Header:
CODE OF RHODE ISLAND RULES
AGENCY 06. DEPARTMENT OF CORRECTIONS
SUB-AGENCY 000. GENERAL
CHAPTER 013. FEDERAL SURPLUS PERMANENT STATE PLAN - STATE PLAN OF OPERATION
Date:
08/31/2009
Document:
06 000 013 FEDERAL SURPLUS PERMANENT STATE PLAN - STATE PLAN OF OPERATION
INTRODUCTION
This State Plan of Operation outlines the operating procedures and practices to be performed by the Rhode Island State Agency for Surplus Property in effecting fair and equitable distribution of Federal surplus property to public agencies and eligible non-profit tax-activities and determined eligible for Federal Surplus Property in accordance with Public Law 94-519, Section 203 (j) (4) of the Federal Property and Administrative Services Act of 1949, as amended, herein- after referred to as the "Act". Operating procedures and practices described herein, are in accordance with the regulations set forth in the FPMR 101-44, (CFR 101-44) as revised, and do conform to the provisions of the Act. The State Plan of Operation is submitted to the Administrator of General Services for approval in accordance with the Act. This plan of operation and any subsequent major amendments thereof, shall be published for sixty (60) calendar days in which interested parties may submit comments. In preparation and development of this plan, the Rhode Island State Agency has taken into consideration the relative need and resources or all public agencies and other eligible organizations within the State.
Table of Contents
CONTENTS
Authority
Designation of State Agency
Inventory Control and Accounting Systems
Return of Donated Property
Financing and Service Charge
Terms and Conditions on Donated Property
Nonutilized Donated Property
Fair and Equitable Distribution
Eligibility
Compliance and Utilization
Audits
Cooperative Agreements
Liquidation
Forms
Records
Nondiscrimination
APPENDICES
APPENDIX 1. Fitie 42. Coapter 56.2. General Laws or Rhode Island
APPENDIX 2. Department of Corrections Organizational Chart
APPENDIX 3. Certifications and Agreements to be Printed on the State Huency distribution Document
APPENDIX 4. Conditional Transfer Document. [ELLEGIBLE WORDS]
APPENDIX 5. Conditional Transfer Document. Vessels
APPENDIX 6. Conditional Transfer Document. Combat Aircraft
APPENDIX 7. RISASP Issue Sheet
I. AUTHORITY
A. The Director. D.O.C. is authorized to conduct a surplus property program in Title 42 Chap. 56.2 of the General Laws of Rhode Island, which reads: Acquisition of Federal Surplus Property. The Federal Surplus Property Officer may enter into any contract with the United States of America, or with any agency thereof, for the purchase, lease or other acquisition of any equipment, supplies, materials or other personal property, and may, with the approval of the governor, enter into any contract with the United States of America, or with any agency thereof, for the purchase, lease or other acquisition of any property within this state, or any interest therein." A photocopy of the statute appears as Appendix 1.
B. The Director D.O.C. has designated that the surplus property program be administered by the Federal Surplus Property Section of the Phy. Resources Sec. under the guidelines of applicable state and federal laws, rules and regulations. A copy of the table of organization of the Dept. of Corrections appears as Appendix 2.
II. Designation of State Agency
A. Responsibilities of State Agency
The Federal Surplus Property Section of the Dept. of Corrections is responsible for administering the appropriate sections of Public Law 94-519 and GSA regulations pertaining to the law.
Specific responsibilities include, but are not limited to, determining eligibility of donees; monitoring compliance with restrictions placed on donated property; making required reports to GSA; handling program funds; and acquiring, transporting, storing, allocating and accounting for federal surplus property.
B. Responsible Officials
The surplus property program is administered by the Chief of the Federal Surplus Property Section. The Section Chief is responsible organizationally to the Assoc. Director, Physical Resources, Dept of Corrections who is directly responsible to the Director of Corrections. The Director of Corrections is appointed by the Governor of the state of Rhode Island and covered by the merit systems rules and regulations.
C. Staff
All staff requirements to properly service this unit will be covered by the Rhode Island State Merit System.
D. Facilities
The Administrative Office of the Federal Surplus Property Section is located in the Department of Corrections Warehouse. (Mailing address: Dept. of Corrections. Federal Surplus Property Section, 75 Howard Avenue, Cranston, Rhode Island 02920. Telephone 401-464-3452.
