[Federal Register Volume 67, Number 13 (Friday, January 18, 2002)]
[Rules and Regulations]
[Pages 2583-2602]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 02-880]
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GENERAL SERVICES ADMINISTRATION
41 CFR Parts 101-44 and 102-37
[FPMR Amendment H-210]
RIN 3090-AH20
Donation of Surplus Personal Property
AGENCY: Office of Governmentwide Policy, GSA.
ACTION: Final rule.
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SUMMARY: The General Services Administration (GSA) is revising the
Federal Property Management Regulations (FPMR) by moving coverage on
donation of surplus personal property into the Federal Management
Regulation (FMR). A cross-reference is added to the FPMR to direct
readers to the coverage in the FMR. The FMR is written in plain
language to provide agencies with updated regulatory material that is
easy to read and understand.
EFFECTIVE DATE: January 18, 2002.
FOR FURTHER INFORMATION CONTACT: Peter B. Zuidema, Acting Director,
Personal Property Management Policy Division (MTP), 202-501-3846.
SUPPLEMENTARY INFORMATION:
A. Background
The purpose of this final rule is to update, streamline, and
clarify FPMR part 101-44 and move it into the Federal Management
Regulation (FMR) as FMR part 102-37. This rule is written in a plain
language question and answer format. In this format, a question and its
answer combine to establish a rule. This means the employee and the
agency (Federal holding agency, State Agency for Surplus Property
(SASP), public airport, etc.) must follow the language contained in
both the question and its answer.
This final rule includes the following changes:
1. The establishment of a uniform dollar threshold ($500) for
recipients to report overages or shortages of donated property, in
addition to a shortened timeframe (30 days) for reporting such
discrepancies to GSA.
2. The removal of the provision that prohibits a SASP from
recovering reimbursable costs from the sales proceeds of nondonable
property that has been in its inventory for more than 2 years.
3. The change of definition of ``museum'' to provide SASPs with
more concrete guidance for making eligibility determinations for museum
applicants.
4. The reinstatement of a requirement that SASPs update donee
eligibility files at 3-year intervals, plus the addition of a
requirement for such updates to include a review of donee screener
records.
5. GSA approval of all Red Cross donations made under 40 U.S.C.
484(l).
6. The shift in responsibility from GSA to the Federal Aviation
Administration to issue screening credentials for public airports.
7. The consolidation of the Federal and donation screening periods.
A proposed rule was published in the Federal Register on April 13,
2000 (65 FR 20014). All public comments received were considered in the
formulation of this final rule.
B. Executive Order 12866
GSA has determined that this final rule is not a significant rule
for the purposes of Executive Order 12866 of September 30, 1993.
C. Regulatory Flexibility Act
A regulatory flexibility analysis is not required under the
Regulatory Flexibility Act, 5 U.S.C. 601 et seq., because there is no
requirement that this final rule be published in the Federal Register
for notice and comment.
D. Paperwork Reduction Act
The Paperwork Reduction Act does not apply because this final rule
does not impose information collection requirements that require the
approval of the Office of Management and Budget (OMB).
E. Small Business Regulatory Enforcement Fairness Act
This rule is exempt from Congressional review prescribed under 5
U.S.C. 801 since it relates solely to agency management and personnel.
[[Page 2584]]
List of Subjects in 41 CFR Parts 101-44 and 102-37
Government property management, Homeless, Reporting and
recordkeeping requirements, Surplus Government property.
For the reasons set forth in the preamble, GSA amends 41 CFR
chapters 101 and 102 as follows:
1. Part 101-44 is revised to read as follows:
PART 101-44 DONATION OF SURPLUS PERSONAL PROPERTY
Authority: 40 U.S.C. 486(c); Sec. 205(c), 63 Stat. 390.
Sec. 101-44.000 Cross-reference to the Federal Management Regulation
(FMR) (41 CFR chapter 102, parts 102-1 through 102-220).
For information on donation of surplus personal property previously
contained in this part, see FMR part 102-37 (41 CFR part 102-37).
2. Part 102-37 is added to subchapter B to read as follows:
PART 102-37--DONATION OF SURPLUS PERSONAL PROPERTY
Subpart A--General Provisions
Sec.
102-37.5 What does this part cover?
102-37.10 What is the primary governing authority for this part?
102-37.15 Who must comply with the provisions of this part?
102-37.20 How do we request a deviation from this part and who can
approve it?
Definitions
102-37.25 What definitions apply to this part?
Donation Overview
102-37.30 When does property become available for donation?
102-37.35 Who handles the donation of surplus property?
102-37.40 What type of surplus property is available for donation?
102-37.45 How long is property available for donation screening?
102-37.50 What is the general process for requesting surplus
property for donation?
102-37.55 Who pays for transportation and other costs associated
with a donation?
102-37.60 How much time does a transferee have to pick up or
remove surplus property from holding agency premises?
102-37.65 What happens to surplus property that has been approved
for transfer when the prospective transferee decides it cannot use
the property and declines to pick it up?
102-37.70 How should a transferee account for the receipt of a
larger or smaller number of items than approved by GSA on the SF
123?
102-37.75 What should be included in a shortage report?
102-37.80 What happens to surplus property that isn't transferred
for donation?
102-37.85 Can surplus property being offered for sale be withdrawn
and approved for donation?
Subpart B--General Services Administration (GSA)
102-37.90 What are GSA's responsibilities in the donation of
surplus property?
102-37.95 How will GSA resolve competing requests?
102-37.100 What factors will GSA consider in allocating surplus
property among SASPs?
102-37.105 Is GSA required to compile any reports concerning the
donation program?
Subpart C--Holding Agency
102-37.110 What are a holding agency's responsibilities in the
donation of surplus property?
102-37.115 May a holding agency be reimbursed for costs incurred
incident to a donation?
102-37.120 May a holding agency donate surplus property directly
to eligible non-Federal recipients without going through GSA?
102-37.125 What are some donations that do not require GSA's
approval?
Subpart D--State Agency for Surplus Property (SASP)
102-37.130 What are a SASP's responsibilities in the donation of
surplus property?
102-37.135 How does a SASP become eligible to distribute surplus
property to donees?
State Plan of Operation
102-37.140 What is a State plan of operation?
102-37.145 Who is responsible for developing, certifying, and
submitting the plan?
102-37.150 What must a State legislature include in the plan?
102-37.155 When does a plan take effect?
102-37.160 Must GSA approve amendments or modifications to the
plan?
102-37.165 Do plans or major amendments require public notice?
102-37.170 What happens if a SASP does not operate in accordance
with its plan?
Screening and Requesting Property
102-37.175 How does a SASP find out what property is potentially
available for donation?
102-37.180 Does a SASP need special authorization to screen
property at Federal facilities?
102-37.185 How does a SASP obtain screening authorization for
itself or its donees?
102-37.190 What records must a SASP maintain on authorized
screeners?
102-37.195 Does a SASP have to have a donee in mind to request
surplus property?
102-37.200 What certifications must a SASP make when requesting
surplus property for donation?
102-37.205 What agreements must a SASP make?
102-37.210 Must a SASP make a drug-free workplace certification
when requesting surplus property for donation?
102-37.215 When must a SASP make a certification regarding
lobbying?
Justifying Special Transfer Requests
102-37.220 Are there special types of surplus property that
require written justification when submitting a transfer request?
102-37.225 What information or documentation must a SASP provide
when requesting a surplus aircraft or vessel?
102-37.230 What must a letter of intent for obtaining surplus
aircraft or vessels include?
102-37.235 What type of information must a SASP provide when
requesting surplus property for cannibalization?
102-37.240 How must a transfer request for surplus firearms be
justified?
Custody, Care, and Safekeeping
102-37.245 What must a SASP do to safeguard surplus property in
its custody?
102-37.250 What actions must a SASP take when it learns of damage
to or loss of surplus property in its custody?
102-37.255 Must a SASP insure surplus property against loss or
damage?
Distribution of Property
102-37.260 How must a SASP document the distribution of surplus
property?
102-37.265 May a SASP distribute surplus property to eligible
donees of another State?
102-37.270 May a SASP retain surplus property for its own use?
Service and Handling Charges
102-37.275 May a SASP accept personal checks and non-official
payment methods in payment of service charges?
102-37.280 How may a SASP use service charge funds?
102-37.285 May a SASP use service charge funds to support non-SASP
State activities and programs?
Disposing of Undistributed Property
102-37.290 What must a SASP do with surplus property it cannot
donate?
102-37.295 Must GSA approve a transfer between SASPs?
102-37.300 What information must a SASP provide GSA when reporting
unneeded usable property for disposal?
102-37.305 May a SASP act as GSA's agent in selling undistributed
surplus property (either as usable property or scrap)?
102-37.310 What must a proposal to sell undistributed surplus
property include?
102-37.315 What costs may a SASP recover if undistributed surplus
property is retransferred or sold?
102-37.320 Under what conditions may a SASP abandon or destroy
undistributed surplus property?
[[Page 2585]]
Cooperative Agreements
102-37.325 With whom and for what purpose(s) may a SASP enter into
a cooperative agreement?
102-37.330 Must the costs of providing support under a cooperative
agreement be reimbursed by the parties receiving such support?
102-37.335 May a SASP enter into a cooperative agreement with
another SASP?
102-37.340 When may a SASP terminate a cooperative agreement?
Audits and Reviews
102-37.345 When must a SASP be audited?
102-37.350 Does coverage under the single audit process in OMB
Circular A-133 exempt a SASP from other reviews of its program?
102-37.355 What obligations does a SASP have to ensure that donees
meet Circular A-133 requirements?
Reports
102-37.360 What reports must a SASP provide to GSA?
Liquidating a SASP
102-37.365 What steps must a SASP take if the State decides to
liquidate the agency?
102-37.370 Do liquidation plans require public notice?
Subpart E--Donations to Public Agencies, Service Educational Activities
(SEAs), and Eligible Nonprofit Organizations
102-37.375 How is the pronoun ``you'' used in this subpart?
102-37.380 What is the statutory authority for donations of surplus
Federal property made under this subpart?
Donee Eligibility
102-37.385 Who determines if a prospective donee applicant is
eligible to receive surplus property under this subpart?
102-37.390 What basic criteria must an activity meet before a SASP
can qualify it for eligibility?
102-37.395 How can a SASP determine whether an applicant meets any
required approval, accreditation, or licensing requirements?
102-37.400 What type of eligibility information must a SASP
maintain on donees?
102-37.405 How often must a SASP update donee eligibility records?
102-37.410 What must a SASP do if a donee fails to maintain its
eligibility status?
102-37.415 What should a SASP do if an applicant appeals a
negative eligibility decision?
Conditional Eligibility
102-37.420 May a SASP grant conditional eligibility to applicants
who would otherwise qualify as eligible donees, but are unable to
obtain approval, accreditation, or licensing because they are newly
organized or their facilities are not yet constructed?
102-37.425 May a SASP grant conditional eligibility to a not-for-
profit organization whose tax-exempt status is pending?
102-37.430 What property can a SASP make available to a donee with
conditional eligibility?
Terms and Conditions of Donation
102-37.435 For what purposes may donees acquire and use surplus
property?
102-37.440 May donees acquire property for exchange?
102-37.445 What certifications must a donee make before receiving
property?
102-37.450 What agreements must a donee make?
Special Handling or Use Conditions
102-37.455 On what categories of surplus property has GSA imposed
special handling conditions or use limitations?
102-37.460 What special terms and conditions apply to the donation
of aircraft and vessels?
Release of Restrictions
102-37.465 May a SASP modify or release any of the terms and
conditions of donation?
102-37.470 At what point may restrictions be released on property
that has been authorized for cannibalization?
102-37.475 What are the requirements for releasing restrictions on
property being considered for exchange?
Compliance and Utilization
102-37.480 What must a SASP do to ensure that property is used for
the purpose(s) for which it was donated?
102-37.485 What actions must a SASP take if a review or other
information indicates noncompliance with donation terms and
conditions?
102-37.490 When must a SASP coordinate with GSA on compliance
actions?
102-37.495 How must a SASP handle funds derived from compliance
actions?
Returns and Reimbursement
102-37.500 May a donee receive reimbursement for its donation
expenses when unneeded property is returned to the SASP?
102-37.505 How does a donee apply for and receive reimbursement
for unneeded property returned to a SASP?
Special Provisions Pertaining to SEAs
102-37.510 Are there special requirements for donating property to
SEAs?
102-37.515 Do SEAs have a priority over other SASP donees for DOD
property?
Subpart F--Donations to Public Airports
102-37.520 What is the authority for public airport donations?
102-37.525 What should a holding agency do if it wants a public
airport to receive priority consideration for excess personal
property it has reported to GSA?
102-37.530 What are FAA's responsibilities in the donation of
surplus property to public airports?
102-37.535 What information must FAA provide to GSA on its
administration of the public airport donation program?
Subpart G--Donations to the American National Red Cross
102-37.540 What is the authority for donations to the American
National Red Cross?
102-37.545 What type of property may the American National Red
Cross receive?
102-37.550 What steps must the American National Red Cross take to
acquire property?
102-37.555 What happens to property the American National Red
Cross does not request?
Subpart H--Donations to Public Bodies in Lieu of Abandonment/
Destruction
102-37.560 What is a public body?
