Public-Private Partnerships: Pilot Program Needed to Demonstrate the Actual Benefits of Using Partnerships

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A letter report issued by the General Accounting Office with an abstract that begins "The U.S. government is one of the world's largest property owners, with a real estate portfolio of more than 400,000 defense and civilian buildings and more than one-half billion acres of land. Each year, the federal government spends billions of dollars to maintain its buildings. Even so, the General Services Administration (GSA) contends that it needs $4 billion, over and above these expenditures, to maintain its existing inventory. This report identifies the potential benefits to the federal government of entering into public-private partnerships on real property--an ... continued below

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United States. General Accounting Office. July 25, 2001.

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Description

A letter report issued by the General Accounting Office with an abstract that begins "The U.S. government is one of the world's largest property owners, with a real estate portfolio of more than 400,000 defense and civilian buildings and more than one-half billion acres of land. Each year, the federal government spends billions of dollars to maintain its buildings. Even so, the General Services Administration (GSA) contends that it needs $4 billion, over and above these expenditures, to maintain its existing inventory. This report identifies the potential benefits to the federal government of entering into public-private partnerships on real property--an arrangement in which the federal government contributes real property and a private entity contributes financial capital and borrowing ability to redevelop or renovate the real property. GAO found that public-private partnership authority could be an important management tool to address problems in deteriorating federal buildings, but further study of how the tool would actually work and its benefits compared to other options is needed. Potential net benefits to the federal government of entering into these public-private partnerships include better space, lower operating costs, and increased revenue without up-front federal capital expenditures if further analysis shows that they would not be treated as capital leases for budget-scoring purposes. The potential benefits of public-private partnerships do not diminish the need for GSA to pursue other alternatives for addressing problems in deteriorating federal buildings. GAO summarized this report in testimony before Congress; see Public-Private Partnerships: Factors to Consider When Deliberating Governmental Use as a Real Property Management Tool, by Bernard L. Ungar, Director for Physical Infrastructure Issues, before the Subcommittee on Technology and Procurement Policy, House Committee on Government Reform. GAO-02-46T, October 1 (11 pages)."

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Government Accountability Office Reports

The U.S. Government Accountability Office (GAO) is an independent, nonpartisan agency that works for the U.S. Congress investigating how the federal government spends taxpayers' money. Its goal is to increase accountability and improve the performance of the federal government. The Government Accountability Office Reports Collection consists of over 13,000 documents on a variety of topics ranging from fiscal issues to international affairs.

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  • July 25, 2001

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  • June 11, 2014, 5:03 a.m.

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United States. General Accounting Office. Public-Private Partnerships: Pilot Program Needed to Demonstrate the Actual Benefits of Using Partnerships, report, July 25, 2001; Washington D.C.. (digital.library.unt.edu/ark:/67531/metadc292885/: accessed December 12, 2017), University of North Texas Libraries, Digital Library, digital.library.unt.edu; crediting UNT Libraries Government Documents Department.