GAO: Federal deferred‑maintenance backlog tops $370 billion; members press for clearer data before sweeping disposals

WASHINGTON — The federal government’s backlog of deferred maintenance has more than doubled to about $370 billion, and officials and lawmakers at a House Appropriations subcommittee hearing urged a data‑driven, risk‑based approach before large‑scale disposals or staffing cuts, David Maroney, director of physical infrastructure at the U.S. Government Accountability Office, told the Subcommittee on Financial Services and General Government.

Maroney told the panel the federal civilian portfolio includes more than 285,000 buildings and structures with a replacement value of about $1.2 trillion and that if agencies “don’t keep up federal ongoing maintenance, things get more expensive to replace.” He said the GAO added building condition to its high‑risk list this year because of rapid increases in the cost to address deferred maintenance and said GSA’s own backlog rose from roughly $2.53 billion in fiscal 2020 to about $6.1 billion in fiscal 2024.

Why it matters: Deferred maintenance can reduce a building’s ability to support agency missions and become costlier over time. Maroney told lawmakers that agencies should prioritize “the systems that if we don't address are gonna be very expensive to fix, are gonna impact the use of these buildings and potentially affect mission.”

Members pressed several operational and oversight points. Ranking Member Representative Pocan said constituents are worried about broader administrative actions and sought additional oversight; Pocan asked whether agencies and new White House‑led initiatives have coordinated with GAO. Maroney answered that GSA has been leading public announcements about property disposals and lease reductions and that GAO had not interacted directly with the administration office referenced by members.

Several members questioned whether headline reduction targets are supported by utilization data. Maroney said utilization data—required by recent law to be collected this summer—will provide a better picture of how buildings are used and that some short‑term disposals of clearly underused, poor‑condition properties could proceed now. He cautioned, however, that “it’s good to have the best data you can as you're making long term decisions.”

On the process for selling or transferring federal property, Maroney described three steps: the owning agency first declares property excess; GSA checks other federal agencies for interest; and, if none is found, state/local governments and qualifying nonprofits are offered the property (often with a 30‑day review). If still unsold, GSA may conduct a public sale by auction or sealed bid. He said the disposal process can take from one to five years and that environmental and historic preservation reviews can lengthen timelines.

Members representing rural districts asked whether the disposal assessments consider local community impacts such as rural post offices and “third‑space” functions. Maroney said GAO’s deferred‑maintenance work covers buildings across rural, suburban and urban areas but that GAO has not done a community‑impact study tied to disposal decisions.

Several lawmakers warned that large staff cuts could hamper GSA’s ability to execute consolidation or to oversee contractors. Maroney said any large transformation “requires the right staff with the right capabilities” and that reduced staffing could complicate execution without careful planning.

What’s next: Maroney noted that, under the law passed in January, agencies will begin collecting utilization data this summer and that OMB and GSA have authority to start directing disposals if utilization remains below a 60% threshold over the required timeline. Lawmakers signaled further oversight interest and asked for agency responses for the record.

Ending: The hearing closed with members reserving time to submit follow‑up questions; no formal votes or committee actions were taken at the session.