Context
Assets of (or belonging to, or in the care, custody or control of) a department considered to be redundant, unserviceable, obsolete or surplus to requirements are to be disposed of by departments adopting procedures that are systematic, ethical and transparent.
"Assets" include all current and non-current items as well as consumables and relates to all assets not dealt with under a separate Act or Government policy (i.e. land, vehicles).
This policy does not apply to the sale of business undertakings. The disposal of business undertakings are only to occur after consultation with the Commercial Division, Department of Treasury and Finance. Disposal of financial assets are to be undertaken in accordance with the Financial Management Act 1994
Key Requirement
Development of a Disposal Management Plan
Each APU or Accountable Officer must develop and implement a Disposal Management Plan that reflects the business needs of the department or agency.
The Disposal Management Plan can allow for locational factors, the frequency (need) of disposal actions, proximity to market outlets, storage/transport capabilities and availability of appropriate staff to manage the process.
Other Requirements
1. Key Elements of a Disposal Management Plan:
- definition of the appropriate disposal method (public tender, public auction, transfer to another department, trade-in, scrapping, etc) for the category of asset in question;
- the identification of person(s) with authority to approve a disposal strategy;
- donations are to be approved by the Accountable Officer in all cases;
- consideration to be given to the transfer of assets (in particular, computer related hardware) to the Department of Education & Training for distribution to schools;
- process for adjusting a department’s asset register;
- prohibited actions (eg. direct sales to staff members); and
- a time to review the plan (not to exceed three years).
- Compliance reporting and provision of disposal statistics are a requirement of a department’s Annual Supply Report.
Related VGPB Policy and DTF Guidelines
Nil
Related DTF Templates and Forms
Nil
Links to relevant Policy websites
Nil
Version Control Information
 Version Number | 2 |
Release Date | December 2002 |
Further Information | Strategy and Policy, Government Services Division, Department of Treasury and Finance |
Phone | (+613) 868 32944 |
| vgpb@dtf.vic.gov.au |
