Number: RS22287
Title: General Services Administration Prospectus Thresholds for Owned and Leased Federal Facilities
Authors: Clay H. Wellborn, Government and Finance Division 
Abstract: Funding for authorized real property projects is normally provided through annual appropriations acts. Relatively small projects, however, do not require prospectus approval. Prospectus approval is required for new construction or leases in FY2009 only if the proposals are valued at more than $2.66 million; for projects involving the alteration of leased space, the threshold value is $1.33 million. Thresholds change annually to reflect changing construction costs and market circumstances. Under emergency circumstances, GSA does not need prospectus approval for emergency leases whose terms are not to exceed 180 days. Following recent large-scale disasters, however, GSA has had difficulty leasing space for displaced federal tenants because lessors were not willing to enter into 180-day leases when prospective non-federal tenants were willing to sign longer-term leases. Accordingly, committees in both chambers reported bills in the 109th Congress to extend the terms of emergency leases to five years, but neither house took final action. During the 110th Congress, GSA again proposed increasing the term of emergency leases to five years, but no bills addressing this matter were introduced. GSA may resubmit its proposal during the 111th Congress.
Pages: 6
Date: August 20, 2008