41 C.F.R. Subpart 101–27.5—Return of GSA Stock Items
Title 41 - Public Contracts and Property Management
Source: 35 FR 12721, Aug. 11, 1970, unless otherwise noted.
This subpart sets forth policy and procedures for the return to GSA for credit of items which are in long supply or for which no current or future requirements are anticipated. The provisions of this subpart 101–27.5 are applicable to all executive agencies. Federal agencies other than executive agencies may participate in this program and are encouraged to do so. GSA stock items for which no current or future agency requirements are anticipated are eligible for return to GSA for credit. Despite eligibility for return to GSA, consideration should be given to the transportation costs involved as related to the value of the items, and, where excessive, such items shall not be reported to GSA. Any GSA stock item to be returned to GSA by an agency which has no current or future requirements for that item shall meet the following conditions: (a) The minimum dollar value per line item, based on the current GSA selling price, shall be: (1) $130 for hand tools, FSG 51, and measuring tools, FSG 52; and (2) $450 for items in all other Federal supply groups and classes except for tires and tubes, FSC 2610; tool kits, FSC 5180; laboratory supplies, FSCs 6630 and 6640; Standard forms, FSC 7540; paints, dopes, varnishes, and related products, FSC 8010; preservatives and sealing compounds, FSC 8030; adhesives, FSC 8040; boxes, cartons, and crates, FSC 8115; and subsistence items, FSG 89, which are not returnable and shall be considered excess, and shall be processed in accordance with part 101–43 of this chapter. (b) The minimum remaining shelf life of this material shall be 12 months at the time of receipt by GSA. (c) The material shall not be a terminal or discontinued item. (d) The material shall be in either condition code A or condition code E. [35 FR 12721, Aug. 11, 1970, as amended at 44 FR 39393, July 6, 1979; 56 FR 11939, Mar. 21, 1991] Allowable credit for activities returning material that is accepted by GSA will be reflected in billings by GSA and will be commensurate with the condition of the material received. (a) Credit will be granted at the rate of 80 percent of the current GSA selling price after acceptance by GSA for new, used, repaired, or reconditioned material which is serviceable and issuable to all agencies without limitation or restriction (condition code A). (b) Credit will be granted at the rate of 60 percent of the current GSA selling price for items which involve limited expenses or effort to restore to serviceable condition, and which is accomplished in the storage activity where the stock is located (e.g., a deficiency in packing or packaging which restricts the issue or requires repacking or repackaging (condition code E)). (c) No credit will be given for material returned to GSA which does not meet the above criteria or which was returned to GSA without prior approval. [56 FR 11939, Mar. 21, 1991] When an activity elects to offer material to GSA for credit, the activity shall submit offers in accordance with chapter 4 of the FEDSTRIP Operating Guide or chapter 9 of MILSTRIP (DoD 4000.25–1–M). [56 FR 11939, Mar. 21, 1991] GSA will provide notice to the offering activity of an acceptance/rejection decision for an offer and verification of material receipt for accepted offers. (a) Within 20 workdays after receipt of an offer to return material, GSA will notify the offering activity of acceptance or rejection of the offer. (1) For accepted offers, GSA will inform the offering activity of the GSA material return facility (storage activity) to which the material shall be shipped. Prior to shipment of the material authorized by GSA for return, activities shall verify the declared condition. (If the offering activity considers that the transportation costs of sending the material to the GSA material return facility are excessive in relation to the value of the material and withdraws the offers, the GSA region that was designated to receive the offered material shall be notified accordingly.) (2) For rejected offers, GSA will so inform the activity offering the material and give the reason for nonacceptance. (b) Upon receipt of material authorized for return by GSA, the offering activity will be provided verification of receipt and a report of any discrepancies. When the discrepant condition is attributable to carrier negligence, subsequent credit allowed by GSA will be reduced by the amount to be paid the agency by the carrier for any damages incurred. A notice of credit will be provided the offering activity through credit entries on the monthly billing statement from the supporting GSA finance center. (c) When offers of material that have been authorized by GSA for return are withdrawn, offering activities shall report such cancellation to the GSA region that was designated to receive the offered material. [41 FR 3859, Jan. 27, 1976, as amended at 44 FR 39394, July 6, 1979; 56 FR 11939, Mar. 21, 1991] Returned material will be examined by GSA upon receipt to determine acceptability for credit. Returned material which is unacceptable for credit will be deemed to have been declared excess by the returning activity, and will be disposed of by GSA as excess or surplus in the name of the activity, in accordance with part 101–43 of this chapter. The returning activity will be officially notified of the disposal action taken by GSA. Transportation costs for the movement of material to GSA and handling costs for preparation and shipment shall be paid by the activity shipping the material to GSA.
Title 41: Public Contracts and Property Management
PART 101–27—INVENTORY MANAGEMENT
Subpart 101–27.5—Return of GSA Stock Items
§ 101-27.500 Scope and applicability of subpart.
§ 101-27.501 Eligibility for return.
§ 101-27.502 Criteria for return.
§ 101-27.503 Allowable credit.
§ 101-27.504 Notice to GSA.
§ 101-27.505 Notice to activity.
§ 101-27.506 Determination of acceptability for credit.
§ 101-27.507 Transportation and other costs.
