The Federal Surplus Property Donation program enables certain nonfederal organizations to obtain property the Federal Government no longer needs. The Missouri State Agency for Surplus Property (MOSASP) obtains this surplus property from the Federal Government and donates it to eligible entities for a service charge. Eligible entities include:
- Public agencies (State Agencies, cities, counties, schools, fire protection districts, ambulance districts, etc.).
- Not-for-profit educational and public health activities (these must be licensed or accredited by a recognized authority).
- Agencies that primarily serve the homeless.
- Agencies that provide assistance to the needy.
- Agencies that receive funds from the Older Americans Act.
To become eligible, forms must be completed by the chief administrative officer or executive head of the agency and MOSASP must make an eligibility determination. Once an agency is approved to receive property, the agency is called a donee. At that point, authorized representatives can visit the MOSASP facility and select property needed by the donee. Property is received on a daily basis so the inventory changes continuously.
Service Educational Activities
Service Educational Activities (SEAs) are eligible to receive Department of Defense (DOD) property. Although their eligibility is determined by DOD, they should contact MOSASP for requirements. Property obtained by the SEA can only be used in their eligible program, and must be put into use within one year of receipt and used for at least one year.
Small Business Administration Participants
Participants in the Small Business Administration's (SBA's) 8(a) Business Development Program may be eligible to receive surplus property. The SBA will be responsible for determining eligibility and enforcing compliance.
To request property that is needed but not currently available, donees can place their name and the needed item on the want list. When the property is received, staff will call and notify the donee that it is available.
Return of Property
- If at any time during the period of restriction, the property is no longer suitable, usable, or further needed by the donee, the donee must return the property to MOSASP.
- If property cannot be used and is returned within 30 days from receipt, full credit will be given. If property is returned between 30 days and 60 days from receipt, half credit will be given. After 60 days, no credit will be given.
The Federal government requires that MOSASP place restrictions on property transferred through the donation program. Title to the property does not pass to the donee until it has been used for the period of restriction. A summary of these restrictions is as follows:
- Property can only be used by the eligible donee.
- Property obtained must be put into use within one year of receipt and remain in use for at least one year.
- Passenger motor vehicles and items with an original acquisition cost of $5,000 or more must be used for a minimum period of 18 months.
- Gas masks, body armor, aircraft, vessels, and foreign gifts have an additional period of restriction.
- Personal use, unauthorized sale, disposal, cannibalization or destruction of property during the restriction period is considered noncompliance.
- Property cannot be stored at a personal residence without the prior written approval of MOSASP.
MOSASP is required to verify compliance with the regulations. This is done by mailing utilization report forms and by making random unannounced compliance visits. During the compliance visits, we ask to see the property in use.
State Surplus Property
In addition to the federal donation program, MOSASP operates the State surplus property program. This provides an opportunity for the same donees to obtain surplus property from state agencies. State surplus property must be obtained for use by the eligible donee.
Fixed Price Vehicle Program
Under the fixed price program, MOSASP purchases vehicles from the Federal Government. These vehicles are then resold to eligible donees. The vehicles are typically lower mileage and later model year than those found through the donation program. These vehicles must be obtained for use by the eligible donee.