to any Federal legislation that provides the Community Services Administration with adequate authority.

§ 1050.130-5 Standard-real property.

(a) Title to real property shall vest in the grantee subject to the condition that the grantee shall use the real property for the authorized purpose of the project as long as it is required.

(b) The grantee shall obtain approval by the Community Services Administration for the use of real property in other projects when the grantee determines that the property is no longer required for the purpose of the original grant. Use in other projects shall be limited to those under other federally sponsored projects (i.e., grants or other agreements) or programs that have purposes consistent with those authorized for support by the Community Services Administration.

(c) When the real property is no longer needed as provided in § 1050.1305 (a) and (b) the grantee shall request disposition instructions from the appropriate administering office of the Community Services Administration. CSA shall apply the following rules in its disposition instructions:

(1) The grantee may be permitted to retain title after it compensates the Federal Government in an amount computed by applying the Federal percentage of participation in the cost of the original project to the fair market value of property.

(2) The grantee may be directed to sell the property under guidelines provided by the Community Services Administration and pay the Federal Government an amount computed by applying the Federal percentage of participation in the cost of the original project to the proceeds from sale (after deducting actual and reasonable selling and fix-up expenses, if any, from the sales proceeds).

(3) When the grantee is authorized or required to sell the property, proper sales procedures shall be established that provide for competiton to the extent practicable and result in the highest possible return.

(4) The grantee may be directed to transfer title to the property to the Federal Government provided that in such cases the grantee shall be entitled

to compensation computed by applying the grantee's percentage of participation in the cost of the program, or project to the current fair market value of the property.

personal

§ 1050.130-6 Standard-federally owned nonexpendable property.

(a) Title to federally-owned personal property remains vested in the Federal Government. Grantees shall submit an annual inventory listing of federallyowned property in their custody to the appropriate CSA Property Administrator. When the grant is completed, or when the property is no longer required, the grantee shall report the property to the appropriate CSA Property Administrator for further utilization or disposition.

(b) If CSA has no further need for the property it shall be declared excess and reported to the General Services Administration. Disposition instructions will be issued to the grantee after review by the appropriate CSA Property Administrator.

(a) When statutory authority exists, (e.g. Pub. L. 95-224, 41 U.S.C. 506b) title to nonexpendable personal property acquired with project funds, shall be vested in the grantee upon acquisition unless it is determined that to do so is not in compliance with the objectives of the Community Services Administration.

(b) When title is vested in the grantee, the grantee shall have no other obligation or accountability to the Federal Government for its use or disposition. The provisions of §1050.130–8(a)(1) apply.

[45 FR 53155, Aug. 11, 1980]

§ 1050.130-8 Standard-other nonexpendable property.

(a) When other nonexpendable tangible personal property is acquired by a grantee with project funds, title shall not be taken by the Federal Government but shall vest in the grantee, subject to the following conditions:

(1) Right to transfer title: For items of nonexpendable personal property having a unit acquisition cost of $1,000 or

more, CSA reserves the right to transfer the title to the Federal Government or a third party named by the Federal Government when such third party is otherwise eligible under existing statutes. Such reservation shall be subject to the following conditions:

(i) The property shall be appropriately identified in the grant or other agreement or otherwise made known to the grantee in writing.

(ii) The appropriate CSA Property Administrator shall issue disposition instructions to grantees within 120 calendar days after the end of the grant for which it was acquired. If disposition instructions are not issued within the 120 calendar day period, the grantee shall apply the standards of § 1050.130-8 (b) and (c) as appropriate.

(iii) When CSA exercises its right to take title, the personal property shall be subject to the provisions for federally-owned nonexpendable property discussed in § 1050.130-6.

(iv) When title is transferred either to the Community Services Administration or to a third party, the provisions of § 1050.130–8(c)(2)(B) of this part should be followed.

(b) Use of other tangible nonexpendable property for which the Grantee has title. (1) The grantee shall use the property in the project or program for which it was acquired as long as needed, whether or not the project or program continues to be supported by Federal funds. When no longer needed for the original project or program, the grantee shall use the property in connection with its other federally sponsored activities in the following priority:

(i) Activities sponsored by the Community Services Administration.

(ii) Activities sponsored by other Federal Agencies.

(2) Shared use. During the time that nonexempt nonexpendable personal property is held for use on the project or program for which it was acquired, the grantee shall make it available for use on other projects or programs if such other use will not interfere with the work on the project or program for which the property was originally acquired.

(1) First preference for such other use shall be given to other projects or pro

grams sponsored by the Community Services Administration.

(ii) Second preference shall be given to projects or programs sponsored by other Federal agencies. If the property is owned by the Federal Government, use on other activities not sponsored by the Federal Government shall be permissible if authorized by the Community Services Administration. User charges should be considered if appropriate.

