Current through Vol. 42, No. 7, December 16, 2024
(a) If a donee
fails to place donated property into use for the purpose for which it was
donated within one year of donation, the Agent shall advise the donee of
actions required to return, transfer or dispose of the item at the donee's
expense.
(b) If a donee ceases to
use donated property for the purpose for which it was donated within one year
after the property was placed into use, the Agent shall advise the donee of
actions required to return, transfer or dispose of the item at the donee's
expense.
(c) If the Agent
determines that property in the possession of a donee is usable and the donee
has not met the requirements set forth in (a) and (b) of this Section, the
property must be returned, transferred or disposed of in accordance with (d) of
this Section.
(d) Return of usable
property shall be accomplished in one of the following ways as directed by the
Agent:
(1)
Returning Property to the
Agent. A donee shall notify the Agent whenever it wishes to return
usable donated property to the warehouse. The Agent shall make every effort to
locate another donee within the state to determine if the property can be
retransferred. If the property cannot be retransferred to another donee within
the state, the Agent will instruct the donee to return the property to the
Agent's warehouse.
(2)
Direct
transfer to another donee within the state. In cases where donated
property is retransferred from one donee within the state to another or
returned to the Agent's warehouse for retransfer to another donee, the Agent
shall process documentation showing the return to inventory. If the property,
however, is being retransferred directly from one donee to another within the
state, the Agent shall prepare and process a Distribution Document. The Agent
shall indicate on the document that the property is, in fact, being transferred
from one donee to another.
(3)
Transfer to another State Agency for Surplus Property or Federal
agency.
(A)
Transfers to other
State Agencies for Surplus Property. Whenever property is not needed by
a donee within the state, the Agent, in accordance with 41 CFR 102 - 37.290(a)
(2) shall immediately offer it to a State Agency for Surplus Property in
another state. When donated property is being transferred to another State
Agency, the gaining agency will prepare and submit an SF-123 to the General
Services Administration. GSA, upon request from the holding State Agency, shall
assist in making it known to other State Agencies that unneeded property in one
state is available for transfer and arranging and coordinating visits between
State Agencies. Transfers between State Agencies are subject to the disapproval
of GSA within 30 calendar days after notice to the GSA regional
office.
(B)
Transfers to
federal agencies. Property not retransferred directly to another donee
within the state or another State Agency will be reported to GSA for redisposal
instructions which may include retransfer to a Federal agency. When a federal
activity requests property from the Agent, the Federal (gaining) agency will
prepare and submit an SF-122 to GSA.
(4)
GSA approval for disposal by
sale. Usable returned property that is not transferred to another donee
within the state or another State or Federal agency may, with GSA approval, be
disposed of by public sale. The Agent may act as GSA's agent in selling donated
property (either as usable property or scrap) if an established cooperative
agreement with GSA permits such an action. The GSA regional office will inform
the Agent of those property item(s) that can be sold and the Agent, in turn,
shall prepare and submit a Standard Form 126 (Report of Personal Property for
Sale) to GSA as directed. GSA will then determine and approve the actual point
of sale and required sales method. If GSA authorizes disposal of the item by
means of sale, the Agent shall provide return instructions to the donee and
follow the guidelines set forth in 41 CFR 102 - 37.305 through
102-37.315.
(e)
Abandonment and
destruction. Unusable property items in the possession of a donee may
only be abandoned or destroyed when the Agent makes a written finding that the
property has no commercial value or the estimated cost of its continued care
and handling would exceed the estimated proceeds from its sale. The finding
shall be written in accordance with 41 CFR 102 - 37.320 and submitted to GSA
for approval. GSA will notify the Agent within 30 calendar days as to whether
the Agent may abandon or destroy the property. GSA will provide alternate
disposition instructions if it disapproves the Agent's request for abandonment
and destruction of the property. If GSA does not reply to the Agent's request
within 30 calendar days of notification, the property may be abandoned or
destroyed. However, the Agent shall further consult GSA for guidance regarding
prior public notice of proposed abandonment or destruction actions. The Agent
shall also prepare and retain certification documentation as directed by GSA to
account for the physical abandonment or destruction action. The certification
document must be signed by the Agent and an employee of the Agent who witnessed
the actual abandonment and destruction action of the item(s) referenced in the
document itself.
(f)
Failure
of donee to follow property return instructions. If an item is usable
and the donee fails to adhere to instructions the Agent provides for return,
transfer or disposal of the item, the Agent shall attempt to retrieve the item
with retrieval expenses to be borne by the donee. If the Agent is unable to
retrieve the item, the Agent shall utilize the provisions of (g) of Section
580:45-1-45
to notify GSA of donee noncompliance.
(g)
Donee credit and
reimbursement.
(1)
Donee
reimbursement for unused property. When a donee acquires property from
the Agent and believes it to be unsuitable for the intended purpose, the Agent
may authorize the donee to return the item to the Agent for a determination of
the amount of the credit due to the donee. The return credit shall not exceed
the original service charge for the item. The Agent shall utilize the table
shown below to determine the return credit for an "unused" item if the item is
in the same condition as at the time of acquisition:
(A) Returned within 30 days - Up to 100%
Credit
(B) Exceeding 30 to 60 days
- Up to 90% Credit
(C) Exceeding 60
to 90 days - Up to 75% Credit
(D)
Exceeding 90 to 180 days - Up to 50% Credit
(E) Exceeding 180 days - As determined by the
Agent
(2)
Donee
reimbursement for used property. When a donee no longer has a need or
use for donated property and there has been no breach of the terms and
conditions of the donation or special handling conditions or use limitations
imposed by GSA, the donee may be reimbursed on a prorated basis for the
following expenses:
(A) Service charge paid
to the Agent;
(B) Transportation
charges paid by the donee in initially acquiring the property; and
(C) Initial costs of repairs required to make
the item usable. If the donee has incurred repair expenses for property it is
returning to the Agent, it will inform the Agent. The donee will provide the
Agent documentation to substantiate the amount claimed for the cost of initial
repairs to make the returned item usable. The donee may be reimbursed for all
or part of the initial cost of repairs required to make the item usable if:
(i) The property is transferred to a federal
agency or sold for the benefit of the United States Government:
(ii) No breach of the terms and conditions of
donation has occurred; and
(iii)
GSA authorizes the reimbursement.
(D)
Reimbursement amount
recommendations for used property. The Agent shall recommend for GSA
approval the amount of reimbursement that takes into consideration the benefit
the donee has received from the use of returned property and making appropriate
deductions for that use. Reimbursement is not authorized unless the used item
was placed into use by the donee within 1 year of its receipt. However, in
cases where used returned property is sold, reimbursement shall not exceed the
proceeds of the sale of the item. When making a reimbursement recommendation to
GSA for used property, the Agent will provide the following information:
(i) Indicate whether or not the item was
placed into use by the donee within 1 year of receipt; and
(ii) Item restriction period; and
(iii) The number of months the property was
actually used by the donee; and
(iv) The item's total service charge and
initial transportation and repair costs (if applicable.)
(E) GSA will approve, revise or disapprove
the recommended reimbursement amount to be allowed a donee based on an internal
computational method that considers the item's individual period of
restriction, number of months utilized and the total of the service charge,
initial transportation costs and repair costs (if applicable.)