1. Cooperative Agreement Program:
Cooperative Agreements with the State of Massachusetts will enable all Rhode Island eligible donees to utilize the distribution center of the MASASP for inspection and selection of available surplus property.
Rhode Island eligible donees will be billed directly by the State of Massachusetts for all surplus property taken as listed on the Issue Sheets. The Cooperative Agreement enables the MASASP to act as agent for the State of Rhode Island which results in their acceptance of State of Rhode Island documents for the issuance of available surplus property and their subsequent billing for the service charge as listed on the Issue Sheets. The State of Rhode Island Federal Surplus Property Section will be responsible for the utilization and compliance requirement of the Federal laws and regulations.
III. Inventory Control and Accounting Systems
A. Cooperative Agreement Program
Rhode Island Issue Sheet Documents, as forwarded by the cooperative state, will be maintained in an alphabetical file for use in the utilization and compliance review.
B. Distribution Center Program
Public Law 94-519 requires the SASP to use the State systems for inventory control and fiscal accounting, or such systems as the Governor may approve. The State of Rhode Island does not have a standardized inventory control and fiscal accounting system for use by all its departments. The systems used by the Surplus Property Section are acceptable to the State Auditor, and as a part of the state plan of operation, approved by the Governor.
C. Details of Systems
1. Inventory Control
The accountability system includes all property transferred to the SASP by SF-123 and all other property. No property is excluded from the system. Accountability records of all single items having a unit acquisition cost of $ 5000. or more and passenger motor vehicles will be maintained on separate records. Certain items such as, but not limited to, paint nuts, bolts, screws and washers are consolidated when received and issued in units of pounds or other measurements as required by the nature of the item of other factors. Property is checked into the warehouse in a timely manner using a warehouse check-in slip. Property received is checked against the SF-123 or shipping document and any overages or shortages are recorded. In the case of line item overages of $ 500 or more, and SF-123 is prepared and submitted to GSA as required in FPMR 101-44.115. The warehouse check-in slips are recorded on stock inventory cards. Issues are posted against the cards and periodic inventories are taken to verify card balances. Actual count determines what is short or over. Verification of property on hand is accomplished by complete or random sampling inventory. Additional verification of property is made when discrepancies are noted. The Surplus Property Section shall conduct at least one complete or two random sample inventories each fiscal year.
Property verifications are recorded on the stock inventory cards and all discrepancies are reported to the Section Chief. Property is issued to eligible donees on an issue document which must be signed by an authorized representative of the donee. An authorized signature file is maintained by the SASP. In the case of property received directly from a federal building area by a donee, the donee will be required to notify the SASP of receipt of the property. Accountability records will also be kept on property received in this manner. In order to maintain an audit trail from receipt to issue each line item of property listing on an SF-123 is assigned a code number which identifies the appropriate stock inventory card. As property is issued, the quantity issued and donee issued to are entered on the appropriate stock inventory card. The issue document is then filed in the donee's file. The SASP maintains a set of files, by donee, in which copies of issue sheets for all property received by the donees are kept.
2. Accounting
The financial accounting records of the Surplus Property Section include a donation (sales) journal, cash receipts journal, disbursements journal and accounts payable journal for books of original entry. There are subsidiary ledgers for accounts receivable and accounts payable. Other ledger accounts include returns and allowances and all expenditure item accounts. The accrual system is used for receipts and expenditures.
Financial statements are prepared monthly.
IV. Return of Donated Property
A. When it is determined by the Surplus Property Section that a donee has not placed donated property in use within one year of donation; has not used property for the purpose for which it was donated; or has ceased to use property for the purpose for which it was donated within one year of being placed in use, the SASP shall notify the donee to immediately return the property. All costs of returning such property are to be borne by the donee.
B. Return of property can be accomplished by:
1. Physical return to the surplus property distribution center from which originally received if required by the SASP;
2. Donee making property available for retransfer to another donee, SASP, or federal agency if required by the Surplus Property Section; or
3. Disposal by sale or otherwise if the SASP determines there are no other requirements for the property.
C. The Surplus Property Section shall be responsible for emphasizing the requirements of this section at meetings with donees, through oral and written communications and during surveys and compliance visits to donees. If, when directed to return donated property, a donee refuses to do so, the Surplus Property Section may request assistance from the FBI and the State Attorney General's Office.