102-37.565 What is the authority for donations to public bodies?
102-37.570 What type of property may a holding agency donate under
this subpart?
102-37.575 Is there a special form for holding agencies to process
donations?
102-37.580 QWho is responsible for costs associated with the
donation?
Appendix A--Miscellaneous Donation Statutes
Appendix B--Elements of a State Plan of Operation
Appendix C--Glossary of Terms for Determining Eligibility of Public
Agencies and Nonprofit Organizations
Authority: 40 U.S.C. 486(c); Sec. 205(c), 63 Stat. 390.
Subpart A--General Provisions
Sec. 102-37.5 What does this part cover?
This part covers the donation of surplus Federal personal property
located within a State, including foreign excess personal property
returned to a State for handling as surplus property. For purposes of
this part, the term State includes any of the 50 States, as well as the
District of Columbia, the U.S. Virgin Islands, Guam, American Samoa,
the Commonwealth of Puerto Rico, and the Commonwealth of the Northern
Mariana Islands.
Sec. 102-37.10 What is the primary governing authority for this part?
Subsection 203(j)(1) of the Federal Property and Administrative
Services Act of 1949 (40 U.S.C. 484(j)(1)), as amended (the Property
Act), gives the General Services Administration (GSA) discretionary
authority to prescribe the necessary regulations for, and to execute
the surplus personal property donation program.
Sec. 102-37.15 Who must comply with the provisions of this part?
You must comply with this part if you are a holding agency or a
recipient of Federal surplus personal property approved by GSA for
donation (e.g., a State agency for surplus property (SASP) or a public
airport).
[[Page 2586]]
Sec. 102-37.20 How do we request a deviation from this part and who
can approve it?
See Secs. 102-2.60 through 102-2.110 of this chapter to request a
deviation from the requirements of this part.
Definitions
Sec. 102-37.25 What definitions apply to this part?
The following definitions apply to this part:
Cannibalization means to remove serviceable parts from one item of
equipment in order to install them on another item of equipment.
Donee means any of the following entities that receive Federal
surplus personal property through a SASP:
(1) A service educational activity (SEA).
(2) A public agency (as defined in appendix C of this part) which
uses surplus personal property to carry out or promote one or more
public purposes. (Public airports are an exception and are only
considered donees when they elect to receive surplus property through a
SASP, but not when they elect to receive surplus property through the
Federal Aviation Administration as discussed in subpart F of this
part.)
(3) An eligible nonprofit tax-exempt educational or public health
institution (including a provider of assistance to homeless or
impoverished families or individuals).
(4) A State or local government agency, or a nonprofit organization
or institution, that receives funds appropriated for a program for
older individuals.
Holding agency means the executive agency having accountability
for, and generally possession of, the property involved.
Period of restriction means the period of time for keeping donated
property in use for the purpose for which it was donated.
Property Act means the Federal Property and Administrative Services
Act of 1949 (63 Stat. 377), as amended (codified as amended in
scattered sections of titles 40 and 41 of the United States Code), the
law that centralized Federal property management and disposal functions
under the GSA.
Screening means the process of physically inspecting property or
reviewing lists or reports of property to determine whether property is
usable or needed for donation purposes.
Service educational activity (SEA) means any educational activity
designated by the Secretary of Defense as being of special interest to
the armed forces; e.g., maritime academies or military, naval, Air
Force, or Coast Guard preparatory schools.
Standard Form (SF) 123, Transfer Order Surplus Personal Property
means the document used to request and document the transfer of Federal
surplus personal property for donation purposes.
State means one of the 50 States, the District of Columbia, the
U.S. Virgin Islands, Guam, American Samoa, the Commonwealth of Puerto
Rico, and the Commonwealth of the Northern Mariana Islands.
State agency for surplus property
(SASP) means the agency designated under State law to receive Federal
surplus personal property for distribution to eligible donees within
the State as provided for in subsection 203(j) of the Property Act (40
U.S.C. 484(j)).
Surplus personal property (surplus property) means excess personal
property (as defined in Sec. 102-36.40 of this chapter) not required
for the needs of any Federal agency, as determined by GSA.
Surplus release date means the date on which Federal utilization
screening of excess personal property has been completed, and the
property is available for donation.
Transferee means a public airport receiving surplus property from a
holding agency through the Federal Aviation Administration, or a SASP.
You, when used in subparts D and E of this part, means SASP, unless
otherwise specified.
Donation Overview
Sec. 102-37.30 When does property become available for donation?
Excess personal property becomes available for donation the day
following the surplus release date. This is the point at which the
screening period has been completed without transfer to a Federal
agency or other eligible recipient, and the GSA has determined the
property to be surplus.
Sec. 102-37.35 Who handles the donation of surplus property?
(a) The SASPs handle the donation of most surplus property to
eligible donees in their States in accordance with this part.
(b) The GSA handles the donation of surplus property to public
airports under a program administered by the Federal Aviation
Administration (FAA) (see subpart F of this part). The GSA may also
donate to the American National Red Cross surplus property that was
originally derived from or through the Red Cross (see subpart G of this
part).
(c) Holding agencies may donate surplus property that they would
otherwise abandon or destroy directly to public bodies in accordance
with subpart H of this part.
Sec. 102-37.40 What type of surplus property is available for
donation?
All surplus property (including property held by working capital
funds established under 10 U.S.C. 2208 or in similar funds) is
available for donation to eligible recipients, except for property in
the following categories:
(a) Agricultural commodities, food, and cotton or woolen goods
determined from time to time by the Secretary of Agriculture to be
commodities requiring special handling with respect to price support or
stabilization.
(b) Property acquired with trust funds (e.g., Social Security Trust
Funds).
(c) Non-appropriated fund property.
(d) Naval vessels of the following categories: Battleships,
cruisers, aircraft carriers, destroyers, and submarines.
(e) Vessels of 1500 gross tons or more which the Maritime
Administration determines to be merchant vessels or capable of
conversion to merchant use.
(f) Records of the Federal Government.
(g) Property that requires reimbursement upon transfer (such as
abandoned or other unclaimed property that is found on premises owned
or leased by the Government).
(h) Controlled substances.
(i) Items as may be specified from time to time by the GSA Office
of Governmentwide Policy.
Sec. 102-37.45 How long is property available for donation screening?
Entities authorized to participate in the donation program may
screen property, concurrently with Federal agencies, as soon as the
property is reported as excess up until the surplus release date. The
screening period is normally 21 calendar days, except as noted in
Sec. 102-36.95 of this chapter.
Sec. 102-37.50 What is the general process for requesting surplus
property for donation?
The process for requesting surplus property for donation varies,
depending on who is making the request.
(a) Donees should submit their requests for property directly to
the appropriate SASP.
(b) SASPs and public airports should submit their requests to the
appropriate GSA regional office. Requests must be submitted on a
Standard Form (SF) 123, Transfer Order Surplus Personal Property, or
its electronic equivalent. Public airports must have FAA certify their
transfer requests prior to
[[Page 2587]]
submission to GSA for approval. GSA may ask SASPs or public airports to
submit any additional information required to support and justify
transfer of the property.
(c) The American National Red Cross should submit requests to GSA
as described in subpart G of this part.
(d) Public bodies, when seeking to acquire property that is being
abandoned or destroyed, should follow rules and procedures established
by the donor agency (see subpart H of this part).
Sec. 102-37.55 Who pays for transportation and other costs associated
with a donation?
The receiving organization (the transferee) is responsible for any
packing, shipping, or transportation charges associated with the
transfer of surplus property for donation. Those costs, in the case of
SASPs, may be passed on to donees that receive the property.
Sec. 102-37.60 How much time does a transferee have to pick up or
remove surplus property from holding agency premises?
The transferee (or the transferee's agent) must remove property
from the holding agency premises within 15 calendar days after being
notified that the property is available for pickup, unless otherwise
coordinated with the holding agency. If the transferee decides prior to
pickup or removal that it no longer needs the property, it must notify
the GSA regional office that approved the transfer request.
Sec. 102-37.65 What happens to surplus property that has been approved
for transfer when the prospective transferee decides it cannot use the
property and declines to pick it up?
When a prospective transferee decides it cannot use surplus
property that has already been approved for transfer and declines to
pick it up, the GSA regional office will advise any other SASP or
public airport known to be interested in the property to submit a
transfer request. If there is no transfer interest, GSA will release
the property for other disposal.
Sec. 102-37.70 How should a transferee account for the receipt of a
larger or smaller number of items than approved by GSA on the SF 123?
When the quantity of property received doesn't agree with that
approved by GSA on the SF 123, the transferee should handle the overage
or shortage as follows:
------------------------------------------------------------------------
If . . . And . . . Then . . .
------------------------------------------------------------------------
(a) More property is received The known or Submit a SF 123
than was approved by GSA for estimated for the
transfer. acquisition cost difference to GSA
of the line (Identify the
item(s) involved property as an
is $500 or more. overage and
include the
original transfer
order number.)
\1\
------------------------------------------------------------------------
(b) Less property is received The acquisition Submit a shortage
than was approved by GSA for cost of the report to GSA,
transfer. missing item(s) with a copy to
is $500 or more. the holding
agency.\1\
------------------------------------------------------------------------
(c) The known or estimated Annotate on your
acquisition cost of the receiving and
property is less than $500 inventory
records, a
description of
the property, its
known or
estimated
acquisition cost,
and the name of
the holding
agency.
------------------------------------------------------------------------
\1\ Submit the SF 123 or shortage report to the GSA approving office
within 30 calendar days of the date of transfer.
Sec. 102-37.75 What should be included in a shortage report?
The shortage report should include:
(a) The name and address of the holding agency;
(b) All pertinent GSA and holding agency control numbers, in
addition to the original transfer order number; and
(c) A description of each line item of property, the condition
code, the quantity and unit of issue, and the unit and total
acquisition cost.
Sec. 102-37.80 What happens to surplus property that isn't transferred
for donation?
Surplus property not transferred for donation is generally offered
for sale under the provisions of part 101-45 of this title. Under the
appropriate circumstances (see Sec. 102-36.305 of this chapter), such
property might be abandoned or destroyed.
Sec. 102-37.85 Can surplus property being offered for sale be
withdrawn and approved for donation?
Yes, surplus property being offered for sale may be withdrawn for
donation if approved by GSA. GSA will not approve requests for the
withdrawal of property that has been advertised or listed on a sales
offering if that withdrawal would be harmful to the overall outcome of
the sale. GSA will only grant such requests prior to sales award, since
an award is binding.
Subpart B--General Services Administration (GSA)
Sec. 102-37.90 What are GSA's responsibilities in the donation of
surplus property?
The General Services Administration (GSA) is responsible for
supervising and directing the disposal of surplus personal property. In
addition to issuing regulatory guidance for the donation of such
property, GSA:
(a) Determines when property is surplus to the needs of the
Government;
(b) Allocates and transfers surplus property on a fair and
equitable basis to State agencies for surplus property (SASPs) for
further distribution to eligible donees;
(c) Oversees the care and handling of surplus property while it is
in the custody of a SASP;
(d) Approves all transfers of surplus property to public airports,
pursuant to the appropriate determinations made by the Federal Aviation
Administration (see subpart F of this part);
(e) Donates to the American National Red Cross property (generally
blood plasma and related medical materials) originally provided by the
Red Cross to a Federal agency, but that has subsequently been
determined surplus to Federal needs (see subpart G of this part);
(f) Approves, after consultation with the holding agency, foreign
excess
[[Page 2588]]
personal property to be returned to the United States for donation
purposes;
(g) Coordinates and controls the level of SASP and donee screening
at Federal installations;
(h) Imposes appropriate conditions on the donation of surplus
property having characteristics that require special handling or use
limitations
(see Sec. 102-37.455); and
(i) Keeps track of and reports on Federal donation programs
(see Sec. 102-37.105).
Sec. 102-37.95 How will GSA resolve competing transfer requests?
In case of requests from two or more SASPs, GSA will use the
allocating criteria in Sec. 102-37.100. When competing requests are
received from public airports and SASPs, GSA will transfer property
fairly and equitably, based on such factors as need, proposed use, and
interest of the holding agency in having the property donated to a
specific public airport.
Sec. 102-37.100 What factors will GSA consider in allocating surplus
property among SASPs?
GSA allocates property among the SASPs on a fair and equitable
basis using the following factors:
(a) Extraordinary needs caused by disasters or emergency
situations.
(b) Requests from the Department of Defense (DOD) for DOD-generated
property to be allocated through a SASP for donation to a specific
service educational activity.
(c) Need and usability of property, as reflected by requests from
SASPs. GSA will also give special consideration to requests transmitted
through the SASPs by eligible donees for specific items of property.
(Requests for property to be used as is will be given preference over
cannibalization requests.)
(d) States in greatest need of the type of property to be allocated
where the need is evidenced by a letter of justification from the
intended donee.
(e) Whether a SASP has already received similar property in the
past, and how much.
(f) Past performance of a SASP in effecting timely pickup or
removal of property approved for transfer and making prompt
distribution of property to eligible donees.
(g) The property's condition and its original acquisition cost.
(h) Relative neediness of each State based on the State's
population and per capita income.
Sec. 102-37.105 Is GSA required to compile any reports concerning the
donation program?
