Texas A&M International University - Purchasing/surplus info


Central Receiving Department

Surplus and Salvage Property

Definitions
Surplus: Any personal property which is in excess of the needs of any state agency and which is not required for its foreseeable need. Surplus property may be new or used but must have additional useful life.

Salvage: Any personal property which through use, time, or accident is so depleted, worn out, damaged, consumed, or outdated that it is obsolete and/or can no longer serve the purpose for which it was originally intended.
Authority


TEX. GOV'T CODE ANN. sec. 403.273(h) (Vernon Supp. 1997) reads:

"Property that has become surplus or obsolete and no longer serviceable may be deleted from the agency's records only upon authorization by the comptroller."

TEX. GOV'T CODE ANN. sec. 2175 (Vernon 1997) reads as follows:

"The commission shall establish and maintain procedures for the transfer, sale, or disposal of surplus and salvage personal property."

Policy
State agencies must follow the General Services Commission's policies and procedures for the transfer, sale, or disposal of surplus and salvage personal property.

Surplus or salvage personal property must be processed according to the prescribed format for deletion of records. This process will automatically request the necessary approval for such deletion through the comptroller.

When applicable, agencies must adhere to the federal guidelines and regulations for disposal of surplus or salvage personal property.
Procedure
The electronic submission of the disposal code for surplus or salvage personal property serves as official notice to the General Services Commission that the property is available for sale or other disposition.

All surplus property not reported to the State Property Accounting System must be added to the State Property Accounting System before a deletion request is made.

Transfers to state agencies and acquisitions by political subdivisions during the initial 35-day period after publication of the surplus property list must be coordinated directly with the state agency which owns the surplus property.

Each agency shall be responsible for processing the appropriate disposal code for all other sales and transfers.

The General Services Commission may open the State Property Accounting System and complete the transaction for sales only of items in their possession.

Salvage personal property will be removed from the State Property Accounting System using the appropriate disposal code, and the disposal of the salvage property shall be administered by the General Services Commission.

The General Services Commission shall establish and maintain procedures for the transfer, sale, or disposal of surplus and salvage property no longer needed by state agencies.

Exemption
Each house of the legislature have the ability to process specific disposal methods for removal of their property from inventory without obtaining approval, in accordance with TEX. REV. CIV. STAT. ANN. art. 601b, sec. 9.10 (Vernon Supp. 1997).

Authority
TEX. GOV'T CODE ANN. sec. 2175.301 (Vernon 1997) says, in part:

"This chapter does not apply to the disposition of surplus property by either house of the legislature pursuant to a system of disposition provided for in the rules and regulations of the administration committee of each house..."

Exemption
Certain items cannot be classified as surplus or salvage in accordance with TEX. GOV'T CODE ANN. sec. 2175.061 (Vernon 1997) and included in the above definitions of surplus and salvage. The deletion of such items will be subject to approval by the State Auditor's Office and the General Services Commission in cooperation with the comptroller.

Authority
TEX. GOV'T CODE ANN. sec. 2175.303 (Vernon 1997) says, in part:

"For purposes of this article the terms 'surplus' and 'salvage' shall not apply to products and by-products of research, forestry, agriculture, livestock, and industrial enterprises."

A qualifying agency shall furnish the commission with a copy of the rules and regulations and latest revisions thereof promulgated by the policy-making body of each agency or institution for the guidance and administration of the programs enumerated herein. When requested by such agency or institution to do so, the commission shall dispose of the property as provided for in this article."

Exemption
State eleemosynary institutions and agencies of higher learning shall be exempt from reporting surplus or salvage property information to the General Services Commission, in accordance with TEX. GOV'T CODE ANN. sec. 2175 (Vernon 1997).

Authority
TEX. GOV'T CODE ANN. sec. 2175.302 (Vernon 1997) says, in part:

"This chapter does not apply to the disposition of surplus or salvage property by a state eleemosynary institution or an institution of higher education."

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5201 University Boulevard, Laredo, TX 78041-1900 Work956.326.2100