16C.23 SURPLUS PROPERTY ACQUISITION, DISTRIBUTION, AND DISPOSAL.
Subdivision 1. Definitions.
"Governmental unit or nonprofit organization" means a
governmental unit as defined in section
471.59, subdivision 1
, an Indian tribal government, and
any nonprofit and tax-exempt medical institution, hospital, clinic, health center, school, school
system, college, university, or other institution organized and existing for any purpose authorized
by federal law to accept surplus federal property.
Subd. 2. Surplus property.
"Surplus property" means state or federal commodities,
equipment, materials, supplies, books, printed matter, buildings, and other personal or real
property that is obsolete, unused, not needed for a public purpose, or ineffective for current use.
Subd. 3. Authorization.
(a) The commissioner is the state agency designated to transfer,
purchase, accept, sell, or dispose of surplus property for the state and for the benefit of any other
governmental unit or nonprofit organization for any purpose authorized by state and federal
law and in accordance with state and federal rules and regulations. Any governmental unit or
nonprofit organization may designate the commissioner to purchase or accept surplus property
for it upon mutually agreeable terms and conditions. The commissioner may acquire, accept,
warehouse, and distribute surplus property and charge a fee to cover any expenses incurred in
connection with any of these acts.
(b) Federal surplus property that has been transferred to the state for donation to public
agencies and nonprofit organizations must be transferred or sold in accordance with the
plan developed under paragraph (c). Expenses incurred in connection with the acquisition,
warehousing, distribution, and disposal of federal surplus property must be paid from the surplus
services revolving fund. Proceeds of sales, minus any expenses, must be deposited in the surplus
services revolving fund.
(c) The commissioner shall develop a detailed plan for disposal of donated federal property
in conformance with state law and federal regulations. The plan must be submitted to the governor
for certification and submission to the federal administrator of general services.
(d) The commissioner, after consultation with one or more nonprofit organizations with an
interest in providing housing for homeless veterans and their families, may acquire property
from the United States government that is designated by the General Services Administration as
surplus property. The commissioner may lease the property to a qualified nonprofit organization
that agrees to develop or rehabilitate the property for the purpose of providing suitable housing
for veterans and their families. The lease agreement with the nonprofit organization may require
that the property be developed for use as housing for homeless and displaced veterans and their
families and for veterans and their families who lose their housing.
Subd. 4. Deposit of receipts.
The surplus services revolving fund is a separate fund in the
state treasury. All money resulting from the acquisition, acceptance, warehousing, distribution,
and public sale of surplus property, must be deposited in the fund. Money paid into the surplus
services revolving fund is appropriated to the commissioner for the purposes of the programs and
services referred to in this section.
Subd. 5. Transfer or sale.
(a) When the state or an agency operating under a legislative
appropriation obtains surplus property from the commissioner, the commissioner of finance
must, at the commissioner's request, transfer the cost of the surplus property, including any
expenses of acquiring, accepting, warehousing, and distributing the surplus property, from the
appropriation of the agency receiving the surplus property to the surplus services revolving
fund. The determination of the commissioner is final as to the cost of the surplus property to
the agency receiving the property.
(b) When any governmental unit or nonprofit organization other than an agency receives
surplus property from the commissioner, the governmental unit or nonprofit organization must
reimburse the surplus services revolving fund for the cost of the property, including the expenses
of acquiring, accepting, warehousing, and distributing it, in an amount the commissioner sets.
The commissioner may, however, require the governmental unit or nonprofit organization to
deposit in advance in the surplus services revolving fund the cost of the surplus property upon
mutually agreeable terms and conditions.
(c) The commissioner may transfer or sell state surplus property to any person at public
auction, at prepriced sale, or by sealed bid process in accordance with applicable state laws.
Subd. 6. State surplus property.
The commissioner may do any of the following to dispose
of state surplus property:
(1) transfer it to or between state agencies;
(2) transfer it to a governmental unit or nonprofit organization in Minnesota; or
(3) sell it and charge a fee to cover expenses incurred by the commissioner in the disposal of
the surplus property.
The proceeds of the sale less the fee are appropriated to the agency for whose account the
sale was made, to be used and expended by that agency to purchase similar state property.
Subd. 6a. Computers for schools.
The commissioner may transfer state surplus computers
to Minnesota Computers for Schools for refurbishing and distribution to any school, school
system, college, or university in Minnesota.
Subd. 7. Gifts.
The commissioner is authorized to solicit and accept donated money and
fixed and consumable property for the benefit of the state and any other governmental unit or
nonprofit organization for any purpose authorized by state and federal law and in accordance with
federal regulations and rules. The gift acceptance procedures of sections
not apply to this subdivision.
History: 1998 c 386 art 1 s 24; 2003 c 112 art 2 s 50; 2005 c 65 s 1