[Code of Federal Regulations]
[Title 20, Volume 2]
[Revised as of April 1, 2004]
From the U.S. Government Printing Office via GPO Access
[CITE: 20CFR435.35]

[Page 1120-1121]
 
                      TITLE 20--EMPLOYEES' BENEFITS
 
               CHAPTER III--SOCIAL SECURITY ADMINISTRATION
 
  PART 435_UNIFORM ADMINISTRATIVE REQUIREMENTS FOR GRANTS AND AGREEMENTS 
 
                    Subpart C_Post-Award Requirements
 
Sec. 435.35  Supplies and other expendable property.

    (a) Title to supplies and other expendable property will vest in the 
recipient upon acquisition. If there is a residual inventory of unused 
supplies

[[Page 1121]]

exceeding $5000 in total aggregate value upon termination or completion 
of the project or program and the supplies are not needed for any other 
federally-sponsored project or program, the recipient may retain the 
supplies for use on non-Federal sponsored activities or sell them, but 
must, in either case, compensate the Federal Government for its share. 
The amount of compensation will be computed in the same manner as for 
equipment.
    (b) The recipient may not use supplies acquired with Federal funds 
to provide services to non-Federal outside organizations for a fee that 
is less than private companies charge for equivalent services, unless 
specifically authorized by Federal statute as long as the Federal 
Government retains an interest in the supplies.