45.602-1 Inventory disposal schedules
Source: FAR 45.602-1 on acquisition.gov
Timely and accurate processing of inventory disposal schedules is essential to ensure proper disposition of Government property and avoid delays or financial adjustments.
Overview
FAR 45.602-1 outlines the procedures for reviewing, verifying, and processing inventory disposal schedules for Government property in the possession of contractors. It details the responsibilities of plant clearance officers and contractors regarding the submission, correction, and disposition of inventory schedules, using Standard Forms 1428 and 1423. The regulation establishes specific timeframes for review, verification, and provision of disposition instructions, and addresses the process for removing Government property from inventory schedules under certain conditions.
Key Rules
- Review and Acceptance of Inventory Disposal Schedules
- Plant clearance officers must review and accept or return inventory disposal schedules within 10 days of receipt, ensuring they are completed per Standard Form 1428 instructions.
- Verification and Correction
- Accepted schedules must be verified using Standard Form 1423 within 20 days, and any discrepancies or unmet predisposal requirements must be corrected by the contractor.
- Disposition Instructions
- Contractors must receive disposition instructions for property on acceptable schedules within 120 days; delays may entitle contractors to equitable adjustments.
- Removal of Property from Schedules
- Contractors may request removal of Government property from schedules under specific circumstances, such as purchase, return to supplier, authorized use on another contract, or continued use with approval.
- Screening Process Adjustments
- If screening has not started, schedules are adjusted or returned for correction; if screening has begun, the screening activity must be notified to remove the items.
Responsibilities
- Contracting Officers/Plant Clearance Officers: Review, accept, verify, and provide disposition instructions for inventory schedules; approve or process requests for property removal; ensure compliance with timeframes.
- Contractors: Submit accurate inventory disposal schedules, correct discrepancies, fulfill predisposal requirements, and request property removal as needed.
- Agencies: Oversee compliance with procedures and timelines, and ensure proper documentation and communication.
Practical Implications
- This section ensures timely and accurate processing of excess Government property, minimizing delays and potential costs. Contractors must be diligent in preparing schedules and responding to corrections, while plant clearance officers must adhere to strict review and instruction deadlines. Failure to comply can result in delays, financial adjustments, or compliance issues.
(a) Plant clearance officers should review and accept, or return for correction, inventory disposal schedules within 10 days following receipt from a contractor. Schedules that are completed in accordance with the instructions for https://www.gsa.gov/forms-library/inventory-disposal-schedule" target="_blank">Standard Form 1428 should be accepted.
(b) Plant clearance officers shall-
(1) Use https://www.gsa.gov/forms-library/inventory-verification-survey" target="_blank">Standard Form 1423 to verify, in accordance with agency procedures, accepted schedules within 20 days following acceptance;
(2) Require the contractor to correct any discrepancies found during verification;
(3) Require the contractor to correct any failure to complete predisposal requirements of the contract; and
(4) Provide the contractor disposition instructions for property identified on an acceptable inventory disposal schedule within 120 days. A failure to provide timely disposition instructions may entitle the contractor to an equitable adjustment.
(c) The contractor may request the plant clearance officer’s approval to remove the Government property from an inventory schedule.
(1) Plant clearance officers should approve removal of Government property from an inventory schedule when-
(i) The contractor wishes to purchase a contractor-acquired or contractor-produced item at unit acquisition cost and credit the contract;
(ii) The contractor is able to return unused property to the supplier at fair market value and credit the contract (less, if applicable, a reasonable restocking fee that is consistent with the supplier’s customary practices);
(iii) The Government has authorized the contractor to use the property on another Government contract; or
(iv) The contractor has requested continued use of the Government property, and the contracting officer has authorized its retention and further use.
(2) If the screening process (see 45.602-3) has not begun, the plant clearance officer shall adjust the schedule or return the schedule to the contractor for correction. If screening has begun, the plant clearance officer shall promptly notify the activity performing the screening that the items should be removed from the screening process.