(c) Disposition of other nonexpendable property. When a grantee no longer needs the property as provided in § 1060.130-8(b), the property may be used for other activities in accordance with the following conditions:

(1) Nonexpendable property with a unit acquisition cost of less than $1,000.00. The grantee may use the property for other activities without reimbursement to the Federal Government or sell the property and retain the proceeds.

(2) Nonexpendable personal property with a unit acquisition cost of $1,000.00 or more. (i) The grantee may retain the property for other uses provided that compensation is made to the Community Services Administration. The amount of compensation shall be computed by applying the percentage of Federal participation in the cost of the original project or program to the current fair market value of the property. If the grantee has no need for the property and the property has further use value, the grantee shall request disposition instructions from the appropriate CSA Property Administrator.

(ii) The Community Services Administration shall determine whether the property can be used to meet the agency's requirements. If no requirement exists within the agency, the availability of the property shall be reported to the General Services Administration by CSA to determine whether a requirement for the property exists in other Federal agencies. The Community Services Administration shall issue instructions to the grantee no later than 120 days after the grantee's request. The following procedures shall govern disposition under this paragraph (c)(2)(ii) and the preceding paragraph (c)(2)(i):

(A) If instructed, or if disposition instructions are not issued within 120

calendar days after the grantee's request, the grantee shall sell the property and reimburse the Community Services Administration in an amount computed by applying to the sales proceeds the percentage of Federal participation in the cost of the original project or program. The grantee shall be permitted to deduct and retain from the Federal share $100 or ten percent of the proceeds, whichever is greater for the grantee's selling and handling expenses.

(B) If the grantee is instructed to ship the property elsewhere, the grantee shall be reimbursed by the Federal agency which receives the property an amount which is computed by applying the percentage of the grantee's participation in the cost of the original grant project or program to the current fair market value of the property, plus any reasonable shipping or interim storage costs incurred.

(C) If the grantee is instructed to otherwise dispose of the property, the grantee shall be reimbursed by the Community Services Administration for such costs incurred in its disposition.

(d) Property management standards for nonexpendable property. The grantee's property management standards for nonexpendable personal property shall include the following procedural requirements:

(1) Property records shall be maintained accurately and shall include:

(i) A description of the property.

(ii) Manufacturer's serial number, model number, Federal stock number, national stock number, or other identification number.

(iii) Source of the property, including grant or other agreement number.

(iv) Whether title vests in the grantee or the Federal Government.

(v) Acquisition date (or date received, if the property was furnished by the Federal Government) and cost.

(vi) Percentage of CSA participation in the cost of the project or program for which the property was acquired. (Not applicable to property furnished by the Federal Government.)

(vii) Location, use and condition of the property and the date the information was reported.

(viii) Unit acquisition cost.

(ix) Ultimate disposition data, including date of disposal and sales price or the method used to determine current fair market value where a grantee compensates CSA for its share.

(2) Property owned by CSA must be marked to indicate Federal ownership.

(3) A physical inventory of property shall be taken and the results reconciled with the property records at least once every two years. Any differences between quantities determined by the physical inspection and those shown in the accounting records shall be investigated to determine the causes of the difference. The grantee shall, in connection with the inventory, verify the existence, current utilization, and continued need for the property.

(4) A control system shall be in effect to insure adequate safeguards to prevent loss, damage, or theft of the property. Any loss, damage, or theft of nonexpendable property shall be investigated and fully documented. If the property was owned by the Federal Government, the grantee shall promptly notify the appropriate CSA Property Administrator.

(5) Adequate maintenance procedures shall be implemented to keep the property in good condition.

(6) Where the grantee is authorized or required to sell the property, proper sales procedures shall be established which would provide for competition to the extent practicable and result in the highest possible return.

[45 FR 8299, Feb. 7, 1980; 45 FR 25064, Apr. 14, 1980; 45 FR 53156, Aug. 11, 1980]

§ 1050.130-9 Standard-expendable personal property.

Title to expendable personal property shall vest in the grantee upon acquisition. If there is a residual inventory of such property exceeding $1,000.00 in total aggregate fair market value, upon termination or completion of the grant other agreement, and the property is not needed for any other federally sponsored project or program, the grantee shall retain the property for use in nonfederally sponsored activities, or sell it, but must in either case, compensate the Federal Government for its share. The amount of compensation shall be computed in the same

§ 1050.130-10 Standard-intangible property.

(a) Inventions and patents. If any program produces patentable items, patent rights, processes, or inventions, in the course of work sponsored by the Federal Government, such fact shall be promptly and fully reported to CSA. Unless there is a prior agreement between the grantee and CSA on disposition of such items, CSA shall determine whether protection on the invention or discovery shall be sought. CSA will also determine how the rights in the invention or discovery including rights under any patent in the invention or discovery including right or issued thereon-shall be allocated and administered in order to protect the public interest consistent with "Government Patent Policy" (The President's Memorandum for Heads of Executive Departments and Agencies, August 23, 1971, and statement of Government Patent Policy as printed in 36 FR 16889).

