at fixed prices as provided in paragraph (5).

(2) Prescribes advertising procedures

(3) Authorizes negotiation of sales of surplus property, rather than public advertising, in the following nine situations. Negotiation procedure must be conducted under regulations prescribed by the Administrator and must include as much competition as is feasible under the circumstances.

(A) Necessary in the public interest during the period of a national emergency. Restricted to particular lots of personal property and for short periods of time.

(B) Public health, safety, or national security will be promoted by a particular disposal of personal property

(C) Public exigency will not allow the delay incident to advertising certain personal property

(D) Personal property, of such a nature and quantity, that if disposed of by public competitive bids, would impact an industry to the point of affecting the national economy and the estimated fair market value and other satisfactory terms can be obtained

(E) Estimated fair market value of the property involved does not exceed $15,000

(F) Where bid prices after advertising are not reasonable, or have not been independently arrived at in open competition.

(G)Real property, where the character or condition of the property or unusual circumstances, make it impractical to advertise publicly for competitive bids and the estimated fair market value and other satisfactory terms of disposal can be obtained

(H) Disposals to State and local governments and the estimated fair market value and other satisfactory terms of disposal can be obtained

(I) Where otherwise authorized by the Property Act or other law

(4) Realty brokers retained by the Administrator under contract will observe the usual commercial practices in disposing of realty and will give wide public notice of properties for sale or lease.

(5) Authorizes negotiated sales of surplus personal property at fixed prices, either directly or through disposal contractors.

(6) Establishes requirements for the submission to Congress of explanatory statements and annual reports covering negotiated disposals

(f) Contractor inventories.

Subject to regulations of the Administrator, provides that contractors or subcontractors with executive agencies may be authorized to retain or dispose of their contractor inventories.

(g) Agricultural commodities, foods, and cotton or woolen goods.

Requires the Administrator to consult with the Secretary of Agriculture in formulating policies for the disposal of surplus agricultural commodities, etc.

(h) Transfer to Department of Agriculture for price support or stabilization reasons; deposit of receipts; limitation on sale of surplus farm commodities.

When necessary as determined by the Secretary, requires the Administrator to transfer at no cost to the Department of Agriculture any surplus agricultural commodity

(i) Vessels; laws governing sales.

Establishes the Maritime Administration as the statutory disposal agency for surplus vessels of 1,500 gross tons.

(j) Transfers for donation of property to State agencies; State plan of operation; "public agency" and "State" defined.

Authorizes and establishes policy concerning the transfer of surplus personal property to a designated State agency who provides for the fair and equitable distribution of such property to eligible recipients within the State.

(k)Disposals by Secretary of Education, Secretary of Health and Human Services, Secretary of the Interior, Secretary of Housing and Urban Development and Secretary of Defense.

(1)(A) Under sponsorship of the Department of Education authorizes discounted conveyances of surplus real property to units of State and local government or eligible nonprofit entities for school, classroom, or other educational use.

(1)(B) Under sponsorship of the Department of Health and Human Services authorizes discounted conveyances of surplus real property to units of State and local government or eligible nonprofit entities for public-health purposes, including research.

(2) Under sponsorship of the Department of the Interior authorizes discounted conveyances of surplus real property to units of State and local government for public park or recreational purposes.

(3)Under sponsorship of the Department of the Interior authorizes cost-free conveyances of suitable surplus real and related property to units of State and local government for use as a historic monument.

(4) Places responsibility in the sponsoring agencies listed above(and the Secretary of Defense with respect to property conveyed under the Surplus Property Act of 1944, for use in training civilian components of the armed forces) to enforce compliance, to amend instruments of transfer, and grant releases from any terms, conditions and restrictions contained therein.

(5) Under sponsorship of the Corporation for National Community Service authorizes discounted conveyances of surplus property to entities receiving financial assistance under the National and Community Service Act of 1990.

(6) Under sponsorship of the Department of Housing and Urban Development authorizes discounted conveyances of surplus property to units of State and local government or eligible nonprofit entities for housing or housing assistance for low-income individuals or families.

(l) Donations to American Red Cross.

Authorizes donation to the Red Cross for charitable purposes, surplus property which was processed, produced, or donated to the Government by the Red Cross.

(m) Possession of abandoned or unclaimed property on Government premises; disposal; claims by former owners.

Authorizes Administrator to take possession of abandoned and other unclaimed property on premises owned or leased by the Government and, subject to certain conditions, to utilize, transfer or otherwise dispose of such property. Provides limited period of time for former owners to file claim.

