PART 102-38—
Subpart A—General
Provisions
102-38.5— What
does this part cover?
102-38.10— What
is the governing authority for this part?
102-38.15— Who
must comply with these sales provisions?
102-38.20— Must
we follow the regulations of this part when selling all personal property?
102-38.25— To
whom do “we”, “you”, and their variants refer?
102-38.30— How
do we request a deviation from the provisions of this part?
Definitions
102-38.35— What
definitions apply to this part?
Responsibilities
102-38.40— Who
may sell personal property?
102-38.45— What
are our responsibilities in selling personal property?
102-38.50— What must we do when
we suspect violations of 40 U.S.C. 559, fraud, bribery, or criminal collusion
in connection with the disposal of personal property?
102-38.55— What
must we do when selling personal property?
102-38.60— Who
is responsible for the costs of care and handling of the personal property
before it is sold?
102-38.65— What if we are
notified of a Federal requirement for surplus personal property before the sale
is complete?
102-38.70— May we abandon or
destroy personal property either prior to or after trying to sell it?
Subpart B—Sales Process
Methods of
102-38.75— How
may we sell personal property?
102-38.80— Which
method of sale should we use?
Competitive Sales
102-38.85— What
is a sealed bid sale?
102-38.90— What
is a spot bid sale?
102-38.95— What
is an auction?
Negotiated Sales
102-38.100— What
is a negotiated sale?
102-38.105— Under
what conditions may we negotiate sales of personal property?
102-38.110— Who
approves our determinations to conduct negotiated sales?
102-38.115— What
are the specific reporting requirements for negotiated sales?
102-38.120— When may we conduct
negotiated sales of personal property at fixed prices (fixed price sale)?
102-38.125— May we sell personal
property at fixed prices to State agencies?
Advertising
102-38.130— Must
we publicly advertise sales of Federal personal property?
102-38.135— What
constitutes a public advertisement?
102-38.140— What
must we include in the public notice on sale of personal property?
Pre-Sale Activities
102-38.145— Must
we allow for inspection of the personal property to be sold?
102-38.150— How
long is the inspection period?
Offer to Sell
102-38.155— What
is an offer to sell?
102-38.160— What
must be included in the offer to sell?
102-38.165— Are the terms and
conditions in the offer to sell binding?
Subpart C—Bids
Buyer Eligibility
102-38.170— May we sell Federal
personal property to anyone?
102-38.175— How
do we find out if a person or entity has been suspended or debarred from doing business
with the Government?
102-38.180— May we sell Federal
personal property to a Federal employee?
102-38.185— May we sell Federal
personal property to State or local governments?
Acceptance of Bids
102-38.190— What
is considered a responsive bid?
102-38.195— Must
bidders use authorized bid forms?
102-38.200— Who
may accept bids?
102-38.205— Must
we accept all bids?
102-38.210— What
happens when bids have been rejected?
102-38.215— When may we disclose
the bid results to the public?
102-38.220— What
must we do when the highest bids received have the same bid amount?
102-38.225— What
are the additional requirements in the bid process?
Bid Deposits
102-38.230— Is
a bid deposit required to buy personal property?
102-38.235— What
types of payment may we accept as bid deposits?
102-38.240— What
happens to the deposit bond if the bidder defaults or wants to withdraw his/her
bid?
Late Bids
102-38.245— Do
we consider late bids for award?
102-38.250— How
do we handle late bids that are not considered?
Modification or Withdrawal
of Bids
102-38.255— May we allow a
bidder to modify or withdraw a bid?
Mistakes in Bids
102-38.260— Who
makes the administrative determinations regarding mistakes in bids?
102-38.265— Must
we keep records on administrative determinations?
102-38.270— May a bidder protest
the determinations made on sales of personal property?
Subpart D—Completion of
Awards
102-38.275— To
whom do we award the sales contract?
102-38.280— What
happens when there is no award?
Transfer of Title
102-38.285— How
do we transfer title from the Government to the buyer for personal
property sold?
Payments
102-38.290— What
types of payment may we accept?
Disposition of Proceeds
102-38.295— May we retain sales
proceeds?
102-38.300— What
happens to sales proceeds that we are not authorized to retain or that are
unused?
Disputes
102-38.305— How
do we handle disputes involved in the sale of Federal personal property?