(b) Copyrights. Except as otherwise provided in the terms and conditions of the agreement, the author or the grantee is free to copyright any books, publications, or other copyrightable materials developed in the course of or under a Federal agreement, but CSA shall a royalty-free, nonexclusive and irrevocable right to reproduce, publish, or otherwise use, and to authorize others to use, the work for Government purposes. §1050.130-11 Property acquisition.

reserve

(a) Acquisition policy and authorization (1) Excess Government Property. (i) 40 U.S.C. 483c provides that grantees may be authorized to acquire excess government property provided, that an amount equal to twenty-five percent of the original cost of the excess property be paid to the U. S. Treasury by CSA.

(ii) In order to acquire excess property the grantee must pay, by certified check or money order, an amount equal to twenty-five percent of the acquisition cost of the items received, made payable to the Community Services Administration. The check or money order must accompany the SF

122, Transfer Order Excess Personal Property.

(iii) The appropriate CSA Property Administrator must review and certify all Standard Form 122s and hold acquisition payment until property is received by the grantee. The grantee receiving property must notify the Property Administrator that the property has been received. The receipts and a signed copy of the SF 122 will then be transmitted to the Chief, Finance and Grants Management Division, Community Services Administration, 1200 19th Street, NW., Washington, DC 20506. The Finance and Grants Division will make payment to the Treasurer of the United States.

(iv) Title to excess property shall rest in the grantee.

(b) Surplus Government Property. 40 U.S.C. 484 also provides for donation of surplus property within the State.

(1) To any public agency for use in carrying out or promoting for the residents of a given political area one or more public purposes, such as conservation, economic development, education, parks and recreation, public health, and public safety. As used in this subpart the term public agency means any state political subdivision thereof including any unit of local government or economic development district or any department, agency, instrumentality thereof, including instrumentalities created by compact or other agreement between states or political subdivisions or any Indian tribe, band, group pueblo, or community located on a State reservation. Also the term State means the several States, the District of Columbia, the Commonwealth of Puerto Rico, Virgin Islands, Guam and American Samoa, or

(2) To nonprofit education or public health, institutions or organizations, i.e., medical institutions, hospitals, clinics, health centers, schools, colleges, universities, schools for the mentally retarded, schools for the physically handicapped, child care center, radio and television stations, museums attended by the public, and libraries serving free all residents of a community district, state, or region which are exempt from taxation under section 501 of the Internal Revenue Code of 1964, for purposes of education or public

health (including research for any such purpose).

(c) Authorization—(1) GSA excess property. (i) Upon funding of certain grants determined to be eligible for excess property, the appropriate CSA Property Administering office will issue the grantee a letter of authorization to obtain GSA excess property. A Screener's Identification Card, (GSA Form 2946) will also be issued to qualified nonFederal agency screeners grantee representatives to screen and select excess property. The Property Administrator will issue the Screener's Identification Card and will inform the screeners in its use. The Screening Card is valid only for the funding period of the grant and must be renewed if and whenever the grant is refunded.

(ii) A record of certified screeners must be maintained by the Property Administrator and the GSA Regional Office kept informed of the changes.

(iii) When the services of an approved non-Federal agency screener are discontinued, the Property Administrator will recover the GSA Form 2946 and forward it to the validating GSA Regional Office for cancellation.

(2) Surplus property. The grantee should contact the representative of the State Agency for surplus property in its state for eligibility application. The Property Administrator in the appropriate CSA administering office will assist. The State Agency for surplus property may assess a service charge for its assistance in acquiring surplus property. Grantees may use CSA grant funds to pay the service charge for surplus property only if it is for use in a CSA-funded program. Surplus property acquired through the state will be accounted for on the grantee's inventory records for CSA property.

(3) The appropriate CSA property Administrator will approve only those requests for excess government property (SF 122) which represents requirements for CSA-funded programs. Requests for property required in conjunction with other Federal or State agency programs will be returned without action.

[45 FR 8299, Feb. 7, 1980; 45 FR 25065, Apr. 14, 1980; 45 FR 53156, Aug. 11, 1980]

Subpart P-Procurement Standards

SOURCE: 45 FR 28137, Apr. 28, 1980, unless otherwise noted.

§ 1050.160-1 Applicability.

This subpart applies to all grants, delegate agency agreements, and other agreements to public and private organizations/agencies under titles II, IV, and VII of the Economic Opportunity Act of 1964, as amended, when such assistance is administered by the Community Services Administration.

§ 1050.160-2 References.

(a) OMB Circular A-110, Grants and Agreements With Institutions of Higher Education, Hospitals, and Other Nonprofit Organizations.

(b) Federal Management Circular 747 or OMB Circular A-102, Uniform Administrative Requirements for GrantsIn-Aid to State and Local Governments.

(c) 45 CFR Part 1050-Subpart 0, Property Management Standards (CSA Instruction 6800–15).

(d) Section 213 of the Economic Opportunity Act of 1964, as amended.

(e) Section 626 of the Economic Opportunity Act of 1964, as amended.