[Code of Federal Regulations]

[Title 32, Volume 1]

[Revised as of July 1, 2006]

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

[CITE: 32CFR32.35]



[Page 165]

 

                       TITLE 32--NATIONAL DEFENSE

 

              CHAPTER I--OFFICE OF THE SECRETARY OF DEFENSE

 

PART 32_ADMINISTRATIVE REQUIREMENTS FOR GRANTS AND AGREEMENTS WITH 

INSTITUTIONS OF HIGHER EDUCATION, HOSPITALS, AND OTHER NON-PROFIT 

ORGANIZATIONS--Table of Contents

 

                    Subpart C_Post-Award Requirements

 

Sec.  32.35  Supplies.



    (a) Title to supplies shall vest in the recipient upon acquisition. 

If there is a residual inventory of unused supplies exceeding $5,000 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 shall retain the supplies 

for use on non-Federal sponsored activities or sell them, but shall, in 

either case, compensate the Federal Government for its share. The amount 

of compensation shall be computed in the same manner as for equipment.

    (b) The recipient shall 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.