102-38.310— Are
we required to use the Disputes clause in the sale of personal property?
102-38.315— Are
we required to use Alternative Disputes Resolution for sales contracts?
Subpart E—Other Governing
Statutes
102-38.320— Are
there other statutory requirements governing the sale of Federal personal property?
Antitrust Requirements
102-38.325— What
are the requirements pertaining to antitrust laws?
Subpart F—Reporting
Requirements
102-38.330— Are
there any reports that we must submit to the General Services Administration?
102-38.335— Is
there any additional personal property sales information that we must submit to
the General Services Administration?
Subpart G—Provisions for
State and Local
Governments
102-38.340— How
may we sell personal property to State and local governments?
102-38.345— Do
we have to withdraw personal property advertised for public sale if a State
Agency for Surplus Property wants to buy it?
102-38.350— Are
there special provisions for State and local governments regarding negotiated sales?
102-38.355— Do
the regulations of this part apply to State Agencies for Surplus Property (SASPs) when conducting sales?
PART 102-38—
Subpart A—General
Provisions
§102-38.5—What does this part cover?
This part prescribes the
policies governing the sale of Federal personal property, ncluding—
(a) Surplus personal property
that has completed all required Federal and/or donation screening; and
(b) Personal property to be sold
under the exchange/sale authority.
Note to §102-38.5: You must follow additional
guidelines in 41 CFR parts 101-42 and 101-45 of the Federal Property Management
Regulations (FPMR) for the sale of personal property that has special handling
requirements or property containing hazardous materials. Additional
requirements for the sale of aircraft and aircraft parts are provided in part
102-33 of this chapter.
§102-38.10—What is the governing authority for this part?
The authority for the
regulations in this part governing the sale of Federal personal property is 40
U.S.C. 541 through 548, 571, 573 and 574.
§102-38.15—Who must comply with these sales provisions?
All executive agencies must
comply with the provisions of this part. The legislative and judicial branches
are encouraged to follow these provisions.
§102-38.20—Must we follow the regulations of this part when selling all
personal property?
Generally, yes, you must follow
the regulations of this part when selling all personal property; however—
(a) Materials acquired for the
national stockpile or supplemental stockpile, or materials or equipment
acquired under section 303 of the Defense Production Act of 1950, as amended (50 U.S.C. App. 2093) are
excepted from this part;
(b) The Maritime Administration,
Department of Transportation, has jurisdiction over the disposal of vessels of 1,500
gross tons or more and determined by the Secretary to be merchant vessels or
capable of conversion to merchant use;
(c) Sales made by the Secretary
of Defense pursuant to 10 U.S.C. 2576 (Sale of Surplus Military Equipment to
State and Local Law Enforcement and Firefighting Agencies) are exempt from these provisions; and
(d) Foreign excess personal
property is exempt from these provisions.
§102-38.25—To whom do “we”, “you”, and their variants refer?
Unless otherwise indicated, use
of pronouns “we”, “you”, and their variants throughout this part refer to the
holding agency responsible for the sale of the property.
§102-38.30—How do we request a deviation from the provisions of this
part?
Refer to §§102-2.60 through
102-2.110 of this chapter for information on how to obtain a deviation from
this part.
Definitions
§102-38.35—What definitions apply to this part?
The following definitions apply
to this part:
“Bid” means a response to an
offer to sell that, if accepted, would bind the bidder to the terms and
conditions of the contract (including the bid price).
“Bidder” means any entity that
is responding to or has responded to an offer to sell.
“Estimated fair market value”
means the selling agency’s best estimate of what the property would be sold for
if offered for public sale.
“Identical bids” means bids for
the same item of property having the same total price.
“Personal property” means any
property, except real property. For purposes of this part, the term excludes
records of the Federal Government, and naval vessels of the following
categories:
(1) Battleships;
(2) Cruisers;
(3) Aircraft carriers;
(4) Destroyers; and
(5) Submarines.
“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 40 U.S.C. 549.
“State or local government”
means a State, territory, possession, political subdivision thereof, or
tax-supported agency therein.
Responsibilities
§102-38.40—Who may sell personal property?
You may sell personal property
as the holding agency or on behalf of another agency when so requested, or have
the General Services Administration, a contractor, or another Federal agency
conduct the sale for you, provided that only Federal officials authorized by
your agency approve the sale and bind the
§102-38.45—What are our responsibilities in selling personal property?