Yes, biennially, GSA must compile a report containing:
(a) A full and independent evaluation of the operation of programs
for the donation of surplus property;
(b) Statistical information on the amount of surplus property
approved for transfer to the SASPs and donated to eligible non-Federal
organizations during the report period (as well as the amount of excess
personal property transferred to Federal agencies and provided to
grantees and non-Federal organizations); and
(c) Any recommendations GSA wishes to make on the donation program.
Subpart C--Holding Agency
Sec. 102-37.110 What are a holding agency's responsibilities in the
donation of surplus property?
Your donation responsibilities as a holding agency begin when you
determine that property is to be declared excess. You must then:
(a) Let GSA know if you have a donee in mind for foreign gift items
or airport property, as provided for in
Sec. 102-37.525 and Sec. 102-42.95(h) of this chapter;
(b) Cooperate with all entities authorized to participate in the
donation program and their authorized representatives in locating,
screening, and inspecting excess or surplus property for possible
donation;
(c) Set aside surplus property selected by a screener pending GSA
approval of the transfer;
(d) Upon receipt of a GSA-approved transfer document, promptly ship
or release property to the transferee (or the transferee's designated
agent) in accordance with pickup or shipping instructions on the
transfer document;
(e) Notify the approving GSA regional office if surplus property to
be picked up is not removed within 15 calendar days after you notify
the transferee (or its agent) of its availability. (GSA will advise you
of further disposal instructions.); and
(f) Perform and bear the cost of care and handling of surplus
property pending its disposal, except as provided in Sec. 102-37.115.
Sec. 102-37.115 May a holding agency be reimbursed for costs incurred
incident to a donation?
Yes, you, as a holding agency, may charge the transferee for the
direct costs you incurred incident to a donation transfer, such as your
packing, handling, crating, and transportation expenses. However, you
may not include overhead or administrative costs in these charges.
Sec. 102-37.120 May a holding agency donate surplus property directly
to eligible
non-Federal recipients without going through GSA?
Generally, a holding agency may not donate surplus property
directly to eligible non-Federal recipients without going through GSA,
except for the situations listed in Sec. 102-37.125.
Sec. 102-37.125 What are some donations that do not require GSA's
approval?
(a) Some donations of surplus property that do not require GSA's
approval are:
(1) Donations of condemned, obsolete, or other specified material
by a military department or the Coast Guard to recipients eligible
under 10 U.S.C. 2572, 10 U.S.C. 7306, 10 U.S.C. 7541, 10 U.S.C. 7545,
and 14 U.S.C. 641a (see Appendix A of this part for details). However,
such property must first undergo excess Federal and surplus donation
screening as required in this part and part 102-36 of this chapter;
(2) Donations by holding agencies to public bodies under subpart H
of this part;
(3) Donations by the Small Business Administration to small
disadvantaged businesses under 13 CFR part 124; and
(4) Donations by holding agencies of law enforcement canines to
their handlers under 40 U.S.C. 484(r).
(b) You may also donate property directly to eligible non-Federal
recipients under other circumstances if you have statutory authority to
do so. All such donations must be included on your annual report to GSA
under
Sec. 102-36.300 of this chapter.
Subpart D--State Agency for Surplus Property (SASP)
Sec. 102-37.130 What are a SASP's responsibilities in the donation of
surplus property?
As a SASP, your responsibilities in the donation of surplus
property are to:
(a) Determine whether or not an entity seeking to obtain surplus
property is eligible for donation as a:
(1) Public agency;
(2) Nonprofit educational or public health institution; or
(3) Program for older individuals.
(b) Distribute surplus property fairly, equitably, and promptly to
eligible donees in your State based on their relative needs and
resources, and ability to use the property, and as provided in your
State plan of operation.
(c) Enforce compliance with the terms and conditions imposed on
donated property.
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Sec. 102-37.135 How does a SASP become eligible to distribute surplus
property to donees?
In order to receive transfers of surplus property, a SASP must:
(a) Have a GSA-approved State plan of operation; and
(b) Provide the certifications and agreements as set forth in
Secs. 102-37.200 and 102-37.205.
State Plan of Operation
Sec. 102-37.140 What is a State plan of operation?
A State plan of operation is a document developed under State law
and approved by GSA in which the State sets forth a plan for the
management and administration of the SASP in the donation of property.
Sec. 102-37.145 Who is responsible for developing, certifying, and
submitting the plan?
The State legislature must develop the plan. The chief executive
officer of the State must submit the plan to the Administrator of
General Services for acceptance and certify that the SASP is authorized
to:
(a) Acquire and distribute property to eligible donees in the
State;
(b) Enter into cooperative agreements; and
(c) Undertake other actions and provide other assurances as are
required by subsection 203(j)(4) of the Property Act (40 U.S.C. 484(j))
and set forth in the plan.
Sec. 102-37.150 What must a State legislature include in the plan?
The State legislature must ensure the plan conforms to the
provisions of subsection 203(j)(4) of the Property Act (40 U.S.C.
484(j)) and includes the information and assurances set forth in
Appendix B of this part. It may also include in the plan other
provisions not inconsistent with the purposes of the Property Act and
the requirements of this part.
Sec. 102-37.155 When does a plan take effect?
The plan takes effect on the date GSA notifies the chief executive
officer of the State that the plan is approved.
Sec. 102-37.160 Must GSA approve amendments or modifications to the
plan?
Yes, GSA must approve amendments or modifications to the plan.
Sec. 102-37.165 Do plans or major amendments require public notice?
Yes, proposed plans and major amendments to existing plans require
general notice to the public for comment. A State must publish a
general notice of the plan or amendment at least 60 calendar days in
advance of filing the proposal with GSA and provide interested parties
at least 30 calendar days to submit comments before filing the
proposal.
Sec. 102-37.170 What happens if a SASP does not operate in accordance
with its plan?
If a SASP does not operate in accordance with its plan, GSA may
withhold allocation and transfer of surplus property until the
nonconformance is corrected.
Screening and Requesting Property
Sec. 102-37.175 How does a SASP find out what property is potentially
available for donation?
A SASP may conduct onsite screening at various Federal facilities,
contact or submit want lists to GSA, or use GSA's or other agencies'
computerized inventory system to electronically search for property
that is potentially available for donation (see Sec. 102-36.90 for
information on GSA's system, FEDS).
Sec. 102-37.180 Does a SASP need special authorization to screen
property at Federal facilities?
Yes, SASP personnel or donee personnel representing a SASP must
have a valid screener-identification card (GSA Optional Form 92,
Screener's Identification, or other suitable identification approved by
GSA) before screening and selecting property at holding agencies.
However, SASP or donee personnel do not need a screener-ID card to
inspect or remove property previously set aside or approved by GSA for
transfer.
Sec. 102-37.185 How does a SASP obtain screening authorization for
itself or its donees?
(a) To obtain screening authorization for itself or donees, a SASP
must submit an Optional Form 92 (with the signature and an affixed
passport-style photograph of the screener applicant) and a written
request to the GSA regional office serving the area in which the
intended screener is located. The request must:
(1) State the prospective screener's name and the name and address
of the organization he or she represents;
(2) Specify the period of time and location(s) in which screening
will be conducted; and
(3) Certify that the applicant is qualified to screen property.
(b) If the request is approved, GSA will complete the Optional Form
92 and return it to the SASP for issuance to the screener.
Sec. 102-37.190 What records must a SASP maintain on authorized
screeners?
You must maintain a current record of all individuals authorized to
screen for your SASP, including their names, addresses, telephone
numbers, qualifications to screen, and any additional identifying
information such as driver's license or social security numbers. In the
case of donee screeners, you should place such records in the donee's
eligibility file and review for currency each time a periodic review of
the donee's file is undertaken.
Sec. 102-37.195 Does a SASP have to have a donee in mind to request
surplus property?
Generally yes, you should have a firm requirement or an anticipated
demand for any property that you request.
Sec. 102-37.200 What certifications must a SASP make when requesting
surplus property for donation?
When requesting or applying for property, you must certify that:
(a) You are the agency of the State designated under State law that
has legal authority under subsection 203(j) of the Property Act (40
U.S.C. 484(j)) and GSA regulations, to receive property for
distribution within the State to eligible donees as defined in this
part.
(b) No person with supervisory or managerial duties in your State's
donation program is debarred, suspended, ineligible, or voluntarily
excluded from participating in the donation program.
(c) The property is usable and needed within the State by:
(1) A public agency for one or more public purposes.
(2) An eligible nonprofit organization or institution which is
exempt from taxation under section 501 of the Internal Revenue Code (26
U.S.C. 501), for the purpose of education or public health (including
research for any such purpose).
(3) An eligible nonprofit activity for programs for older
individuals.
(4) A service educational activity (SEA), for DOD-generated
property only.
(d) When property is picked up by, or shipped to, your SASP, you
have adequate and available funds, facilities, and personnel to provide
accountability, warehousing, proper maintenance, and distribution of
the property.
(e) When property is distributed by your SASP to a donee, or when
delivery is made directly from a holding agency to a donee pursuant to
a State distribution document, you have determined that the donee
acquiring the property is eligible within the meaning of the Property
Act and GSA
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regulations, and that the property is usable and needed by the donee.
Sec. 102-37.205 What agreements must a SASP make?
With respect to surplus property picked up by or shipped to your
SASP, you must agree to the following:
(a) You will make prompt statewide distribution of such property,
on a fair and equitable basis, to donees eligible to acquire property
under section 203(j) of the Property Act (40 U.S.C. 484(j)) and GSA
regulations. You will distribute property only after such eligible
donees have properly executed the appropriate certifications and
agreements established by your SASP and/or GSA.
(b) Title to the property remains in the United States Government
although you have taken possession of it. Conditional title to the
property will pass to the eligible donee when the donee executes the
required certifications and agreements and takes possession of the
property.
(c) You will:
(1) Promptly pay the cost of care, handling, and shipping incident
to taking possession of the property.
(2) During the time that title remains in the United States
Government, be responsible as a bailee for the property from the time
it is released to you or to the transportation agent you have
designated.
(3) In the event of any loss of or damage to any or all of the
property during transportation or storage at a place other than a place
under your control, take the necessary action to obtain restitution
(fair market value) for the Government. In the event of loss or damage
due to negligence or willful misconduct on your part, repair, replace,
or pay to the GSA the fair market value of any such property, or take
such other action as the GSA may direct.
(d) You may retain property to perform your donation program
functions, but only when authorized by GSA in accordance with the
provisions of a cooperative agreement entered into with GSA.
(e) When acting under an interstate cooperative distribution
agreement (see Sec. 102-37.335) as an agent and authorized
representative of an adjacent State, you will:
(1) Make the certifications and agreements required in Sec. 102-
37.200 and this section on behalf of the adjacent SASP.
(2) Require the donee to execute the distribution documents of the
State in which the donee is located.
(3) Forward copies of the distribution documents to the
corresponding SASP.
(f) You will not discriminate on the basis of race, color, national
origin, sex, age, or handicap in the distribution of property, and will
comply with GSA regulations on nondiscrimination as set forth in part
101-6, subpart 101-6.2, and part 101-8 of this title.
(g) You will not seek to hold the United States Government liable
for consequential or incidental damages or the personal injuries,
disabilities, or death to any person arising from the transfer,
donation, use, processing, or final disposition of this property. The
Government's liability in any event is limited in scope to that
provided for by the Federal Tort Claims Act (28 U.S.C. 2671, et seq.).
Sec. 102-37.210 Must a SASP make a drug-free workplace certification
when requesting surplus property for donation?
No, you must certify that you will provide a drug-free workplace
only as a condition for retaining surplus property for SASP use. Drug-
free workplace certification requirements are found at part 105-68,
subpart 105-68.6, of this title.
Sec. 102-37.215 When must a SASP make a certification regarding
lobbying?
You are subject to the anti-lobbying certification and disclosure
requirements in part 105-69 of this title when all of the following
conditions apply:
(a) You have entered into a cooperative agreement with GSA that
provides for your SASP to retain surplus property for use in performing
donation functions or any other cooperative agreement.
(b) The cooperative agreement was executed after December 23, 1989.
(c) The fair market value of the property requested under the
cooperative agreement is more than $100,000.
Justifying Special Transfer Requests
Sec. 102-37.220 Are there special types of surplus property that
require written justification when submitting a transfer request?
Yes, a SASP must obtain written justification from the intended
donee, and submit it to GSA along with the transfer request, prior to
allocation of:
(a) Aircraft and vessels covered by Sec. 102-37.455;
(b) Items requested specifically for cannibalization;
(c) Foreign gifts and decorations (see part 102-42 of this
chapter);
(d) Items containing 50 parts per million or greater of
polychlorinated biphenyl (see part 101-42 of this title);
(e) Firearms as described in part 101-42 of this title; and
(f) Any item on which written justification will assist GSA in
making allocation to States with the greatest need.
Sec. 102-37.225 What information or documentation must a SASP provide
when requesting a surplus aircraft or vessel?
