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UPPS 05.01.02 - University Surplus Property (Equipment and Consumable Supplies)

University Surplus Property (Equipment and Consumable Supplies)

UPPS No. 05.01.02
Issue No. 4
Effective Date: 3/31/2011
Next Review Date: 10/01/2016 (E5Y)
Sr. Reviewer: Director, Materials Management and Logistics


    1. This UPPS establishes the policies and procedures for the determination and disposal of university equipment and consumable supplies as surplus property.

    2. Each person affected by this UPPS should devise job procedures or other methods to carry out its instructions.

    3. The Texas State University System Regents’ Rules [Section 6.(13) of Chapter III] delegate to each component’s president the authority to dispose of surplus property. The applicable Regents’ Rules are as follows:

      6.(13) Disposal of Property and Equipment. Each component president may dispose of property or equipment considered surplus because it is obsolete or useless for the component’s needs or purposes. Prior to external disposal in accordance with System and component regulations, such items may be made available to other system components.

      6.(13)1 The president shall have the authority to dispose of property or equipment with a book value of less than the capitalization value determined by the Comptroller’s Office on the basis of negotiation, competitive bid or transfer to another governmental subdivision including a city, county or public school district.

      6.(13)2 Sale of property or equipment with a book value equal to or more than the Comptroller’s capitalization amount shall be made on a basis of competitive bids.

      6.(13)3 Sale of property or equipment less than five years old and with a book value of $10,000 or more shall be approved in advance by the chairman of the Finance and Audit Committee.

      6.(13)4 Surplus instructional property and equipment must first be advertised through the Texas Higher Education Coordinating Board prior to disposition.

      6.(13)5 Surplus computer equipment must be offered to the Texas Department of Corrections prior to disposition under sub-sections 1, 2, or 3 above.

      6.(13)6 Exchange and Disposal of Surplus Library Materials. To facilitate sharing of information resources and reduction of costs, component libraries may exchange surplus library materials by:

      (1) Offering such materials to local public, school or other governmental libraries with preference given to low performing schools per Texas Government Code, §2175.304; and/or,

      (2) Bartering with or exchanging materials with other system libraries; and/or,

      (3) Making such materials available for exchange through TexShare or appropriate national library materials exchange lists, provided no other system library desires the materials; and/or,

      (4) After thirty (30) days on TexShare or appropriate national library materials exchange lists, notifying “out-of-print” book dealers and negotiating sale or exchange of materials."

    4. All items of equipment and consumable supplies are procured by one of the following methods:

      1. Purchases from state or local funds by purchase order or P-card

      2. Inter-agency or inter-department transfer

      3. University manufactured

      4. Gifts-in-kind (i.e., donated equipment or property)

      5. Purchases from sponsored program funds

    5. All items of equipment and consumable supplies become the property of the university and when no longer useful may be disposed of only as set forth in this UPPS.

    6. The president has designated the director of Materials Management as the agency’s property manager (per UPPS No. 05.01.01, Section 03.02 d.). In that capacity, he or she has primary responsibility for the disposal of surplus property (UPPS No. 05.01.01, Section 08.). Account managers and university employees are not authorized to directly dispose of surplus property without the approval of the director of Materials Management.

    7. This UPPS does not deal with non-State property seized or recovered in the course of police investigations or police actions. However, the director of Materials Management may sell seized or recovered property which remains unclaimed as part of the university’s Annual Surplus Auction.

    8. All university employees are permitted to purchase surplus property when it is offered to the general public for sale. The director or another supervisor will review and approve surplus property purchases by Materials Management supervisors to insure they follow university policy and procedures. Purchases by the director of Materials Management will also be presented to the associate vice president for Financial Services for review of process and acknowledgement.