Your responsibilities in selling
personal property are to—
(a) Ensure the sale complies
with the provisions of Title 40 of the U.S. Code, the regulations of this part,
and any other applicable laws;
(b) Issue internal guidance to
promote uniformity of sales procedures;
(c) Assure that officials
designated to conduct and finalize sales are adequately trained;
(d) Be accountable for the care
and handling of the personal property prior to its removal by the buyer; and
(e) Adjust your property and
financial records to reflect the final disposition.
§102-38.50—What must we do
when we suspect violations of 40 U.S.C. 559, fraud, bribery, or criminal
collusion in connection with the disposal of personal property?
If you suspect violations of 40
U.S.C. 559, fraud, bribery, or criminal collusion in connection with the
disposal of personal property, you must—
(a) Refer the violations to the
Inspector General of your agency and/or the Attorney General, Department of
Justice,
(b) Submit to the General
Services Administration (GSA), Property Management Division (FBP),
§102-38.55—What must we do when selling personal property?
When selling personal property,
you must ensure that—
(a) All sales are made after
publicly advertising for bids, except as provided for negotiated sales in
§§102-38.100 through 102-38.125; and
(b) Advertising for bids must
permit full and free competition consistent with the value and nature of the
property involved.
§102-38.60—Who is responsible for the costs of care and handling of the
personal property before it is sold?
You are responsible for the care
and handling costs of the personal property until it is removed by the buyer or
the buyer’s designee. When specified in the terms and conditions of sale, you
may charge costs for storage when the buyer is delinquent in removing the
property.
§102-38.65—What if we are
notified of a Federal requirement for surplus personal property before the sale
is complete?
Federal agencies have first
claim to excess or surplus personal property reported to the General Services
Administration. When a bona fide need for the property exists and is expressed by a Federal agency, and when
no like item(s) are located elsewhere, you must make the property available for
transfer to the maximum extent practicable and prior to transfer of title to
the property.
§102-38.70—May we abandon
or destroy personal property either prior to or after trying to sell it?
(a) Yes, you may abandon or
destroy personal property either prior to or after trying to sell it, but only
when an authorized agency official has made a written determination that—
(1) The personal property has no
commercial value; or
(2) The estimated cost of
continued care and handling would exceed the estimated sales proceeds.
(b) In addition to the
provisions in paragraph (a) of this section, see the regulations at
§§102-36.305 through 102-36.330 of this subchapter B that are applicable to the abandonment or destruction of personal
property in general, and excess personal property in particular.
Subpart B—Sales Process
Methods of Sale
§102-38.75—How may we sell personal property?
(a) You may sell personal
property upon such terms and conditions as the head of your agency or designee
deems proper to promote fairness, openness, and timeliness. In selling personal property, you must document the
required terms and conditions of each sale, including, but not limited to, the following
terms and conditions, as applicable:
(1) Inspection.
(2) Condition and location of
property.
(3) Eligibility of bidders.
(4) Consideration of bids.
(5) Bid deposits and payments.
(6) Submission of bids.
(7) Bid price determination.
(8) Title.
(9) Delivery, loading, and
removal of property.
(10) Default, returns, or refunds.
(11) Modifications, withdrawals,
or late bids.
(12) Requirements to comply with
applicable laws and regulations.
(13) Certificate of independent
price determinations.
(14) Covenant against contingent
fees.
(15) Limitation on Government’s
liability.
(16) Award of contract.
(b) Standard government forms
(e.g., Standard Form 114 series) may be used to document terms and conditions
of the sale.
(c) When conducting and
completing a sale through electronic media, the required terms and conditions
must be included in your electronic sales documentation.
§102-38.80—Which method of sale should we use?
(a) You may use any method of
sale provided the sale is publicly advertised and the personal property is sold
with full and open competition. Exceptions to the requirement for competitive bids
for negotiated sales (including fixed price sales) are contained in
§§102-38.100 through 102-38.125. You must select the method of sale that will
bring maximum return at minimum cost, considering factors such as—
(1) Type and quantity of
property;
(2) Location of property;
(3) Potential market;
(4) Cost to prepare and conduct
the sale;
(5) Available facilities; and
(6) Sales experience of the
selling activity.
