| Topic: | Financial and Operations |
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| Approval Date: | June 25, 2007 |
| Effective Date: | June 25, 2007 |
| Last Revised: | April 8, 2024 |
1. Purpose
The purpose of this Procedure is to outline the process for disposing of equipment, furnishings, and other assets (excluding real estate or other interests in land) that are no longer of use to a University department or operating unit. When an asset is approved for disposal, the University shall make every effort to mitigate the environmental impact of its disposal
2. Scope and Application
2.1 This Procedure applies to all employees of the University that support the delivery of teaching, research, and services.
2.2 This Procedure should be read in conjunction with the University’s associated policies, procedures, guidelines, applicable collective agreement provisions and any relevant and applicable legislation, and any other policy that may become applicable and/or relevant.
3. Definitions
For the purposes of this Procedure, the terms
3.1 “Surplus asset” means any asset (other than real estate) that is no longer of use to a University department, faculty, or other operating unit which has reached its maximum use for reasons such as, but not limited to obsolescence or being beyond economical repair.
3.2 “Not in working condition” means the item is deficient to the point where the item no longer functions or operates as it was originally intended and is beyond reasonable efforts/costs to repair.
3.3 “Obsolete” means any asset that is no longer in production by the manufacturer or is out of date with current market technologies.
3.4 “Market value” means the current value of an asset as assessed by York University using relevant assessment tools.
4. Roles and Responsibilities
4.1 The Vice-President Finance and Administration will be responsible for the implementation of this procedure.
4.2 The Director, Strategic Procurement Services will be responsible for receiving, assessing, and approving surplus asset disposal form submissions. The Director, Strategic Procurement shall have sole and final authority on the method of asset disposal and shall inform relevant departments as required in the procedure below.
4.3 The Director, Risk Management Services will be responsible for updating valuation assets and shall inform the University’s insurer where appropriate.
4.4 The Manager of Financial Reporting shall provide a netbook valuation of the surplus asset where appropriate.
5. Procedures
5.1 Declaring an Asset to be Surplus
a) A University department shall advise the Director, Strategic Procurement Services (Finance Department) of any property that is no longer of use to the department, by submitting the Surplus Asset Declaration for. Upon submission, the Director, Strategic Procurement Services, as the designate of the Vice-President Finance and Administration, shall declare the item as surplus.
b) A University department shall declare items as “not in working condition” or “obsolete” in consultation with the Director, Strategic Procurement Services. In cases where the item is not in working condition, the requesting University department shall coordinate the transfer of such items to the Department of Facilities Services by submitting a service request for appropriate disposal. Facilities Services shall pay particular attention to minimize the environmental impact of its disposal and shall look to avoid sending items to a landfill wherever possible. Costs related to the disposal of items are the responsibility of the department disposing of the surplus asset.
c) Where there is a potential market value for a surplus asset and a new and/or replacement asset is being purchased, the Director, Strategic Procurement Services may pursue a trade-in to improve the purchase price point. The process of arranging a trade-in shall be managed by the Director Strategic Procurement Services at the time of requesting quotes from prospective suppliers.
d) Prior to declaring computer hardware and software surplus, the department making the request must ensure that the destruction of University information resources follow the minimum appropriate practices for each of the University’s Information Security Classification Categories.
e) Upon the declaration of surplus status of an asset with an original value in excess of $100,000, the Director of Strategic Procurement shall advise the Director, Risk Management Services to arrange the adjustment of the asset valuation with the University’s insurer. Where necessary, the Manager, Financial Reporting and Systems shall provide a netbook valuation of the surplus asset.
f) As determined by the Director, Strategic Procurement Services, the surplus assets may be offered for: transfer to other departments of the University, sale or trade-in to third parties, or may otherwise be disposed of, in accordance with these procedures.
5.2 Transfer of Surplus Assets
a) Surplus assets for offer to other University departments shall be notified via email of a notice of surplus. Departments wanting items shall apply in writing to the Director, Strategic Procurement Services.
b) Surplus assets shall be re-allocated to the department which responds in writing, to the Director, Strategic Procurement Services on a first come first serve basis.
c) The costs of the transfer of items between internal departments (including physical relocation costs) shall be borne by the receiver of the surplus assets unless otherwise agreed to by the parties.
5.3 Disposition of Surplus Assets
a) Where there is no internal demand for a declared surplus asset, Strategic Procurement Services shall attempt to sell the items in a manner deemed appropriate by Strategic Procurement Services.
b) Items with no market value, as determined by the Director, Strategic Procurement Services, may be donated “as is, where is” to a non-profit organization, either by Strategic Procurement Services or by the originating department in consultation and written approval from the Director, Strategic Procurement Services.
c) Where financial recovery and/or donation are not possible, Strategic Procurement Services shall provide written approval to the requesting department to dispose of the surplus asset.
d) Strategic Procurement Services will reasonably ensure the chain of custody for items that are sold at public auction or donated to non-profit organizations.
6. Review
This procedure will be reviewed every 5 years at a minimum. During the review, the procedure will remain in full force and effect
| Legislative History: | Issued pursuant to the University Policy on Surplus Asset Disposal. Replaces the Procedure on Disposal of Surplus Furnishings and Equipment 1996/02/12. Approved by the Vice-President Finance and Administration 2007/06/25; Revised April 2024 |
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| Date of Next Review: | 2029 |
| Related Policies, Procedures and Guidelines: |
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