(a) For each SF 123 that you submit to GSA for transfer of a
surplus aircraft or vessel covered by Sec. 102-37.455 include:
(1) A letter of intent, signed and dated by the authorized
representative of the proposed donee setting forth a detailed plan of
utilization for the property (see Sec. 102-37.230 for information a
donee has to include in the letter of intent); and
(2) A letter, signed and dated by you, confirming and certifying
the applicant's eligibility and containing an evaluation of the
applicant's ability to use the aircraft or vessel for the purpose
stated in its letter of intent and any other supplemental information
concerning the needs of the donee which supports making the allocation.
(b) For each SF 123 that GSA approves, you must include:
(1) Your distribution document, signed and dated by the authorized
donee representative; and
(2) A conditional transfer document, signed by you and the intended
donee, and containing the special terms and conditions prescribed by
GSA.
Sec. 102-37.230 What must a letter of intent for obtaining surplus
aircraft or vessels include?
A letter of intent for obtaining surplus aircraft or vessels must
provide:
(a) A description of the aircraft or vessel requested. If the item
is an aircraft, the description must include the manufacturer, date of
manufacture, model, and serial number. If the item is a vessel, it must
include the type, name, class, size, displacement, length, beam, draft,
lift capacity, and the hull or registry number, if known;
(b) A detailed description of the donee's program and the number
and types of aircraft or vessels it currently owns;
(c) A detailed description of how the aircraft or vessel will be
used, its purpose, how often and for how long. If an aircraft is
requested for flight purposes, the donee must specify a source of
pilot(s) and where the aircraft will be housed. If an aircraft is
requested for cannibalization, the donee must provide details of the
cannibalization process (time to complete the cannibalization process,
how recovered parts are to be used, method of accounting for usable
parts,
[[Page 2591]]
disposition of unsalvageable parts, etc.) If a vessel is requested for
waterway purposes, the donee must specify a source of pilot(s) and
where the vessel will be docked. If a vessel is requested for permanent
docking on water or land, the donee must provide details of the
process, including the time to complete the process; and
(d) Any supplemental information (such as geographical area and
population served, number of students enrolled in educational programs,
etc.) supporting the donee's need for the aircraft or vessel.
Sec. 102-37.235 What type of information must a SASP provide when
requesting surplus property for cannibalization?
When a donee wants surplus property to cannibalize, include the
following statement on the SF 123: ``Line Item Number(s)______requested
for cannibalization.''. In addition to including this statement,
provide a detailed justification concerning the need for the components
or accessories and an explanation of the effect removal will have on
the item. GSA will approve requests for cannibalization only when it is
clear from the justification that disassembly of the item for use of
its component parts will provide greater potential benefit than use of
the item in its existing form.
Sec. 102-37.240 How must a transfer request for surplus firearms be
justified?
To justify a transfer request for surplus firearms, the requesting
SASP must obtain and submit to GSA a letter of intent from the intended
donee that provides:
(a) Identification of the donee applicant, including its legal name
and complete address and the name, title, and telephone number of its
authorized representative;
(b) The number of compensated officers with the power to apprehend
and to arrest;
(c) A description of the firearm(s) requested;
(d) Details on the planned use of the firearm(s); and
(e) The number and types of donated firearms received during the
previous 12 months through any other Federal program.
Custody, Care, and Safekeeping
Sec. 102-37.245 What must a SASP do to safeguard surplus property in
its custody?
To safeguard surplus property in your custody, you must provide
adequate protection of property in your custody, including protection
against the hazards of fire, theft, vandalism, and weather.
Sec. 102-37.250 What actions must a SASP take when it learns of damage
to or loss of surplus property in its custody?
If you learn that surplus property in your custody has been damaged
or lost, you must always notify GSA and notify the appropriate law
enforcement officials if a crime has been committed.
Sec. 102-37.255 Must a SASP insure surplus property against loss or
damage?
No, you are not required to carry insurance on Federal surplus
property in your custody. However, if you elect to carry insurance and
the insured property is lost or damaged, you must submit a check made
payable to GSA for any insurance proceeds received in excess of your
actual costs of acquiring and rehabilitating the property prior to its
loss, damage, or destruction.
Distribution of Property
Sec. 102-37.260 How must a SASP document the distribution of surplus
property?
All SASPs must document the distribution of Federal surplus
property on forms that are prenumbered, provide for donees to indicate
the primary purposes for which they are acquiring property, and include
the:
(a) Certifications and agreements in Secs. 102-37.200 and 102-
37.205; and
(b) Period of restriction during which the donee must use the
property for the purpose for which it was acquired.
Sec. 102-37.265 May a SASP distribute surplus property to eligible
donees of another State?
Yes, you may distribute surplus property to eligible donees of
another State, if you and the other SASP determine that such an
arrangement will be of mutual benefit to you and the donees concerned.
Where such determinations are made, an interstate distribution
cooperative agreement must be prepared as prescribed in Sec. 102-37.335
and submitted to the appropriate GSA regional office for approval. When
acting under an interstate distribution cooperative agreement, you
must:
(a) Require the donee recipient to execute the distribution
documents of its home SASP; and
(b) Forward copies of executed distribution documents to the
donee's home SASP.
Sec. 102-37.270 May a SASP retain surplus property for its own use?
Yes, you can retain surplus property for use in operating the
donation program, but only if you have a cooperative agreement with GSA
that allows you to do so. You must obtain prior GSA approval before
using any surplus property in the operation of the SASP. Make your
needs known by submitting a listing of needed property to the
appropriate GSA regional office for approval. GSA will review the list
to ensure that it is of the type and quantity of property that is
reasonably needed and useful in performing SASP operations. GSA will
notify you within 30 calendar days whether you may retain the property
for use in your operations. Title to any surplus property GSA approves
for your retention will vest in your SASP. You must maintain separate
records for such property.
Service and Handling Charges
Sec. 102-37.275 May a SASP accept personal checks and non-official
payment methods in payment of service charges?
No, service charge payments must readily identify the donee
institution as the payer (or the name of the parent organization when
that organization pays the operational expenses of the donee). Personal
checks, personal cashier checks, personal money orders, and personal
credit cards are not acceptable.
Sec. 102-37.280 How may a SASP use service charge funds?
Funds accumulated from service charges may be deposited, invested,
or used in accordance with State law to:
(a) Cover direct and reasonable indirect costs of operating the
SASP;
(b) Purchase necessary equipment for the SASP;
(c) Maintain a reasonable working capital reserve;
(d) Rehabilitate surplus property, including the purchase of
replacement parts;
(e) Acquire or improve office or distribution center facilities; or
(f) Pay for the costs of internal and external audits.
Sec. 102-37.285 May a SASP use service charge funds to support non-
SASP State activities and programs?
No, except as provided in Sec. 102-37.495, you must use funds
collected from service charges, or from other sources such as proceeds
from sale of undistributed property or funds collected from compliance
cases, solely for the operation of the SASP and the benefit of
participating donees.
Disposing of Undistributed Property
Sec. 102-37.290 What must a SASP do with surplus property it cannot
donate?
(a) As soon as it becomes clear that you cannot donate the surplus
property, you should first determine whether or not the property is
usable.
(1) If you determine that the undistributed surplus property is not
usable, you should seek GSA approval
[[Page 2592]]
to abandon or destroy the property in accordance with Sec. 102-37.320.
(2) If you determine that the undistributed surplus property is
usable, you should immediately offer it to other SASPs. If other SASPs
cannot use the property, you should promptly report it to GSA for
redisposal (i.e., disposition through retransfer, sale, or other
means).
(b) Normally, any property not donated within a 1-year period
should be processed in this manner.
Sec. 102-37.295 Must GSA approve a transfer between SASPs?
Yes, the requesting SASP must submit a SF 123, Transfer Order
Surplus Personal Property, to the GSA regional office in which the
releasing SASP is located. GSA will approve or disapprove the request
within 30 calendar days of receipt of the transfer order.
Sec. 102-37.300 What information must a SASP provide GSA when
reporting unneeded usable property for disposal?
When reporting unneeded usable property that is not required for
transfer to another SASP, provide GSA with the:
(a) Best possible description of each line item of property, its
current condition code, quantity, unit and total acquisition cost,
State serial number, demilitarization code, and any special handling
conditions;
(b) Date you received each line item of property listed; and
(c) Certification of reimbursement requested under Sec. 102-37.315.
Sec. 102-37.305 May a SASP act as GSA's agent in selling undistributed
surplus property (either as usable property or scrap)?
Yes, you may act as GSA's agent in selling undistributed surplus
property (either as usable property or scrap) if an established
cooperative agreement with GSA permits such an action. You must notify
GSA each time you propose to conduct a sale under the cooperative
agreement. You may request approval to conduct a sale when reporting
the property to GSA for disposal instructions. If no formal agreement
exists, you may submit such an agreement at that time for approval.
Sec. 102-37.310 What must a proposal to sell undistributed surplus
property include?
(a) Your request to sell undistributed surplus property must
include:
(1) The proposed sale date;
(2) A listing of the property;
(3) Location of the sale;
(4) Method of sale; and
(5) Proposed advertising to be used.
(b) If the request is approved, the GSA regional sales office will
provide the necessary forms and instructions for you to use in
conducting the sale.
Sec. 102-37.315 What costs may a SASP recover if undistributed surplus
property is retransferred or sold?
(a) When undistributed surplus property is transferred to a Federal
agency or another SASP, or disposed of by public sale, you are entitled
to recoup:
(1) Direct costs you initially paid to the Federal holding agency,
including but not limited to, packing, preparation for shipment, and
loading. You will not be reimbursed for actions following receipt of
the property, including unloading, moving, repairing, preserving, or
storage.
(2) Transportation costs you incurred, but were not reimbursed by a
donee, for initially moving the property from the Federal holding
agency to your distribution facility or other point of receipt. You
must document and certify the amount of reimbursement requested for
these costs.
(b) Reimbursable arrangements should be made prior to transfer of
the property. In the case of a Federal transfer, GSA will secure
agreement of the Federal agency to reimburse your authorized costs, and
annotate the amount of reimbursement on the transfer document. You must
coordinate and make arrangements for reimbursement when property is
transferred to another SASP. If you and the receiving SASP cannot agree
on an appropriate reimbursement charge, GSA will determine appropriate
reimbursement. The receiving SASP must annotate the reimbursement
amount on the transfer document prior to its being forwarded to GSA for
approval.
(c) When undistributed property is disposed of by public sale, GSA
must approve the amount of sales proceeds you may receive to cover your
costs. Generally, this will not exceed 50 percent of the total sales
proceeds.
Sec. 102-37.320 Under what conditions may a SASP abandon or destroy
undistributed surplus property?
(a) You may abandon or destroy undistributed surplus property when
you have made 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 abandonment or
destruction finding must be sent to the appropriate GSA regional office
for approval. You must include in the finding:
(1) The basis for the abandonment or destruction;
(2) A detailed description of the property, its condition, and
total acquisition cost;
(3) The proposed method of destruction (burning, burying, etc.) or
the abandonment location;
(4) A statement confirming that the proposed abandonment or
destruction will not be detrimental or dangerous to public health or
safety and will not infringe on the rights of other persons; and
(5) The signature of the SASP director requesting approval for the
abandonment or destruction.
(b) GSA will notify you within 30 calendar days whether you may
abandon or destroy the property. GSA will provide alternate disposition
instructions if it disapproves your request for abandonment or
destruction. If GSA doesn't reply to you within 30 calendar days of
notification, the property may be abandoned or destroyed.
Cooperative Agreements
Sec. 102-37.325 With whom and for what purpose(s) may a SASP enter
into a cooperative agreement?
Section 203(n) of the Property Act (40 U.S.C. 484(n)) allows GSA,
or Federal agencies designated by GSA, to enter into cooperative
agreements with SASPs to carry out the surplus property donation
program. Such agreements allow GSA, or the designated Federal agencies,
to use the SASP's property, facilities, personnel, or services or to
furnish such resources to the SASP. For example:
(a) Regional GSA personal property management offices, or
designated Federal agencies, may enter into a cooperative agreement to
assist a SASP in distributing surplus property for donation. Assistance
may include:
(1) Furnishing the SASP with available GSA or agency office space
and related support such as office furniture and information technology
equipment needed to screen and process property for donation.
(2) Permitting the SASP to retain items of surplus property
transferred to the SASP that are needed by the SASP in performing its
donation functions (see Sec. 102-37.270).
(b) Regional GSA personal property management offices may help the
SASP to enter into agreements with other GSA or Federal activities for
the use of Federal telecommunications service or federally-owned real
property and related personal property.
(c) A SASP may enter into a cooperative agreement with GSA to
conduct sales of undistributed property on behalf of GSA (see Sec. 102-
37.305).
[[Page 2593]]
Sec. 102-37.330 Must the costs of providing support under a
cooperative agreement be reimbursed by the parties receiving such
support?
The parties to a cooperative agreement must decide among themselves
the extent to which the costs of the services they provide must be
reimbursed. Their decision should be reflected in the cooperative
agreement itself. As a general rule, the Economy Act (31 U.S.C. 1535)
would require a Federal agency receiving services from a SASP to
reimburse the SASP for those services. Since SASPs are not Federal
agencies, the Economy Act would not require them to reimburse Federal
agencies for services provided by such agencies. In this situation, the
Federal agencies would have to determine whether or not their own
authorities would permit them to provide services to SASPs without
reimbursement. If a Federal agency is reimbursed by a SASP for services
provided under a cooperative agreement, it must credit that payment to
the fund or appropriation that incurred the related costs.
