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USDA Cuts Costs with Building Sale

USDA Cuts Costs with Building Sale


By Jamie Martin

The U.S. Department of Agriculture (USDA) and the U.S. General Services Administration (GSA) have announced plans to dispose of the Agriculture South building in Washington, DC. The action is intended to improve efficiency, reduce costs, and better manage federal real estate resources.

Officials explained that the Ag South building is largely unused, with more than 85% of its space vacant. Maintaining the property has created a major financial challenge, including a billion-dollar liability and an estimated $1.6 billion backlog in maintenance needs. By moving forward with the disposal, the agencies aim to remove these costs and protect taxpayer's dollars.

“GSA is enthusiastically committed to executing President Trump’s vision of reducing the bloated federal real estate portfolio and turning the fiscal drain of empty space into economic opportunity,” said GSA Administrator Edward C. Forst. “I applaud Secretary Rollins, Deputy Secretary Vaden, and Senator Ernst for their efforts to save taxpayer money and make our federal workspaces great again.”

USDA developed a strategy to align its workforce with more practical and modern workspaces. Under the proposed plan, average office utilization is expected to rise significantly, increasing from about 15% to nearly 80%. Leaders say this will help create more effective workplaces while maintaining operational performance.

The decision is part of a wider effort to streamline government operations and reduce unnecessary spending. Agency officials noted that managing federal buildings more efficiently allows resources to be redirected toward essential services and mission priorities. The plan also reflects broader organizational changes designed to strengthen USDA’s long-term sustainability.

“This is a long overdue move to protect American taxpayer dollars from being wasted on expensive real estate inside the Washington, D.C. area when our government should be closer to the farmers and ranchers we serve,” said Secretary Brooke Rollins.

“More than 85% of the South Building is unoccupied and there is a $1.6 billion backlog in delinquent maintenance. It is simply unacceptable to put these costs on the taxpayer. We are being strong stewards of taxpayer dollars while also ensuring top notch customer service and fulfilling our promises to American farmers,” said Rollins.

Another important aspect of the project is its potential economic impact. Disposing of the building may open opportunities for redevelopment and growth in Southwest Washington, DC, while reducing ongoing costs for the federal government.

Leaders described the announcement as a step toward modernizing the federal real estate portfolio and ensuring government facilities match current needs. The move also supports efforts to improve service delivery by focusing on resources where they are most effective.

“President Trump made clear his second term would include relocating the sprawling federal bureaucracy to locations outside the National Capital Region,” said Deputy Secretary Stephen Alexander Vaden.

“The prior administration not only burdened the taxpayer through questionable policymaking but also by maintaining a massive, underutilized real estate footprint that USDA’s budget could not sustain. Today’s announcement cements the beginning of USDA’s larger reorganization, ensuring this Department delivers on its mission to the American people within the bounds of its financial resources,” said Vaden.

Overall, the Ag South disposition represents a major step in federal space consolidation. By reducing underused property and improving workspace efficiency, USDA and GSA aim to strengthen operations, save taxpayer money, and support the agency’s mission to serve farmers, ranchers, and rural communities across the country.

Photot Credit: usda


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