28 August 2015

Introduce new logisticians to property management tools and procedures Provide an update on the recent changes in ORMS

$26,000

$500,000

$1.2 million

AircraftAircraft $117 Million$117 Million VehiclesVehicles $ 25 Million$ 25 Million ComputersComputers $ 5 Million$ 5 Million Other PropertyOther Property $ 25 Million$ 25 Million

Implements CAP’s property management and accountability policy

Incorporates guidance from OMB Circulars, DoD Manual 4160.21M and the Cooperative Agreement between CAP and USAF

Includes input from NHQ CAP, CAP-USAF, volunteer advisors and field units

Currently under revision

All property no matter what the source becomes CAP property once acquired

Commanders and property management officers are responsible for management, control, maintenance and disposal

What is a property management officer ?? – “any member holding a position of logistics, supply or communications officer.”

Regions or wings may supplement CAPR 174-1

Property Freezes

Three levels of property freeze -- each progressively more restrictive

Reflects less than adequate control over assigned resources

Improper housekeeping Unsatisfactory inventory results Unauthorized sale or disposal Pattern of misuse or noncompliance

CAP–USAF or CAP may impose freezes

– Property Management Data Base• Contains all types of CAP property• Rolled out in January 2010• Improved accountability at all levels• Increased accessibility by members• Improved recordkeeping• Reduced paperwork• Incorporates ROS and assessments

Property Classification … expendable and non-expendable

Determines how it will be tracked in ORMS Directs the method of disposal

What is non-expendable property? Is complete in itself Is durable in nature Has a continuing use Is not consumed through use Is not a component of another item Has an expected service life of at least 1 year Has an initial unit acquisition cost of more than

$500Must meet all criteria above

Non-expendable property tracking in ORMS All non-expendable property is entered in

ORMS regardless of source Non-expendable items are allocated to a

specific unit It may be issued to individuals Acquisition cost must be entered into ORMS Must have a property tag and number

There is no requirement to track property with an acquisition cost of less than $500

Two categories of non-expendable property

Equipment…Property with an acquisition cost of $5,000 or greater and a useful life

of more than 1 year

Supplies

What is expendable property?

1. Not non-expendable

2. Normally intended for limited use

3. May be consumed during use

4. Not entered into ORMS

5. Does not require a property tag

Tracked expendable property?

1. Property with initial cost of <$500

2. Property with an acquisition cost >$500

3. and depreciated to below $500

ROS decision at wing/CC level

A few excepted property items

Acquisition Purchased Donated Found on base (FOB) State or local funded/owned Historical property

Purchased Property Appropriated funds Corporate (unit) funds State or local govt funds Consult CAPR 70-1 CAP Acquisition

Regulation for policy on funds expenditure

Donated Property A variety of sources CAPR 173-1 Financial Procedures and

Accounting and CAPR 173-4 Fund Raising and Donations

Be Careful Consult with appropriate level legal officer Annotate as “Donated” in the source field

Found on Base (FoB) Non-expendable property for which the

funding source is unknown Managed like DoD excess and disposed of

through DRMO Annotate as “FOB” in the source field

Should rarely be used….but often overused

State-funded/owned property Track all state/local govt funded or owned

property in ORMS Disposal will be in accordance with

instructions provided at time the propertywas accepted

Annotate as “State Funded” in ORMS

Property Tags and PCN Property tags are placed on all non-expendable

property Each item in ORMS must have a property tag

number May use on expendable property but do not

assign a property tag number Property control number (PCN) is unique to

each item and will not change over the life of the property

Five functions of property control Transfer Assignment Issuance Inventory Retirement

Transfer Property transfer occurs between units Transfer non-expendable property using

transfer function of ORMS Transferred property must be accepted within

10 working days of transfer initiation Use CAP Form 111 for transfer/receipt of

expendable property

Transfer Ensure that property (i.e., aircraft. vehicles,

communications or other equipment and supplies) is assigned with applicable tables of allowance in mind.

Property should be transferred in ORMS to the unit where the property is actually located and is being used. This practice is optional for aircraft

Transfer When property is used temporarily at a

location or in an activity other than that of assignment, it need not be transferred in ORMS (i.e., encampments, mission training exercises, weekend activities, etc.).

