[Code of Federal Regulations]

[Title 41, Volume 2]

[Revised as of July 1, 2005]

From the U.S. Government Printing Office via GPO Access

[CITE: 41CFR101-27.103]



[Page 118-119]

 

           TITLE 41--PUBLIC CONTRACTS AND PROPERTY MANAGEMENT

 

          CHAPTER 101--FEDERAL PROPERTY MANAGEMENT REGULATIONS

 

PART 101-27_INVENTORY MANAGEMENT--Table of Contents

 

                  Subpart 101-27.1_Stock Replenishment

 

Sec. 101-27.103  Acquisition of excess property.



    Except for inventories eligible for return to GSA for credit 

pursuant to the



[[Page 119]]



provisions of Sec. 101-27.501 and for inventories for which an economic 

retention limit has been established in accordance with the provisions 

of subpart 101-27.3 of this part, inventory levels may be adjusted 

upward when items of stock are to be acquired from excess sources. Such 

adjustments should be tempered by caution and arrived at after careful 

consideration. Generally, acquisitions of items for inventory from 

excess sources shall not exceed a 2-year supply except when:

    (a) A greater quantity is needed to meet known requirements for an 

authorized planned program.

    (b) The item is not available without special manufacture and a 

predictable requirement exists.

    (c) Administrative determination has been made that in application 

of the EOQ principle of stock replenishment within an agency an 

inventory level in excess of 2 years is appropriate for low dollar-

volume items.

    (d) The items are being transferred into authorized stock funds for 

resale to other Government agencies.



[34 FR 200, Jan. 7, 1969, as amended at 41 FR 3858, Jan. 27, 1976]