Equipment Disposal Methods
A department requesting to disposal of unneeded equipment must be aware of their responsibilities detailed in The Disposal Process FA103 FABweb Transfers & Disposals Lesson 2.1 (PDF) and must ensure that unneeded equipment is disposed in a timely manner according to policy and is not pilfered or used for private purposes or private gain.
For more information on disposals, see Section 12 Property Accounting of the Business and Financial Policies and Procedures manual. Equipment that is not owned by the State of Illinois cannot be disposed without the approval of the campus OBFS Grants and Contracts Office. If you have specific questions about these policies, contact UPAR by sending an e-mail to email@example.com.
Scrap & Surplus
Equipment that is no longer needed by a department may be classified as either scrap or surplus.
- Scrap - A piece of equipment is considered scrap if it does not work and is not usable. Unusable scrap equipment must be disposed of according to State of Illinois regulations. It may not be used for private benefit.
- Surplus - Unneeded equipment is considered surplus equipment if it is still functional. Surplus equipment may remain in the department's storage facilities, or it may be transferred to a campus redistribution warehouse with the approval of UPAR. If surplus equipment remains in a department's storage facilities for future use, the department property contact must update the corresponding Banner Fixed Asset record using FABweb to change the Condition code to N, to indicate that it is Not In Use.
Equipment Disposal Procedures
Any scrap or surplus equipment, regardless of its historical cost, tag status, or inclusion in Banner, must be reported to UPAR using FABweb. See FA103 FABweb Transfers & Disposals (PDF) before beginning this process.
Campus Specific Procedures - In addition to the general disposal procedures each University of Illinois campus has processes and information that are specific to that campus. Check Campus-Specific Disposal Procedures FA103 FABweb Transfers & Disposals Lesson 2.3 (PDF) by selecting the appropriate link.
Other Disposal Situations
There are additional situations when equipment must be disposed. For example, equipment stolen, traded-in or disposed without prior approval must also be reported to UPAR using FABweb. This initiates the removal of the equipment record from Banner. See Other Disposals and Presumed Disposals FA103 FABweb Transfers & Disposals Lesson 3 (PDF) for more information.
Before trading in a piece of equipment, units should check with UPAR to determine if there is another need for it at the University. See Other Disposals FA103 FABweb Transfers & Disposals Lesson 3.2: Trade-In (PDF) for more information.
- Antiques and works of art - Special rules apply to the disposal of antiques and works of art. These rules are administered by UPAR. If a department wants to dispose of an item that qualifies as an antique or work of art, they should initiate the disposal request in FABweb. Please see Antiques and Works of Art FA103 FABweb Transfers & Disposals Lesson 4.1 (PDF)
- Firearms - Whenever possible, a department should trade in firearms that are no longer needed for other firearms, provided that the vendor provides adequate documentation of acceptance of old weapon(s). Please see Firearms FA103 FABweb Transfers & Disposals Lesson 4.2 (PDF) for more details.
- Hazardous materials must be identified and addressed prior to inspection by the property inspector. Each University of Illinois campus has processes and information that are specific to that campus. Check Campus-Specific Disposal Procedures FA103 FABweb Transfers & Disposals Lesson 2.3 (PDF) by selecting the appropriate link.
Special Exemption Requests
Another special disposal case occurs if a department believes that it has a justifiable reason for disposing of equipment in a way which does not conform to State and University guidelines (such as donating equipment or selling it and retaining the proceeds). In these instances, the department can prepare a written request for exemption from the State Property Control Act.
To pursue a special exemption request, contact Jeff Weaver via e-mail to firstname.lastname@example.org or at the following address:
OBFS - University Property Accounting and Reporting, MC 597
111 E. Green St.
Champaign, IL 61820
Data Elimination from Computers
Public Act 93-0306 (7/03), Data Security on State Computers, Public Act 93-0306, effective July 23, 2003, Data Security on State Computers, mandates elimination of data from computer storage devices prior to disposal by State agencies, including the University. Data elimination requirements may also apply when transferring equipment to another institution, subject to the department head and the UPAR approval. Policies and guidelines for compliance with this act have been established by the University and may be viewed at the following Web sites:
The guidelines as set forth in the previously mentioned Web sites must be followed, in conjunction with existing University Property disposal policies and procedures of this section, before any unit can dispose of or transfer computer equipment.
For additional information on data elimination see Section 12, Property Accounting: Remove Data from Electronic Devices of the Business and Financial Policies and Procedures manual.
Individuals responsible for equipment management should complete the FABweb Transfers and Disposals FA103. See Accounting & Financial Reporting Training Materials section for information on other courses offered, find job aids, and other training materials.
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Last Updated: January 18, 2011