THE NATIONAL ASSOCIATION OF STATE AGENCIES FOR SURPLUS PROPERTY, INC. - THE WORLDWIDE LEADERS IN SURPLUS ASSET MANAGEMENT State agencies are the recipients of property offered for donation, we then donate the property within our respective State www.nasasp.org Other Agency Logo 1 1

TOPICS - NASASP -FEDERAL SURPLUS PROPERTY PROGRAM -ELIGIBILITY -COMPLIANCE/NON-COMPLIANCE STATE PLAN OF OPERATION - CURRENT ENDEAVORS 2

“BACK TO BASICS 101” 3

The National Association of State Agencies for Surplus Property Who is NASASP ??? History of NASASP??? What does NASASP Do???

WHY is there a NASASP, Inc.? National Association of State Agencies for Surplus Property WHY is there a NASASP, Inc.? TO protect, promote and enhance the federal surplus property program, TO speak to the federal government with one voice; and TO provide a conduit and centralized network to all state and federal agencies for the disposition of personal property. 5

National Association of State Agencies for Surplus Property "Pro Bono Publico" - This Latin phrase is found on the insignia of the National Association of State Agencies for Surplus Property (NASASP, Inc.). Literally… it means "for the public good.” Expanded meanings include "for the public good for the welfare of the whole." That’s the mission of the State Agencies for Surplus Property (SASPs) that make up NASASP, Inc. Unfortunately, this is probably the best “hidden secret” amongst Federal programs, it’s a great public benefit and there is still not enough publicity of the availability of property and the benefits this offers to State and local governments along with other eligible donees within the States….. 6 6

THE FEDERAL SURPLUS PERSONAL PROPERTY DONATION PROGRAM IS THE FEDERAL SURPLUS PERSONAL PROPERTY DONATION PROGRAM IS . . . Best Example Of Federal, State And Local Governments Working Together Annually Saves American Taxpayers Over $100 Million Stretches Local Budget Dollars Recycles Your Tax Dollars Finally It Is A Program That Helps Make The Impossible. . . Possible 7

HISTORY Federal Administrative and Services Act of 1949, as amended P.L. 94-519 (1976) Stewart B. McKinney Act (1986) P.L. 105-50 (1997) Title 40, Section 549 (2002)

RESOURCES Title 40, subchapter 549 (the law) Federal Management Regulations, Subchapter B – Personal Property Part 102.37 – Donation of Surplus Personal Property (GSA web site)

Federal Surplus is defined as… All personal property and equipment of the federal government and military branches, once no longer needed by the government, including: Obsolete items Items used to full life expectancy Items that must be replaced for safety or economic reasons With our customers, we can find uses for most any surplus property offered by the Federal government…… Surplus property can include…..and we have processed for donation……aircraft, boats and drydocks, computer equipment, furniture, medical equipment, clothing…….and horses, water, foodstuffs…… all usable and valuable within local activities 10 10

GSA Screening Cycles (… where SASPs fall in the cycle) Internal Agency Redistribution GSA Cycle Federal Utilization Donation Cycle Public Auction State Agency for Surplus --State Government --Local Governments Towns, cities, villages Schools, police, fire -- Not-For-Profit Entities Shelters, etc Within Federal Agencies --Dept. of Defense --Law Enforcement --Fire Fighters Between Federal Agencies --Social Security Admin --F.B.I. --Small Business Admin --others Outline of the Federal Disposal Process….when and how SASPs can acquire property for donation recipients….. 11 11

What is a SASP? - State Agency Designated by the Governor to act as a partner to GSA in Administering the Program. - State Agencies for Surplus Property (SASPs) are governed by the rules, policies and programs promulgated by the… U.S. General Services Administration (GSA) SASP MISSION: “For the public good…to Donate surplus federal property to eligible organizations in a fair and equitable manner.” * Responsibilities (Eligibility, Compliance, Accountability, Security) 12