(b) Methods of sale may include
sealed bid sales, spot bid sales, auctions, or negotiated sales and may be
conducted at a physical location or through any electronic media that is
publicly accessible.
Competitive Sales
§102-38.85—What is a sealed bid sale?
A sealed bid sale is a sale in
which bid prices are kept confidential until bid opening. Bids are submitted
either electronically or in writing according to formats specified by the selling agency, and all bids are held
for public disclosure at a designated time and place.
§102-38.90—What is a spot bid sale?
A spot bid sale is a sale where
immediately following the offering of the item or lot of property, bids are
examined, and awards are made or bids rejected on the spot. Bids are either submitted
electronically or in writing according to formats specified by the selling
agency, and must not be disclosed prior to announcement of award.
§102-38.95—What is an auction?
An auction is a sale where the
bid amounts of different bidders are disclosed as they are submitted, providing
bidders the option to increase their bids if they choose. Bids are submitted electronically
and/or by those physically present at the sale. Normally, the bidder with the
highest bid at the close of each bidding process is awarded the property.
Negotiated Sales
§102-38.100—What is a negotiated sale?
A negotiated sale is a sale
where the selling price is arrived at between the seller and the buyer, subject
to obtaining such competition as is feasible under the circumstances.
§102-38.105—Under what conditions may we negotiate sales of personal
property?
You may negotiate sales of
personal property when—
(a) The personal property has an
estimated fair market value that does not exceed $15,000;
(b) The disposal will be to a
State, territory, possession, political subdivision thereof, or tax-supported
agency therein, and the estimated fair market value of the property and other satisfactory
terms of disposal are obtained by negotiation;
(c) Bid prices after advertising
are not reasonable and re-advertising would serve no useful purpose;
(d) Public exigency does not
permit any delay such as that caused by the time required to advertise a sale;
(e) The sale promotes public
health, safety, or national security;
(f) The sale is in the public
interest under a national emergency declared by the President or the Congress.
This authority may be used only with specific lot(s) of property or for categories determined by the
Administrator of General Services for a designated period but not in excess of
three months;
(g) Selling the property
competitively would have an adverse impact on the national economy, provided
that the estimated fair market value of the property and other satisfactory terms
of disposal can be obtained by negotiation, e.g., sale of large quantities of
an agricultural product that impact domestic markets; or
(h) Otherwise authorized by
Title 40 of the U.S. Code or other law.
§102-38.110—Who approves our determinations to conduct negotiated sales?
The head of your agency (or
his/her designee) must approve all negotiated sales of personal property.
§102-38.115—What are the specific reporting requirements for negotiated
sales?
For negotiated sales of personal
property, you must—
(a) In accordance with 40 U.S.C.
545(e), and in advance of the sale, submit to the oversight committees for the
General Services Administration (GSA) in the Senate and House, explanatory
statements for each sale by negotiation of any personal property with an
estimated fair market value in excess of $15,000. You must maintain copies of
the explanatory statements in your disposal files. No statement is needed for
negotiated sales at fixed price or for any sale made without advertising when
authorized by law other than 40 U.S.C. 545; and
(b) Report annually to GSA,
Personal Property Management Policy Division (MTP),
§102-38.120—When may we
conduct negotiated sales of personal property at fixed prices (fixed price
sale)?
You may sell personal property
at fixed prices when the head of your agency, or designee, determines in
writing that such sale serves the best interests of the Government. You must
publicize such sale to the extent consistent with the value and nature of the
property involved, and the prices established must reflect the estimated fair
market value of the property. Property is sold on a first-come, first-served
basis. You may also establish additional terms and conditions that must be met
by the successful purchaser.
§102-38.125—May we sell
personal property at fixed prices to State agencies?
Yes, before offering to the
public, you may offer the property at fixed prices (through the State Agencies
for Surplus Property) to any States, territories, possessions, political
subdivisions thereof, or tax-supported agencies therein, which have expressed
an interest in obtaining the property. For additional information, see subpart
G of this part.
Advertising
§102-38.130—Must we publicly advertise sales of Federal personal
property?
Yes, you must provide public
notice of your sale of personal property to permit full and open competition.
§102-38.135—What constitutes a public advertisement?