V. Financing and Service Charges
A. Cooperative Agreement Program
This program to be financed through annual appropriations with no service charge to be assessed eligible donees for Rhode Island Surplus Property Section services rendered. Eligible donees shall be responsible for all costs as assessed by the State of Massachusetts for surplus property received through their distribution centers. Donees shall be responsible for all transportation costs resulting from direct pickup of surplus property items.
B. Distribution Center Program
The surplus Property program is financed through service charges paid by recipients of donated surplus property. The program receives no state of federal appropriations.
C. Service charges assessed shall be fair and equitable and shall be based on services performed or paid for by the Surplus Property Section. These services include, but are not limited to, screening; transportation; packing, handling, crating and removing; personnel utilities and telephone; fuels and lubricants; maintenance; warehousing (storing, labeling, handling, etc.); administration and accounting; compliance (surveys, correspondence, records, etc.); depreciation; operating reserve insurance; supplies; travel; and printing. Other factors which may be considered in determining service charges include original acquisition cost; condition of property; fair market value; quantity available; desirability of property; repair and rehabilitation provided or paid for by the Surplus Property Section; and delivery to donees.
D. Method for Established Charges
1. Service charges shall be fair and equitable for each item donated.
2. Service charges shall be reasonable with respect to the value and condition of each item donated.
3. Service charges shall be sufficient for the Surplus Property Section to fully recover its overall expenses.
4. The following chart will be used to compute service charges. In using the chart, the range of the original acquisition cost is found in the first column. A percentage from the adjacent range in the second column is then assigned bases on the condition of the property and other applicable factors. (For example: A desk having an original acquisition cost of $ 175 in 0-1 condition (used, excellent) would probably be evaluated at 15%. $ 175 x 15% = $ 26.25. The service charge on the desk would be $ 26.25.) The third column shows the range of charges for each line.
Acquisition Percent of Service Charge
Cost Acquisition Cost Range
Up to $ 200 0-15% Up to $ 30
$ 200 to $ 2,500 0-10% Up to $ 250
$ 2,500 to $ 10,000 0-7.5% Up to $ 750
$ 10,000 to $ 25,000 0-6% Up to $ 1500
Above $ 25,001 0-3% Not more than $ 10,000
* Note: The total of the service charges for all property donated shall not exceed 15 % in any FY of the original acquisition cost.
Exceptions:
(a) Rehabilitated property -- Direct costs for rehabilitating property may be added to the service charge.
(b) Overseas property -- Additional costs for returning property may be added.
(c) Long haul property -- Charges for major items with unusual costs may be added. Any such costs which are anticipated will be discussed with the donee prior to shipping.
(d) Special handling -- An additional charge may be made for dismantling, packing, crating, shipping, delivery and other extraordinary handling charges.
(e) Screening -- Extraordinary costs incurred in screening property may be added.
(f) Property made available to non-profit providers of assistance to homeless individuals, property shall be distributed at a nominal cost for care and handling of the property.
E. In the case of property donations which require only minimal services by the state agency (such as paperwork necessary to transfer property which has been located by an eligible donee and which will be picked up by the donee), a minimal service charge shall be applied.
1. Provide that federal surplus property be pace available to non profit providers of assistance to homeless individuals and distributed at a nominal cost.
2. When the Surplus Property Section provides minimal services in donations of items of property having an original acquisition cost of less than $ 5000, the service charge assessed will range from $ 15 to one-half the usual service charge for the item
(computed using the chart contained in subsection D,4.), depending on the extent of services provided.
3. When the state agency provides minimal services in donations of items of property having an original acquisition cost of $ 5,000 or more or passenger motor vehicles, the service charge assessed will range from $ 100 to one-half the usual service charge for the item (computed using the chart contained in subsection D.4.), depending on the extent of services performed. Part of the service charge on donated property having an original acquisition cost of $ 5,000 or more and on passenger motor vehicles will be used to defray the costs of monitoring compliance with the terms and conditions placed on the donation during the period of restrictions remain in effect. Funds derived from service charges may be used to:
a. Cover direct and indirect costs of agency operations;
b. Purchases necessary equipment, supplies and services;
c. Maintain a working capital reserve not to exceed the total agency expenses for the previous year;
d. Rehabilitate donated property items; and
e. Purchases replacement parts for donated property items.
