Federal agency relocations draw lawsuits, empty lease costs, and worker complaints

NPR review finds costly empty leases, bedbugs, and nonfunctional Wi-Fi at new sites

The administration’s push to relocate federal workers this summer is costing millions in empty lease payments. NASA employees who had worked for decades in rented Columbia University office space in Manhattan were told to vacate last year and are now being directed to report to four locations across New York City by August. The government continues to pay more than $2.5 million per year for those five empty floors, with a lease running until 2031.

“Now they’re paying this extra money for us to have seats so that we can return to office,” one current NASA employee told NPR. “It made zero sense.” The worker requested anonymity for fear of retribution.

The Department of Agriculture faces a similar situation. Employees who were told to move out of an Alexandria, Va., building rented for more than $4 million a year under a lease enduring to 2034 are instead reporting to offices in Washington, D.C., and Beltsville, Md. The agency did not respond to questions about the former lease.

The Army Corps of Engineers has yet to sign a new lease for the 400-plus employees it directed to relocate from Manhattan, some by August 15. “Until we’re able to execute a lease we’re also unable to confirm firm timelines for our staff,” public affairs director Joshua Voda told NPR. Agency records obtained by the International Federation of Professional and Technical Engineers Local 98 indicate that moving the information technology infrastructure alone could cost more than $3 million. Union president Daniel Kim said the relocation could also delay multi-million-dollar infrastructure projects, including one designed to protect more than 80 miles of New York coastline from flooding.

Beyond the financial costs, workers at multiple agencies described workspace problems and what they called haphazard communication. At the Consumer Financial Protection Bureau, three employees told NPR that inconsistent Wi-Fi prevented them from efficiently doing their jobs for weeks after they returned to a new rented Washington office in July. “Right now the internet is not working at all. There’s no main internet,” one worker said in mid-July. Data scientist Steve Wheeler said on July 30 that the Wi-Fi appeared to have been fixed after “three to four weeks of us officially being back to our duty stations.” Workers also described the overall process as “insane.”

At the Beltsville building designated for USDA staff, internal communications showed that a bedbug infestation was treated in May, and as of late July the agency was still working on the problem. The USDA did not respond to questions about the infestation.

Meanwhile, the Forest Service began its reorganization on July 22, in the middle of wildfire season, contradicting the chief’s earlier statements. “You said you weren’t going to do this until end of fire season, and now you’re doing it in the middle of fire season,” said Steve Gutierrez, a union representative with the National Federation of Federal Employees. Across the affected agencies, workers described the communication as “haphazard.” A NASA employee said, “So much of this stuff, they tell you one thing in person and then it’s slightly different when they send the email.”

The confusion has prompted some experienced workers to leave. “These are people that have tons of expertise that is just walking out the door,” Kim said. “The lack of communication on this move has been pretty surprising, it’s been surprisingly bad.”

Two legal complaints filed in July challenge the legality of the relocations. The Forest Service employees’ union, NFFE, alleges the reorganization is an illegal attempt to further reduce the agency’s headcount. At a July 22 hearing, Rep. Angie Craig, D-Minn., said Congress must approve the reorganization, a point disputed by the chief. “I’m going to be watching the outcome of that litigation very closely,” Craig said, “because I don’t take the flaunting of congressional intent lightly.”

A separate lawsuit filed by the D.C. Attorney General’s office on July 27 targets the Department of Housing and Urban Development and Secretary Scott Turner, alleging the move of HUD’s headquarters from Washington to Alexandria, Va., without congressional approval is unlawful. By that date, more than 80 percent of the agency had been moved out of Washington, according to the lawsuit.

“You’re not supposed to be doing this,” Gutierrez said. “[In Congress] they haven’t done anything about it.”