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Half to 90% of federal agency HQs empty, billions wasted

by Paul Bedard, Washington Secrets Columnist | July 17, 2023 washingtonexaminer.com

 The evacuation of federal headquarters during the COVID-19 crisis appears to have become permanent and costly with up to 90% of several agency headquarters empty, according to a federal audit.

At least 6 of 24 Washington area headquarters are 90% empty, including several that manage federal office space and employees such as the General Services Administration and the Office of Personnel Management.

The audit from the Government Accountability Office found that just six agencies were operating with half of their staff in the office during the first three months of 2023, the latest sign that efforts to get federal employees back into the office after the coronavirus crisis and after years of encouraging telework have failed.

The findings echo private sector reports. In Washington, private offices are less than 40% full.

A GAO report found that half to 90% of federal headquarters are empty.

GAO graphic. (Click title link to view graphic)

At a House Transportation and Infrastructure subcommittee hearing on the issue, officials said that the emptiness of federal offices is a potential budget and environmental catastrophe.

“We’re wasting taxpayer dollars left and right,” said Rep. Lori Chavez-DeRemer (R-OR).

“The taxpayer is quite literally paying to keep the lights on even when no one is home. And, if this trend is any indication of space usage in leased space, we are wasting literally billions of dollars each year,” added Rep. Scott Perry (R-PA), chairman of the Subcommittee on Economic Development, Public Buildings, and Emergency Management.

Overall, Uncle Sam owns or leases 511 million square feet. That includes some 1,500 buildings and 7,685 leases. It costs $7 billion a year to maintain buildings and lease others, said GAO.

The auditing agency urged headquarters to consider consolidating or dumping space and to even consider joining with other agencies to share space.

But many rejected that advice. “One official said their leadership is reluctant to share headquarters space with other agencies because it could lower their perceived standing as a cabinet-level agency,” said the audit report.

It also raised environmental issues, pointing to wasted use of electricity.

According to GAO, "Office buildings also have environmental costs, and any reduction in office space could reduce those costs. Emissions — and their associated monetary costs — are still generated with underutilized space because agencies continue to operate buildings even when staff are not in the office. While it is difficult to estimate the environmental impact of any individual building, commercial buildings in the country overall consume 35% of the electricity consumed in the U.S. and generate 16% of all U.S. carbon dioxide emissions, according to the Department of Energy. For example, GSA renovated and reduced its current real estate footprint. According to a GSA presentation, these efforts reduced its energy consumption by 50%, saving $6.5 million annually."