ACR 60149 – SPA Surplus Process Change
Sept. 1, 2017
House Bill 3438 moved responsibility for maintaining the ‘Advertise Surplus Property’ website from the Comptroller’s office to the Texas Facilities Commission (TFC).
In August 2015, TFC set up a State Surplus Property website for advertisement of surplus properties. At the same time, the Comptroller’s office implemented ACR 60136 providing a nightly automated file to TFC that lists assets agencies have placed in advertise surplus, disposal method 05.
TFC requested further changes to the SPA surplus and salvage process, policies and procedures to aid in improving the surplus process and in increasing TFC’s oversight ability for surplus assets.
This ACR implements the changes to the SPA surplus process as requested by TFC.
The SPA system will be modified to:
- Add new disposal methods 5R, 5C, 06, 33, 34, 35, 36 and 37 (See disposal method chart for descriptions.)
- No longer allow disposal methods 6a, 6b, 7a, 7b, 11, 12 and 13. Assets that exist in 11, 12 or 13 will remain as historical data.
- Update assets advertised as surplus (via PADGSC) from DM05 to DM06. Advertised assets will be sent on a nightly file to TFC. These assets cannot be updated by the agency until the asset has completed the surplus process or is released by TFC.
- Receive a file from TFC listing assets placed by TFC in the following disposal methods:
- 02 — Transfer to another agency
- 5R — Rejected from surplus process; correct and resubmit
- 5C — Pending agency disposal to only DM 08 (political subdivision), 09 (assistance organization) or 15 (TDCJ)
- 33 — Surplus asset sold to the public
- 34 — Surplus asset donated by TFC
- Create a new surplus process file that will list the TFC asset disposal transaction — PROD.SPA.AGY###.PROCESSG — to include assets updated or disposed of during the TFC surplus process. These transactions will have a G, for generated PASS, or F, for generated FAIL, in the pass/fail indicator. The PROCESSG file will have the same layout as the current PROCESS file.
- Include transactions submitted by TFC in the SPA200 report and CSV file.
- Add edits to allow assets in DM 5C to only be updated to disposal methods 08 (political subdivision), 09 (assistance organization) or 15 (TDCJ).
- Update DM 14 to be limited to the disposal of chairs (103) or firearms (class code 106 or 107) as allowed by law.
- Require VIN/serial number on new asset additions for assets using class codes for which TFC now requires the field.
- Require VIN/serial number on existing assets advertised for surplus when the VIN/serial is blank but is required by TFC.
- Remove the Order Reports (PARRPT) Screen. Due to being outdated, all reports on the PARRPT screen are being retired and will no longer be available. Users will instead use the daily generated SPA CSV reports.
Required Agency Action in SPA Before July 31, 2017
Assets that are currently in disposal codes 05, 6A, 6B, 7A and 7B must:
- Be updated to the appropriate final disposal code
- Be removed from the surplus process.
Affected agencies will receive an email with a listing of all assets that must be addressed. If an agency fails to take action by July 31, 2017, the remaining pending prior year assets will be updated to disposal method code 19 — missing/hold for deletion — and will require final disposal by the agency. Current year assets will be updated to disposal method 05.
Updated SPA Disposal Methods as of Sept. 1, 2017
There are four basic disposal elements used to indicate the various SPA disposal types:
|SG-TFC||System-Generated through TFC Surplus Process|
|SD||Soft Disposal; this property is not yet inactivated and is included in an agency’s balance until the soft disposal method is changed to a hard disposal method|
|HD||Hard Disposal; this property has been inactivated and excluded from the fiscal year-end balances used for the annual financial report|
The below table lists the disposal methods in SPA by method number, type and description:
Completed Transfer — A property transfer that has been accepted by the receiving agency.
Pending Transfer — A property transfer initiated by the sending agency or the TFC Surplus Process that has not yet been accepted by the receiving agency.
Dismantled for Parts or Salvage with No Value (trash) — Property that has been dismantled for parts or so damaged that it has no value and cannot be recycled or sold for scrap. This property is usually discarded as trash.
This does NOT include recyclables (including electronics), modular furniture, salvage/wrecked vehicles or scrap metal.
Surplus/Exempt Entities — Property of a state entity that exceeds the state agency’s needs, is not required for the foreseeable future, has additional useful life and has been designated by the agency as surplus.
Note: This disposal method is used by state entities exempt by law from the TFC surplus process.
Surplus/TFC Process — Property of a state entity that exceeds the state agency’s needs, is not required for the foreseeable future, has additional useful life or salvage value (including recyclables) and has been designated by the agency as surplus.
Note: This disposal method is used by state entities required to use the TFC surplus process.
Surplus/Rejected by TFC — Property that has been rejected by TFC for advertisement on the Advertise Surplus Property website. Reasons for rejection include, but are not limited to, incorrect VIN or incomplete asset information.
Also used for property that has been advertised as surplus in error.
|5C||SG-TFC/SD||Surplus/Pending Agency Disposal — Property that has completed the TFC advertisement and is now ready for final agency disposal with one of the following methods:
Surplus/Advertised by TFC — Property currently in the TFC Surplus Process. Property will remain in DM 06 until TFC notifies the Comptroller’s office that the asset has been transferred to another state entity, donated or sold to an assistance organization or political subdivision, sold to the public, has been accepted into the TFC surplus inventory or must be sent to the TDCJ computer recovery program.