F. In the event that funds were realized from the sale or disposal of any facilities acquired under the provisions of this subsection, the Section Chief, with the approval of the Director of Corrections would determine the disposition of the funds. Such funds may be used to supplement the reserve fund and/or purchases equipment or may be refunded to the participating donees. Refunds may be made directly or in the form of reduced service charges.
G. If the working capital reserve should rise above a level equal to the previous year's operating expenses, and no major equipment purchase or facilities acquisition or improvements are needed or anticipated, the Surplus Property Section may return the excess funds to the participating donees. Such returns may take the form of reduced service charges until the excess is cleared, or direct refunds. It is anticipated that reduction of service charges would be the preferred method.
VI. Terms and Conditions on Donated Property
A. The Surplus Property Section will require each eligible donee, as a condition of eligibility, to file with the Surplus Property Section an application outlining the certifications and agreements, and the terms, conditions, reservations, and restrictions under which federal surplus personal property will be donated. Each form must be signed by the governing board or chief executive officer of the donees agreeing to the requirements prior to the donation of any surplus property. The certifications and agreements, and the terms, conditions, reservations and restrictions will be printed on the reverse side of the SASP Issue Document Form (Appendix 7).
B. The following periods of restriction are established by the Surplus Property SEction on all items of property will a unit acquisition cost of $ 5,000 or more, and on all motor vehicles.
1. All passenger motor vehicles -- 18 months from the date the property is placed in use.
2. Items with a unit acquisition cost of $ 5,000 or more -- 18 months from the date the property is placed in use.
3. Aircraft (except combat type) and vessels (50 feet or longer) with a unit acquisition cost of $ 5,000 or more -- five years from the date the property is placed in use. Such donations shall be subject to the requirements of the Conditional Transfer Document (Appendix 4).
C. The Surplus Property Section may reduce the period of restriction on items of property falling within the provisions of Section VI (except combat type aircraft) at the time of donation, for good and sufficient reasons such as the condition of the property or proposed use (secondary, cannibalization, etc.). The minimum period of restriction, in any case, shall be eighteen months.
D. The Surplus Property Section may impose such terms, conditions, reservations and restrictions as it deems reasonable on the use of donated property other than items with a unit acquisition of $ 5,000 or more and passenger motor vehicles.
E. The Surplus Property Section may amend, modify or grant release of any term condition, reservation or restriction it has imposed on donated items of personal property for good and sufficient reasons such as the condition of the property or the proposed use (secondary, cannibalization, etc.) provided that the conditions pertinent to each situation have been affirmatively demonstrated to the satisfaction of the Surplus Property Section and made a matter of public record.
F. The Surplus Property Section will impose on the donation of any surplus item 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. The SASP cannot amend, modify or release such requirements.
G. The Surplus Property Section will impose on all donees the statutory requirements that all items donated must be placed into use within one year of donation and be used for one year after being placed in use, or otherwise returned to the SASP while the property is still usable. The SASP cannot amend, modify or release this requirement.
H. In accordance with Permanent State Plan of Operation, the State Agency may amend or grant releases during the period of restriction from the terms, conditions, reservations or restrictions it has imposed on donated property; in accordance with the following standards, provided that the conditions pertinent to each situation have been affirmatively demonstrated to the prior satisfaction of the State Agency, and have been made a matter of record:
1. Secondary utilization or cannibalization. Secondary utilization or cannibalization may be accomplished provided that:
(i) Disassembly of the item of use of its component parts for secondary use or repair and maintenance of a similar item has greater potential benefit that utilization of the item in its existing form:
(ii) Items approved for disassembly or cannibalization will remain under the period of restriction imposed by the transfer document pending completion of the proposed secondary use or cannibalization; and
(iii) A written report of such action is made by the donee to the State Agency, including a list of all components resulting from the secondary utilization or cannibalization which have a single item acquisition cost of $ 5,000 or more. These components will remain under the restrictions imposed by the transfer document. However, these components will continue to be used or be otherwise disposed of in accordance with applicable law and regulations.
