Disposing of Unneeded Federal Real Estate Increasing Sales Proceeds, Cutting Operating Costs, and Improving Energy Efficiency, 33987-33988 [2010-14616]

Download as PDF Federal Register / Vol. 75, No. 115 / Wednesday, June 16, 2010 / Presidential Documents 33987 Presidential Documents Memorandum of June 10, 2010 Disposing of Unneeded Federal Real Estate—Increasing Sales Proceeds, Cutting Operating Costs, and Improving Energy Efficiency Memorandum for the Heads of Executive Departments and Agencies mstockstill on DSKH9S0YB1PROD with PRESDOCO0 My Administration is committed to eliminating all forms of Government waste and to leading by example as our Nation transitions to a clean energy economy. For decades, the Federal Government, the largest property owner and energy user in the United States, has managed more real estate than necessary to effectively support its programs and missions. Both taxpayer dollars and energy resources are being wasted to maintain these excess assets. In addition, many of the properties necessary for the Government’s work are not operated efficiently, resulting in wasted funds and excessive greenhouse gas pollution. For example, over the past decade, the private sector reduced its data center footprint by capitalizing on innovative technologies to increase efficiencies. However, during that same period, the Federal Government experienced a substantial increase in the number of data centers, leading to increased energy consumption, real property expenditures, and operations and maintenance costs. Past attempts at reducing the Federal Government’s civilian real property assets produced small savings and had a minor impact on the condition and performance of missioncritical properties. These efforts were not sufficiently comprehensive in disposing of excess real estate and did not emphasize making more efficient use of existing assets. To eliminate wasteful spending of taxpayer dollars, save energy and water, and further reduce greenhouse gas pollution, I hereby direct executive departments and agencies (agencies) to accelerate efforts to identify and eliminate excess properties. Agencies shall also take immediate steps to make better use of remaining real property assets as measured by utilization and occupancy rates, annual operating cost, energy efficiency, and sustainability. To the extent permitted by law, agency actions shall include accelerating cycle times for identifying excess assets and disposing of surplus assets; eliminating lease arrangements that are not cost effective; pursuing consolidation opportunities within and across agencies in common asset types (such as data centers, office space, warehouses, and laboratories); increasing occupancy rates in current facilities through innovative approaches to space management and alternative workplace arrangements, such as telework; and identifying offsetting reductions in inventory when new space is acquired. Agency actions taken under this memorandum shall align with and support the actions to measure and reduce resource use and greenhouse gas emissions in Federal facilities pursuant to Executive Order 13514 of October 5, 2009 (Federal Leadership in Environmental, Energy, and Economic Performance), and the Federal Data Center Consolidation Initiative, which was announced by the Office of Management and Budget (OMB) in February 2010. In total, agency efforts required by this memorandum should produce no less than $3 billion in cost savings by the end of fiscal year 2012, yielded from increased proceeds from the sale of assets and reduced operating, maintenance, and energy expenses from disposals or other space consolidation efforts, including leases that are ended. This is in addition to the Department of Defense’s Base Realignment and Closure efforts that are expected to achieve $9.8 billion in savings from fiscal year 2010 to fiscal VerDate Mar<15>2010 16:20 Jun 15, 2010 Jkt 220001 PO 00000 Frm 00001 Fmt 4790 Sfmt 4790 E:\FR\FM\16JNO0.SGM 16JNO0 33988 Federal Register / Vol. 75, No. 115 / Wednesday, June 16, 2010 / Presidential Documents year 2012, of which $5 billion is a direct result of reduced operating and maintenance from disposals or other consolidation efforts. In addition, in order to address the growth of data centers across the Federal Government, agencies shall immediately adopt a policy against expanding data centers beyond current levels, and shall develop plans to consolidate and significantly reduce data centers within 5 years. Agencies shall submit their plans to OMB for review by August 30, 2010. To achieve these goals, the Director of the OMB shall develop, in consultation with the Administrator of General Services and the Federal Real Property Council established pursuant to Executive Order 13327 of February 4, 2004 (Federal Real Property Asset Management), within 90 days of the date of this memorandum, guidance for actions agencies should take to carry out the requirements of this memorandum. The guidance shall include agencyspecific targets to achieve $3 billion in cost savings and shall be developed in consultation with the agencies. The Administrator of General Services, in consultation with the Director of the OMB, shall coordinate agency efforts to satisfy the requirements of this memorandum and shall submit to the President periodic reports on the results achieved. This memorandum shall be implemented consistent with applicable law and is not intended to, and does not, create any right or benefit, substantive or procedural, enforceable at law or in equity by any party against the United States, its departments, agencies, or entities, its officers, employees, or agents, or any other person. The Director of the OMB is hereby authorized and directed to publish this memorandum in the Federal Register. THE WHITE HOUSE, Washington, June 10, 2010 [FR Doc. 2010–14616 Filed 6–15–10; 8:45 am] VerDate Mar<15>2010 16:20 Jun 15, 2010 Jkt 220001 PO 00000 Frm 00002 Fmt 4790 Sfmt 4790 E:\FR\FM\16JNO0.SGM 16JNO0 OB#1.EPS</GPH> mstockstill on DSKH9S0YB1PROD with PRESDOCO0 Billing code 3110–01–P

