Equipment Disposals – External Transfer (To Another Non-Profit Institution)
Included on this page:
Definition
External Transfer - Transfer equipment ownership to another non-profit (according to IRS standard, tax code 501) institution within the United States and remove it from your department's records. This process requires prior approval. Only property acquired from federal grants and contracts may be transferred out of the University, regardless of who approves it.Note: This can be a lengthy process of 3 - 6 months
Example: Principal Investigators transferring to other non-profit institutions within the United States may be able to retain the use of equipment acquired under their federally funded grant or contract to continue their research. Ownership of the equipment is transferred to the receiving institution and not to the Principal Investigator.
Procedure
Department:- Identifies items for transfer to another non-profit institution.
- Reviews sponsoring agency's requirements (for example, an award must be closed with the University and reestablished with the new institution or a subcontract may be necessary - contact the Office of Sponsored Programs (OSP) for more information.
- Contacts Equipment Inventory for help transferring equipment acquired from a federal grant or contract to another non-profit institution. Strict and often confusing regulations apply to equipment leaving the University. Equipment Inventory has experience with these and can help you through the procedure.
- If the equipment is federally owned or funded on current awards,
- Gets written approval from the sponsor before the item can be surplussed, moved, transferred, or disposed of. This documentation must be complete and contain:
- Agency's written authorization,
- Appropriate disposal action, which could:
- Relieve the University of further federal accountability by giving the title to the University at which point it falls under state policies and procedures.
- Request the University to return the equipment to the agency.
- Request the University sell the equipment and return the proceeds to the agency less $5000 or 10% of the proceeds, whichever is less, for selling and handling expenses.
- Transfer the equipment usage to another award by the same sponsoring agency (e.g., NIH to NIH, NASA to NASA) and leave the title with the federal government
- Date of disposal.
- Sends written approval to Equipment Inventory so that the transaction can be recorded.
- Initiates request for transfer by submitting a Property Activity Request - Form 1024 to Equipment Inventory.
- Completes the top section. Enter:
- Date Requested - the date you fill out the form
- Contact Person - the person who can answer questions about the disposal (must not be the same person approving the disposal)
- Campus Phone Number
- Box Number - 35XXXX
- Location - of equipment if you need pick up
- Inventory Tag Number(s) - Enter "N/A" if not applicable)
- Description of each item
- Serial Number - if there is one (available in OASIS if you are not sure)
- Acquisition Funding - was it funded by state or federal funds?
- Original Equipment Cost - available in OASIS
- Completes section D by entering:
- Grant/Contract Title
- Budget Number
- Requester Identification - Principal investigator's name, signature, and date signed.
- Concurrences:
- Department Chairperson's name, signature, and date signed
- Dean's name, signature, and date signed
- Equipment Inventory Office name, signature, and date signed
- Office of Sponsored Programs name, signature, and date signed
- Receiving Institution's name and address
- Note: Equipment Inventory sends a letter to the receiving institution requesting verification that they received the equipment.
- Obtains a signature from either department's Dean, Chair, Head, Administrator, or Director.
- Distributes copies of completed Property Activity Request - Form 1024.
- Negotiates with the receiving institution about transporting the equipment.
- Transports the equipment according to the agreement with the other institution.
- Maintains copy of Property Activity Request - Form 1024 for 6 years.
- Verifies that the Property Activity Request - Form 1024 is complete. If any information is missing, returns the form to the department for completion. Common information missing includes:
- Illegible tag number(s)
- Unauthorized signature(s)
- Identical "Contact Person" and "Approved by" - these cannot be the same
- No reason for disposal indicated
- Process the completed form and removes the equipment from the department's inventory.
- Maintains copy of Property Activity Request - Form 1024 for 6 years.
- Prepares annual deletion reports and sends to departmental Head for review.
Forms Required
Frequently Asked Questions
For frequently asked questions related to this topic, please visit our FAQ page.
Regulations
State Administrative and Accounting Manual (SAAM), Chapter 30: Capital Assets
University of Washington Administrative Policy Statements:
Federal Regulations:
Contacts
State/University Titled
Equipment: 206-543-4663 or eio@u.washington.edu
Federally Titled
Equipment:
206-543-4640 or 206-616-4046
