1. Home
  2. Property Management Manual
  3. 3.00 Disposal
  4. 3.20 University and Sponsor Equipment

3.20 University and Sponsor Equipment

Page last updated

PURPOSE:

To provide University department with proper procedures for the disposal of University and sponsor owned property

SOURCE:

Powers and duties of the University President, ABOR Policy 3-801 and 3-802

Authority below applies ONLY to Federal Property (acquisition dollars or title)

  • Government Property, 48 C.F.R. § 45
  • Government Property, 48 C.F.R. § 52.245-1
  • Government Property, 48 C.F.R. § 245
  • Government Property, 48 C.F.R. § 1852.245
  • Uniform Guidance, 2 C.F.R. § 200

POLICY:  Any and all personal property in the University's custody, whether titled to the University or not and regardless of the funds used to purchase it, is University property. University property can only be disposed of through Surplus Property.

Under no circumstances shall a department or employee discard or give away University property. Except as instructed by Surplus Property, University property is to be transported to Surplus Property warehouse and yard.

If it is determined that the University property intended for disposal is contaminated, toxic or potentially hazardous to staff and the public, departments are to notify Risk Management for disposal instruction.

If a University employee improperly disposes, cannibalizes, sells or gifts University property, the employee is subject to disciplinary action. The employee's department may also be required to transfer from departmental funds to central administration an amount equal to the fair market value of the property and any costs associated with the recovery of the property.

PROCEDURE:  Custodial department determines the titleholder of the property being considered for disposal and follows the steps below:

I. GOVERNMENT AND OTHER SPONSOR OWNED PROPERTY:

RESPONSIBILITY

 ACTION

CUSTODIAL DEPARTMENT
  1. Notify the SPS Property Administrator that an item with government or other sponsor title is to be disposed of, its condition and request disposition instructions be obtained from the sponsor.

SPS PROPERTY ADMINISTRATOR
  1. Notify the grant or contracting officer of the government and other sponsor as to the condition of the item and request disposition instructions.
  2. Advise the department as to the determination of the sponsor on disposition instructions for the equipment.
  3. If the sponsor abandons the property to the University, prepare a Property Record Change form to change the title to the University and send to the Property Management to change the titleholder to University in the Capital Asset Module (CAM).

CUSTODIAL DEPARTMENT
  1. If requested by the sponsor’s disposition instructions, return the property to the sponsor.
  2. If title is abandoned or transferred to the University, follow the disposal instruction for University Titled Property.

II. UNIVERSITY TITLED PROPERTY

CUSTODIAL DEPARTMENT
  1. Log onto the asset management software and fill out the Disposal Requests. 
  2. Provide or arrange for transportation of the property to Surplus Property. If the nature or condition of property possesses a hazard, it must be properly packaged for transport and handling. All hazardous, contaminated and toxic property must be declared as part of any movement of property to Surplus Property.

SURPLUS PROPERTY
  1. Surplus Property will not be able to pick up any capital equipment (equipment that appears to have cost $5,000 or more) which does not have a UA inventory tag physically on it or does not reference a UA inventory tag in the accompanying paperwork. 

CUSTODIAL DEPARTMENT
  1. If the equipment does not have an A-Tag number, search the department’s inventory listing, including unlocated equipment for A-Tag information, and call Property Management to assist in the research.

SURPLUS PROPERTY
  1. The following is a list of disposal methods.
    1. Public Sales
    2. Cannibalization
  2. If the sale price is $5,000.00 or more per unit and the property was acquired on a Sponsored Projects Services account (3000000 to 4999990) obtain approval for the sale from the SPS Property Administrator. Prior federal sponsor approval for property disposal is required on some federally funded, university titled equipment when the disposal sale (market value) price is $5,000.00 or more. 

SPS PROPERTY ADMINISTRATOR
  1. When contacted by Surplus Property, verify if the sponsor is a federal agency and if the federal sponsor’s contract, grant or agreement has a property provision requiring federal sponsor approval before a disposal sale with a per unit price of $5,000 or more.
  2. If federal sponsor approval for the disposal is required, advise Surplus Property and submit a disposition request to the federal sponsor. Inform Surplus Property upon receipt of instructions from the federal sponsor.

SURPLUS PROPERTY
  1. Complete the sale.
  2. Update Surplus Property's website to reflect that University property items have been disposed of.

PROPERTY MANAGEMENT
  1. Review Surplus Property website twice a month for disposals.
  2. Remove the property from the University Capital Asset Module (CAM).
  3. Department acknowledges electronically via UAccess Financials