Internal Policy and Procedures
Disposal of Surplus Property Through Trade-in or Offer to Sell
POLICY:Purchasing Services has the SOLE authority to dispose of surplus UW-Madison property (refer to PPP 18) with the exception of vehicles that are titled and licensed (refer to PPP 17).
Purchasing Services is responsible for the disposal of surplus property for a fair market value and for the benefit of UW-Madison in a timely manner. Surplus With A Purpose (SWAP) is a department within Purchasing Services.
Priority of sale is:
1. UW-Madison departments and Wisconsin State Agencies or non-profit organization exempt from sales tax. (UW-Madison Departments have first preference)
2. General public.
Items may enter the disposal process in the following ways:
1. A Surplus Property Evaluation Form should be completed when a requisition references a trade-in. The information required on the Surplus Property Evaluation Form is to be obtained by the agent if it has not been provided by the department.
2. Department contacts SWAP to advise them they have item(s) for disposal. A Surplus Property Pick Up Request Form is always completed when the department contacts SWAP for disposal of items.
3. SWAP is advised of equipment available for disposal through the Surplus Pick Up Request Form from the respective department.
3.1 SWAP will consult with the respective department on how best
to dispose of items.
3.2 SWAP will assign a control number for pick-up and start the pick-up process.
3.3 SWAP posts item(s) on SWAP Web site.
3.4 If equipment is not sold at the SWAP Shop, appropriate disposal procedures will be followed.
1. Agent will process OTS (Offer To Sell) if a requisition references a trade-in for an item or equipment. SWAP will process an OTS for outright disposal of items and/or equipment.
1.1 Complete "Incoming Request for Offer to Sell".
1.2 Determine an appropriate buyer list (complete with fax numbers) from department staff, SWAP, established potential buyer list(s), web searches, INDUSTRIAL MARKETPLACE directory, or any other secondary market brokers reference documents.
1.3 Request OTS return within five working days (or longer at the agent's discretion) on the street if faxed, or minimum of 10 working days if mail out is required.
1.4 Notify SWAP of OTS number and due date for SWAP Web site.
1.5 SWAP posts OTS to the General Public.
2. Bid Processing will prepare OTS, including standard terms and conditions, for agent approval and distribution.
3. Agent will open OTS on due date and send to Bid Processing for abstracting.
3.1 If no offers are received:
3.1.1 Agent will work with the department to determine the next
step. Additional Offers to Sell will be done at the agents' discretion.
3.1.2 Department may decide to keep the item(s)
3.1.3 Department can turn the item(s) over to SWAP for disposal.
3.2. If offers are received agent will:
3.2.1 Review abstract, analyze offers, determine winning offer
and notify department.
3.2.2 Notify winning buyer(s) by completing, faxing or mailing Equipment Purchase Agreement Form.
3.2.3 Return OTS to bid processing pending payment.
4. Bid processing will return to agent after the tickle date. Agent will:
4.1 Follow-up with SWAP to determine status.
4.2 Follow-up with buyer if the payment has not been received.
5. SWAP will:
5.1 Receive payment and signed agreement.
5.2 Notify buyer, agent and department (if equipment not at SWAP) of receipt of payment and give approval for pick up of surplus item(s).
5.3 Remove item(s) from Property Control inventory program.
6. SWAP Accountant will:
6.1 Deposit payment and apply appropriate credit.
6.2 Return signed Equipment Purchase Agreement (EPA) with notation of payment and credit to be filed in OTS jacket.
PPP 17, Vehicles, Purchase/Lease, New/Used, Replacement and Disposal
PPP 18, Disposal of Surplus University Property
IPP 10, Fair Price Analysis
IPP 49, Trade-Ins
PRO-F-3, Surplus Property Disposal -- Non-vehicles