Sec. 102-37.335 May a SASP enter into a cooperative agreement with
another SASP?
Yes, with GSA's concurrence and where authorized by State law, a
SASP may enter into an agreement with an adjacent State to act as its
agent and authorized representative in disposing of surplus Federal
property. Interstate cooperative agreements may be considered when
donees, because of their geographic proximity to the property
distribution centers of the adjoining State, could be more efficiently
and economically serviced by surplus property facilities in the
adjacent State. You and the other SASP must agree to the payment or
reimbursement of service charges by the donee and you also must agree
to the requirements of Sec. 102-37.205(e).
Sec. 102-37.340 When may a SASP terminate a cooperative agreement?
You may terminate a cooperative agreement with GSA 60-calendar days
after providing GSA with written notice. For other cooperative
agreements with other authorized parties, you or the other party may
terminate the agreement as mutually agreed. You must promptly notify
GSA when such other agreements are terminated.
Audits and Reviews
Sec. 102-37.345 When must a SASP be audited?
For each year in which a SASP receives $300,000 or more a year in
surplus property or other Federal assistance, it must be audited in
accordance with the Single Audit Act (31 U.S.C. 7501-7507) as
implemented by Office of Management and Budget (OMB) Circular A-133,
``Audits of States, Local Governments, and Non-Profit Organizations''
(for availability see 5 CFR 1310.3). GSA's donation program should be
identified by Catalog of Federal Domestic Assistance number 39.003 when
completing the required schedule of Federal assistance.
Sec. 102-37.350 Does coverage under the single audit process in OMB
Circular A-133 exempt a SASP from other reviews of its program?
No, although SASPs are covered under the single audit process in
OMB Circular A-133, from time to time the General Accounting Office
(GAO), GSA, or other authorized Federal activities may audit or review
the operations of a SASP. GSA will notify the chief executive officer
of the State of the reasons for a GSA audit. When requested, you must
make available financial records and all other records of the SASP for
inspection by representatives of GSA, GAO, or other authorized Federal
activities.
Sec. 102-37.355 What obligations does a SASP have to ensure that
donees meet Circular A-133 requirements?
SASPs, if they donate $300,000 or more in Federal property to a
donee in a fiscal year, must ensure that the donee has an audit
performed in accordance with Circular A-133. If a donee receives less
than $300,000 in donated property, the SASP is not expected to assume
responsibility for ensuring the donee meets audit requirements, beyond
making sure the donee is aware that the requirements do exist. It is
the donee's responsibility to identify and determine the amount of
Federal assistance it has received and to arrange for audit coverage.
Reports
Sec. 102-37.360 What reports must a SASP provide to GSA?
(a) Quarterly report on donations. Submit a GSA Form 3040, State
Agency Monthly Donation Report of Surplus Personal Property, to the
appropriate GSA regional office by the 25th day of the month following
the quarter being reported. (OMB Control Number
3090-0112 has been assigned to this form.) Forms and instructions for
completing the form are available from your servicing GSA office.
(b) Additional reports. Make other reports GSA may require to carry
out its discretionary authority to transfer surplus personal property
for donation and to report to the Congress on the status and progress
of the donation program.
Liquidating a SASP
Sec. 102-37.365 What steps must a SASP take if the State decides to
liquidate the agency?
Before suspending operations, a SASP must submit to GSA a
liquidation plan that includes:
(a) Reasons for the liquidation;
(b) A schedule for liquidating the agency and the estimated date of
termination;
(c) Method of disposing of property on hand under the requirements
of this part;
(d) Method of disposing of the agency's physical and financial
assets;
(e) Retention of all available records of the SASP for a 2-year
period following liquidation; and
(f) Designation of another governmental entity to serve as the
agency's successor in function until continuing obligations on property
donated prior to the closing of the agency are fulfilled.
Sec. 102-37.370 Do liquidation plans require public notice?
Yes, a liquidation plan constitutes a major amendment of a SASP's
plan of operation and, as such, requires public notice.
Subpart E--Donations to Public Agencies, Service Educational
Activities (SEAs), and Eligible Nonprofit Organizations
Sec. 102-37.375 How is the pronoun ``you'' used in this subpart?
The pronoun ``you,'' when used in this subpart, refers to the State
agency for surplus property (SASP).
Sec. 102-37.380 What is the statutory authority for donations of
surplus Federal property made under this subpart?
The following statutes provide the authority to donate surplus
Federal property to different types of recipients:
(a) Subsection 203(j)(2) of the Property Act (40 U.S.C. 484(j)(2))
authorizes surplus property under the control of the Department of
Defense (DOD) to be donated, through SASPs, to educational activities
which are of special interest to the armed services (referred to in
this part 102-37 as service educational activities or SEAs).
(b) Subsection 203(j)(3) of the Property Act (40 U.S.C. 484(j)(3))
authorizes SASPs to donate surplus property to public agencies and to
nonprofit educational or public health institutions, such as:
(1) Medical institutions.
[[Page 2594]]
(2) Hospitals.
(3) Clinics.
(4) Health centers.
(5) Drug abuse or alcohol treatment centers.
(6) Providers of assistance to homeless individuals.
(7) Providers of assistance to impoverished families and
individuals.
(8) Schools.
(9) Colleges.
(10) Universities.
(11) Schools for the mentally disabled.
(12) Schools for the physically disabled.
(13) Child care centers.
(14) Radio and television stations licensed by the Federal
Communications Commission as educational radio or educational
television stations.
(15) Museums attended by the public.
(16) Libraries, serving free all residents of a community,
district, State or region.
(c) Section 213 of the Older Americans Act of 1965, as amended (42
U.S.C. 3020d), authorizes donations of surplus property to State or
local government agencies, or nonprofit organizations or institutions,
that receive Federal funding to conduct programs for older individuals.
Donee Eligibility
Sec. 102-37.385 Who determines if a prospective donee applicant is
eligible to receive surplus property under this subpart?
(a) For most public and nonprofit activities, the SASP determines
if an applicant is eligible to receive property as a public agency, a
nonprofit educational or public health institution, or for a program
for older individuals. A SASP may request GSA assistance or guidance in
making such determinations.
(b) For applicants that offer courses of instruction devoted to the
military arts and sciences, the Defense Department will determine
eligibility to receive surplus property through the SASP as a service
educational activity or SEA.
Sec. 102-37.390 What basic criteria must an applicant meet before a
SASP can qualify it for eligibility?
To qualify for donation program eligibility through a SASP, an
applicant must:
(a) Conform to the definition of one of the categories of eligible
entities listed in Sec. 102-37.380 (see appendix C of this part for
definitions);
(b) Demonstrate that it meets any approval, accreditation, or
licensing requirements for operation of its program;
(c) Prove that it is a public agency or a nonprofit and tax-exempt
organization under section 501 of the Internal Revenue Code;
(d) Certify that it is not debarred, suspended, or excluded from
any Federal program, including procurement programs; and
(e) Operate in compliance with applicable Federal nondiscrimination
statutes.
Sec. 102-37.395 How can a SASP determine whether an applicant meets
any required approval, accreditation, or licensing requirements?
A SASP may accept the following documentation as evidence that an
applicant has met established standards for the operation of its
educational or health program:
(a) A certificate or letter from a nationally recognized
accrediting agency affirming the applicant meets the agency's standards
and requirements.
(b) The applicant's appearance on a list with other similarly
approved or accredited institutions or programs when that list is
published by a State, regional, or national accrediting authority.
(c) Letters from State or local authorities (such as a board of
health or a board of education) stating that the applicant meets the
standards prescribed for approved or accredited institutions and
organizations.
(d) In the case of educational activities, letters from three
accredited or State-approved institutions that students from the
applicant institution have been and are being accepted.
(e) In the case of public health institutions, licensing may be
accepted as evidence of approval, provided the licensing authority
prescribes the medical requirements and standards for the professional
and technical services of the institution.
(f) The awarding of research grants to the institution by a
recognized authority such as the National Institutes of Health, the
National Institute of Education, or by similar national advisory
council or organization.
Sec. 102-37.400 What type of eligibility information must a SASP
maintain on donees?
In general, you must maintain the records required by your State
plan to document donee eligibility (see appendix B of this part). For
SEAs, you must maintain separate records that include:
(a) Documentation verifying that the activity has been designated
as eligible by DOD to receive surplus DOD property.
(b) A statement designating one or more donee representative(s) to
act for the SEA in acquiring property.
(c) A listing of the types of property that are needed or have been
authorized by DOD for use in the SEA's program.
Sec. 102-37.405 How often must a SASP update donee eligibility
records?
You must update donee eligibility records as needed, but no less
than every 3 years, to ensure that all documentation supporting the
donee's eligibility is current and accurate. Annually, you must update
files for nonprofit organizations whose eligibility depends on annual
appropriations, annual licensing, or annual certification. Particular
care must be taken to ensure that all records relating to the authority
of donee representatives to receive and receipt for property, or to
screen property at Federal facilities, are current.
Sec. 102-37.410 What must a SASP do if a donee fails to maintain its
eligibility status?
If you determine that a donee has failed to maintain its
eligibility status, you must terminate distribution of property to that
donee, recover any usable property still under Federal restriction (as
outlined in Sec. 102-37.465), and take any other required compliance
actions.
Sec. 102-37.415 What should a SASP do if an applicant appeals a
negative eligibility determination?
If an applicant appeals a negative eligibility determination,
forward complete documentation on the appeal request, including your
comments and recommendations, to the applicable GSA regional office for
review and coordination with GSA headquarters. GSA's decision will be
final.
Conditional Eligibility
Sec. 102-37.420 May a SASP grant conditional eligibility to applicants
who would otherwise qualify as eligible donees, but have been unable to
obtain approval, accreditation, or licensing because they are newly
organized or their facilities are not yet constructed?
You may grant conditional eligibility to such an applicant provided
it submits a statement from any required approving, accrediting, or
licensing authority confirming it will be approved, accredited, or
licensed.
Sec. 102-37.425 May a SASP grant conditional eligibility to a not-for-
profit organization whose tax-exempt status is pending?
No, under no circumstances may you grant conditional eligibility
prior to receiving from the applicant a copy of
[[Page 2595]]
a letter of determination by the Internal Revenue Service stating that
the applicant is exempt from Federal taxation under section 501 of the
Internal Revenue Code.
Sec. 102-37.430 What property can a SASP make available to a donee
with conditional eligibility?
You may only make available surplus property that the donee can use
immediately. You may not make available property that will only be used
at a later date, for example, after the construction of the donee's
facility has been completed.
Terms and Conditions of Donation
Sec. 102-37.435 For what purposes may donees acquire and use surplus
property?
A donee may acquire and use surplus property only for the following
authorized purposes:
(a) Public purposes. A public agency that acquires surplus property
through a SASP must use such property to carry out or to promote one or
more public purposes for the people it serves.
(b) Educational and public health purposes, including related
research. A nonprofit educational or public health institution must use
surplus property for education or public health, including research for
either purpose and assistance to the homeless or impoverished. While
this does not preclude the use of donated surplus property for a
related or subsidiary purpose incident to the institution's overall
program, the property may not be used for a nonrelated or commercial
purpose.
(c) Programs for older individuals. An entity that conducts a
program for older individuals must use donated surplus property to
provide services that are necessary for the general welfare of older
individuals, such as social services, transportation services,
nutrition services, legal services, and multipurpose senior centers.
Sec. 102-37.440 May donees acquire property for exchange?
No, a donee may not acquire property with the intent to sell or
trade it for other assets.
Sec. 102-37.445 What certifications must a donee make before receiving
property?
Prior to a SASP releasing property to a donee, the donee must
certify that:
(a) It is a public agency or a nonprofit organization meeting the
requirements of the Property Act and/or regulations of GSA;
(b) It is acquiring the property for its own use and will use the
property for authorized purposes;
(c) Funds are available to pay all costs and charges incident to
the donation;
(d) It will comply with the nondiscrimination regulations issued
under title VI of the Civil Rights Act of 1964 (42 U.S.C. 2000d-2000d-
4), section 606 of title VI of the Federal Property and Administrative
Services Act of 1949 (40 U.S.C. 476), as amended, section 504 of the
Rehabilitation Act of 1973 (29 U.S.C. 794), as amended, title IX of the
Education Amendments of 1972 (20 U.S.C. 1681-1688), as amended, and
section 303 of the Age Discrimination Act of 1975 (42 U.S.C. 6101-
6107); and
(e) It isn't currently debarred, suspended, declared ineligible, or
otherwise excluded from receiving the property.
Sec. 102-37.450 What agreements must a donee make?
Before a SASP may release property to a donee, the donee must agree
to the following conditions:
(a) The property is acquired on an ``as is, where is'' basis,
without warranty of any kind, and it will hold the Government harmless
from any or all debts, liabilities, judgments, costs, demands, suits,
actions, or claims of any nature arising from or incident to the
donation of the property, its use, or final disposition.
(b) It will return to the SASP, at its own expense, any donated
property:
(1) That is not placed in use for the purposes for which it was
donated within 1 year of donation; or
(2) Which ceases to be used for such purposes within 1 year after
being placed in use.
