CBO Sees No Cost to Emergency Office Space Repairs Measure

The Congressional Budget Office has said it sees “no

significant impact” on the federal budget from enactment

of HR-4125, a bill to permit General Services

Administration to make repairs and lease space without

approval of a prospectus if the repair or lease is required

as a result of damages to buildings or property attributable

to Hurricane Katrina or Hurricane Rita. The estimate could

boost the chances of Congress approving the bill, which

recently moved through the House Government Reform Committee

and which is designed to help deal with the dislocation of

thousands of federal employees who had been working in

facilities damaged in the storms.

Under current law, GSA is responsible for repairing federal

buildings it manages and leasing privately owned properties

for use by federal agencies. Spending for such activities

is subject to appropriation. Except in emergency situations,

repairs or leases that are estimated to cost more than

$2.41 million require prior approval by the congressional

committees with jurisdiction over GSA.

The bill would authorize GSA to proceed, without prior

approval by those committees, with any repairs or lease

negotiations necessitated by Hurricanes Katrina or Rita.

Under the measure, GSA might complete activities with

estimated costs greater than $2.41 million sooner than

under current law.

Based on information from GSA, CBO estimated that the

proposed procedural change would not significantly affect

the rate at which GSA will spend existing resources. CBO

also estimated that the bill would not have a significant

impact on new funding for repairs or leases related to the

hurricanes. Any such funding would be subject to

appropriation.

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