New findings say underused government buildings and chronic underfunding have left taxpayer-funded facilities in deteriorating condition.
By yourNEWS Media Newsroom
A federal review board examining the government’s vast real estate portfolio reported Thursday that taxpayer-funded buildings across the country face a massive maintenance backlog estimated at roughly $50 billion.
According to reporting by the Daily Caller News Foundation, the Public Buildings Review Board (PBRB) concluded that decades of underfunding and widespread underuse have allowed thousands of federal facilities to fall into disrepair.
The board detailed its findings in a new report, which estimates the cost of addressing deferred maintenance across the General Services Administration’s property portfolio at $50 billion — more than double previous estimates from the agency.
Deferred Maintenance in GSAs Portfolio March 5 2026 by yourNEWS Media
The review found that funding levels allocated to building maintenance have long fallen far below industry standards.
“GSA has historically received funds equal to about 0.375% of the portfolio’s Functional Replacement Value (FRV), far below the industry standard of 2–4% considered sustainable,” the report states.
Board members said the growing backlog is beginning to affect government operations and workplace safety.
The report warned that deteriorating facilities are “crippling agencies’ ability to deliver on their missions, endangering the federal workforce, and dragging down local economies.”
Buildings constructed between 1951 and 1995 were identified as presenting the greatest maintenance challenges.
In addition to maintenance problems, the review highlighted widespread underuse of federal property.
According to the board, occupancy levels in some sampled facilities during 2024 were as low as 12 percent.
Because of the combination of underfunding and underutilization, the board concluded that selling off a large number of properties may be necessary.
“To meet the 2% FRV industry benchmark with the current appropriation of $620 million annually, the portfolio’s inventory would need to shrink by 80%,” the report stated. “It is not reasonable to expect Congress to appropriate $50 billion to renovate these assets. Large scale disposals are necessary to reduce the footprint and DM&R to manageable levels.”
The report added that a key obstacle facing agencies is the lack of funding required to vacate buildings and prepare them for sale.
Other federal entities have also acknowledged that portions of their real estate holdings are underutilized.
The United States Postal Service said earlier this year that it has 285 buildings across the country that are partially or entirely unused and that legislative action would be required to address the surplus inventory.
Similarly, a memorandum from the Department of Agriculture stated that even after implementing return-to-office requirements, the agency is still using only about one-third of the space in its Washington, D.C., headquarters.
The issue has drawn scrutiny from lawmakers concerned about the cost of maintaining largely empty federal offices.
In a 60-page report released in December 2024, Sen. Joni Ernst of Iowa examined the effects of remote work policies adopted during the COVID-19 pandemic. Ernst found that vacant government office buildings created environmental hazards as well as financial burdens.
Her investigation cited telework-related issues that left buildings largely unused and highlighted vacant federal office buildings in Washington and other cities.
Dan Mathews, a member of the Public Buildings Review Board, said the lack of regular building activity contributed to sanitation and infrastructure problems.
“Water stagnated in the buildings, which created the opportunity for pathogens to grow,” Mathews said during a press briefing. “They had Legionella outbreaks all across the portfolio. You had many pipes and other things that were in really bad condition and frankly not very clean or clear.”
Lawmakers have begun proposing legislation aimed at reducing the federal government’s property footprint.
Ernst and Agriculture Secretary Brooke Rollins announced plans during a news conference to sell the Agriculture South Building in Washington, D.C., an effort Ernst publicized in a post on X.
The Iowa senator has also introduced the DISPOSAL Act, legislation designed to require the federal government to sell several major underused buildings in Washington while streamlining procedures for disposing of other excess properties.
Ernst previously outlined the proposal in a statement announcing the measure, describing it as an effort to accelerate the sale of vacant federal buildings that she said are costing taxpayers billions.
Officials involved in the review say addressing the backlog will likely require a combination of property sales, renovations, and policy changes affecting how federal office space is used.
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