Announcement of the sale using
any media that reaches the public and is appropriate to the type and value of
personal property to be sold is considered public advertising. You may also
distribute mailings or flyers of your offer to sell to prospective purchasers
on mailing lists. Public notice should be made far enough in advance of the
sale to ensure adequate notice, and to target your advertising efforts toward
the market that will provide the best return at the lowest cost.
§102-38.140—What must we include in the public notice on sale of
personal property?
In the public notice, you must
provide information necessary for potential buyers to participate in the sale,
such as—
(a) Date, time and location of sale;
(b) General categories of
property being offered for sale;
(c) Inspection period;
(d) Method of sale (i.e., spot
bid, sealed bid, auction);
(e) Selling agency; and
(f) Who to contact for
additional information.
Pre-Sale Activities
§102-38.145—Must we allow for inspection of the personal property to be
sold?
Yes, you must allow for an
electronic or physical inspection of the personal property to be sold. You must
allow prospective bidders sufficient time for inspection. If inspection is restricted
to electronic inspections only, due to unusual circumstances prohibiting
physical inspection, you must notify your General Services Administration
Regional Personal Property Office in writing, with the circumstances
surrounding this restriction at least 3 days prior to the start of the screening
period.
§102-38.150—How long is the inspection period?
The length of the inspection
period allowed depends upon whether the inspection is done electronically or
physically. You should also consider such factors as the circumstances of sale,
volume of property, type of property, location of the property, and
accessibility of the sales facility. Normally, you should provide at least 7
calendar days to ensure potential buyers have the opportunity to perform needed
inspections.
Offer to Sell
§102-38.155—What is an offer to sell?
An offer to sell is a notice
listing the terms and conditions for bidding on an upcoming sale of personal
property, where prospective purchasers are advised of the requirements for a responsive
bid and the contractual obligations once a bid is accepted.
§102-38.160—What must be included in the offer to sell?
The offer to sell must include—
(a)
(b) Method of sale;
(c) Description of property
being offered for sale;
(d) Selling agency;
(e) Location of property;
(f) Time and place for receipt
of bids;
(g) Acceptable forms of bid
deposits and payments; and
(h) Terms and conditions of
sale, including any specific restrictions and limitations.
§102-38.165—Are the terms and conditions in the offer to
sell binding?
Yes, the terms and conditions in
the offer to sell are normally incorporated into the sales contract, and
therefore binding
upon both the buyer and the seller
once a bid is accepted.
Subpart C—Bids
Buyer Eligibility
§102-38.170—May we sell
Federal personal property to anyone?
Generally, you may sell Federal
personal property to anyone of legal age. However, certain persons or entities
are debarred or suspended from purchasing Federal property. You must not enter
into a contract with such a person or entity unless your agency head or
designee responsible for the disposal action determines that there is a
compelling reason for such an action.
§102-38.175—How do we find out if a person or entity has been suspended
or debarred from doing business with the Government?
Refer to the List of Parties
Excluded from Federal Procurement and Nonprocurement
Programs to ensure you do not solicit from or award contracts to these persons
or entities.
The list is available through
subscription from the U.S. Government Printing Office, or electronically on the
Internet at http://epls.arnet.gov. For policies, procedures, and
requirements for debarring/suspending a person or entity from the purchase of
Federal personal property, follow the procedures in the Federal Acquisition
Regulation (FAR) subpart 9.4 (48 CFR part 9, subpart 9.4).
§102-38.180—May we sell
Federal personal property to a Federal employee?
Yes, you may sell Federal
personal property to any Federal employee whose agency does not prohibit their
employees from purchasing such property. However, unless allowed by Federal or agency regulations,
employees having nonpublic information regarding property offered for sale may
not participate in that sale (see 5 CFR 2635.703). For purposes of this section,
the term “Federal employee” also applies to an immediate member of the
employee’s household.
§102-38.185—May we sell
Federal personal property to State or local governments?
Yes, you may sell Federal
personal property to State or local governments. Additional guidelines on sales
to State or local governments are contained in subpart G of this part.
Acceptance of Bids
§102-38.190—What is considered a responsive bid?
A responsive bid is a bid that
complies with the terms and conditions of the sales offering, and satisfies the
requirements as to the method and timeliness of the submission. Only responsive
bids may be considered for award.
§102-38.195—Must bidders use authorized bid forms?