(n) Cooperative agreements with State agencies.

Provides authority to enter into cooperative agreements with State surplus personal property distribution agencies designated in conformity with subjection (j).

(o) Annual reports to Congress.

Requires that every two years the Administrator submit to Congress and the Comptroller General, a report evaluating the operation of and providing statistical information on the personal property program.

(p) Transfer or conveyance of property for correctional facility, law enforcement, and emergency management use; consideration-free transfers; reimbursement for interim transfers; reversion option; terms and conditions.

Under sponsorship of the Department of Justice authorizes cost-free conveyances of surplus real and related personal property to units of State and local government for correctional facility or law enforcement use; under sponsorship of the Federal Emergency Management Agency authorizes cost-free conveyances to units of State and local government for emergency management response purposes, including fire and rescue services.

(q) Transfers or conveyance of property for the development or operation of a port facility.

Under sponsorship of the Department of Transportation authorizes cost-free conveyances of surplus real property to units of State and local government for the development or operation of a port facility.

(r) Authorization to donate surplus law enforcement canines to their handlers.

Authorizes the donation of Federal law enforcement canines that are no longer needed for official purposes to individuals with experience handling canines in the performance of law enforcement duties.

Section 485. Proceeds from transfer, sale, etc., of property. (a) Disposition of receipts.

Except as provided in subsection (b), (c), (d), (e), and (h) below provides for the deposit into the U.S. Treasury of net funds received from the transfer of excess property and the disposition of surplus property. (Note: 16 U.S.C. 460l-5(a) diverts funds received from the disposition of surplus real property to the Land and Water Conservation Fund administered by the Secretary of the Interior to assist communities in acquisitions of public park and recreational facilities.)

(b) Deposit of proceeds from sales; use; report.

Subject to limitations authorizes the use of proceeds from surplus real property to pay direct expenses incurred for the utilization of excess property and the disposal of surplus property for fees of appraisers, auctioneers, and realty brokers, for costs of environmental and historic preservation studies, and for advertising and surveying.

(c) Credit to reimbursable fund or appropriation on certain transactions.

Provides that in cases where property was acquired by funds either not appropriated from the general fund of the Treasury, or appropriated therefrom and by law reimbursable, the net proceeds of the disposition or transfer of such property shall be credited to the reimbursable fund or appropriation or paid to the agency declaring such property excess.

(d) Special account deposits.

Authorizes any Federal agency disposing of surplus property to deposit in a special account with the Treasurer, such amount of the proceeds as it deems necessary to permit appropriate refunds to purchasers when a disposition is rescinded or does not become final.

(e) Sale proceeds offset against price or cost of contractor's work.

Recognizes that contractual provisions authorizing proceeds of sales of property to be credited to price or cost of the work covered by a contract are controlling and therefore not subject to the requirements of the Property Act relating to disposition of proceeds.

(f) Acceptance of property in lieu of cash.

Permits an executive agency to accept, in lieu of cash, any property determined by the President to be strategic or critical material for payment of amounts due the Government under leases or sales of surplus property.

(g) Management of credit, leases, and permits on property.

Authorizes the Administrator to administer and manage any credit, lease, or permit taken in connection with the disposition of surplus property.

(h) Property under control of a military department.

Directs real property excess to a military department be made available for transfer without reimbursement to the other military departments. If property is not transferred it is reported to GSA for disposal under Property Act. Subject to appropriation, net proceeds from the disposition of such property are made available for facility maintenance and repair or environmental restoration as follows: (1) 50% at the military installation where the property is located, and (2) 50% by the military department that had jurisdiction over the property. Provision specifically excludes property located at a military installation designated for closure or realignment under the Military Base Closure Acts and damaged or deteriorated military family housing facilities conveyed under 10 U.S.C. 2854a.

(i) Retention of funds to offset costs incurred in conducting sales; deposit in General Supply Fund.

Provides that proceeds from sales of personal property be deposited in General Supply Fund and used to pay disposal expenses.

Section 486. Policies, regulations, and delegations. (a) Promulgation by President.

Authorizes the President, if he deems it advisable, to prescribe over-all policies and directives which shall govern the Administrator and executive agencies in operations under the Property Act.

(b) Accounting principles and standards.