ELIGIBILITY (102.37-385) 13

What is a Donee? Any tax-supported government or public agency established by or pursuant to state law qualify under this criteria generally referring to : Departments / divisions of state, county, township, city, public schools, and other local governmental units. This includes, but is not limited to: Police Fire Emergency service and disaster agencies Eligibility is established, in general terms, by statute and GSA’s implementing regulations. Each SASP is responsible for determining eligibility of activities within its respective State, in accordance with the statute and Federal regulations….. Certainly, virtually all public activities……State and local/municipal activities are eligible…… 14 14

Other Eligible Organizations for Surplus Property… Programs for homeless - Non-profit tax-exempt organizations providing Food Shelter or, support services to the homeless Such organizations may include Homeless shelters & half- way houses Soup kitchens Food banks Also, providers of services to the homeless and impoverished….. 15 15

And…Non-Profit Programs such as…for the Elderly State, local government agencies and non-profit organizations or institutions providing services to senior citizens via funds provided under the Older Americans Act of 1965, Title IV or XX of the Social Security Act or under the Economic Opportunity Act which include the following: - adult day care facilities - senior transport services - and, multi-purpose senior centers Providers of services to the elderly are also eligible….. 16 16

…any Non-Profit, Tax-Exempt Health or Educational Entities Non-profit educational and public health activities exempt from taxation under Section 501(c)(3) of the Federal Internal Revenue Code. - The property must be used to aid education or public health directly or through research. This includes, but is not limited to: - medical institutions, hospitals, health centers - clinics, drug abuse treatment centers - schools, colleges and universities - schools for the mentally and physically disabled - child care centers - educational radio and television stations museums and libraries Examples of the types of non-profit organizations that can be deemed eligible to receive Federal surplus property… 17 17

(15 USC, subchapter 636, (j)(13)(f) Transfer of Federal Surplus Property to Participants in the Small Business Administration’s 8(a) Program (15 USC, subchapter 636, (j)(13)(f) 18

VETERAN'S SERVICE ORGANIZATIONS PUBLIC LAW 113-26 GSA GUIDELINES (102-37-385) 32 ORGANIZATIONS COMPLIANCE/USE GUIDELINES ELIGIBILITY GUIDELINES (CERTIFICATE) 19

COMPLIANCE AND UTILIZATION (102.37-480) 20

NASASP provides Accountability Property must be acquired for program purposes. Personal use or use outside the State is strictly prohibited. Property must be placed into use within 12 months of receipt and used for a period of 12 months thereafter (18 months for passenger vehicles and property with a value in excess of $5,000). Property not utilized in accordance with this requirement must be reported back to the SASP for transfer or other disposition. Cannibalization of an item or secondary use of an item for purposes other than its original intended use may be approved at the time of donation. During the 12- or 18-month use period, the Donee may not sell, trade, lease, lend, bail, encumber, or otherwise dispose of such property without the prior written approval of GSA or state SASP. The fraudulent acquisition, use, or sub- sequent unauthorized disposal of property shall be subject to criminal prosecution and penalty. Periodic on-site visits are conducted to ensure program compliance. Civil Rights Property does not, legally, transfer, in terms of title, to the donation recipient immediately The SASP has responsibilities, under law and regulation, to be accountable for property and ensure compliant use of donated property 21 21

STATE PLAN OF OPERATION (SECTION 102-37.140) Property does not, legally, transfer, in terms of title, to the donation recipient immediately The SASP has responsibilities, under law and regulation, to be accountable for property and ensure compliant use of donated property 22 22

What is a State plan of operation? Property does not, legally, transfer, in terms of title, to the donation recipient immediately The SASP has responsibilities, under law and regulation, to be accountable for property and ensure compliant use of donated property 23 23

A State plan of operation is a document developed under State law and approved by GSA in which the State sets forth a plan for the management and administration of the SASP in the donation of property. Property does not, legally, transfer, in terms of title, to the donation recipient immediately The SASP has responsibilities, under law and regulation, to be accountable for property and ensure compliant use of donated property 24 24

Who is responsible for developing, certifying, and submitting the plan? Property does not, legally, transfer, in terms of title, to the donation recipient immediately The SASP has responsibilities, under law and regulation, to be accountable for property and ensure compliant use of donated property 25 25