Agencies

[Federal Register Volume 75, Number 115 (Wednesday, June 16, 2010)]
[Presidential Documents]
[Pages 33987-33988]
From the Federal Register Online via the Government Printing Office [www.gpo.gov]
[FR Doc No: 2010-14616]




                        Presidential Documents 



Federal Register / Vol. 75, No. 115 / Wednesday, June 16, 2010 / 
Presidential Documents

[[Page 33987]]


                Memorandum of June 10, 2010

                
 Disposing of Unneeded Federal Real Estate--
                Increasing Sales Proceeds, Cutting Operating Costs, and 
                Improving Energy Efficiency

                Memorandum for the Heads of Executive Departments and 
                Agencies

                My Administration is committed to eliminating all forms 
                of Government waste and to leading by example as our 
                Nation transitions to a clean energy economy. For 
                decades, the Federal Government, the largest property 
                owner and energy user in the United States, has managed 
                more real estate than necessary to effectively support 
                its programs and missions. Both taxpayer dollars and 
                energy resources are being wasted to maintain these 
                excess assets. In addition, many of the properties 
                necessary for the Government's work are not operated 
                efficiently, resulting in wasted funds and excessive 
                greenhouse gas pollution. For example, over the past 
                decade, the private sector reduced its data center 
                footprint by capitalizing on innovative technologies to 
                increase efficiencies. However, during that same 
                period, the Federal Government experienced a 
                substantial increase in the number of data centers, 
                leading to increased energy consumption, real property 
                expenditures, and operations and maintenance costs. 
                Past attempts at reducing the Federal Government's 
                civilian real property assets produced small savings 
                and had a minor impact on the condition and performance 
                of mission-critical properties. These efforts were not 
                sufficiently comprehensive in disposing of excess real 
                estate and did not emphasize making more efficient use 
                of existing assets.

                To eliminate wasteful spending of taxpayer dollars, 
                save energy and water, and further reduce greenhouse 
                gas pollution, I hereby direct executive departments 
                and agencies (agencies) to accelerate efforts to 
                identify and eliminate excess properties. Agencies 
                shall also take immediate steps to make better use of 
                remaining real property assets as measured by 
                utilization and occupancy rates, annual operating cost, 
                energy efficiency, and sustainability. To the extent 
                permitted by law, agency actions shall include 
                accelerating cycle times for identifying excess assets 
                and disposing of surplus assets; eliminating lease 
                arrangements that are not cost effective; pursuing 
                consolidation opportunities within and across agencies 
                in common asset types (such as data centers, office 
                space, warehouses, and laboratories); increasing 
                occupancy rates in current facilities through 
                innovative approaches to space management and 
                alternative workplace arrangements, such as telework; 
                and identifying offsetting reductions in inventory when 
                new space is acquired. Agency actions taken under this 
                memorandum shall align with and support the actions to 
                measure and reduce resource use and greenhouse gas 
                emissions in Federal facilities pursuant to Executive 
                Order 13514 of October 5, 2009 (Federal Leadership in 
                Environmental, Energy, and Economic Performance), and 
                the Federal Data Center Consolidation Initiative, which 
                was announced by the Office of Management and Budget 
                (OMB) in February 2010.

                In total, agency efforts required by this memorandum 
                should produce no less than $3 billion in cost savings 
                by the end of fiscal year 2012, yielded from increased 
                proceeds from the sale of assets and reduced operating, 
                maintenance, and energy expenses from disposals or 
                other space consolidation efforts, including leases 
                that are ended. This is in addition to the Department 
                of Defense's Base Realignment and Closure efforts that 
                are expected to achieve $9.8 billion in savings from 
                fiscal year 2010 to fiscal

[[Page 33988]]

                year 2012, of which $5 billion is a direct result of 
                reduced operating and maintenance from disposals or 
                other consolidation efforts. In addition, in order to 
                address the growth of data centers across the Federal 
                Government, agencies shall immediately adopt a policy 
                against expanding data centers beyond current levels, 
                and shall develop plans to consolidate and 
                significantly reduce data centers within 5 years. 
                Agencies shall submit their plans to OMB for review by 
                August 30, 2010.

                To achieve these goals, the Director of the OMB shall 
                develop, in consultation with the Administrator of 
                General Services and the Federal Real Property Council 
                established pursuant to Executive Order 13327 of 
                February 4, 2004 (Federal Real Property Asset 
                Management), within 90 days of the date of this 
                memorandum, guidance for actions agencies should take 
                to carry out the requirements of this memorandum. The 
                guidance shall include agency-specific targets to 
                achieve $3 billion in cost savings and shall be 
                developed in consultation with the agencies. The 
                Administrator of General Services, in consultation with 
                the Director of the OMB, shall coordinate agency 
                efforts to satisfy the requirements of this memorandum 
                and shall submit to the President periodic reports on 
                the results achieved.

                This memorandum shall be implemented consistent with 
                applicable law and is not intended to, and does not, 
                create any right or benefit, substantive or procedural, 
                enforceable at law or in equity by any party against 
                the United States, its departments, agencies, or 
                entities, its officers, employees, or agents, or any 
                other person.

                The Director of the OMB is hereby authorized and 
                directed to publish this memorandum in the Federal 
                Register.
                
                
                    (Presidential Sig.)

                THE WHITE HOUSE,

                    Washington, June 10, 2010

[FR Doc. 2010-14616
Filed 6-15-10; 8:45 am]
Billing code 3110-01-P