Virginia Administrative Code › Title 1 - ADMINISTRATION › Agency 30 - DEPARTMENT OF GENERAL SERVICES › Chapter 120 - FEDERAL PROPERTY AND ADMINISTRATIVE SERVICES ACT OF 1949, AS AMENDED › Section 1VAC30-120-50 - Financing and service charges

Current through Register Vol. 40, No. 24, July 15, 2024
A.
				Policy statement. The Virginia Federal Property Agency is classified as a
				Special Fund activity and the Agency Manager is responsible for the management
				of the fund. There are no appropriations and service charges are the principle
				source of revenue to cover the costs of operation. Sales/compliance proceeds,
				transportation services, and gifts may produce additional revenue. Service
				charges are assessed for all property transactions and services. It is the
				policy of the agency that service charges shall be fair, equitable, and
				minimal, but established to maintain a financially sound agency. All operating
				costs are included in this Special Fund activity including but not limited to
				all employee costs, screening, transportation, maintenance, utilities,
				administration and accounting, supplies, equipment, packing and handling,
				compliance and utilization, insurance, fund operation, capital maintenance, and
				outlay.
B. Factors in establishing
				charges. To establish item service charges a number of factors are used.
				Included are circumstances of expenses and revenues, property acquisition cost,
				condition and usability, general or special availability, need, demand,
				accumulated use experiences, storage and display, administrative and screening,
				freight and deliveries. Additional factors pertain to current expenses,
				property repair or reutilization, special packing and handling, disposal, and
				compliance and utilization services.
C. Method of establishing charges.
1. Section 2.2-1123 of the Code of Virginia
				provides that the division may collect service charges sufficient to defray the
				costs of carrying out this program. The policies, factors, and item acquisition
				costs covered in of this section determine charges assessed. Any period of time
				may result in fluctuations in the amount of property received, acquisition
				costs, and economic changes and status. Adjustments to variable changes are
				necessary to revise service charges. The total of the service charges for all
				property donated by the agency during any given fiscal year shall not exceed
				20% of the original government acquisition cost of the property during that
				year.
General Guide for Item Service Charges
Charge Percentage of Acquisition Cost
Acquisition Cost
0-35
$0-3,000
0-30
3,001-10,000
0-25
10,001-above
2.
				Factors given in subsections A, B, and C of this section account for the
				service charge rates.
3. Unusual or
				additional expenses will be added to the usual service charges and may include,
				but not limited to, property rehabilitation, overseas property returns, unusual
				transportation, and special handling or extraordinary charges.
4. The computation guide for computing
				service charges will be reviewed periodically, which may be as frequently as
				each month, to evaluate the income-expense status. When warranted, changes in
				the guide will be made to conform to the provisions in the FMR
				102-37.275.