Current through Register Vol. XLI, No. 50, December 13, 2024
Section 99-6-25 - Methods of Disposition25.1. Sell On-Site: Commodities or expendable commodities no longer needed by the division may be disposed of without removing them from the division's location. Commodities or expendable commodities disposed of by this method may be sold to an eligible organization, sold through a public sealed bid process, or sold through an internet auction. This is the preferred method of disposal when an item is exceedingly difficult or costly to transport or requires special handling. 25.1.a. To transfer an asset from the division to another agency (different department codes) the Procurement Director will complete a Fixed Asset Interfund Transfer (FAIT) in wvOASIS. 25.2. Trade-In: The trade-in process is not delegated to employees. In any situation where a trade-in is anticipated, the procurement must be bid as a central procurement transaction by the Procurement Director. The trade-in process consists of the following steps. 25.2.a. Upon determination by the division to utilize the trade-in process, the Procurement Director must develop specifications to accompany the Request for Quotation (RFQ) requesting that bids include a price for the new item only and prices that reflect the value the bidder proposes to attribute to the trade-in. 25.2.b. The Procurement Director must receive approval from the Director or designee to pursue the trade-in option; an approval notation will be maintained. 25.2.c. Documentation verifying receipt of the credit for the trade-in will be uploaded to the retirement FD in wvOASIS. 25.2.d. If the original cost of the items to be traded in is less than $1,000 and is not listed in wvOASIS, the asset must be added to wvOASIS for trade-in purposes.25.2.e. Only one-for-one trade-ins will be considered and items may be traded only for the same type of item. Trade-ins shall not be authorized for items purchased from statewide contracts or sole source vendors, unless it is in the best interest of the division and approved by Director. 25.2.f. It is important to note that the value of the new items for fixed asset purposes is the full value of the new items, including money paid for the asset and the value attributed to the trade in. The wvOASIS system automatically includes the money paid for the asset in the fixed asset system, but it does not automatically account for trade-in value. The division must create a Fixed Asset Increase document and use that document to add the trade-in value to the new asset. 25.2.g. A trade-in allowance does not allow the division to alter or circumvent the purchasing process. 25.3. Sell for Scrap: Commodities or expendable commodities which have a scrap value may be sold as scrap if authorized in advance by the Director or designee. The sale shall be conducted in one of the following ways: 25.3.a. The sale can be completed using an existing statewide contract for recycling; 25.3.b. The sale can be completed by obtaining three verbal bids and awarding the purchase of the scrap to the highest bidder. 25.3.c. The division may prescribe an alternative method for conducting the sale of the scrap material that may include, but is not limited to, sealed bids and internet auctions. 25.3.d. The Procurement Director may select a recycler based upon location and services provided. Vendor(s) receiving scrap or waste for recycle are prohibited from rehabilitation of said assets. 25.3.e. After the scrap dealer picks up the commodities or expendable commodities or the division has them delivered to the scrap dealer's facility, the employee will forward the dealers weight ticket receipt for those items listed on the WV-103 Surplus Property Retirement Form or a Fixed Asset Disposition Document (FD) for final completion by the Procurement Director. Checks for scrap are to be made payable to the division. A copy of the retirement form(s) should be delivered to the Procurement Director with the check to ensure that the retirement forms are finalized. 25.4. Dispose as Waste: Certain commodities or expendable commodities which have no value and cannot be reused may be disposed of by transporting them to a landfill. Transporting and/or costs associated with this method of disposal shall be borne by the division. The WV-103 Surplus Property Retirement Form or Fixed Asset Disposition Document (FD) requesting this method of disposal will be generated and submitted to the Procurement Director in advance for approval. 25.5 Lost Asset: When commodities or expendable commodities that also qualify as Reportable Assets have been lost, the Procurement Director is required to retire the asset in the Fixed Asset Module with the disposition code of "lost." Prior to reporting the commodities or expendable commodities as lost, the Procurement Director must take appropriate steps to locate the commodities or expendable commodities. Those efforts should include conducting a physical inventory as well as interviewing the employees responsible for the commodities or expendable commodities. The Procurement Director shall document the findings and submit the documentation along with a detailed letter explaining the loss with the retirement cover sheet to the Director. Upon approval by the Director, the Fixed Asset Disposition Document will have the status of final in wvOASIS. 25.6 Stolen Asset: Every effort should be taken to secure all division owned property. Division personnel should secure property when not in an office environment, i.e. vehicles containing division owned equipment should be locked when left unattended. 25.6.a. When a division commodity or expendable commodity has been stolen, the theft shall be reported. The CI report along with a letter from the employee detailing the theft shall be attached to the retirement cover sheet and submitted to the Procurement Director. If approved, Fixed Asset Disposition Document will have the status of final in wvOASIS. 25.7. Destroyed Asset: When any commodity or expendable commodity that also qualifies as a Reportable Asset has been destroyed, the employee shall forward a written explanation of how the commodity or expendable commodity was destroyed to the Director. For insured vehicles, documentation from the insurance company is required. Once the Procurement Director has reviewed and approved the transaction, Fixed Asset Disposition Document will have the status of final in wvOASIS. 25.7.a. Note: Lost, stolen, or destroyed disposition codes are not to be used to remove equipment from division assets when retirement procedures were not followed to properly dispose of obsolete equipment