Acquisition Cost: The cost to acquire a tangible capital asset including the purchase price of the asset and the cost necessary to prepare the asset for use. Costs necessary to prepare the asset for use include the cost of placing the asset in location and bringing the asset to a condition necessary for normal or expected use.
Cannibalize: Remove parts from Government property for use or for installation on other Government property.
Consumable items: Material that will be expended within a year and will not be capitalized regardless of the purchase amount.
Contractor-Acquired Property: Property acquired, fabricated, or otherwise provided by the contractor for performing a contract, and to which the Government has title.
Contractor Inventory: (1) Any property acquired by and in the possession of a contractor or subcontractor under a contract for which title is vested in the Government and which exceeds the amounts needed to complete full performance under the entire contract; (2) Any property that the Government is obligated or has the option to take over under any type of contract, e.g., as a result either of any changes in the specifications or plans there under or of the termination of the contract (or subcontract there under), before completion of the work, for the convenience or at the option of the Government; and (3) Government-furnished property that exceeds the amounts needed to complete full performance under the entire contract.
Discrepancies Incident to Shipment: Any differences (e.g., count or condition) between the items documented to have been shipped and items actually received.
Equipment: A tangible item that is functionally complete for its intended purpose, durable, non-expendable, and needed for the performance of a contract. Equipment is not intended for sale, and does not ordinarily lose its identity or become a component part of another article when put into use. Equipment does not include material, real property, special test equipment or special tooling.
Government-Furnished Property: Property in the possession of, or directly acquired by, the Government and subsequently furnished to the contractor for performance of a contract. Government-furnished property includes, but is not limited to, spares and property furnished for repair, maintenance, overhaul, or modification. Government-furnished property also includes contractor-acquired property if the contractor-acquired property is a deliverable under a cost contract when accepted by the Government for continued use under the contract.
Government Property: All property owned or leased by the Government. Government property includes both Government-furnished and contractor-acquired property. Government property includes material, equipment, special tooling, special test equipment, and real property. Government property does not include intellectual property and software.
Loss of Government Property: The unintended, unforeseen or accidental loss, damage, or destruction of Government property that reduces the Government’s expected economic benefits of the property. Loss of Government property does not include purposeful destructive testing, obsolescence, normal wear and tear or manufacturing defects. Loss of Government property includes, but is not limited to (1) Items that cannot be found after a reasonable search; (2) Theft; (3) Damage resulting in unexpected harm to property requiring repair to restore the item to usable condition; or (4) Destruction resulting from incidents that render the item useless for its intended purpose or beyond economical repair.
Material: Property that may be consumed or expended during the performance of a contract, component parts of a higher assembly, or items that lose their individual identity through incorporation into an end-item. Material does not include equipment, special tooling and test equipment, or real property. It includes property that may be incorporated into, or attached to, a deliverable end item.
Physical Inventory: The process of physically locating and counting property and comparing it to inventory records.
Plant Clearance: Office of Naval Research engineering and System Review Branch or Property Administrator at ONR.
Precious Metal: Silver, gold, platinum, palladium, iridium, osmium, rhodium, and ruthenium.
Property: All tangible property, both real and personal.
Property Administrator: An authorized representative of the Contracting Officer appointed with agency procedures, responsible for administering the contract requirements and obligations relating to Government-owned property in the possession of the contractor.
Property Records: The records created and maintained by the contractor in support of its stewardship responsibilities for the management of Government property.
Provide: To furnish, as in Government-furnished property, or to acquire, as in contractor-acquired property.
Real Property: Land and rights in land, ground improvements, utility distribution systems, and buildings and other structures. It does not include foundations and other work necessary for installing special tooling, special test equipment, or plant equipment. See Federal Management Regulation 102-71.20 (41 CFR 102-71.20).
Sensitive property: Property potentially dangerous to the public safety or security if stolen, lost, or misplaced, or that shall be subject to exceptional physical security, protection, control, and accountability. Examples include weapons, ammunition, explosives, controlled substances, radioactive materials, hazardous materials or wastes, or precious metals.
Scrap: Property in condition that it has no reasonable prospect of being sold except for its material content.
Storage: Storage of Government property so as to properly account for its use. Items should be protected from pilferage and/or damage by the elements.
Surplus property: Excess personal property not required by any Federal agency. See Federal Management Regulation - Part 102-36—Disposition of Excess Personal Property (https://www.gsa.gov/policy-regulations/regulations/federal-management-regulation-fmr/i462712).
*Unique-Item Identifier (as of 9/23/2015, the IUID system is not active): A system of marking items delivered to DoD with unique item identifiers that have machine-readable data elements to distinguish an item from all other like and unlike items. *Note: As of 9/23/2015, the UID system is not available for UNM.
Unit acquisition cost means: For Government-furnished property, the dollar value assigned by the Government and identified in the contract; and for contractor-acquired property, the cost derived from the Contractor’s records that reflect consistently applied generally accepted accounting principles.