No, bidders do not have to use
authorized bid forms; however if a bidder uses his/her own bid form to submit a
bid, the bid may be considered only if—
(a) The bidder accepts all the
terms and conditions of the offer to sell; and
(b) Award of the bid would
result in a binding contract.
§102-38.200—Who may accept bids?
Authorized agency
representatives may accept bids for your agency. These individuals should meet
your agency’s requirements for approval of Government contracts.
§102-38.205—Must we accept all bids?
No, the Government reserves the
right to accept or reject any or all bids. You may reject any or all bids when
such action is advantageous to the Government, or when it is in the public interest to do so.
§102-38.210—What happens when bids have been rejected?
You may re-offer items for which
all bids have been rejected at the same sale, if possible, or another sale.
§102-38.215—When may we
disclose the bid results to the public?
You may disclose bid results to
the public after the sales award of any item or lot of property. On occasions
when there is open bidding, usually at a spot bid sale or auction, all bids are
disclosed as they are submitted. No information other than names may be
disclosed regarding the bidder(s).
§102-38.220—What must we do when the highest bids received have the same
bid amount?
When the highest bids received
have the same bid amount, you must consider other factors of the sale (e.g.,
timely removal of the property, terms of payment, etc.) that would make one
offer more advantageous to the Government. However, if you are unable to make a
determination based on available information, and the Government has an
acceptable offer, you may re-offer the property for sale, or you may utilize random
tiebreakers to avoid the expense of reselling the property.
§102-38.225—What are the additional requirements in the bid process?
All sales except fixed price
sales must contain a certification of independent price determination. If there
is suspicion of false certification or an indication of collusion, you must refer
the matter to the Department of Justice or your agency’s Office of the
Inspector General.
Bid Deposits
§102-38.230—Is a bid deposit required to buy personal property?
No, a bid deposit is not
required to buy personal property. However, should you require a bid deposit to
protect the Government’s interest, a deposit of 20
percent of the total amount of the bid is generally considered reasonable.
§102-38.235—What types of payment may we accept as bid deposits?
In addition to the acceptable
types of payments in §102-38.290, you may also accept a deposit bond. A deposit
bond may be used in lieu of cash or other acceptable form of deposit when permitted by the
offer to sell, such as the Standard Form (SF) 150, Deposit Bond—Individual
Invitation, Sale of Government Personal Property, SF 151, Deposit
Bond—Annual,
§102-38.240—What happens to the deposit bond if the bidder defaults or
wants to withdraw his/her bid?
(a) When a bid deposit is
secured by a deposit bond and the bidder defaults, you must issue a notice of
default to the bidder and the surety company.
(b) When a bid deposit is
secured by a deposit bond and the bidder wants to withdraw his/her bid, you
should return the deposit bond to the bidder.
Late Bids
§102-38.245—Do we consider late bids for award?
Consider late bids for award
only when the bids were delivered timely to the address specified and your
agency caused the delay in delivering the bids to the official designated to
accept the bids.
§102-38.250—How do we handle late bids that are not considered?
Late bids that are not
considered must be returned to the bidder promptly. You must not disclose
information contained in returned bids.
Modification or Withdrawal
of Bids
§102-38.255—May we allow a
bidder to modify or withdraw a bid?
(a) Yes, a bidder may modify or
withdraw a bid prior to the start of the sale or the time set for the opening
of the bids. After the start of the sale, or the time set for opening the bids,
the bidder will not be allowed to withdraw his/her bid.
(b) You may consider late
modifications to an otherwise successful bid at any time, but only when it
makes the terms of the bid more favorable to the Government.
Mistakes in Bids
§102-38.260—Who makes the administrative determinations regarding
mistakes in bids?
The administrative procedures
for handling mistakes in bids are contained in FAR 14.407, Mistakes in Bids (48
CFR 14.407). Your agency head, or his/her designee, may delegate the authority to make
administrative decisions regarding mistakes in bids to a central authority, or
a limited number of authorities in your agency, who must not re-delegate this
authority.
§102-38.265—Must we keep records on administrative determinations?
Yes, you must—
(a) Maintain records of all
administrative determinations made, to include the pertinent facts and the
action taken in each case. A copy of the determination must be attached to its corresponding
contract; and
(b) Provide a signed copy of any
related determination with the copy of the contract you file with the
Comptroller General when requested.
