Subpart 45.6
Reporting, Reutilization, and Disposal
FAR Subpart 45.6 establishes strict procedures for contractors and agencies to report, reuse, and properly dispose of government property, ensuring accountability and maximizing value.
Overview
FAR Subpart 45.6 outlines the requirements and procedures for reporting, reutilizing, and disposing of government property in the possession of contractors. This subpart provides guidance on how contractors and contracting officers must handle excess, surplus, or scrap property, including reporting obligations, options for reutilization within the government, abandonment or destruction protocols, sale procedures, and inventory disposal reporting. The subpart ensures that government property is managed responsibly and disposed of in a manner that maximizes value and minimizes waste or loss.
Key Rules
- Reutilization of Government Property (45.602)
- Establishes procedures for identifying and transferring excess property for reuse within the government before considering other disposal methods.
- Abandonment or Destruction (45.603)
- Provides criteria and procedures for abandoning or destroying personal property when it has no further value or cannot be reused or sold.
- Sale of Surplus Personal Property (45.604)
- Outlines the process for selling surplus property, including requirements for public notice and fair value.
- Inventory Disposal Reports (45.605)
- Requires contractors to submit detailed reports of property for disposal, ensuring accountability and transparency.
- Contractor Scrap Procedures (45.606)
- Specifies how contractors must handle and document scrap materials, including segregation and reporting.
Responsibilities
- Contracting Officers: Oversee and approve property disposal actions, ensure compliance with reporting and reutilization requirements, and authorize abandonment, destruction, or sale as appropriate.
- Contractors: Accurately report excess property, follow prescribed procedures for reutilization, abandonment, destruction, or sale, and maintain records of all disposal actions.
- Agencies: Monitor compliance, review disposal reports, and facilitate property transfers or sales as needed.
Practical Implications
- This subpart exists to safeguard government assets, promote reuse, and ensure proper disposal of property.
- It impacts daily contracting by requiring diligent property management, timely reporting, and adherence to disposal protocols.
- Common pitfalls include incomplete reporting, unauthorized disposal actions, and failure to maximize reutilization opportunities.