To amend the Federal Property and Administrative Services Act of 1949 to authorize the transfer to States of surplus personal property for donation to nonprofit providers of necessaries to impoverished families and individuals.
Latest Action
Became Public Law No: 105-50.
Official Summary
Amends the Federal Property and Administrative Services Act of 1949 to add providers of assistance to families or individuals with annual incomes below the poverty line to the list of organizations eligible to receive surplus personal property allocated by the Administrator of the General Services Administration. Authorizes the Administrator, under such regulations as the Administrator may prescribe, to assign to the Secretary of Housing and Urban Development (HUD) for disposal such surplus real property, including buildings, fixtures, and equipment situated thereon, as is recommended by the Secretary as being needed for providing housing or housing assistance for low-income individuals or families. Authorizes the Secretary, through such officers or employees of HUD as the Secretary may designate, to sell or lease such property for that purpose to any State, any political subdivision or instrumentality of a State, or any nonprofit organization that exists for the primary purpose of providing housing or housing assistance for low-income individuals or families, subject to the disapproval of the Administrator within 30 days after notice to the Administrator by the Secretary of a proposed transfer of property for the purpose of providing such housing or housing assistance. Requires the Administrator to disapprove a proposed transfer of property unless the Administrator determines that the property will be used for low-income housing opportunities through the construction, rehabilitation, or refurbishment of self-help housing, under terms requiring: (1) any individual or family receiving housing or housing assistance constructed, rehabilitated, or refurbished through the use of the property to contribute a significant amount of labor toward the construction, rehabilitation, or refurbishment; and (2) dwellings constructed, rehabilitated, or refurbished through the use of the property to be quality dwellings that comply with local building and safety codes and standards and to be available at prices below prevailing market prices. Directs the Administrator to ensure that nonprofit organizations that are sold or leased property develop and use guidelines to consider any disability of an individual for the purposes of fulfilling any self-help requirement. Directs the Secretary, in fixing the sale or lease value of property to be disposed of, to take into consideration and discount the value of any benefit that has accrued or may accrue to the United States from the use of such property by any such State, political subdivision, instrumentality, or nonprofit organization. Sets the amount of the discount at 75 percent of the market value of the property, except that the Secretary may discount by a greater percentage if the Secretary, in consultation with the Administrator, determines that a higher percentage is justified.
GovScope Watchdog™
AI Government Intelligence™This law amends the Federal Property and Administrative Services Act of 1949 to allow surplus personal and real property held by the federal government to be transferred or sold at a discount to states, political subdivisions, and nonprofit organizations that provide housing or assistance to low-income individuals and families. It authorizes the General Services Administration (GSA) Administrator to assign surplus real property to the Secretary of Housing and Urban Development (HUD) for disposal for low-income housing purposes. The law requires recipients of such property to use it for constructing, rehabilitating, or refurbishing quality housing that meets local codes and is affordable, with a significant labor contribution from the beneficiaries. It also mandates consideration of disabilities in self-help housing requirements and sets a standard discount of 75% off market value for property sales or leases, with potential for greater discounts upon consultation.
The law facilitates the transfer of surplus federal property to support affordable housing and assistance for impoverished families, with conditions to ensure quality and beneficiary involvement.
- Expands eligibility for surplus personal property donations to nonprofit providers assisting families or individuals below the poverty line.
- Authorizes GSA to assign surplus real property to HUD for housing assistance purposes, with HUD empowered to sell or lease to states or nonprofits.
- Requires housing developed with transferred property to involve significant labor from recipients and meet local building and safety standards.
- Mandates discounts on property sales or leases, generally set at 75% off market value, to reflect benefits accruing to the U.S.
- Includes provisions to accommodate individuals with disabilities in self-help housing programs.
['Low-income individuals and families seeking housing or assistance', 'Nonprofit organizations providing housing or assistance to impoverished populations', 'State governments and political subdivisions involved in low-income housing programs', 'General Services Administration and Department of Housing and Urban Development as administering agencies']
['Ensuring compliance with labor contribution and quality standards may require oversight resources', 'Determining appropriate discount levels and monitoring property use could pose administrative challenges', 'Potential complexity in coordination between GSA and HUD for property transfers and approvals', 'Risk that properties may not be effectively utilized for intended low-income housing purposes without adequate enforcement']
The bill was enacted by the 105th Congress and signed into law on October 6, 1997, reflecting a legislative effort to leverage surplus federal property to support affordable housing initiatives and assistance for impoverished populations. It builds on existing federal property management laws by expanding eligibility and formalizing interagency roles between GSA and HUD.
High concern review — 3 hidden impact flags detected
GovScope reviewed 3 policy-risk categories. Hover for a quick definition. Click detected flags for bill-specific details.
['Increased availability of affordable housing through use of surplus federal property may reduce homelessness or housing insecurity among low-income populations.', 'Nonprofit organizations may expand their capacity and programs due to access to discounted federal property.', 'States and local governments may develop more self-help housing initiatives involving beneficiary labor contributions.', 'Potential administrative burden on federal agencies to monitor compliance and manage property transfers.']
Transparency and oversight will be important to ensure that surplus property is used as intended for low-income housing and assistance. Monitoring the application of labor contribution requirements and adherence to quality standards will be necessary to prevent misuse. The discounting mechanism requires clear documentation to justify valuation and discounts applied. Coordination between GSA and HUD should be tracked to assess efficiency and accountability in property transfers.
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