§102-38.270—May a bidder
protest the determinations made on sales of personal property?
Yes, protests regarding the
validity or the determinations made on the sale of personal property may be
submitted to the Comptroller General.
Subpart D—Completion of
Awards
§102-38.275—To whom do we award the sales contract?
You must award the sales
contract to the bidder with the highest responsive bid, unless a determination
is made to reject the bid under §102-38.205.
§102-38.280—What happens when there is no award?
When there is no award made, you
may sell the personal property at another sale, or you may abandon or destroy
it pursuant to §102-36.305 of this subchapter B.
Transfer of Title
§102-38.285—How do we transfer title from the Government to the buyer
for personal property sold?
(a) Generally, no specific form
or format is designated for transferring title from the Government to the buyer
for personal property sold. For internal control and accountability, you must
execute a bill of sale or another document as evidence of transfer of title or any other
interest in Government personal property. You must also ensure that the buyer
submits any additional certifications to comply with specific conditions and
restrictions of the sale.
(b) For sales of vehicles, you
must issue to the purchaser a Standard Form (SF) 97, the United States
Government Certificate to Obtain Title to a Vehicle, or a SF 97A, the United States
Government Certificate to Obtain a Non-Repairable or Salvage Certificate, as
appropriate, as evidence of transfer of title. For information on how to obtain
these forms, see §102-2.135 of this chapter.
Payments
§102-38.290—What types of payment may we accept?
You must adopt a payment policy
that protects the Government against fraud. Acceptable payments include, but
are not limited to, the following:
(a)
(b) Irrevocable commercial
letters of credit issued by a United States bank payable to the Treasurer of
the
(c) Credit or debit cards.
Disposition of Proceeds
§102-38.295—May we retain
sales proceeds?
(a) You may retain that portion
of the sales proceeds equal to the direct costs and reasonably related indirect
costs incurred in selling surplus personal property.
(b) You may retain all sales
proceeds when—
(1) You have statutory authority
to retain all proceeds from sales of personal property;
(2) You sold property acquired
with non-appropriated funds as defined in §102-36.40 of this subchapter B;
(3) You sold surplus Government
property that was in the custody of a contractor or subcontractor and the
contract or subcontract provisions authorize the proceeds of sale to be credited
to the price or cost of the contract or subcontract;
(4) You sold property to obtain
replacement property under the exchange/sale authority pursuant to part 102-39
of this subchapter B; or
(5) You sold property related to
waste prevention and recycling programs, under the authority of Section 607 of Public
Law 107-67 (Omnibus Consolidated and Emergency Supplemental
Appropriations Act, 1999, Public Law 107-67, 115 Stat. 514). Consult your General Counsel or
Chief Financial Officer for guidance on use of this authority.
§102-38.300—What happens to sales proceeds that we are not authorized to
retain or that are unused?
Any sales proceeds that are not
retained pursuant to the authorities in §102-38.295 must be deposited as
miscellaneous receipts in the U. S. Treasury.
Disputes
§102-38.305—How do we handle disputes involved in the sale of Federal
personal property?
First contact your Office of
General Counsel. Further guidance can be found in the Contract Disputes Act of
1978, as amended (41 U.S.C. 601-613), and the Federal Acquisition Regulation
(FAR) at 48 CFR part 33.
§102-38.310—Are we required to use the Disputes clause in the sale of
personal property?
Yes, you must ensure the
Disputes clause contained in Federal Acquisition Regulation (FAR) 52.233-1 (48
CFR part 52) is included in all offers to sell and contracts for the sale of personal property.
§102-38.315—Are we required to use Alternative Disputes Resolution for
sales contracts?
No, you are not required to use
Alternative Disputes Resolution (ADR) for sales contracts. However, you are
encouraged to use ADR procedures in accordance with the authority and the
requirements of the Alternative Disputes Resolution Act of 1998 (28 U.S.C.
651—658).
Subpart E—Other Governing
Statutes
§102-38.320—Are there other statutory requirements governing the sale of
Federal personal property?
Yes, in addition to Title 40 of
the U.S. Code the sale of Federal personal property is governed by other statutory
requirements, such as the Debt Collection Improvement Act of 1996 (Public Law
104-134, sec. 31001, 110 Stat. 1321-358) and antitrust requirements that are
discussed in §102-38.325.