2. Trade-in of an item on a similar replacement. An item of donated personal property may be traded in or used as a whole or part payment for another like item of property provided:
(i) The item being traded in is not, when the request is made in compliance status for violation of the terms, conditions, reservations or restrictions placed on it;
(ii) The item being traded in has been used by the donee for eligible purposes for at least twelve months from the date of being placed in use, and it has been demonstrated that the trade-in will result in increased utilization value to the donee;
(iii) The trade-in is on a one-for-one basis only, i.e., one donated item being traded for one like item having similar use potential;
(iv) The item being acquired has an estimated market value at least equal to the estimated marked value of the item being trade in; and
(v) The item acquired is made subject to the period of restriction remaining on the item traded in.
3. Abrogation. Except in cases involving the failure to use, or the misuse of, donated property, abrogation of restrictions imposed by the State Agency in the transfer instrument may be authorized upon payment to the State Agency of an amount representing the fair market value at the time of donation, less a credit for the time the property was used for the purpose for which donated, during the period of restriction. Also provided that the State Agency determines that such action will not result in a windfall revenue to the donee; and provided further that the property has been used for at least eighteen months from the date of being placed in use.
4. Revision of the acquisition cost. The acquisition cost of an item may be revised provided that the request therefore is made in writing by the donee, and it is determined by the a State Agency that the listed acquisition cost is unrealistic in view of its research and development costs, its incompleteness due to missing parts, or its generally deteriorated condition.
5. Destruction and abandonment. A donated item of personal property may be destroyed or abandoned by a donee when it is determined that the item has no commercial value, or the estimated cost of its continued care and handling would exceed the estimated proceeds from its sale.
6. Enforcement of compliance. The enforcement of the terms and conditions, reservations and restrictions imposed by the State Agency on donated property, or the remedy of breaches of such terms and conditions, may be satisfied;
(i) When payment is made to the State Agency of any and all fair rental values due and payable for any unauthorized use of donated property;
(ii) When payment is made to the State Agency of either the fair market value or gross proceeds of sale, whichever is in the best interest of the State, for the unauthorized disposal or destruction of donated property; or
(iii) When donated property is recovered by the State Agency, Custody accountability and distribution of such reverted property are the responsibilities of the State Agency.
7. Reduction in the period of restriction. Provided an item of donated property is not in compliance status, a reduction in the period of restriction may be authorized when a revised standard covering the period of restriction is promulgated by the State Agency.
8. Limitations. These provisions are not applicable to:
(a) Donated military-type aircraft, or other items of property on which GSA has imposed special handling condition or use limitations; and
(b) Property which was not placed in use for the purposes for which acquired within one year from [ELLEGIBLE WORDS] the property was placed in use, and continued in use for one year from the date the property was placed in use, except with respect to secondary use or cannibalization as provided in FPMR 101-44.208(h).
VII. Nonutilized Donated Property
A. If, after a reasonable amount of time, the Surplus Property Section finds that property in the custody of the agency cannot be utilized by donees, the Section Chief may dispose of the property under the provisions of FPMR 101-44.205 by:
1. Transfer to another SASP or federal agency;
2. Public sale;
3. Abandonment or destruction; or
4. Otherwise, as prescribed by GSA.
B. In the event of disposal by transfer to another SASP, a federal agency or by public sale, the Surplus Property Section may seek such reimbursement as is authorized in accordance with FPMR 101-44.205.
VIII. Fair and Equitable Distribution
The policy of the Surplus Property Program shall be to distribute property in a fair and equitable manner to all eligible donees in the State.
A. Categories of Donated Froperty
1. Items having a unit acquisition cost of less that $ 100, items in poor condition, frequently available items and items acquired in large quantities by the SASP will be distributed on a "first come, first served" basis. The SASP may limit quantities distributed to individual donees in order to insure a more widespread distribution among eligible donees.
2. Items having a unit acquisition cost of $ 100 or more, scarce items and items for which the demand exceeds the supply will be allocated using the criteria outlined below.
3. Allocation
To accomplish fair and equitable distribution of surplus property, principle consideration will be given to relative needs, relative resources and relative ability to utilize available property.
1. Relative needs -- In determining relative needs of eligible donees, the following factors, among others, will be considered, as applicable:
a. Expression of interest and requests by eligible donees for specific items of property.
b. Indication of whether the needs are continuing or temporary.
c. Type and quantity of property previously received by the donee.
d. Location of property in relation to the requesting donee.
e. Extraordinary needs created by disaster such as storms, flood, fires, or other emergencies.