(c) It will comply with the terms and conditions imposed by the
SASP on the use of any item of property having a unit acquisition cost
of $5,000 or more and any passenger motor vehicle or other donated
item. (Not applicable to SEAs.)
(d) It agrees that, upon execution of the SASP distribution
document, it has conditional title only to the property during the
applicable period of restriction. Full title to the property will vest
in the donee only after the donee has met all of the requirements of
this part.
(e) It will comply with conditions imposed by GSA, if any,
requiring special handling or use limitations on donated property.
(f) It will use the property for an authorized purpose during the
period of restriction.
(g) It will obtain permission from the SASP before selling,
trading, leasing, loaning, bailing, cannibalizing, encumbering or
otherwise disposing of property during the period of restriction, or
removing it permanently for use outside the State.
(h) It will report to the SASP on the use, condition, and location
of donated property, and on other pertinent matters as the SASP may
require from time to time.
(i) If an insured loss of the property occurs during the period of
restriction, GSA or the SASP (depending on which agency has imposed the
restriction) will be entitled to reimbursement out of the insurance
proceeds of an amount equal to the unamortized portion of the fair
market value of the damaged or destroyed item.
Special Handling or Use Conditions
Sec. 102-37.455 On what categories of surplus property has GSA imposed
special handling conditions or use limitations?
GSA has imposed special handling or processing requirements on the
property discussed in this section. GSA may, on a case-by-case basis,
prescribe additional restrictions for handling or using these items or
prescribe special processing requirements on items in addition to those
listed in this section.
(a) Aircraft and vessels. The requirements of this section apply to
the donation of any fixed- or rotary-wing aircraft and donable vessels
that are 50 feet or more in length, having a unit acquisition cost of
$5,000 or more, regardless of the purpose for which donated. Such
aircraft or vessels may be donated to public agencies and eligible
nonprofit activities provided the aircraft or vessel is not classified
for reasons of national security and any lethal characteristics are
removed. The following table provides locations of other policies and
procedures governing aircraft and vessels:
------------------------------------------------------------------------
For. . . See. . .
------------------------------------------------------------------------
(1) Policies and procedures Part 101-37, subpart 101-37.6, of
governing the donation of aircraft this title.
parts.
------------------------------------------------------------------------
[[Page 2596]]
(2) Documentation needed by GSA to Sec. 102-37.225.
process requests for aircraft or
vessels.
------------------------------------------------------------------------
(3) Special terms, conditions, and Sec. 102-37.460.
restrictions imposed on aircraft
and vessels.
------------------------------------------------------------------------
(4) Guidelines on preparing letters Sec. 102-37.230.
of intent for aircraft or vessels.
------------------------------------------------------------------------
(b) Alcohol. (1) When tax-free or specially denatured alcohol is
requested for donation, the donee must have a special permit issued by
the Assistant Regional Commissioner of the appropriate regional office,
Bureau of Alcohol, Tobacco, and Firearms (BATF), Department of the
Treasury, in order to acquire the property. Include the BATF use-permit
number on the SF 123, Transfer Order Surplus Personal Property.
(2) You may not store tax-free or specially denatured alcohol in
SASP facilities. You must make arrangements for this property to be
shipped or transported directly from the holding agency to the
designated donee.
(c) Hazardous materials, firearms, and property with unsafe or
dangerous characteristics. For hazardous materials, firearms, and
property with unsafe or dangerous characteristics, see part 101-42 of
this title.
(d) Franked and penalty mail envelopes and official letterhead.
Franked and penalty mail envelopes and official letterhead may not be
donated without the SASP certifying that all Federal Government
markings will be obliterated before use.
Sec. 102-37.460 What special terms and conditions apply to the
donation of aircraft and vessels?
The following special terms and conditions apply to the donation of
aircraft and vessels:
(a) There must be a period of restriction which will expire after
the aircraft or vessel has been used for the purpose stated in the
letter of intent (see Sec. 102-37.230) for a period of 5 years, except
that the period of restriction for a combat-configured aircraft is in
perpetuity.
(b) The donee of an aircraft must apply to the FAA for registration
of an aircraft intended for flight use within 30 calendar days of
receipt of the aircraft. The donee of a vessel must, within 30 calendar
days of receipt of the vessel, apply for documentation of the vessel
under applicable Federal, State, and local laws and must record each
document with the U.S. Coast Guard at the port of documentation. The
donee's application for registration or documentation must include a
fully executed copy of the conditional transfer document and a copy of
its letter of intent. The donee must provide the SASP and GSA with a
copy of the FAA registration (and a copy of its FAA Standard
Airworthiness Certificate if the aircraft is to be flown as a civil
aircraft) or Coast Guard documentation.
(c) The aircraft or vessel must be used solely in accordance with
the executed conditional transfer document and the plan of utilization
set forth in the donee's letter of intent, unless the donee has amended
the letter, and it has been approved in writing by the SASP and GSA and
a copy of the amendment recorded with FAA or the U.S. Coast Guard, as
applicable.
(d) In the event any of the terms and conditions imposed by the
conditional transfer document are breached, title may revert to the
Government. GSA may require the donee to return the aircraft or vessel
or pay for any unauthorized disposal, transaction, or use.
(e) If, during the period of restriction, the aircraft or vessel is
no longer needed by the donee, the donee must promptly notify the SASP
and request disposal instructions. A SASP may not issue disposal
instructions without the prior written concurrence of GSA.
(f) Military aircraft previously used for ground instruction and/or
static display (Category B aircraft, as designated by DOD) or that are
combat-configured (Category C aircraft) may not be donated for flight
purposes.
(g) For all aircraft donated for nonflight use, the donee must,
within 30 calendar days of receipt of the aircraft, turn over to the
SASP the remaining aircraft historical records (except the records of
the major components/life limited parts; e.g., engines, transmissions,
rotor blades, etc., necessary to substantiate their reuse). The SASP in
turn must transmit the records to GSA for forwarding to the FAA.
Release of Restrictions
Sec. 102-37.465 May a SASP modify or release any of the terms and
conditions of donation?
You may alter or grant releases from State-imposed restrictions,
provided your State plan of operation sets forth the standards by which
such actions will be taken. You may not grant releases from, or
amendments or corrections to:
(a) The terms and conditions you are required by the Property Act
to impose on the use of passenger motor vehicles and any item of
property having a unit acquisition cost of $5,000 or more.
(b) Any special handling condition or use limitation imposed by
GSA, except with the prior written approval of GSA.
(c) The statutory requirement that usable property be returned by
the donee to the SASP if the property has not been placed in use for
the purposes for which it was donated within 1 year of donation or
ceases to be used by the donee for those purposes within 1 year of
being placed in use, except that:
(1) You may grant authority to the donee to cannibalize property
items subject to this requirement when you determine that such action
will result in increased use of the property and that the proposed
action meets the standards prescribed in your plan of operation.
(2) You may, with the written concurrence of GSA, grant donees:
(i) A time extension to place property into use if the delay in
putting the property into use was beyond the control and without the
fault or negligence of the donee.
(ii) Authority to trade in one donated item for one like item
having similar use potential.
Sec. 102-37.470 At what point may restrictions be released on property
that has been authorized for cannibalization?
Property authorized for cannibalization must remain under the
period of restriction imposed by the transfer/distribution document
until the proposed cannibalization is completed. Components resulting
from the cannibalization, which have a unit acquisition cost of $5,000
or more, must remain under the restrictions imposed by the transfer/
distribution document. Components with a unit acquisition cost of less
than $5,000 may be released upon cannibalization from the additional
restrictions imposed by the State. However, these components must
continue to be used or be otherwise disposed of in accordance with this
part.
[[Page 2597]]
Sec. 102-37.475 What are the requirements for releasing restrictions
on property being considered for exchange?
GSA must consent to the exchange of donated property under Federal
restrictions or special handling conditions. The donee must have used
the donated item for its acquired purpose for a minimum of 6 months
prior to being considered for exchange, and it must be demonstrated
that the exchange will result in increased utilization value to the
donee. As a condition of approval of the exchange, the item being
exchanged must have remained in compliance with the terms and
conditions of the donation. Otherwise, Sec. 102-37.485 applies. The
item acquired by the donee must be:
(a) Made subject to the period of restriction remaining on the item
exchanged; and
(b) Of equal or greater value than the item exchanged.
Compliance and Utilization
Sec. 102-37.480 What must a SASP do to ensure that property is used
for the purpose(s) for which it was donated?
You must conduct utilization reviews, as provided in your plan of
operation, to ensure that donees are using surplus property during the
period of restriction for the purposes for which it was donated. You
must fully document your efforts and report all instances of
noncompliance (misuse or mishandling of property) to GSA.
Sec. 102-37.485 What actions must a SASP take if a review or other
information indicates noncompliance with donation terms and conditions?
If a review or other information indicates noncompliance with
donation terms and conditions, you must:
(a) Promptly investigate any suspected failure to comply with the
conditions of donated property;
(b) Notify GSA immediately where there is evidence or allegation of
fraud, wrongdoing by a screener, or nonuse, misuse, or unauthorized
disposal or destruction of donated property;
(c) Temporarily defer any further donations of property to any
donee to be investigated for noncompliance allegations until such time
as the investigation has been completed and:
(1) A determination made that the allegations are unfounded and the
deferment is removed.
(2) The allegations are substantiated and the donee is proposed for
suspension or debarment; and
(d) Take steps to correct the noncompliance or otherwise enforce
the conditions imposed on use of the property if a donee is found to be
in noncompliance. Enforcement of compliance may involve:
(1) Ensuring the property is used by the present donee for the
purpose for which it was donated.
(2) Recovering the property from the donee for:
(i) Redistribution to another donee within the State;
(ii) Transfer through GSA to another SASP; or
(iii) Transfer through GSA to a Federal agency.
(3) Recovering fair market value or the proceeds of disposal in
cases of unauthorized disposal or destruction.
(4) Recovering fair rental value for property in cases where the
property has been loaned or leased to an ineligible user or used for an
unauthorized purpose.
(5) Disposing of by public sale property no longer suitable,
usable, or necessary for donation.
Sec. 102-37.490 When must a SASP coordinate with GSA on compliance
actions?
You must coordinate with GSA before selling or demanding payment of
the fair market or fair rental value of donated property that is:
(a) Subject to any special handling condition or use limitation
imposed by GSA (see Sec. 102-37.455); or
(b) Not properly used within 1 year of donation or which ceases to
be properly used within 1 year of being placed in use.
Sec. 102-37.495 How must a SASP handle funds derived from compliance
actions?
You must handle funds derived from compliance actions as follows:
(a) Enforcement of Federal restrictions. You must promptly remit to
GSA any funds derived from the enforcement of compliance involving a
violation of any Federal restriction, for deposit in the Treasury of
the United States. You must also submit any supporting documentation
indicating the source of the funds and essential background
information.
(b) Enforcement of State restrictions. You may retain any funds
derived from a compliance action involving violation of any State-
imposed restriction and use such funds as provided in your State plan
of operation.
Returns and Reimbursement
Sec. 102-37.500 May a donee receive reimbursement for its donation
expenses when unneeded property is returned to the SASP?
When a donee returns unneeded property to a SASP, the donee may be
reimbursed for all or part of the initial cost of any repairs required
to make the property usable if:
(a) The property is transferred to a Federal agency or sold for the
benefit of the U.S. Government;
(b) No breach of the terms and conditions of donation has occurred;
and
(c) GSA authorizes the reimbursement.
Sec. 102-37.505 How does a donee apply for and receive reimbursement
for unneeded property returned to a SASP?
If the donee has incurred repair expenses for property it is
returning to a SASP and wishes to be reimbursed for them, it will
inform the SASP of this. The SASP will recommend for GSA approval a
reimbursement amount, taking into consideration the benefit the donee
has received from the use of the property and making appropriate
deductions for that use.
(a) If this property is subsequently transferred to a Federal
agency, the receiving agency will be required to reimburse the donee as
a condition of the transfer.
(b) If the property is sold, the donee will be reimbursed from the
sales proceeds.
Special Provisions Pertaining to SEAs
Sec. 102-37.510 Are there special requirements for donating property
to SEAs?
Yes, only DOD-generated property may be donated to SEAs. When
donating DOD property to an eligible SEA, SASPs must observe any
restrictions the sponsoring Military Service may have imposed on the
types of property the SEA may receive.
Sec. 102-37.515 Do SEAs have a priority over other SASP donees for DOD
property?
Yes, SEAs have a priority over other SASP donees for DOD property,
but only if DOD requests GSA to allocate surplus DOD property through a
SASP for donation to a specific SEA. In such cases, DOD would be
expected to clearly identify the items in question and briefly justify
the request.
Subpart F--Donations to Public Airports
Sec. 102-37.520 What is the authority for public airport donations?
The authority for public airport donations is 49 U.S.C. 47151. 49
U.S.C. 47151 authorizes executive agencies to give priority
consideration to requests from a public airport (as defined in 41
U.S.C. 47102) for the donation of surplus property if the Department of
Transportation (DOT) considers the property appropriate for airport
[[Page 2598]]
purposes and GSA approves the donation.
Sec. 102-37.525 What should a holding agency do if it wants a public
airport to receive priority consideration for excess personal property
it has reported to GSA?
