Fed IG: CFPB reno estimated at $215.8M
The Federal Reserve's IG report on CFPB building renovation costs was released last week.
July 7, 2014 – A Federal Reserve Inspector General report responding to a request from House Republicans says “all-in” costs for the renovation of CFPB’s headquarters are estimated, currently, at about $215.8 million.
The report was requested by House Financial Services Oversight and Investigations Subcommittee Chairman Patrick McHenry, R-N.C. McHenry and other committee members issued a statement criticizing the cost figures, claiming the bureau is spending more than $590 per square foot. They compare that with the $334 per square foot paid to build Trump World Tower, for example.
The Los Angeles Times, in a story Wednesday, noted the IG report gives no per-square-foot cost.
What the report does provide includes the following:
- Of the $215.8 million in total costs, $145.1 million is obligated for construction, construction management and General Services Administration fees. Another $70.7 million is for other items, including, among other things, rent for swing space, moving costs and other renovation-related expenses.
- As to CFPB processes related to planning and budgeting, the IG found that approval of renovation funding was not in accordance with CFPB’s current policies for major investments; it said CFPB officials noted the decision to renovate pre-dated these policies.
CFPB is leasing its space from the Office of the Comptroller of the Currency. The space is the former headquarters of the Office of Thrift Supervision.
Federal Reserve IG report
House Financial Services release