Requires the Comptroller General to prescribe principles and standards of accounting for property, to cooperate with the Administrator and executive agencies in developing property accounting systems, to approve satisfactory systems, to examine agency systems to determine compliance and report to Congress cases of failure to comply or adequately account for property.

(c) Regulations by Administrator.

Requires the Administrator to prescribe regulations to put in effect his functions under the Act, and also requires the heads of agencies to issue orders and directives as are necessary to carry out such regulations.

(d) Delegation and redelegation of authority by Administrator; exceptions.

Authorizes the Administrator to redelegate his authority, excepting, however the authority to issue policy regulations, the authority to make reorganizations with GSA, and as otherwise provided in the Act.

(e) Delegation of functions by Administrator.

Authorizes the Administrator to designate other executive agencies to perform various procurement, utilization, or disposal functions with the proviso that any designation or assignment of functions or delegation of authority shall be made only with the consent of the agency concerned or upon direction of the President.

(f) Transfer of personnel, property, funds, etc., to agency receiving delegated functions.

When an agency is designated to carry out a function, the Administrator may, with the approval of OMB, provide for the transfer of appropriate personnel, funds, etc., to the affected agency.

(g) Establishment of advisory committee; compensation; expenses.

Authorizes the Administrator to establish committees to advise in carrying out functions under the Act.

(h) Consultations between Administrator and Federal agencies.

Mandates that the Administrator advise and consult with Federal agencies in carrying out the purposes of the Act.

(i) Administration of oaths by certain officers and employees.

Provides authority for GSA employees having investigatory functions to administer oaths.

Section 487. Surveys of Government property and management practices. (a) Authorization for surveys, inventory levels, supply catalog system and standardized forms and procedures.

Authorizes the Administrator, after notice to agencies concerned and with due regard to the requirement of the Department of Defense, (1) to survey Government property and property management practices and obtain reports from executive agencies, (2) to cooperate with executive agencies in the establishment of reasonable inventory levels and report excessive stocking to Congress and OMB, (3) to establish and maintain a uniform Federal supply catalog system to identify and classify personal property, and (4) to prescribe standardized purchase and contract forms, procedures and specifications.

(b) Utilization by Federal agencies of supply catalogue system and standardized forms and procedures.

Except as otherwise provided by the Administrator, requires Federal agencies to use uniform supply catalog system and standardized forms and procedures and standard purchase specifications.

(c) Audit of property accounts by General Accounting Office.

Requires the General Accounting Office to audit all types of property accounts and transactions, such audit to include an evaluation of the effectiveness of internal controls and audits, and a general audit of the discharge of the duty to account for property.

Section 488. Disposal of property. (a) Except as provided by (c), requires any executive agency contemplating disposing of any plant, plants, or other property to any private interest to first seek the advice of the Attorney General as to whether the proposed disposal would tend to create or maintain a situation inconsistent with the antitrust laws. When such notice is submitted to the Attorney General by an executive agency other than GSA, a copy of such notice must be simultaneously submitted to the Administrator. Requires that the Attorney General respond within 60 days. (b) Request by Attorney General for information.

Requires GSA or any other executive agency to assist the Attorney General by furnishing any information appropriate or necessary to the determination.

(c) Applicability of provisions.

Excludes the disposal of real property or personal property (other than a patent, process, technique, or invention) if the estimated fair market value is less than $3 million.

(d) Provisions held not to impair, amend, etc., antitrust laws.

Provides that nothing in the Property Act shall modify or limit the applicability of the antitrust laws to persons who acquire property under the provisions of the Act.

Section 489. Civil remedies and penalties. (a) Immunity of officers or employees of Government.

Exempts officers and employees of the Government disposing of property under Property Act from liability with respect to such disposition, except for their own fraud, and from liability for the collection of any purchase price determined to be uncollectible.

(b) Fraudulent tricks, schemes, or devices.

Deals with the civil liability of persons who engage in fraudulent activities for obtaining any payment, property, or other benefit from the United States in connection with procurement, transfer, or disposition of property.

(c) Jurisdiction and venue.

Confers jurisdiction on the courts to hear, try, and determine the suits provided for in subsection (b).

(d) Additional remedies.

Provides that civil remedies provided for under this section shall be in addition to all other criminal penalties and civil remedies provided by law.

Section 490. Operation of buildings and related activities by Administrator. (a) General duties.

