45.602-2 Reutilization priorities
Source: FAR 45.602-2 on acquisition.gov
Follow the prescribed reutilization priority order to ensure government property is reused or disposed of efficiently and in compliance with federal regulations.
Overview
FAR 45.602-2 establishes the required order of priority for reutilizing government property that is no longer needed by a contractor but does not qualify for abandonment or destruction. Plant clearance officers must follow a specific sequence to maximize the reuse and proper disposition of excess property, ensuring compliance with federal regulations and promoting efficient use of government assets.
Key Rules
- Reutilization Sequence
- Property must first be considered for reuse within the owning agency, then for transfer to schools/nonprofits, followed by reporting to GSA for federal reuse or surplus donation, and finally, disposal according to agency procedures for certain categories.
- Special Disposal Categories
- Certain property types (e.g., hazardous waste, perishables, controlled substances, classified items) may be disposed of directly under agency procedures without GSA reporting.
- Nuclear Materials
- Nuclear materials must be disposed of in accordance with NRC, state, federal, and agency regulations.
Responsibilities
- Contracting Officers/Plant Clearance Officers: Must initiate and document reutilization actions in the prescribed order and ensure compliance with all reporting and disposal requirements.
- Contractors: Must cooperate with plant clearance officers and provide accurate information about excess property.
- Agencies: Must oversee compliance, especially for sensitive or hazardous items, and ensure proper reporting to GSA or other authorities as required.
Practical Implications
- This section ensures government property is reused or disposed of efficiently and lawfully, reducing waste and supporting public benefit (e.g., educational transfers).
- Failure to follow the correct priority order or mishandling sensitive items can result in compliance violations, loss of government resources, or legal penalties.
Plant clearance officers shall initiate reutilization actions for all property not meeting the abandonment or destruction criteria of 45.603(b). Authorized methods, listed in descending order from highest to lowest priority, are-
(a) Reuse within the owning agency;
(b) Transfer of educationally useful equipment to schools and nonprofit organizations (see Executive Order 12999, Educational Technology: Ensuring Opportunity For All Children In The Next Century, April 17, 1996, and http://uscode.house.gov/view.xhtml?req=granuleid:USC-prelim-title15-section3710(i)&num=0&edition=prelim" target="_blank">15 U.S.C. 3710(i));
(c) Report to GSA for reuse within the Federal Government or donation as surplus property;
(d) Dispose of the following property in accordance with agency procedures without reporting to GSA:
(1) Property determined appropriate for abandonment or destruction (see Federal Management Regulation (FMR) 102-36.305, 41 CFR 102-36.305).
(2) Property furnished to nonappropriated fund activities (see FMR 102-36.165, 41 CFR 102-36.165).
(3) Foreign excess personal property (see FMR 102-36.380, 41 CFR 102-36.380).
(4) Scrap, except aircraft in scrap condition.
(5) Perishables, defined for the purposes of this section as any personal property subject to spoilage or decay.
(6) Trading stamps and bonus goods.
(7) Hazardous waste or toxic and hazardous materials.
(8) Controlled substances.
(9) Property dangerous to public health and safety.
(10) Classified items or property determined to be sensitive for reasons of national security; and
(e) Dispose of nuclear materials (see 45.603-3(b)(5)) in accordance with the Nuclear Regulatory Commission, applicable state licenses, applicable Federal regulations, and agency regulations.
