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LCD-79-321 1 (1979-09-12)

handle is hein.gao/gaobaazqr0001 and id is 1 raw text is: 
GAO             ~             -
United States General Accounting Office             Logistics and
Washington, DC 20548        tilll                   Communications

                            B15 ifluhluhl U         Division 0 o   z-
                                110332
                                                 SEPTEMBER 12,1979
 The Honorable R. G. Freeman III
 Administrator of General Services

 Dear Mr. Freeman:

      Sub3eco. Real Property Disposal Procedures and Controls
                ot Related Personal PropertyjNeed Improvement
                (LCD-79-321)

      We have reviewed the procedures for use and disposal of
 excess and surplus real property at the General Services
 Administration's (GSA's) regions 3, 7, and 10. We also re-
 viewed records and procedures at other Federal agencies to
 determine whether property had been properly accounted for.

      In regions 7 and 10, we found no significant weaknesses
 in real property disposal procedures, except for control of
 related personal property. But, in region 3, we found prob-
 lems in real property disposals, as well as in the control
 of related personal property.

      The results of our review are discussed in the enclo-
 sure. Our conclusions concerning the effectiveness of the
 disposal procedures are summarized below.

      In our opinion, the disposal of related personal prop-
 erty as part of a disposal of real property should be
 limited to those circumstances in which the Administrator
 of General Services has determined it to oe the highest and
 best use. Such a determination should be evidenced by the
 approval of both the Real and Personal Property Divisions.
 Several problems arise from GSA's lack of control of related
 personal property.

      First, excess related personal property is not reported
 to the appropriate GSA property division for inventory con-
 trol and reporting to other Federal agencies for screening
 of possible Government needs. Second, apparently much of
 the property GSA transfers to local organizations is not
 needed for their purposes. Third, the lack of accurate
 inventories of transferred related personal property and



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