Note: Property in this disposal method can only be updated by TFC. If the asset was entered as surplus property in error or needs to be updated, contact TFC to request the property be released with a DM 5R.
Surplus Property Donated or Sold to a Political Subdivision — Surplus property donated or sold to a political subdivision during the TFC Surplus process (i.e., a city, county, school district or volunteer fire department).
Note: Must have completed the TFC 10 business day advertisement. Must be in a DM 5C before being disposed with the DM 08.
Surplus Property Donated or Sold to a TFC Approved Assistance Organization — Surplus property donated or sold to an assistance organization during the TFC Advertise surplus process. See the TFC website for approved assistance organizations.
Note: Must have completed the TFC 10 business day advertisement. Must be in a DM 5C before being disposed with the DM 09.
Chair/Firearm Sold to State Official/Officer — Property sold directly to state officials or retired peace officers as allowed by law.
TDCJ Computer Recovery Program — Surplus Data Processing Equipment transported to the TDCJ Computer Recovery Program.
Note: This disposal method can only be used after the property has completed the TFC Surplus Process. Must be in a DM 5C before being disposed with the DM 15.
Disposal of Real Property — Land, buildings, infrastructure, facilities and/or other improvements (1) sold or donated (via legislation) to an entity external to the state or (2) involving demolition of buildings, infrastructure, facilities and/or other improvements.
Missing – Employee Negligence — Property reported as missing and the results of an investigation determined there was employee negligence. (Previously coded as DM 19)
Missing — Missing property that an agency 1) could not locate after a complete search and 2) determined that no employee negligence existed. (Previously coded as DM 19)
Note: If documentation shows the property has been missing for two years or more and it was never coded as DM 19, the asset can be directly disposed with DM 18.
Missing/Hold for Deletion — Missing property that an agency is actively searching for or conducting an investigation for. An asset may remain in this soft disposal code for a maximum of two years from the date it was first reported as missing. If the asset is not located within the two year limit, it must be updated to DM 17 or DM 18.
Stolen – Employee Negligence — Property reported as stolen, a police report was filed and the results of an investigation determined there was employee negligence.
Stolen — Property reported as stolen, a police report was filed and the results of an investigation determined there was no employee negligence.
Eleemosynary Donations Allowed by Law — Property donated to clients by qualifying agencies.
Trade-In — Surplus property used as a trade-in towards the purchase of a new property.
Construction In Progress (CIP) – Completed — CIP property (class code 090) that has been substantially completed and placed into service.
Leasehold Improvements — Leasehold improvements that are amortized in total.
Assets Held in Trust – Returned or Awarded — Property held in trust that has been returned to the owner or awarded to a state agency by a court.
Property Entered in Error — Property reported to SPA in error.
Property Damaged by Nature — Property damaged by an act of nature: hurricane, tornado, lightning, hail, etc.
Property Damaged by Accident — Property damaged by accident.
Example: A car accident where the insurance company totals the car and keeps it.
Property Damaged by Other — Property damaged by something other than an act of nature or accident.
Completed External Transfer — A property transfer that has been accepted by the receiving external university.
Pending External Transfer — A property transfer initiated by an internal sending agency but not yet accepted by the external receiving agency.
TFC Surplus Process Sale to Public — Property sold or auctioned to the public through the TFC Surplus Process.
TFC Donation — Property that is donated by TFC during the TFC surplus process.
TFC Authorized Sale or Donation — Property that is sold or donated by the agency outside of the surplus process with authorization from TFC.
Note: Agencies must contact TFC for authorization before using this disposal method.
Intangible Asset Disposal — An intangible asset that is no longer in use by the agency.
Non-Monetary Exchange — A non-monetary asset exchange with another entity.
SPA Screens Affected
- PAPADD will be modified to require SERIAL/VIN NO on entry of a new asset as required by class code.
- PADGSC will be modified to:
- Change screen name to Surplus Property Process.
- Remove the ITEM/LOT# and SALE/AUCTION# fields.
- Add SERIAL/VIN NO field.
- If not populated, require SERIAL/VIN NO on assets with specific class codes.
- PADLET will be modified to:
- Allow back out of DM 05, 5C and 5R by using spaces and pressing enter.
- Allow DM 5C to be changed to only 08, 09 or 15 or to be backed out.
- Disallow updates to a property in DM 06.
- Require proceeds from sale to be included on DM 04, 14, 16, 33 and 35.
- Remove proceeds from sale requirement from all other disposal methods.
- Require comment be included on DM 08, 09, 14, 16, 23, 24, 28, 29, 30, 35 and 37.
- This screen will be removed.
- This screen and all associated reports will be removed.
SPA Reports Affected
- All SPA CSV reports will be updated to include new disposal methods and exclude the retired disposal methods.
- All requestable reports on the SPA Order Reports (PARRPT) Screen are outdated and are being retired. Users will need to use the daily generated SPA Ad Hoc reports. See Daily Generation of SPA Ad Hoc Reports (FPP N.009) (login required).