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  • Question

    Can I have the user transfer the radios to my Product Office, pick the radios up on my DPAS account, and issue them as consumable GFE to the contractor


    Answer

    Accountability of the radios can be transferred to your Product Office from the User’s Accountable Property Officer (APO) for the purpose exchanging them in return for credit toward the purchase of new radios.  Such an exchange or sale is allowable under 40 U.S.C. 503 and the Federal Management Regulation (FMR) Exchange/Sale Authority. The Exchange/Sales Authority allows an executive agency (any executive department or independent establishment in the executive branch of the Government, such as the Department of Defense) to exchange similar items of personal property and apply the credit or sales proceeds to the property acquired. Details of the Exchange/Sale Authority are in Part 102-39—Replacement of Personal Property Pursuant to the Exchange/Sale Authority of the FMR. Part 102-39 identifies considerations to be taken prior to applying the Exchange/Sale Authority as well as restrictions, when use is prohibited, exchange methods and reporting requirements. We suggest that you read FMR Part 102-39 in its entirety. Since there is not a contract in place and the Government is making a direct purchase from the original equipment manufacturer, the old radios would not be provided as Government-furnished property. Instead, select the most appropriate of the nine Asset Disposition Types from the Defense Property Accountability System (DPAS). "Sales” may be the most appropriate disposition type. If you are unsure about which disposition type to use, you should seek direction from your Component Property Lead.

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