When authorized by any provision of law to maintain, operate, and protect any building, property, or grounds situated in or outside the District of Columbia, including the construction, repair, preservation, demolition, furnishing, and equipment thereof, the Administrator is authorized in the discharge of his duties:

(1) to purchase, repair, and clean uniforms for civilian employees of GSA who are required by law or regulation to wear uniform clothing;

(2) to furnish arms and ammunition for the protection force maintained by GSA;

(3) to pay ground rent for buildings owned by the U.S. or occupied by Federal agencies, and to pay such rent in advance when required by law or when the Administrator determines such action to be in the public interest;

(4) to pay per diem rates to personnel employed in connection with the functions of operation, maintenance and protection of property. Such rates may not exceed rates currently paid by private industry for similar services;

(5) without regard to the provisions of 40 U.S.C. 278a, to pay rental and make repairs, alterations, and improvements under leases entered into by, or transferred to, GSA for the housing of any Federal agency prior to July 1, 1950;

(6) to obtain payment, through advances or otherwise, for services, space, quarters, maintenance, repair, or other facilities furnished on a reimbursable basis to any other Federal agency, any mixed-ownership corporation or the District of Columbia and credit such payments to the applicable GSA appropriation;

(7) to maintain and repair and make payment of any obligation arising in connection with the pneumatic tube system connecting buildings owned by the U.S. or occupied by Federal agencies in New York City;

(8) to exempt from the 25% limitation imposed by 40 U.S.C. 278a, the repair, alteration, and improvement of rented premises where the Administrator determines that such work is advantageous to the Government in terms of economy, efficiency, or national security. A copy of the determination must be furnished to GAO and show that total cost to the Government for the expected life of the lease is less that the cost of alternative space;

(9) to pay sums in lieu of taxes on real property declared surplus by Government corporations, pursuant to the Surplus Property Act of 1944, where legal title to such property remains in the corporation;

(10) where not provided from other sources, to furnish utilities and other services to persons, firms, or corporations occupying or utilizing plants or portions of plants which constitute (a) a part of the National Industrial Reserve or (b) surplus real property;

(11) to permit the Secretary of Defense to direct the use of proceeds received by the U.S. from insurance against damage to properties in the National Industrial Reserve, for repair or restoration of the damaged properties;

(12) to acquire, by purchase, condemnation, or otherwise, land or interest therein when authorized by subsequent acts of Congress;

(13) to enter into leases of Federal building sites and additions to sites, including improvements, until they are needed for construction purposes. Such leases may be negotiated without public advertising if the lessee is the former owner or his tenant in possession, and the lease is negotiated incident to or in connection with the acquisition of property. Rental monies received under such leases goes into the Federal Building Fund established under subsection (f) ;

(14) to enter into 3 year contracts for the inspection, maintenance, and repair of fixed equipment in federally owned buildings;

(15) to render direct assistance to and perform special services for the Inaugural Committee during an inaugural period;

(16) to lease space on major pedestrian access levels, courtyards and rooftops of public buildings, at prevailing commercial rates, to persons, firms, or organizations engaged in commercial, cultural, education, or recreational activities (leases may be negotiated but promote as much competition as possible);

(17) to make available, on occasion, or to lease, auditoriums, meeting rooms, courtyards, rooftops, and lobbies of public buildings to persons, firms, or organization engaged in cultural, educational, or recreational activities (lease rates conditions determined by the Administrator and activities may not disrupt normal operations);

(18) to authorize sums received from leases and rentals entered into under paragraphs (16) and (17) to be deposited in the Federal Building Fund established under subsection (f) of this section; and

(19) to furnish utilities, maintenance, repair, and other services, during or outside regular working hours, to persons, firms or organization leasing space authorized under paragraphs (16) and (17).

(b) Buildings owned by United States.

Authorizes the Administrator, at the request of any Federal agency, or any mixed-ownership corporation, or the District of Columbia, to operate, maintain, and protect any building owned by the U.S., or by a wholly-owned or mixed-ownership Government corporation, and occupied by the agency or instrumentality making the request.

(c) Acquisition of land; surveys; construction services.

Authorizes the Administrator, at the request of any Federal agency or any mixed-ownership corporation or the District of Columbia, (1) to acquire land for buildings and projects authorized by Congress; (2) to survey and prepare plans and specifications for projects; and (3) to contract for and supervise the construction of projects. Appropriated funds available for any such building or project may be transferred to GSA.

(d) Transfer of functions.

With certain specified exceptions, directs the Director of OMB, when determined that such action is in the interest of economy or efficiency, to transfer to the Administrator all functions vested in any other Federal agency with respect to the operation, maintenance, and custody of any office building owned by the U.S. or any office building occupied by any Federal agency under lease.

