U.S. Department of Education to downsize footprint in Washington, D.C. and save $4.8 million annually

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U.S. Department of Education to downsize footprint in Washington, D.C. and save $4.8 million annually

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The U.S. Department of Education announced on March 26 that it will move out of the Lyndon B. Johnson headquarters building in Washington, D.C., a step expected to save taxpayers approximately $4.8 million each year in operating costs by eliminating unused space.

The decision comes as part of efforts to reduce the federal education bureaucracy and make government operations more efficient for taxpayers. The department's move is scheduled for August 2026, with plans to relocate to 500 D Street SW.

Secretary of Education Linda McMahon said, "One year ago, President Trump signed one of the most consequential executive orders of his presidency – to break up the federal education bureaucracy and return education to the states. Thanks to the hard work of so many, we have made unprecedented progress in reducing the federal education footprint, and now we are pleased to give this building to an agency that will benefit far more from its space than the Department of Education. This is an important step in our efforts to forge brighter futures for our nation’s students, honor the taxpayers who invest in their promise, and support the civil servants who keep this vital work moving forward.”

As part of these changes, the U.S. Department of Energy will leave its current James V. Forrestal building and take over the lease on the Lyndon B. Johnson building formerly occupied by Education. By doing so, Energy expects taxpayer savings exceeding $350 million by avoiding major deferred maintenance costs at its previous site.

Energy Secretary Chris Wright said, “Relocating to the LBJ building will deliver significant taxpayer savings and will ensure the Energy Department continues to deliver on its mission... We look forward to working closely with General Services Administration and Education throughout this process.”

General Services Administration Administrator Edward C. Forst also commented on GSA's role: “GSA is partnering with Education and Energy Departments to match their missions... with ideal environments that powers their talented workforce, cuts waste, and lowers costs... This is government working smarter for American people." Forst thanked both secretaries for their collaboration on what he described as a key directive from President Trump.

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