House Passes Spending Bill Funding Embassy Construction,
GSA Building Programs
Congress is poised to approve a sweeping $1.2 trillion spending bill, which allocates funds for numerous construction and infrastructure projects, including the construction of federal buildings and embassies. On March 22, the House of Representatives advanced the bill with a 286-134 vote. This is the second, and larger, of two fiscal packages considered by Congress in recent weeks, aimed at funding federal agencies until September 30, marking the end of the fiscal year 2024. The Senate’s approval is still pending.
Both appropriations bills provide funding for various federal departments and agencies. The first package, primarily focused on major construction and infrastructure projects, included funding for the Departments of Transportation and Energy, the U.S. Army Corps of Engineers’ civil works, the Environmental Protection Agency, and almost all military construction projects. This bill, valued at $432.9 billion, was finalized by Congress on March 6 and signed into law by President Joe Biden shortly thereafter.

The more recent bill includes funding for construction projects managed by the General Services Administration (GSA), the State Department’s embassies, and the Department of Defense’s environmental restoration initiatives. However, it cuts the GSA’s building construction and acquisition budget by 68% to $260 million, with $200 million allocated for a new Federal Bureau of Investigation headquarters, a project identified as urgently needed due to the current building’s obsolescence and security vulnerabilities.
The FBI’s new headquarters will be in Greenbelt, Maryland, a decision scrutinized by the GSA’s Inspector General and criticized by some Virginia congressional members due to the selection process.
Additional allocations in the bill include $212 million for the GSA’s major repairs and renovations, marking a 14% decrease from the previous fiscal year. Significant renovations funded include Tacoma, Washington’s Union Station, receiving $79 million, and the William J. Holloway, Jr. federal courthouse and post office in Oklahoma City, allotted $66 million.
The State Department’s embassy construction and operations budget remains unchanged at $903 million. The Department of Defense’s environmental restoration funding sees a 21% reduction, set at $1.3 billion. Other DoD construction programs are covered in the first package.
The bill also encompasses the Department of Labor’s budget, including the Occupational Safety and Health Administration (OSHA), crucial for construction companies, maintaining its budget at $632 million.