1/11/91
OPR: Admin/Facilities and Management Services
1. Purpose. This chapter establishes policies and procedures for the sale of surplus personal property to Federal employees. As used in this chapter, the term "Federal or Government employee," includes the spouse and children of the employee.
2. Policy. Surplus personal property may be sold to Federal employees only in conjunction with publicly advertised sealed bids or public auction sales methods, governed by the requirements specified in SM 408.11.3. USGS employees shall have the same prerogatives to purchase surplus personal property as other Federal or Departmental employees, subject to the provisions of this chapter.
3. Requirements. While not unlawful, sales of surplus personal property to Federal employees tend to give rise to the question in the public mind as to whether all prospective bidders are really on equal footing. What is feared is not so much collusion or overtly dishonest practices, as that the Federal employee, through his/her prior use of the property, or close associations with those familiar with the property, is in a more advantageous position in making a bid than a member of the general public. Therefore, all sales of surplus personal property within the Department will be subject to the following requirements (IPMR 114-45.3):
A. Eligibility. Subject to the provisions contained in this chapter, USGS employees will be eligible to bid only on:
(1) Such surplus property that was reported to the GSA as excess and found to be surplus by the agency, without regard to whether the sale is conducted by GSA or by USGS.
(2) Motor vehicles and other personal property being sold for replacement purposes pursuant to the Exchange/Sale authority (41 CFR 101 45), provided that such property meets prescribed replacement standards.
B. Method of Sale. Surplus personal property may be sold to USGS employees only at publicly advertised sealed bid or public auction sales. Notices of public auction and Invitation to Bid will state the extent to which Federal employees are eligible to bid and will provide that any Federal employee submitting a bid identify himself/herself, organization and position.
C. Restrictions. To reduce the possibility of unfavorable circumstances in bidding through access to information which is not available to all prospective bidders, an award may not be made to a Federal employee under the following conditions:
(1) When the employee of the holding bureau is a member of a Board of Survey which is considering the disposition of the property and making the determination that it is no longer needed, or is connected directly with any aspect of the sale.
(2) When the employee whose past association with the property has been such that the employee might reasonably be considered to be bidding from an advantageous position.