GAP 200.110, Excess Federal Government Property - Use by Sponsored Projects

I.    General

II.   Definition of Terms

III.  Acquisition

IV.  Record Keeping Requirements

V.   Inventory Procedures

VI.  Disposition or Transfer

 

 

I. General

The Federal Government may transfer excess government personal property to Duke University as a means of providing additional grant support and conserving supply and equipment funds. Excess government personal property includes new or used equipment and materials owned by the Federal Government but no longer needed by the holding federal agency. The Contracting/Granting Officer's approval is required before excess property can be obtained on a federal contract or grant.

The custodian of excess government personal property is responsible for the maintenance, repair, protection and preservation of the property so that it is usable for the purpose for which it was obtained. All excess government personal property is accepted subject to any written directions of the sponsoring agency. Usually title to the property remains with the Federal Government. If title remains with the Government, any enhancements and repairs to the property also stay with the Government.

Government owned property cannot be disposed of without prior written Governmental approval.

 

II. Definition of Terms

A. Excess Property

Items of equipment, new or used, owned by the Federal Government and no longer needed by the holding agency, but not declared surplus.

B. Holding Agency

The agency or department of the Federal Government that physically possesses the excess property.

C. Sponsoring Agency

The agency of the Federal Government that is funding a project at Duke University pursuant to a grant or contract. The sponsoring agency is not necessarily the same as the holding agency, although it may be.

 

III. Acquisition

When the General Services Administration (G.S.A.) releases information on excess property (usually through the sponsoring agency), the Principal Investigator in need of a particular item for a specific project should identify said items. Materials and equipment selected should be inspected if possible. If physical verification is not possible, the PI should contact the holding agency to verify the condition of the items. Interpretation of condition codes varies among agencies.

After confirming the condition of the property, the PI should call the G.S.A. office identified in the catalog to freeze (reserve) items. Items are usually allocated on a first come, first served basis. The PI must confirm the reservation by follow-up letter, routed through the Office of Sponsored Programs (OSP) for co-signing by a University official. Requests must explain why the property is needed and on which sponsored project it is to be used.

Excess property is usually obtained without cost to the University. However, the University specifies the method of shipment and usually pays all costs of packing, transportation, installation, and any subsequent rehabilitation and or maintenance required, unless the sponsored project provides for the payment of such costs.

 

IV. Record Keeping Requirements

For record keeping purposes, department representatives should forward copies of the shipping documents to OSP for inclusion in the project file and equipment inventory. These documents must list the related project, location of the property at Duke, custodian of the property, government equipment number, and the date of acquisition. OSP will contact Plant Accounting so that items may be tagged and properly recorded.

All excess property must be catalogued in the University’s physical property records according to the price stated by the Federal agency, even though the item was obtained at no cost to the University. The price is usually shown on the shipping document accompanying the equipment. This equipment is referred to as “Government Furnished” and is owned by the Federal Government. The University is responsible for tagging and maintaining inventory control on these items until the government instructs the University to ship the equipment to another location or relinquishes title to the University.

 

V. Inventory Procedures

Plant Accounting is responsible for establishing and maintaining inventory control over excess government property. They will periodically inspect the property to determine its location, condition and existence. The custodian of the equipment will be given advance notice of inspections to arrange their schedule accordingly.

 

VI. Disposition or Transfer

When an item of excess Federal Government personal property is no longer needed for the purpose for which it was obtained, Grant Managers or project personnel will notify OSP through a disposition request. The disposition request should say what the department wants to do with the property, based on the condition of the property, cost of transport, and need by another area of the University. OSP then notifies the sponsoring agency. The agency gives official disposition instructions to the Office of Sponsored Programs who then informs the department and Plant Accounting.