2. Relative Resources -- The following factors will be evaluated in establishing relative resources of participants who have expressed specific needs:
a. Availability of funds -- Whether tax appropriated funds federal or state grants, tuition or charges for service, donations or contributions or other sources as applicable.
b. Assessment of financial ability -- Including available data pertaining to budget limitations, ability to purchase from other sources, extraordinary economic problems, per capita income of population, assessed property values and other appropriate data.
3. Relative Ability to Utilize Property -- In determining utilization capability for property needs expressed, the following factors, among others, will be considered, as applicable:
a. Purpose for which property will be used.
b. Area in square miles to be served by requested property.
c. Date when property can be put into use.
d. Length of time property will remain to use.
e. Capability for repair and maintenance of property.
f. The equivalent number of days per year the property will be fully employed in use.
4. Date of Application -- When there is more than one applicant for a limited quantity of property and all other factors are equal, the applicant or applicants who requested the property at the earliest date will receive the property. In the case of requests received by mail, the earliest postmark will be considered as the earliest date.
5. Past Performance -- Past performance of the donee in picking up property, paying service charges and complying with terms and conditions on property donated will be considered in the allocation of Federal Surplus Property.
C. Assessment Survey
In order to assess relative needs, resources and utilization capability, a survey form requesting information relative to specific needs will be a part of the application for eligibility to be sent to all eligible entities. Determination for distribution of the high acquisition cost and difficult to obtain items will be based on the information provided on the form and other data available to the state agency. The returned form will serve as an expression of need, declaration of relative resources and an indication of utilization ability.
D. The Surplus Property Section will recommend to GSA the certification of donee screeners, as are qualified and needed in accordance with FPMR 101-44,116. The SASP will, insofar as practical, economical, and considering fair and equitable distribution among its donees, select that property requested by the donees. The SASP will arrange for direct pickup or shipment of the property to the donee if requested to do so.
E. A bulletin containing information on available surplus property will be circulated periodically to all identified eligible donees so that all eligibles will have an equal chance to participate in the program. Space will be provided on the application for eligibility form for applicants to list their specific needs. This information will be kept on file and used by the SASP in determining what property to acquire and to whom it should be distributed. The file, or "want list", will be updated as eligible donees notify that SASP of additional needs.
IX. Eligibility
A. It shall be the responsibility of the Surplus Property Section to determine the eligibility of donees under Public Law 94-519.
The Section Chief shall compile a listing of all known eligible donees and shall notify all such donees of their eligibility by transmitting an application for eligibility to them.
The list of eligible activities considered by the SASP in identifying potential eligible donees shall be based on the groups listed in Public Law 94-519 and GSA regulations and guidelines pertaining to the law and shall include, but not be limited to, the specific examples listed in those documents. Any activity not listed as eligible by the State Agency may request an application form and give reason why it feels it should be an eligible donee.
B. The application shall provide for the following information:
1. Legal name and address of applicant:
2. Status of the applicant as a public agency or a nonprofit education or public health institution or organization Evidence that the applicant is a public agency or has been determined to be nonprofit and tax-exempt under Section 501 of the Internal Revenue Code of 1954 may be required if such evidence is considered necessary to determine eligibility;
3. Details concerning the applicant's public program activities or, if it is a nonprofit institution or organization, its educational or public health program or programs including the specific education
[MISSING TEXT]
reviews for compliance by donees with the terms, conditions, reservations and restrictions imposed by the Section for any item of property having a unit acquisition cost of $ 5,000 or more and any passenger vehicle.
B. Compliance reviews shall include a survey of donee compliance with any special handling conditions or use limitations imposed on items of property by GSA in accordance with FPMR 101-44.2. (Donations to Public Agencies and Non-Profit Educational and Public Health Activities).
C. Compliance reviews shall also include a survey of donee compliance with the statutory requirement that all items of donated property acquired by the donee be placed into use within one year of acquisition and used for 18 months thereafter.
D. All donees having received items or property having a unit acquisition cost of $ 5,000 or more or motor vehicles will be sent an annual review form on which the responsible official will be required to certify that all such property is being used according to the terms, conditions, reservations and restrictions imposed by the Surplus Property Section or GSA.