    1. The account manager is responsible for determining when equipment or consumable supplies have become “surplus” and are no longer useful for university business purposes. The State Property Accounting division of the State Comptroller’s Office defines surplus as: “Any personal property which is in excess of the needs of any state agency and which is not required for its foreseeable need.” Surplus property may be new or used but must have additional useful life. Account managers should consult with their chair, dean or director, and members of their department as to whether others within the department might have use for the items.

    2. Account managers who determine they have surplus property shall inform Materials Management of their need to have the items picked up by completing the on-line Property Management form: Request for Items to Be Picked Up for Surplus.

    3. Materials Management will remove surplus property from the department to the University Distribution Center.

    4. The director of Materials Management will determine the appropriate disposal method for the surplus property.

    5. Materials Management will destroy non-repairable surplus property.

    6. At least one week prior to announcing a scheduled Surplus Property Auction, the director will notify account managers by memorandum of the auction and give them an opportunity to view all items. Materials Management will pull surplus property that another department can use and keep it for that purpose.

    7. Materials Management will sell property not sold as part of an Annual Surplus Auction and of no further use to the university under sealed bid or by an online auction to the highest bidder.

    8. The university will place proceeds from sales of surplus property in its General Revenue Fund. The director of Materials Management and the vice president for Finance and Support Services must approve exceptions to this procedure.


    1. The sale, transfer, or disposal of computers, computer peripherals, and other electronic devices can create information security risks for Texas State. These risks relate to potential violation of software license agreements, unauthorized disclosure of sensitive or confidential information, trade secrets, copyrights, and other intellectual property stored on the hard discs and other storage media.

    2. All administrative heads and university employees with responsibility for computers, printers, copiers, and other electronic devices or media capable of storing university information shall comply with Section 04.10 of UPPS No. 04.01.01, Security of Texas State Information Resources, regarding the transfer, disposal, or destruction of the university’s information-sensitive assets. To arrange for transfer or disposal of such assets, individuals should follow the transfer or disposal procedures outlined in Section 02.02 of this UPPS or on the Technology Resources website.


    1. The sale, transfer, or disposal of police vehicles, emergency equipment, firearms, uniforms, badges, radios, ammunition, and tear gas present special risks for Texas State. Those risks relate primarily to public misuse, public safety, and misrepresentation as police officers.

    2. The director of the University Police Department (UPD) or his or her designee shall be responsible for the disposal of items or like items referred to in Section 04.01, except where police vehicles are concerned. Disposal of police vehicles will be a shared responsibility of the director of the UPD and the director of Materials Management.

    3. Materials Management must obliterate all police markings through sanding and repainting before selling, transferring, or trading any marked police vehicle.

    4. The disposal of firearms, ammunition, tear gas, and radios shall be at the discretion of the director of the UPD or his or her designee. UPD members may not convert such items to their personal ownership and the director of the UPD may not sell these items to members of the public except as noted in Section 04.06. The director of the UPD may trade firearms, including those UPD confiscated, to vendors for replacement equipment or issue them to officers as on-duty weapons. UPD will destroy non-tradable (weapons involved in the commission of a crime) or dysfunctional weapons and maintain a complete record of destroyed items and the destruction method.

    5. The director of the UPD or a designee will authorize the destruction of or trade for replacement items for non-serviceable or outdated uniforms, badges, and emergency equipment.

    6. Officers who honorably retire from Texas State law enforcement service will receive a one-time option to purchase only their duty weapon (handgun) at the original purchase price. The president of Texas State may approve transferring a UPD employee’s badge to the employee upon retirement or to their families upon death or under other special circumstances


    1. Reviewers of this UPPS include the following:

      Position Date
      Director, Materials Management October 1 E5Y
      Associate Vice President for Technology Resources October 1 E5Y
      Director, University Police Department October 1 E5Y

    This UPPS has been approved by the following individuals in their official capacities and represents Texas State policy and procedure from the date of this document until superseded.

    Director of Materials Management; senior reviewer of this UPPS

    Associate Vice President for Financial Services

    Vice President for Finance and Support Services