(e) Assignment and reassignment of space.

Consistent with policies prescribed by the President and after consultation with heads of agencies affected, authorizes the Administrator to assign and reassign space of all executive agencies in Government-owned and leased buildings. Requires the Administrator, where practicable, to give priority in the assignment of space on any major pedestrian access level not leased under the terms of subsections (a)(16) or (17) to Federal activities requiring regular contact with members of the public.

(f) Fund for real property management and related activities; establishment; deposit of revenues and collections; merger of unexpended balances; assumption of liabilities, obligations, and commitments; appropriation of advances; special services.

Provides for the establishment of the Federal Buildings Fund to be available for real property management and related activities performed by GSA in such amounts as are specified in annual appropriation acts. Revenues to the fund include: user charges under subsection (j); proceeds from leases authorized under subsections (a) and (h); receipts from carriers and others for loss of, or damage to, property belonging to the fund; rebates or other cash incentives related to energy savings; proceeds from the sale of recycled materials; amounts received for special services provided by GSA on a reimbursable basis; and appropriated funds.

(g) Office furniture; movement and supply.

Provides that, whenever an agency is moved from a GSA-controlled space to another, only such furniture and furnishings shall be moved as cannot more economically and efficiently be made available at the new location. Promotes economy and efficiency by allowing GSA to provide furnished rather than unfurnished space and by making available furniture at the new location rather than moving furniture from the old location.

(h) Lease agreements for period not exceeding twenty years.

Authorizes the Administrator to enter into leases for periods not in excess of 20 years for the accommodation of Federal agencies in buildings which are in existence or may be erected by lessors and to assign and reassign space therein to Federal agencies. If an unexpired portion of any such lease of space is determined surplus and disposed of by sublease, rental receipts go into the Federal Buildings Fund under subsection (f).

(i) Installation, repair, and replacement of sidewalks.

Under regulations prescribed by the Administrator, authorizes executive agencies to install, repair, and replace sidewalks around buildings, installations or grounds under their control.

(j) Charges for space and services furnished by Administrator; determination of rates, exemption from charges.

Authorizes the Administrator to charge agencies for furnished services, space, quarters, maintenance, repairs or other facilities at rates determined by him. Rates must approximate commercial charges for comparable space and services. However, in case of those buildings for which the Administrator is responsible for alterations only, the rates charged must be sufficient to recover only the applicable cost of the alteration. The Administrator may exempt agencies from charges contingent on a determination that the charges would be infeasible or impractical. If exemptions are granted, appropriations are authorized to reimburse the Federal Building Fund (subsection (f)) for the lost revenue.

(k) Charges for space and services furnished by executive agencies; approval of rates by Administrator; credit to appropriation or fund.

Provides that any executive agency, other than GSA, which provides space and services to other agencies, may do so at rates approved by the Administrator.

Section 491. Motor vehicle pools and transportation systems.

Provides for the establishment and operation of motor vehicle pools and systems for transportation of Government personnel and property.

Section 492. Reports to Congress.

Requires the Administrator to submit to Congress in January of each year a report regarding the administration of his function under the Property Act, together with any recommendations for amendments which he may deem appropriate.

Section 493. Repealed.

SUBCHAPTER III--FOREIGN EXCESS PROPERTY

Section 511. Disposal of foreign excess property; agency responsibility; foreign policy controlling; use of foreign currencies and credit; duties of State Department.

Provides that, except where commitments were in effect on July 1, 1949, all excess property located in foreign areas shall be disposed of by the owning agency. The head of the agency in question is directed to conform to the foreign policy of the US in making such disposals. The Secretary of State will administer existing agreements.

Section 512. Methods and terms of disposal. (a) Authority of executive agency

Foreign excess property, not disposed of under subsections (b) and (c) below, may be disposed of by sale, exchange, lease, or transfer, for cash, credit or other property, with or without warranty, and upon such other terms and conditions as the head of the executive agency concerned deems proper. Such property may be disposed of for foreign currencies or credits, or substantial benefits or the discharge of claims. Disposals may be made without advertising when determined by the executive agency to be the most practicable and advantageous to the Government. The responsible agency head may execute necessary transfer documents and may authorize the abandonment, destruction, or donation of foreign property under his control which has no commercial value or the estimated cost of care and handling would exceed the estimated proceeds of sale.