A holding agency interested in giving priority consideration to a
public airport should annotate its reporting document to make GSA aware
of this interest. In an addendum to the document, include the name of
the requesting airport, specific property requested, and a brief
description of how the airport intends to use the property.
Sec. 102-37.530 What are FAA's responsibilities in the donation of
surplus property to public airports?
In the donation of surplus property to public airports, the Federal
Aviation Administration (FAA), acting under delegation from the DOT, is
responsible for:
(a) Determining the property requirements of any State, political
subdivision of a State, or tax-supported organization for public
airport use;
(b) Setting eligibility requirements for public airports and making
determinations of eligibility;
(c) Certifying that property listed on a transfer request is
desirable or necessary for public airport use;
(d) Advising GSA of FAA officials authorized to certify transfer
requests and notifying GSA of any changes in signatory authority;
(e) Determining and enforcing compliance with the terms and
conditions under which surplus personal property is transferred for
public airport use; and
(f) Authorizing public airports to visit holding agencies for the
purpose of screening and selecting property for transfer. This
responsibility includes:
(1) Issuing a screening pass or letter of authorization to only
those persons who are qualified to screen.
(2) Maintaining a current record (to include names, addresses, and
telephone numbers, and additional identifying information such as
driver's license or social security numbers) of screeners operating
under FAA authority and making such records available to GSA upon
request.
(3) Recovering any expired or invalid screener authorizations.
Sec. 102-37.535 What information must FAA provide to GSA on its
administration of the public airport donation program?
So that GSA has information on which to base its discretionary
authority to approve the donation of surplus personal property, FAA
must:
(a) Provide copies of internal instructions that outline the scope
of FAA's oversight program for enforcing compliance with the terms and
conditions of transfer; and
(b) Report any compliance actions involving donations to public
airports.
Subpart G--Donations to the American National Red Cross
Sec. 102-37.540 What is the authority for donations to the American
National Red Cross?
Subsection 203(l) of the Property Act (40 U.S.C. 484(l)) authorizes
GSA to donate to the Red Cross, for charitable use, such property as
was originally derived from or through the Red Cross.
Sec. 102-37.545 What type of property may the American National Red
Cross receive?
The Red Cross may receive surplus gamma globulin, dried plasma,
albumin, antihemophilic globulin, fibrin foam, surgical dressings, or
other products or materials it processed, produced, or donated to a
Federal agency.
Sec. 102-37.550 What steps must the American National Red Cross take
to acquire surplus property?
Upon receipt of information from GSA regarding the availability of
surplus property for donation, the Red Cross will:
(a) Have 21 calendar days to inspect the property or request it
without inspection; and
(b) Be responsible for picking up property donated to it or
arranging and paying for its shipment.
Sec. 102-37.555 What happens to property the American National Red
Cross does not request?
Property the Red Cross declines to request will be offered to SASPs
for distribution to eligible donees. If such property is transferred,
GSA will require the SASP to ensure that all Red Cross labels or other
Red Cross identifications are obliterated or removed from the property
before it is used.
Subpart H--Donations to Public Bodies in Lieu of Abandonment/
Destruction
Sec. 102-37.560 What is a public body?
A public body is any department, agency, special purpose district,
or other instrumentality of a State or local government; any Indian
tribe; or any agency of the Federal Government.
Sec. 102-37.565 What is the authority for donations to public bodies?
Subsection 202(h) of the Property Act (40 U.S.C. 483(h)) authorizes
the abandonment, destruction, or donation to public bodies of property
which has no commercial value or for which the estimated cost of
continued care and handling would exceed the estimated proceeds from
its sale.
Sec. 102-37.570 What type of property may a holding agency donate
under this subpart?
Only that property a holding agency has made a written
determination to abandon or destroy (see process in part 102-36 of this
chapter) may be donated under this subpart. A holding agency may not
donate property that requires destruction for health, safety, or
security reasons. When disposing of hazardous materials and other
dangerous property, a holding agency must comply with all applicable
laws and regulations and any special disposal requirements in part 101-
42 of this title.
Sec. 102-37.575 Is there a special form for holding agencies to
process donations?
There is no special form for holding agencies to process donations.
A holding agency may use any document that meets its agency's needs for
maintaining an audit trail of the transaction.
Sec. 102-37.580 Who is responsible for costs associated with the
donation?
The recipient public body is responsible for paying the disposal
costs incident to the donation, such as packing, preparation for
shipment, demilitarization (as defined in
Sec. 102-36.40 of this chapter), loading, and transportation to its
site.
Appendix A--Miscellaneous Donation Statutes
The following is a listing of statutes which authorize donations
which do not require GSA's approval:
Statute: 10 U.S.C. 2572.
Donor Agency: Any military department (Army, Navy, and Air
Force) or the Coast Guard.
Type of Property: Books, manuscripts, works of art, historical
artifacts, drawings, plans, models, and condemned or obsolete combat
material.
Eligible Recipients: Municipal corporations; soldiers' monument
associations; museums, historical societies, or historical
institutions of a State or foreign nation; incorporated museums that
are operated and maintained for educational purposes only and the
charters of which denies them the right to operate for profit; posts
of the Veterans of Foreign Wars of the United States or of the
American Legion or a unit of any other recognized war veterans'
association; local or national units of any war veterans'
association of a foreign nation which is recognized by the national
government of that nation or a principal subdivision of that nation;
and posts of the Sons of Veterans Reserve.
Statute: 10 U.S.C. 7306.
Donor Agency: Department of the Navy.
[[Page 2599]]
Type of Property: Any vessel stricken from the Naval Vessel
Register or any captured vessel in the possession of the Navy.
Eligible Recipients: States, Commonwealths, or possessions of
the United States; the District of Columbia; and not-for-profit or
nonprofit entities.
Statute: 10 U.S.C. 7541.
Donor Agency: Department of the Navy.
Type of Property: Obsolete material not needed for naval
purposes.
Eligible Recipients: Sea scouts of the Boy Scouts of America;
Naval Sea Cadet Corps; and the Young Marines of the Marine Corps
League.
Statute: 10 U.S.C. 7545.
Donor Agency: Department of the Navy.
Type of Property: Captured, condemned, or obsolete ordnance
material, books, manuscripts, works of art, drawings, plans, and
models; other condemned or obsolete material, trophies, and flags;
and other material of historic interest not needed by the Navy.
Eligible Recipients: States, territories, commonwealths, or
possessions of the United States, or political subdivisions or
municipal corporations thereof; the District of Columbia; libraries;
historical societies; educational institutions whose graduates or
students fought in World War I or World War II; soldiers' monument
associations; State museums; museums operated and maintained for
educational purposes only, whose charter denies it the right to
operate for profit; posts of the Veterans of Foreign Wars of the
United States; American Legion posts; recognized war veterans'
associations; or posts of the Sons of Veterans Reserve.
Statute: 14 U.S.C. 641(a).
Donor Agency: Coast Guard.
Type of Property: Obsolete or other material not needed for the
Coast Guard.
Eligible Recipients: Coast Guard Auxiliary; sea scout service of
the Boy Scouts of America; and public bodies or private
organizations not organized for profit.
Appendix B--Elements of a State Plan of Operation
The following is the information and assurances that must be
included in a SASP's plan of operation:
State Plan Requirements
------------------------------------------------------------------------
Regarding . . . The plan must . . .
------------------------------------------------------------------------
(a) Designation of a SASP.... (1) Name the State agency that will be
responsible for administering the plan.
(2) Describe the responsibilities vested
in the agency which must include the
authorities to acquire, warehouse and
distribute surplus property to eligible
donees, carry out other requirements of
the State plan, and provide details
concerning the organization of the
agency, including supervision, staffing,
structure, and physical facilities.
(3) Indicate the organizational status of
the agency within the State governmental
structure and the title of the State
official who directly supervises the
State agent.
------------------------------------------------------------------------
(b) Operational authority.... Include copies of existing State statutes
and/or executive orders relative to the
operational authority of the SASP. Where
express statutory authority does not
exist or is ambiguous, or where
authority exists by virtue of executive
order, the plan must include also the
opinion of the State's Attorney General
regarding the existence of such
authority.
------------------------------------------------------------------------
(c) Inventory control and (1) Require the SASP to use a management
accounting system. control and accounting system that
effectively governs the utilization,
inventory control, accountability, and
disposal of property.
(2) Provide a detailed explanation of the
inventory control and accounting system
that the SASP will use.
(3) Provide that property retained by the
SASP to perform its functions be
maintained on separate records from
those of donable property.
------------------------------------------------------------------------
(d) Return of donated (1) Require the SASP to provide for the
property. return of donated property from the
donee, at the donee's expense, if the
property is still usable as determined
by the SASP; and
(i) The donee has not placed the property
into use for the purpose for which it
was donated within 1 year of donation;
or
(ii) The donee ceases to use the property
within 1 year after placing it in use.
(2) Specify that return of property can
be accomplished by:
(i) Physical return to the SASP facility,
if required by the SASP.
(ii) Retransfer directly to another
donee, SASP, or
Federal agency, as required by the SASP.
(iii) Disposal (by sale or other means)
as directed by the SASP.
(3) Set forth procedures to accomplish
property returns to the SASP,
retransfers to other organizations, or
disposition by sale, abandonment, or
destruction.
------------------------------------------------------------------------
(e) Financing and service (1) Set forth the means and methods for
charges. financing the SASP. When the State
authorizes the SASP to assess and
collect service charges from
participating donees to cover direct and
reasonable indirect costs of its
activities, the method of establishing
the charges must be set forth in the
plan.
(2) Affirm that service charges, if
assessed, are fair and equitable and
based on services performed (or paid
for) by the SASP, such as screening,
packing, crating, removal, and
transportation. When the SASP provides
minimal services in connection with the
acquisition of property, except for
document processing and other
administrative actions, the State plan
must provide for minimal charges to be
assessed in such cases and include the
bases of computation.
(3) Provide that property made available
to nonprofit providers of assistance to
homeless individuals be distributed at a
nominal cost for care and handling of
the property.
(4) Set forth how funds accumulated from
service charges, or from other sources
such as sales or compliance proceeds are
to be used for the operation of the SASP
and the benefit of participating donees.
(5) Affirm, if service charge funds are
to be deposited or invested, that such
deposits or investments are permitted by
State law and set forth the types of
depositories and/or investments
contemplated.
(6) Cite State authority to use service
charges to acquire or improve SASP
facilities and set forth disposition to
be made of any financial assets realized
upon the sale or other disposal of the
facilities.
(7) Indicate if the SASP intends to
maintain a working capital reserve. If
one is to be maintained, the plan should
provide the provisions and limitations
for it.
[[Page 2600]]
(8) State if refunds of service charges
are to be made to donees when there is
an excess in the SASP's working capital
reserve and provide details of how such
refunds are to be made, such as a
reduction in service charges or a cash
refund, prorated in an equitable manner.
------------------------------------------------------------------------
(f) Terms and conditions on (1) Require the SASP to identify terms
donated property. and conditions that will be imposed on
the donee for any item of donated
property with a unit acquisition cost of
$5,000 or more and any passenger motor
vehicle.
(2) Provide that the SASP may impose
reasonable terms and conditions on the
use of other donated property. If the
SASP elects to impose additional terms
and conditions, it should list them in
the plan. If the SASP wishes to provide
for amending, modifying, or releasing
any terms or conditions it has elected
to impose, it must state in the plan the
standards it will use to grant such
amendments, modifications or releases.
(3) Provide that the SASP will impose on
the donation of property, regardless of
unit acquisition cost, such conditions
involving special handling or use
limitations as GSA may determine
necessary because of the characteristics
of the property.
------------------------------------------------------------------------
(g) Nonutilized or Provide that, subject to GSA approval,
undistributed property. property in the possession of the SASP
which donees in the State cannot use
will be disposed of by:
(1) Transfer to another SASP or Federal
agency.
(2) Sale.
(3) Abandonment or destruction.
(4) Other arrangements.
------------------------------------------------------------------------
(h) Fair and equitable (1) Provide that the SASP will make fair
distribution. and equitable distribution of property
to eligible donees in the State based on
their relative needs and resources and
ability to use the property.
(2) Set forth the policies and detailed
procedures for effecting a prompt, fair,
and equitable distribution.
(3) Require that the SASP, insofar as
practicable, select property requested
by eligible donees and, if requested by
the donee, arrange for shipment of the
property directly to the donee.
------------------------------------------------------------------------
(i) Eligibility.............. (1) Set forth procedures for the SASP to
determine the eligibility of applicants
for the donation of surplus personal
property.
(2) Provide for donee eligibility records
to include at a minimum:
(i) Legal name and address of the donee.
(ii) Status of the donee as a public
agency or as an eligible nonprofit
activity.
(iii) Details on the scope of the donee's
program.
(iv) Proof of tax exemption under section
501 of the Internal Revenue Code if the
donee is nonprofit.
(v) Proof that the donee is approved,
accredited, licensed, or meets any other
legal requirement for operation of its
program(s).
(vi) Financial information.
(vii) Written authorization by the
donee's governing body or chief
administrative officer designating at
least one person to act for the donee in
acquiring property.
(viii) Assurance that the donee will
comply with GSA's regulations on
nondiscrimination.
(ix) Types of property needed.
