Surplus Equipment Disposal Procedures

Questions & Answers

1. How do I dispose of surplus equipment?

   Refer to U of S Policy 4.10.03 (under review) and the procedures which outline the steps to follow.

2. Who has the authority to declare an item as surplus?

   Equipment can be declared surplus by the person or department no longer requiring use of the item. The declaration must be approved by the appropriate Dean or Department Head.

3. If the Surplus Equipment is reallocated / redeployed within the University of Saskatchewan, how are the funds transferred from one department to another?

   To facilitate an inter-department transfer of an asset, Financial Services Division - Fixed Assets is notified of the transfer by the originating department and the asset will be transferred from the originating department to the receiving department. A Journal Voucher must also be prepared if any funds are transferred. Please contact FSD, Financial Reporting for further information.

4. What happens to surplus assets that are not transferred between departments and are no longer useful to the University of Saskatchewan?

   Surplus assets that are no longer required and are not transferred to another department or useful to the University are removed from the fixed asset inventory and disposed of a responsible manner through various channels according to U of S policy.

5. The University of Saskatchewan has sold its own surplus equipment for years. Why have the procedure changed?

   The process collecting, cataloguing, organizing, selling and JVing accounts for the sale of the assets is very time consuming and costly and not a core function of the University of Saskatchewan. The SERF operation has accumulated a deficit for several years and a mandate has been issued to divest the University of this operation. Since January of 2006, surplus assets were handled by an outside auction facility with the hopes of reducing costs. Unfortunately, the program continues accumulate a deficit due to increased transportation and handling costs as well as lower than expected returns.

6. Why are U of S assets being given to Habitat for Humanity?

   The management of surplus assets represents an opportunity for the University of Saskatchewan to continue to be environmentally responsible while striving to improve the economics of dealing with surplus equipment, furniture and construction materials, as well as supporting the local community.

   Together the University of Saskatchewan and Habitat for Humanity identified an opportunity to bring together the unique strengths of each organization to better serve the community and our environment. The benefits of this partnership will result in a substantial savings for the University through the minimization of the handling, an increase in storage space and an extension of the lifecycle of many of the surplus assets.

7. If the University now donates everything to Habitat for Humanity, how are costs covered?

   The Habitat for Humanity partnership will reduce costs significantly. Any outstanding costs are recovered through the auction of equipment and material that is not suitable for the Habitat for Humanity Restore facility.

8. Why do I need to fill out a Declaration and Disposal of Surplus Assets form?

   The University of Saskatchewan maintains a fixed asset database to provide controls for equipment belonging to the institution. The purpose of the controls is to protect fixed assets, provide accurate accounting records, provide an itemized list of assets by department and provide a basis for the amount of insurance required. Completing a Declaration and Disposal of Surplus Assets form when the asset leaves the custody of a department ensures that the accounting records are updated to reflect the disposal by removing the record from the fixed asset inventory system or, in the case of the asset being acquired by another department, transferring custodianship of the asset to the acquiring department.

9. If the equipment does not have an Equipment Inventory sticker, do I still have to fill out a Declaration and Disposal of Surplus Assets form?

   Yes. Even though the asset may not have an Equipment Inventory Tag, filling out a Declaration and Disposal of Surplus Assets form assists in the disposal process, provides a record of what occurred as well as providing a tracking mechanism.

10. I want to purchase surplus equipment directly from my department. I have used it for years and I should have an opportunity to buy it. How do I do this?

    The University of Saskatchewan no longer sells surplus assets or equipment directly to faculty, staff, students or general public. If you wish to purchase a piece of equipment that is declared surplus, you may do so at the Habitat for Humanity Restore or auction facility in the case of vehicles.

11. Where can I get more information about the disposal of surplus assets?

    For further information please contact Logistics Management at 966-1691 or 966-1972