§ 101-43.313 - Use of excess personal property on cooperative agreements.

(a) Executive agencies may obtain excess personal property for the purpose of furnishing such property to agency cooperatives under cooperative agreements, as defined in § 101-43.001-5, made in accordance with the Federal Grant and Cooperative Agreement Act of 1977 (31 U.S.C. 6301). Excess personal property may be furnished to cooperatives subject to the following conditions:

(1) Authorization for the cooperative to acquire excess property is contained in the cooperative agreement;

(2) A determination is made by the sponsoring Federal agency that the acquisition will result in a reduction in the cost to the Government of the agreement or an enhancement of the product or benefit from the agreement;

(3) The property will not be stockpiled by the cooperative, but will be placed in use within a reasonable period of time following the acquisition;

(4) The time remaining on the cooperative agreement is greater than 60 calendar days from the date a transfer order is received by GSA, unless the sponsoring Federal agency has certified that the cooperative agreement will be extended or renewed, or other justification is submitted; and

(5) The transfer is approved by an authorized official of the sponsoring Federal agency.

(b) The amount of excess personal property (in terms of original acquisition cost) transferred to a cooperative normally shall be limited to the dollar value of the cooperative agreement. Any higher percentage of excess personal property transferred to a cooperative shall be subject to approval by an official of the sponsoring Federal agency at an administrative level higher than the project officer administering the cooperative agreement.

(c) Title to excess personal property furnished to a cooperative by an executive agency remains vested in the Government, except that cooperative agreements for the conduct of basic or applied scientific research at nonprofit institutions of higher education, or at nonprofit organizations whose primary purpose is the conduct of scientific research, normally include discretionary authority to vest in such institutions or organizations title to excess personal property furnished under the cooperative agreement on such terms and conditions specified in the cooperative agreement.

(d) Executive agencies shall keep in their cooperative agreement recordkeeping systems: Total acquisition cost of property furnished to all cooperatives; original acquisition cost of each item furnished, identified to each recipient; and date of termination and the dollar value of each cooperative agreement under which excess personal property has been furnished.

(e) Excess personal property furnished to a cooperative shall be accounted for and disposed of in accordance with the specific provisions of the cooperative agreement and procedures established by the sponsoring executive agency to govern the accountability and disposition of excess personal property acquired under cooperative agreements. The cooperative agreement shall contain adequate safeguards and assurances relative to use, maintenance, consumption, disposition, unauthorized use, and redelivery of custody to the Government of excess personal property furnished under the agreement.

(f) Property furnished to a cooperative is subject to the annual reporting requirements of § 101-43.4701(c).