B6.26 - Approve Disposal of Obsolete Tangible and Intangible Personal Property (Financial Services Division)
Disposal will be by auction to the highest bidder, or by salvaging. Tangible and intangible personal property requested for removal from the property records no longer serves a district purpose, is nonfunctional (obsolete), damaged beyond economical repair, or harvested for parts. The District has been awarded a grant by the Environmental Protection Agency to fully fund the replacement of ten buses that no longer meet current emission standards. A requirement of the grant is that ten non-compliant buses must be removed from service and disposed in a manner as to ensure that no part of the bus can be re-utilized and returned to the road.
Generally Accepted Accounting Principles require that assets, which are nonfunctional or damaged beyond economical repair, be removed from the property records. State Statute 274.05, 274.06, and 274.07 states the governmental unit shall have discretion to classify property as surplus and with consideration of what is in the best interests of the district, may lawfully dispose of it. The authority for disposal shall be recorded in the governmental unit’s minutes.
This information had previously been presented quarterly and helps our team document where training or paperwork is needed.
The Board to approve the disposal of obsolete tangible and intangible personal property.
* Establish a strong foundation of financial stewardship
For the Board to approve the disposal of obsolete tangible and intangible personal property.
Jeffrey A. Robison, Property Control Manager, jeff.robison@sdhc.k12.fl.us, (813) 744-8874
There are zero additional costs to the district. The Fixed Assets Master File will be reduced by $0.00, which is the net book value of the assets. Governmental agencies, per Government Accounting Standards Board Statement 34, are required to utilize depreciation in reporting net assets. All proceeds received from the auction will be deposited into the appropriate funding source.