1. In addition, at least ten percent of the donees described in subsection D,1 shall receive a physical inspection by a representative of the Surplus Property Section annually.
3. Any irregularities found through the procedures contained in subsections D,1 or D,2 shall be called to the attention of the donee and a time limit established for the correction of the irregularity. A donee which does not correct an irregularity by the established limit or give satisfactory reason for not doing so will be required to return the property in question to the Surplus Property Section.
E. At least annually, the Surplus Property Section shall prepare a report on its utilization reviews and compliance actions. A copy of this report shall be provided to the GSA regional office.
F. The Surplus Property Section shall initiate appropriate investigation of alleged fraud in the acquisition of donated property and notify the FBI and GSA of such allegations immediately.
G. The Surplus Property Section shall initiate appropriate investigation of alleged misuse of donated property and notify GSA of allegations immediately.
H. The Surplus Property Section shall cooperate with GSA or other responsible federal or state agencies in investigating and prosecuting such cases. Consultation with Advisory Bodies and Private Groups
XI. Audit
An external audit of the State Agency will be conducted in accordance with Public Law 98-502 (The Single Audit Act of 1984) and OMB circular number A-128, page 7, para 11. Cognizant Agency Responsibilities - The Office of Management and Budget will assign cognizant agencies for States and will implement external audits. In R.I. the cognizant agency assigned is Health and Human Services. When the cognizant agency implements an external audit, a copy will be made available to GSA. An internal audit will be conducted every 3 years in accordance with normal audit procedures for a public agency. GSA representatives may review State Agency operations periodically, and may for appropriate reasons, conduct its own audit of the State Agency following due notice to the Governor of the reasons for such audit Financial records and all other books and records to the State Agency shall be made available to all authorized Federal activities.
XII. Cooperative Agreements
The Chief of the Surplus Property Section, with the approval of the Director of Corrections, may enter into cooperative agreements as defined in Subsection (n) of Public Law 94-519, under the authority of Title 42, para 56.2-1 of the Rhode Island General Laws of 1992 as amended. The Rhode Island SASP currently participates in cooperative agreements for the use of donated property by the agency. It is anticipated that these agreements will be continued. Other cooperative agreements which may be entered into include, but are not limited to, interstate agreements and overseas property agreements.
XIII. Liquidation
If conditions should develop which make the liquidation of the agency necessary, a liquidation plan shall be submitted to the GSA Administrator in accordance with FPMR 101-44.202 (C) (14) before the actual termination of agency activities. The plan of liquidation shall include:
A. Reasons for the liquidation;
B. A schedule for liquidating the agency and the estimated date of termination;
C. Method of disposing of surplus property on hand;
D. Method of disposing of the agency's physical and financial assets; and
E. Retention of all available books and records of the agency for a two year period following liquidation.
XIV. Forms
A. The distribution documents used by the SASP are included as attachments to the plan of operation.
B. The documents are:
1. Standard Issue Document (Appendix 7).
2. Conditional Transfer Document - Noncombat Aircraft (Appendix 4).
3. Conditional Transfer Document - Vessels (Appendix 5).
4. Conditional Transfer Document - Combat Aircraft (Appendix 6).
XV. Records
A. The official records of the State Agency will be retained for a minimum period of three (3) years except:
1. Records pertaining to property subject to restrictions for more than two (2) years will be retained for one (1) year beyond the specified period of restriction.
2. Records pertaining to cases of noncompliance with conditions, covenants, agreements, reservations or restrictions on donated property will be retained for at least one (1) year after the case is closed.
XVI. Nondiscrimination
The State Agency for Surplus Property shall not discriminate in its hiring practices, certification of eligible donees, distribution of property or in any other area for reasons related to race, color, national origin, religion, creed, sex, age, or handicap factors not related to need for, and ability to use, surplus property. All state and federal laws, regulations and guidelines relating to nondiscrimination including Title VI of the Civil Rights Act of 1964, and Title VI, Section 606 of the Federal Property and Administrative Services Act of 1949, as amended shall be followed. Donees will be required to agree to abide by these laws as part of the application for eligibility and the distribution document to be signed each time property is received. Donees which are found to be in violation of nondiscrimination laws by state or federal authorities may be declared ineligible to receive surplus property.
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