Reporting and Disposal of Surplus Equipment and Material

Date

January 1, 1989

Revision Date

Number

AD 11.10

Revision No.

Policy

  1. All equipment and material (including teaching and research equipment and furniture and office equipment) which becomes surplus to current operating requirements will be reported to the Purchasing Department, which will be responsible for maintaining a file of current surplus items. All new requests to purchase will be reviewed to determine if the requirements can be met from items in surplus.

  2. Equipment and materials which are determined by the Purchasing Department to be surplus to the University's requirements will be disposed of by them in cooperation with the Facilities Management Department, in a manner which will effect the highest return to the University.

  3. Under certain circumstances, research equipment covered under Policy and Procedure A30.08, Releasing of Research equipment when Faculty Members Resign, will be exempted from the provisions of this policy.

  4. The method of disposal and sale price of all surplus equipment and material will be the responsibility of the Purchasing Department which, where appropriate, will obtain competitive bids, or directly solicit offers from potential buyers, or arrange to hold a "sale". In the case of highly specialized equipment items, the Purchasing Department may request assistance from the "disposing" department or individual in making a sale. Where possible, surplus items will be stored in the Central Stores warehouse area.

  5. Continually high demand furniture items, such as, desks, chairs, tables and file cabinets that are declared surplus and are of use to other university departments shall be reallocated/transferred at no cost. For all other surplus items that are to be sold to individuals or off campus, all net funds received shall be divided between the disposing department and the University in the ration of 3/4 to 1/4. All funds received by the University in this manner shall be applied to the capital equipment budget.

Procedure

  1. When an item becomes surplus to a department's requirements, the department should complete a Surplus Equipment Declaration (SEDEC) form and forward same to the Purchasing Department.

  2. The Purchasing Department will add the item to its listing of current surplus items and will:

    1. On a regular basis provide a copy of the list of surplus items and SEDEC form to Central Stores.

    2. After receiving a report from Central Stores on the condition of the item, determine if it is to be kept for reallocation within the University, sold or scrapped.

    3. On an ongoing basis review all purchase requests to determine if requirements can be met from surplus.

    4. Periodically solicit other institutions and other potential buyers and/or arrange with Central Stores to hold a "sale" of surplus items at least once a year.
  3. Central Stores

    1. Review current list of items, examine any new surplus items and if practical relocate same to Central Stores and code.
    2. Report condition of items to Purchasing Department.

  4. Purchasing Department after arranging for the sale or disposal of the item will:
    1. Complete a Surplus Equipment Disposal (SEDIS) form.
    2. Process the SEDIS, according to type of sale, in accordance with the instructions covered in the attached Appendix A:

      1. Transferred or sold to another University department
      2. Cash Sale
      3. Invoiced Sale
      4. Scrapped or otherwise disposed of.

  5. Central Stores, after having the approved copy of the SEDIS presented by the buyer will:

    1. Make a photocopy of the SEDIS form after the buyer has signed and dated same.

    2. Returns copy of SEDIS to the buyer, along with the items to be picked up.

Appendix A

  1. Items Reallocated to Another University Department


    Purchasing Department

    1. Completes appropriate sections of SEDIS form.

    2. Arranges with Central Stores the physical reallocation of item.
B. Items Sold - Cash Sales

Purchasing Department

  1. Completes appropriate sections of SEDIS form and distributes copies to the Buyer, the Selling Department and to the Financial Services.

Financial Services

  1. Receives payment; issues cash receipt.

C. Items Sold - Invoiced Sales

Purchasing Department

  1. Completes appropriate sections of SEDIS form.
  2. Forwards original and copies No. 1 and No. 2 to Financial Services.

Financial Services

  1. Completes and signs appropriate sections of SEDIS form and returns copies No. 1 and No. 2 to Purchasing Department.
  2. Prepares invoice for the Buyer.

Purchasing Department

  1. Completes and signs appropriate sections of SEDIS form and distributes copies to the Buyer and to the Selling Department.

D. Items Scrapped or Otherwise Disposed Of

Purchasing Department

  1. Completes appropriate sections of SEDIS form and forwards all three copies to Financial Services.

Financial Services

  1. Reviews disposition for financial acceptability.
  2. Signs approval and forwards copies No. 1, No. 2 and No. 3 of SEDIS form to Purchasing Department.

Purchasing Department

  1. Completes appropriate sections of SEDIS form, signs and distributes copies to the Receiving Organization and the selling department.