Last April, the Public Buildings Reform Board released data indicating federal buildings in the U.S. are operating at a mere 12% of their estimated capacity. When you consider the General Services Administration (GSA) oversees 363 million square feet of underused federal office space costing U.S. taxpayers $2 billion a year, the opportunities for cost savings and optimization are abundant.
GSA manages all U.S. federal office spaces, owning and leasing more than 8,000 buildings within thousands of communities nationwide. The scale of GSA’s footprint adds another level of intricacy, as no two buildings are the same. With this complex and expansive structure, space optimization is a constant challenge.
The solution for federal building operators lies in understanding your data and leveraging the right technology to analyze it, and there are three key considerations to keep in mind when planning your optimization approach:
1. Understanding the current building usage
2. Overcoming common space consolidation challenges
3. Exploring sustainable solutions that can improve building longevity
Understand your current usage
With more than 400 different U.S. government agencies and an estimated 19 million government employees, there is no “right” approach to the federal office space underutilization challenge. Therefore, having a good understanding of how your current building is being used is essential.
Technology plays a crucial role in understanding your office space utilization. There’s a wide variety of solutions available, including hot desking and flex spaces that enable a fluid work arrangement depending on the day-to-day needs of the space. Additionally, smart sensors and space management software track real-time usage, optimizing both space utilization and energy consumption.
There are a number of solutions to monitor office utilization, but regardless of the specific solution you chose to implement, it’s important to understand how the different elements are interconnected. While some agencies may have too much space and others might not have enough, a holistic view will help you understand and prioritize which improvements and retrofits will make the biggest difference.
Overcome common consolidation challenges through support and funding
One of the biggest challenges when attempting to consolidate federal office usage is finding support and funding that’s needed to implement these improvements. There have been numerous bills and legislation introduced to solve this problem, initially with “Freeze the Footprint” in 2012 that aimed to cap the total square footage owned by government agencies. After that, “Reduce the Footprint” was reintroduced in 2015 with the goal of reducing the government’s real estate footprint. Today, the USE IT Act (Utilizing Space Efficiently and Improving Technologies) is the most recent iteration that focuses on managing carbon emissions, and provides several opportunities for financial support through incentives and grants.
Keep sustainability top of mind
The bond between sustainability and profitability is stronger than ever. Government programs like the Infrastructure Investment and Jobs Act (IIJA) and the Inflation Reduction Act (IRA) signify an even greater federal commitment to sustainability-related investments and offer up vast financial rewards for pioneers in green business. At its core, the most sustainable buildings are the ones maximizing their utilization. Sustainable practices both improve the longevity of buildings and increase the likelihood of receiving funding that aligns with current government initiatives, similar to USE IT.
Final Thoughts: A Path to Optimized Federal Office Space
A holistic approach that combines technology, design, and employee engagement is key to successful space optimization. When taking an all-inclusive view of your space, organizations can not only enhance operational efficiency, but also contribute to the long-term sustainability and resilience of the buildings. Implementing the strategies discussed here will lead to a more productive, cost-effective, and environmentally friendly workspace.
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Don Davidson, VP of Workplace Solutions and Public Sector at Tango
Don Davidson is Vice President of Public Sector at Tango, the leading provider of workplace management solutions. Prior to this role, he served as Chief Revenue Officer and Director at AgilQuest Corporation, where he worked for over 20 years in various capacities. With a career spanning more than 40 years in information technology, Davidson is a seasoned business executive. He has co-founded five technology companies, holding leadership positions in each, and has successfully raised over $40 million in capital funding. Additionally, he has overseen the successful merger or acquisition of three companies. Davidson also serves as an advisor and director for technology companies in Alabama and Virginia and holds four U.S. patents.