------------------------------------------------------------------------
(j) Compliance and (1) Provide that the SASP conduct
utilization. utilization reviews for donee compliance
with the terms, conditions,
reservations, and restrictions imposed
by GSA and the SASP on property having a
unit acquisition cost of $5,000 or more
and any passenger motor vehicle.
(2) Provide for the reviews to include a
survey of donee compliance with any
special handling conditions or use
limitations imposed on items of property
by GSA.
(3) Set forth the proposed frequency of
such reviews and provide adequate
assurances that the SASP will take
effective action to correct
noncompliance or otherwise enforce such
terms, conditions, reservations, and
restrictions.
(4) Require the SASP to prepare reports
on utilization reviews and compliance
actions and provide assurance that the
SASP will initiate appropriate
investigations of alleged fraud in the
acquisition of donated property or
misuse of such property.
------------------------------------------------------------------------
(k) Consultation with (1) Provide for consultation with
advisory bodies and public advisory bodies and public and private
and private groups. groups which can assist the SASP in
determining the relative needs and
resources of donees, the proposed
utilization of surplus property by
eligible donees, and how distribution of
surplus property can be effected to fill
existing needs of donees.
(2) Provide details of how the SASP will
accomplish such consultation.
------------------------------------------------------------------------
(l) Audit.................... (1) Provide for periodic internal audits
of the operations and financial affairs
of the SASP.
(2) Provide for compliance with the
external audit requirements of Office of
Management and Budget Circular No. A-
133, ``Audits of States, Local
Governments, and Non-Profit
Organizations'' (available at
www.whitehouse.gov/OMB), and make
provisions for the SASP to furnish GSA
with:
(i) Two copies of any audit report made
pursuant to the Circular, or with two
copies of those sections that pertain to
the Federal donation program.
(ii) An outline of all corrective actions
and scheduled completion dates for the
actions.
(3) Provide for cooperation in GSA or
Comptroller General conducted audits.
------------------------------------------------------------------------
[[Page 2601]]
(m) Cooperative agreements... If the SASP wishes to enter into, renew,
or revise cooperative agreements with
GSA or other Federal agencies:
(1) Affirm the SASP's intentions to enter
into cooperative agreements.
(2) Cite the authority for entering into
such agreements.
------------------------------------------------------------------------
(n) Liquidation.............. Provide for the SASP to submit a
liquidation plan prior to termination of
the SASP activities if the State decides
to dissolve the SASP.
------------------------------------------------------------------------
(o) Forms.................... Include copies of distribution documents
used by the SASP.
------------------------------------------------------------------------
(p) Records.................. Affirm that all official records of the
SASP will be retained for a minimum of 3
years, except that:
(1) Records involving property subject to
restrictions for more than 2 years must
be kept 1 year beyond the specified
period of restriction.
(2) Records involving property with
perpetual restriction must be retained
in perpetuity.
(3) Records involving property in
noncompliance status must be retained
for at least 1 year after the
noncompliance case is closed.
------------------------------------------------------------------------
Appendix C--Glossary of Terms for Determining Eligibility of Public
Agencies and Nonprofit Organizations
The following is a glossary of terms for determining eligibility
of public agencies and nonprofit organizations:
Accreditation means the status of public recognition that an
accrediting agency grants to an institution or program that meets
the agency's standards and requirements.
Accredited means approval by a recognized accrediting board or
association on a regional, State, or national level, such as a State
board of education or health; the American Hospital Association; a
regional or national accrediting association for universities,
colleges, or secondary schools; or another recognized accrediting
association.
Approved means recognition and approval by the State department
of education, State department of health, or other appropriate
authority where no recognized accrediting board, association, or
other authority exists for the purpose of making an accreditation.
For an educational institution or an educational program, approval
must relate to academic or instructional standards established by
the appropriate authority. For a public health institution or
program, approval must relate to the medical requirements and
standards for the professional and technical services of the
institution established by the appropriate authority.
Child care center means a public or nonprofit facility where
educational, social, health, and nutritional services are provided
to children through age 14 (or as prescribed by State law) and that
is approved or licensed by the State or other appropriate authority
as a child day care center or child care center.
Clinic means an approved public or nonprofit facility organized
and operated for the primary purpose of providing outpatient public
health services and includes customary related services such as
laboratories and treatment rooms.
College means an approved or accredited public or nonprofit
institution of higher learning offering organized study courses and
credits leading to a baccalaureate or higher degree.
Conservation means a program or programs carried out or promoted
by a public agency for public purposes involving directly or
indirectly the protection, maintenance, development, and restoration
of the natural resources of a given political area. These resources
include but are not limited to the air, land, forests, water,
rivers, streams, lakes and ponds, minerals, and animals, fish and
other wildlife.
Drug abuse or alcohol treatment center means a clinic or medical
institution that provides for the diagnosis, treatment, or
rehabilitation of alcoholics or drug addicts. These centers must
have on their staffs, or available on a regular visiting basis,
qualified professionals in the fields of medicine, psychology,
psychiatry, or rehabilitation.
Economic development means a program(s) carried out or promoted
by a public agency for public purposes to improve the opportunities
of a given political area for the establishment or expansion of
industrial, commercial, or agricultural plants or facilities and
which otherwise assist in the creation of long-term employment
opportunities in the area or primarily benefit the unemployed or
those with low incomes.
Education means a program(s) to develop and promote the
training, general knowledge, or academic, technical, and vocational
skills and cultural attainments of individuals in a community or
given political area. Public educational programs may include public
school systems and supporting facilities such as centralized
administrative or service facilities.
Educational institution means an approved, accredited, or
licensed public or nonprofit institution, facility, entity, or
organization conducting educational programs or research for
educational purposes, such as a child care center, school, college,
university, school for the mentally or physically disabled, or an
educational radio or television station.
Educational radio or television station means a public or
nonprofit radio or television station licensed by the Federal
Communications Commission and operated exclusively for noncommercial
educational purposes.
Health center means an approved public or nonprofit facility
that provides public health services, including related facilities
such as diagnostic and laboratory facilities and clinics.
Homeless individual means:
(1) An individual who lacks a fixed, regular, and adequate
nighttime residence, or who has a primary nighttime residence that
is:
(i) A supervised publicly or privately operated shelter designed
to provide temporary living accommodations (including welfare
hotels, congregate shelters, and transitional housing for the
mentally ill);
(ii) An institution that provides a temporary residence for
individuals intended to be institutionalized; or
(iii) A public or private place not designed for, or ordinarily
used as, a regular sleeping accommodation for human beings.
(2) For purposes of this part, the term homeless individual does
not include any individual imprisoned or otherwise detained pursuant
to an Act of the Congress or a State law.
Hospital means an approved or accredited public or nonprofit
institution providing public health services primarily for inpatient
medical or surgical care of the sick and injured and includes
related facilities such as laboratories, outpatient departments,
training facilities, and staff offices.
Library means a public or nonprofit facility providing library
services free to all residents of a community, district, State, or
region.
Licensed means recognition and approval by the appropriate State
or local authority approving institutions or programs in specialized
areas. Licensing generally relates to established minimum public
standards of safety, sanitation, staffing, and equipment as they
relate to the construction, maintenance, and operation of a health
or educational facility, rather than to the academic, instructional,
or medical standards for these institutions.
Medical institution means an approved, accredited, or licensed
public or nonprofit institution, facility, or organization whose
primary function is the furnishing of public health and medical
services to the public or promoting public health through the
conduct of research, experiments, training, or demonstrations
related to cause, prevention, and methods of diagnosis and treatment
of
[[Page 2602]]
diseases and injuries. The term includes, but is not limited to,
hospitals, clinics, alcohol and drug abuse treatment centers, public
health or treatment centers, research and health centers, geriatric
centers, laboratories, medical schools, dental schools, nursing
schools, and similar institutions. The term does not include
institutions primarily engaged in domiciliary care, although a
separate medical facility within such a domiciliary institution may
qualify as a medical institution.
Museum means a public or nonprofit institution that is organized
on a permanent basis for essentially educational or aesthetic
purposes and which, using a professional staff, owns or uses
tangible objects, either animate or inanimate; cares for these
objects; and exhibits them to the public on a regular basis (at
least 1000 hours a year). As used in this part, the term museum
includes, but is not limited to, the following institutions if they
satisfy all other provisions of this definition: Aquariums and
zoological parks; botanical gardens and arboretums; nature centers;
museums relating to art, history (including historic buildings),
natural history, science, and technology; and planetariums. For the
purposes of this definition, an institution uses a professional
staff if it employs at least one fulltime staff member or the
equivalent, whether paid or unpaid, primarily engaged in the
acquisition, care, or public exhibition of objects owned or used by
the institution. This definition of museum does not include any
institution that exhibits objects to the public if the display or
use of the objects is only incidental to the primary function of the
institution.
Nationally recognized accrediting agency means an accrediting
agency that the Department of Education recognizes under 34 CFR part
600. (For a list of accrediting agencies, see the Department's web
site at http://www.ed.gov/offices/OPE/accreditation/index.html)
Nonprofit means not organized for profit and exempt from Federal
income tax under section 501 of the Internal Revenue Code (26 U.S.C.
501).
Parks and recreation means a program(s) carried out or promoted
by a public agency for public purposes that involve directly or
indirectly the acquisition, development, improvement, maintenance,
and protection of park and recreational facilities for the residents
of a given political area.
Program for older individuals means a program conducted by a
State or local government agency or nonprofit activity that receives
funds appropriated for services or programs for older individuals
under the Older Americans Act of 1965, as amended, under title IV or
title XX of the Social Security Act (42 U.S.C. 601 et seq.), or
under titles VIII and X of the Economic Opportunity Act of 1964 (42
U.S.C. 2991 et seq.) and the Community Services Block Grant Act (42
U.S.C. 9901 et seq.).
Provider of assistance to homeless individuals means a public
agency or a nonprofit institution or organization that operates a
program which provides assistance such as food, shelter, or other
services to homeless individuals.
Provider of assistance to impoverished families and individuals
means a public or nonprofit organization whose primary function is
to provide money, goods, or services to families or individuals
whose annual incomes are below the poverty line (as defined in
section 673 of the Community Services Block Grant Act) (42 U.S.C.
9902). Providers include food banks, self-help housing groups, and
organizations providing services such as the following: Health care;
medical transportation; scholarships and tuition assistance;
tutoring and literacy instruction; job training and placement;
employment counseling; child care assistance; meals or other
nutritional support; clothing distribution; home construction or
repairs; utility or rental assistance; and legal counsel.
Public agency means any State; political subdivision thereof,
including any unit of local government or economic development
district; any department, agency, or instrumentality thereof,
including instrumentalities created by compact or other agreement
between States or political subdivisions; multijurisdictional
substate districts established by or pursuant to State law; or any
Indian tribe, band, group, pueblo, or community located on a State
reservation.
Public health means a program(s) to promote, maintain, and
conserve the public's health by providing health services to
individuals and/or by conducting research, investigations,
examinations, training, and demonstrations. Public health services
may include but are not limited to the control of communicable
diseases, immunization, maternal and child health programs, sanitary
engineering, sewage treatment and disposal, sanitation inspection
and supervision, water purification and distribution, air pollution
control, garbage and trash disposal, and the control and elimination
of disease-carrying animals and insects.
Public health institution means an approved, accredited, or
licensed public or nonprofit institution, facility, or organization
conducting a public health program(s) such as a hospital, clinic,
health center, or medical institution, including research for such
programs, the services of which are available to the public.
Public purpose means a program(s) carried out by a public agency
that is legally authorized in accordance with the laws of the State
or political subdivision thereof and for which public funds may be
expended. Public purposes include but are not limited to programs
such as conservation, economic development, education, parks and
recreation, public health, public safety, programs of assistance to
the homeless or impoverished, and programs for older individuals.
Public safety means a program(s) carried out or promoted by a
public agency for public purposes involving, directly or indirectly,
the protection, safety, law enforcement activities, and criminal
justice system of a given political area. Public safety programs may
include, but are not limited to those carried out by:
(1) Public police departments.
(2) Sheriffs' offices.
(3) The courts.
(4) Penal and correctional institutions (including juvenile
facilities).
(5) State and local civil defense organizations.
(6) Fire departments and rescue squads (including volunteer fire
departments and rescue squads supported in whole or in part with
public funds).
School (except schools for the mentally or physically disabled)
means a public or nonprofit approved or accredited organizational
entity devoted primarily to approved academic, vocational, or
professional study and instruction, that operates primarily for
educational purposes on a full-time basis for a minimum school year
and employs a full-time staff of qualified instructors.
School for the mentally or physically disabled means a facility
or institution operated primarily to provide specialized instruction
to students of limited mental or physical capacity. It must be
public or nonprofit and must operate on a full-time basis for the
equivalent of a minimum school year prescribed for public school
instruction for the mentally or physically disabled, have a staff of
qualified instructors, and demonstrate that the facility meets the
health and safety standards of the State or local government.
University means a public or nonprofit approved or accredited
institution for instruction and study in the higher branches of
learning and empowered to confer degrees in special departments or
colleges.
Dated: January 2, 2002.
Stephen A. Perry,
Administrator of General Services.
[FR Doc. 02-880 Filed 1-17-02; 8:45 am]
BILLING CODE 6820-24-P