Federally Titled Property

Federally Titled Property

Abstract:
This policy details responsibilities, definitions, utilization, disposition, and sub-contract administration, with regards to Federally Titled Property. See UAB Financial Affairs Website for additional information regarding this policy.
Effective Date:
10/11/2007
Responsible Party:
Contacts:
None Assigned
Administrative Category:
Applies To:
Faculty, Staff
Material Original Source:

Federally Titled Property

 

DEFINITIONS

Title – Refers to the legal ownership and control of the equipment.

Federally Titled Property – Government-Furnished, Contractor-Acquired, or Contractor-Fabricated property where title to the property vests with the federal sponsoring agency as stated in the federal contract.

Federally Titled Property is usually capital equipment, but it could be other non-capital equipment as stated in the contract or grant.

Contractor-Acquired Property – Property purchased or otherwise provided by the contractor using contract funds to which the government has title. (FAR 45.101)

Contractor-Fabricated Property – To assemble parts of Federal Titled Property into equipment for special test purposes.

Government-Furnished Property – Property in the possession of, or directly acquired by, the government and subsequently delivered or otherwise made available to the contractor for use in performance of the contract. (FAR 45.101)

Government-Owned Property – Used interchangeably with Federally Titled Property.

UAB Federal Property Administrator - UAB employee in Grants & Contracts Accounting designated to administer and maintain records of Federally Titled Property. Their responsibility also includes the timely submission of reports and inventory closeout procedures.

Cannibalization – The alteration of a piece of property that is generally obsolete due to age or technological advances, or reducing equipment to parts in order to obtain needed components.

RESPONSIBILITIES
Grants & Contracts Accounting is responsible for the overall accountability of Federally Titled Property acquired and assigned to UAB in accordance with current Federal Property Management Requirements. This office is charged with establishing and maintaining necessary records to insure accurate accounting and reporting of all property while in the possession of the University.

 

 

Equipment Accounting is responsible for taking inventory of Federally Titled Property acquired and assigned to the UAB at least once every two years in accordance with OMB circular A-110 C.34 (f)(3). Also, the placement of UAB and U.S. Government decals on all tagable property is the responsibility of Equipment Accounting.

Grants & Contracts Administration is responsible for providing Grants & Contracts Accounting with contract information specifically related to property title and the dollar level at which the federal government retains title.

Principal Investigators are responsible to insure that all Federally Titled Property is required to support research on the contract/grant under which it was acquired. Federally Titled Property is not authorized for personal use or gain. The principal investigator is also responsible for reporting movement of Federally Titled Property to Equipment Accounting and to maintain its care.

UTILIZATION

Federally Titled Property is provided for use on specific grants and contracts and is not for general use. The degree of utilization must justify retention. The Principle Investigator must advise the UAB Federal Property Administrator in Grants & Contracts Accounting of idle equipment, who in turn will notify the Sponsoring Agency’s Federal Property Administrator.

DISPOSTION

When Federally Titled Property becomes excess to the contract for which it was provided, it must be screened against the needs of other contracts before it is declared excess. If such need is disclosed, a request should be made to the Federal Contracting Officer for authority to use or to transfer. Additionally, if the department wishes to cannibalize government equipment, a request to cannibalize must be made to the Federal Contracting Officer for approval. The request should be initiated by the principal investigator to the Federal Contracting Officer through the UAB Federal Property Administrator in Grants & Contracts Accounting. In accordance with FAR 45.610-3, any money received for the approved sale of Federally Titled Property (less UAB’s cost of sale) will be returned to the agency. When a transfer of title to equipment has been affected, all U.S. Government identification must be removed and Equipment Accounting will adjust the inventory records.

When equipment is lost or stolen, it must be reported to the Equipment Accounting Department by the use of an Equipment Disposition form. The form should include the description, property number, serial number, and location at time of loss or theft. If the item is believed stolen, the UAB Police Department should be informed and a police report filed. Only the reported items of which Equipment Accounting received police reports will be recorded as ‘stolen’ in the Equipment Accounting System; all others will remain recorded as ‘lost’.

All efforts should be made to avoid an instance of theft or destruction. All Federally titled property should be stored in secured areas, such as in a locked office or laboratory when the item is not in use. When the item is in use, it should be used appropriately and in a way that would not cause any damage to the item.

Federally Titled Property that is lost damaged, or destroyed equipment should be reported immediately to the UAB Federal Property Administrator in Grants & Contracts Accounting at 934-9330. Grants & Contracts Accounting is then responsible for reporting any instances of this type to the Federal Awarding Agency. (This and additional information on disposal of equipment can be found on UAB’s Equipment Accounting website.)

SUBCONTRACT ADMINISTRATION

Federally Titled Property in possession of subcontractors should be maintained in accordance with the requirements stated in the UAB Equipment Manual under the policies written for Federally Titled Property. Subcontract administration must be in accordance with FAR 45.510, which states, "The contractor shall require any of its subcontractors possessing, or controlling government property to adequately care for and maintain that property and assure that it is used only as authorized by the contract. The contractor’s approved property control system shall include procedures necessary for accomplishing this responsibility".