The federal government owns almost $2 trillion of personal property assets, such as:
- Information technology
- Office furniture
- Scientific equipment
- Industrial machinery
- Other assets
What do agencies need to do?
The Federal Personal Property Management Act of 2018 (Public Law (P.L.) 115-419) requires agencies to:
- Establish capitalization and accountability thresholds
- Conduct annual inventories and assessments of capitalized personal property to identify items that are no longer needed and are excess
- Conduct inventories on a regular basis and assessments of accountable personal property to identify items that are no longer needed and are excess
Why do agencies need to do this?
Effective management of personal property prevents waste, fraud, and loss. To reduce waste, fraud, and loss, each agency must:
- Establish internal controls
- Follow policies and procedures
OMB Circular A-123, Management’s Responsibility for Enterprise Risk Management and Internal Control [PDF - 1 MB] explains how to establish internal controls.
What happens when agencies don’t manage their property?
When agencies do not efficiently inventory and dispose of excess personal property, they increase federal costs and waste the unused value of their personal property.
The Federal Personal Property Act of 2018 explains how agencies should manage:
Questions? Contact Ask Personal Property
U.S. General Services Administration