45.604-4
Sale of property pursuant to the exchange/sale authority
Agencies should use the exchange/sale authority under FMR 102-39 to efficiently replace or acquire similar property, ensuring all regulatory requirements are met.
Overview
FAR 45.604-4 addresses the sale of government property using the exchange/sale authority as outlined in the Federal Management Regulation (FMR) 102-39. This provision allows agencies to sell surplus property and use the proceeds or property in exchange when acquiring similar items, provided all requirements of the exchange/sale authority are met. The intent is to promote efficient asset management and cost savings when agencies need to replace or upgrade equipment or materials.
Key Rules
- Consider Exchange/Sale Authority
- Agencies should evaluate whether the exchange/sale authority can be used when acquiring similar products.
- Compliance with FMR 102-39
- All requirements of FMR 102-39 must be satisfied before proceeding with the sale or exchange of property.
Responsibilities
- Contracting Officers: Must ensure that the use of exchange/sale authority is considered and that all regulatory requirements are met before proceeding.
- Contractors: Should be aware that surplus property may be sold or exchanged under this authority, potentially affecting acquisition processes.
- Agencies: Must comply with FMR 102-39 and document decisions regarding the use of exchange/sale authority.
Practical Implications
- This regulation encourages agencies to maximize value from surplus property by leveraging exchange/sale options when acquiring similar items.
- Proper use of this authority can streamline procurement and reduce costs, but failure to comply with FMR 102-39 can result in regulatory violations.
- Agencies must carefully document compliance and ensure all conditions are met before using this method.