Federal Buildings Fund

2021 AFR Header Image

Financial Results by Major Fund – Federal Buildings Fund

The FBF is the primary fund established for financial administration of the Public Buildings Service (PBS) activities. PBS provides workplaces for Federal agencies and their employees. FBF resources are primarily generated by rent paid to GSA by other Federal agencies. Operating results are displayed on the Consolidating Statements of Net Cost, segregated into the two primary components of Building Operations – Government Owned, and Building Operations – Leased.

In FY 2021, FBF gross revenue1 was over $11.9 billion, with over 59 percent of the revenue generated from the top five Federal customer agencies as shown in the table below:

Table 1. FBF Top 5 Federal Customers (Dollars in Millions)
Customers Revenue % of Total Revenue
U.S. Department of Justice $2,102 17.7%
U.S. Department of Homeland Security $2,070 17.4%
Federal Judiciary $1,243 10.4%
U.S. Social Security Administration $893 7.5%
U.S. Department of the Treasury $733 6.2%

1 The above gross revenue is inclusive of reimbursable income and does not reflect the revenue available for appropriations.

FBF Net Revenue from Operations

FBF Net Revenue from Operations represents the amounts remaining after the costs of operating GSA owned and leased buildings are subtracted from revenue. Net Revenue from Operations is available to request appropriations for investing in major repairs and alterations for Federal buildings and to provide funding for the cost of constructing new Federal buildings.

The primary source of revenue into the FBF is rent from our customer agencies and the primary sources of expense are the cost of leasing building space and the cost of operating the GSA portfolio of GSA-owned and -leased buildings. PBS also operates a reimbursable work authorization program, which provides customer agencies with alterations and improvements in GSA space, above what is specified in base rental agreements.

The operating results on the Statements of Net Cost reflect a generally stable condition of the overall real property portfolio, where FBF revenues decreased by 2.1 percent between FY 2021 and FY 2020. The primary cause of the reduction in both revenues and expense was lower reimbursable orders from customers for building improvements. This reduction, totaling over $156 million in reimbursable revenues, was greatly affected by the impact the COVID pandemic had on agencies using GSA facilities. Smaller impacts were seen in rent revenues and expenses as the total square footage operated by PBS was down slightly from the previous year. Expenses were further reduced for adjustments to prior year expenses reclassified as capitalized costs.

FBF Obligations and Outlays

In the FBF, obligations are primarily the value of contracts awarded to commercial vendors for the construction of new Federal buildings; for repairs and alterations, cleaning, utilities and other maintenance of GSA-owned Federal buildings; and lease and related payments to commercial landlords for space leased by GSA for Federal agencies. Obligations incurred in FY 2021 reflect decreases in total program activity. Generally, changes in Net Outlays reflect a continuing trend of collections from operating revenues exceeding amounts disbursed for operating and capital programs. The changes in both obligations incurred and outlays reflect decreases particularly caused by the $767 million purchase of the Department of Transportation headquarters building in Washington, DC during FY 2020. No such large purchases were made in FY 2021. Excluding the impacts of that purchase, the balance of the obligations incurred in the FBF were up comparatively from the previous year, while Net Outlays were down, by insignificant amounts.

Table 2. FBF Obligations and Outlays (Dollars in Millions)
Customers 2021 2020 Change ($) Change (%)
New Obligations and Upward Adjustments $11,356 $11,706 $(350) (3.0)%
Net Outlays (Receipts) from Operating Activities ($965) ($316) $(649) 205.4%
Last Reviewed: 2021-12-07