(a) Acquire and distribute property to eligible donees in the State; The State legislature must develop the plan. The chief executive officer of the State must submit the plan to the Administrator of General Services for acceptance and certify that the SASP is authorized to: (a) Acquire and distribute property to eligible donees in the State; (b) Enter into cooperative agreements; and (c) Undertake other actions and provide other assurances as are required by 40 U.S.C. 549(e) and set forth in the plan. Property does not, legally, transfer, in terms of title, to the donation recipient immediately The SASP has responsibilities, under law and regulation, to be accountable for property and ensure compliant use of donated property 26 26

What must a State legislature include in the plan? Property does not, legally, transfer, in terms of title, to the donation recipient immediately The SASP has responsibilities, under law and regulation, to be accountable for property and ensure compliant use of donated property 27 27

The State legislature must ensure the plan conforms to the provisions of 40 U.S.C. 549(e) and includes the information and assurances set forth in Appendix B of this part. It may also include in the plan other provisions not inconsistent with the purposes of title 40 of the United States Code and the requirements of this part. Property does not, legally, transfer, in terms of title, to the donation recipient immediately The SASP has responsibilities, under law and regulation, to be accountable for property and ensure compliant use of donated property 28 28

When does a plan take effect? Property does not, legally, transfer, in terms of title, to the donation recipient immediately The SASP has responsibilities, under law and regulation, to be accountable for property and ensure compliant use of donated property 29 29

The plan takes effect on the date GSA notifies the chief executive officer of the State that the plan is approved. Property does not, legally, transfer, in terms of title, to the donation recipient immediately The SASP has responsibilities, under law and regulation, to be accountable for property and ensure compliant use of donated property 30 30

Must GSA approve amendments or modifications to the plan? Property does not, legally, transfer, in terms of title, to the donation recipient immediately The SASP has responsibilities, under law and regulation, to be accountable for property and ensure compliant use of donated property 31 31

Yes, GSA must approve amendments or modifications to the plan. Property does not, legally, transfer, in terms of title, to the donation recipient immediately The SASP has responsibilities, under law and regulation, to be accountable for property and ensure compliant use of donated property 32 32

Do plans or major amendments require public notice? Property does not, legally, transfer, in terms of title, to the donation recipient immediately The SASP has responsibilities, under law and regulation, to be accountable for property and ensure compliant use of donated property 33 33

Yes, proposed plans and major amendments to existing plans require general notice to the public for comment. A State must publish a general notice of the plan or amendment at least 60 calendar days in advance of filing the proposal with GSA and provide interested parties at least 30 calendar days to submit comments before filing the proposal. Property does not, legally, transfer, in terms of title, to the donation recipient immediately The SASP has responsibilities, under law and regulation, to be accountable for property and ensure compliant use of donated property 34 34

What happens if a SASP does not operate in accordance with its plan? Property does not, legally, transfer, in terms of title, to the donation recipient immediately The SASP has responsibilities, under law and regulation, to be accountable for property and ensure compliant use of donated property 35 35

If a SASP does not operate in accordance with its plan, GSA may withhold allocation and transfer of surplus property until the nonconformance is corrected. Property does not, legally, transfer, in terms of title, to the donation recipient immediately The SASP has responsibilities, under law and regulation, to be accountable for property and ensure compliant use of donated property 36 36

Other Subjects for Discussion: State Agency Reviews TSA Property Fixed Priced Sales Vehicles Computers for Veterans Marketing Capitol Hill Efforts – Important Other – Web Site, etc. Property does not, legally, transfer, in terms of title, to the donation recipient immediately The SASP has responsibilities, under law and regulation, to be accountable for property and ensure compliant use of donated property 37 37

QUESTIONS? Scott E. Pepperman Executive Director NASASP National Association of State Agencies for Surplus Property, Inc. 5 Briarwood Court Mechanicsburg, Pennsylvania 17050 Telephone No. : 717-389-5100 Fax No: 717-795-7594 E-mail: ExecutiveDirector@nasasp.org Web site: www.nasasp.org 39