Disposal of Unserviceable and Obsolete Items : Every institution may have evolved its own procedure for the same. Generally the following procedure is used for the disposal of unserviceable and obsolete items:
1. The Head of the Institution forms a Survey Committee for the disposal of unserviceable and obsolete items in a particular science department. The following may be the members of the Committee:
2. Head of the Department (Convenor of the Committee)
3. Administrative OfficerIFinance Officer of the Institution
4. One person having expert knowledge regarding the value of the articles to be disposed of.
The Survey Committee inspects the laboratory and prepares a list of unserviceable and obsolete items indicating the original cost price and reserve price. The reserve price is the minimum price at which the concerned item is to be sold. The Committee has to use its judgement in fixing the reserve price. For obsolete items which are functional, the reserve price may be fixed depending on its worth. In case of nonfunctional items, reserve price can be fixed on the basis of its scrap value. In extreme case, the Committee may recoinmend writing off the items, if the concerned item is of no commercial value and the reserve price is taken as zero.
The Committee prepares a report and forwards it to the Head of the Institution.
The Head of the Institution gives direction for the disposal of the material through open sale or auction.
The steps are taken for open sale or auction.
Necessary entries are made in the stock register.