(b) Donation of medical supplies.

Medical materials or supplies, not disposed of under subsection (c), may be donated to nonprofit medical or health organizations, without cost (except for costs of care and handling), for use in any foreign country.

(c) Return of foreign excess property; determination of interest of the United States, costs.

Subject to regulations prescribed by the Administrator, personal property may be returned to the U.S. for handling as excess or surplus property under the Property Act. Requires that the transportation costs incident to such return be borne by the Federal agency, State agency, or donee receiving the property.

Section 513. Proceeds from disposals; foreign currencies; United States currency; disposition.

Provides that proceeds from the disposition of foreign excess property, if in the form of foreign currencies or credits, be administered in accordance with procedures prescribed by the Secretary of the Treasury and, if in U.S. currency or when reduced to U.S. currency, be covered into the Treasury as miscellaneous receipts. Provisions of 40 U.S.C. 485(c) relating to reimbursable funds or appropriations apply to proceeds of foreign excess property disposed of for U.S. currency. Authorizes establishment of a special account from which appropriate refunds to purchasers may be made.

Section 514. General provisions. (a) Promulgation of policies.

Authorizes the President to prescribe policies concerning the disposition of excess foreign property.

(b) Delegation of authority.

Authority conferred upon an executive agency head may be delegated to officials within such agency or to the head of another executive agency.

(c) Employment of personnel.

Subject to limitations, authorizes executive agency head to appoint and fix the compensation of necessary personnel.

(d) Transfer of functions.

Directs that records, personnel, property determined by OMB to relate to the functions transferred to another agency under this subchapter be transferred from the Department of State to that agency.

SUBCHAPTER IV--RECONSTRUCTION FINANCE CORPORATION PROPERTY

Sections 521 to 524. Repealed.

SUBCHAPTER V--URBAN LAND UTILIZATION

Section 531. Declaration of purpose and policy.

Directs that urban land transactions (acquisition, use, and disposition) entered into for GSA or on behalf of other Federal agencies, to the greatest extent practicable, be consistent with zoning and land-use practices and in accordance with planning and development objectives of the local governments and local planning agencies concerned.

Section 532. Disposal of urban lands.

Directs the Administrator, prior to offering urban land for sale, to notify and provide the local zoning office an opportunity of zoning for the use of such land in accordance with local comprehensive planning. Further directs the Administrator to furnish prospective purchases with information concerning zoning and availability of utilities to urban property.

Section 533. Acquisition or change of use of real property.

Directs the Administrator, when proposing to acquire or change the use of any real property situated in an urban area, to notify the local zoning and land-use office and, to the extent practical, comply with and conform to regulations and the planning and development objectives of the local government.

Section 534. Waiver of procedures for disposal of urban lands, acquisition or change of use of real property.

Authorizes the waiver of sections 532 and 533 during national emergencies.

Section 535. Definitions.

Provides the definition of terms used in Subchapter V--Urban Land Utilization.

SUBCHAPTER VI--SELECTION OF ARCHITECTS AND ENGINEERS

Section 541. Definitions.

Provides the definition of terms used in Subchapter VI.

Section 542. Congressional declaration of policy.

States the intent of Congress that the Federal Government publicly announce all requirements for architectural and engineering services, and to negotiate contracts for such services on the basis of demonstrated competence, qualifications and fair and reasonable prices.

Section 543. Requests for data on architectural and engineering services.

Directs an agency head, for each proposed project, to evaluate statements of qualifications and performance data and conduct discussions with no less than 3 firms and select therefrom, in order of preference, no less than 3 firms deemed to be the most qualified to perform the services required.

Section 544. Negotiation of contracts for architectural and engineering services. (a) Negotiation with highest qualified firm.

Directs the agency head to negotiate a contract with qualified firm at fair and reasonable compensation taking into account the estimated value of the services to be rendered, the scope, complexity and professional nature thereof.

(b) Negotiation with second and third, etc., most qualified firms.

Should the agency head be unable to negotiate a satisfactory contract with the highest qualified firm, negotiates should be formally terminated. The agency head should then undertake negotiations with the second most qualified firm. Failing accord with the second firm, the agency head should terminate negotiations and undertake negotiations with the third most qualified.

(c) Selection of additional firms in event of failure of negotiation with selected firms.

Failing to negotiate a satisfactory contract with any of the selected firms, the agency head should select additional firms in order of their competence and qualification and continue negotiations in accordance with this section until an agreement is reached.