Assign Property is assigned to another piece of

property like an aircraft, vehicle or kit Assigned property doesn’t have be

unassigned to be transferred Property with items assigned cannot be

retired until other items have been unassigned

Issue Property is issued to individuals Issue non-expendable property using transfer

function of ORMS Recipient acknowledges receipt through

ORMS within 7 days

IssueWhen accepting property, members agree to reimburse CAP for the depreciated value of the property if lost or damaged.

When ORMS is not available, use the CAP Form 37 to initially issue property

When issuing property to individuals under the age of 18, ORMS will generate a property receipt to be signed by the individual’s parent or guardian

IssueIndividuals under the age of 18 years are not

permitted to hold logistics, supply, transportation or communications duty positions that include ORMS permissions to transfer, issue or assign property

Issue When returning property individuals should

receive a CAPF 37, Individual Issue Receipt, indicating turn-in. Members should hold this receipt until ORMS has been updated to reflect turn in. Members may verify their own issued property list by accessing ORMS

Annual Physical InventoryProperty inventory is mandated by the Circulars

Ensure property is safeguarded and managed

Conduct annual inventory between 1 October and 31 December

Failure to complete the inventory during this period may result in a property freeze

Complete all pending issues, transfers and retirements before beginning the inventory

Annual Physical InventoryUse the ORMS inventory worksheet to perform the inventory

Verify presence, condition and accuracy of data for each item

Ensure that each non-expendable item is properly tagged

Remote functional checks can be used to verify condition and presence of off-site equipment

Annual Physical Inventory All non-expendable property issued to

individuals must be made available for a property manager to validate

Inventory is not complete until all issued items have been validated and accepted in ORMS

Commanders determine how best to inventory property that cannot be transported

Changeover Inventory Upon assignment of a new commander or

property management officer ORMS provides changeover inventory guidance Inventory of individually issued property is not

required If an annual inventory was completed recently

and both individuals agree, a changeover inventory is optional

Property on loan to other agencies Document on the CAPF 37 Scan and upload a signed copy of the Form 37

into ORMS Physically check during annual inventory and

re-validate every 60 days Include name of organization, address, phone

number, name of point of contact and expected property return date

Property out for repair Annotate in ORMS master record in

“Maintenance” Include name of repair facility, address, point

of contact, date sent out for repair, tracking number and estimated date of return

Update location and condition when returned

Unit Deactivation Commanders accountable for reclaiming all

property from deactivating units Prior to deactivation but no later than 30 days

post deactivation ORMS automatically assigns property to the

000 unit for 30 days to allow the wing to transfer it to a desired location

After 30 days it moves to 001

Property Recovery Commanders shall make a reasonable effort to

recover property from members who terminate Document recovery efforts in writing and load

to ORMS Send demand letters by certified mail….consult

legal officer first Document unsuccessful recovery efforts in

Report of Survey (ROS)

Report of Survey One way to remove property from inventory Report loss or damage to commander or

property management officer Individual receiving the report changes the

condition to “missing/damaged” in ORMS Automatically initiates an ROS Commander appoints an impartial investigating

officer

Report of Survey The report of survey summarizes

circumstances concerning loss, damage or destruction of CAP-owned property and documents an adjustment to the property inventory.

It also documents a charge of financial liability assessed against an individual or unit, or provides relief from financial liability.

Report of Survey

Delay for other agency investigations Investigating officer records results of investigation Upload supporting documents in ORMS Investigating officer makes recommendations to

prevent recurrence of conditions that caused the loss or damage

Wing commanders recommend assessments if property is not tracked expendable

Region commanders, make the assessment

Assessment policy Intended to reduce property loss/damage by

holding members accountable No assessments for acts of God or events over

which the member or unit had no control Individuals and/or units may be assessed

Type I Incident Member or unit failed to use care that a

reasonable person would use under similar circumstances

Region commanders shall assess the lesser of the cost to repair or replace or $500

Type II Incident More serious than Type I Incident marked by an unreasonably high

degree of risk to others or to property Conscious or willful disregard for others or

property or Intentional violation of CAP or Government regulations

Region commanders shall assess the lesser of the cost to repair or replace or $5000

Type III Incident Most serious of all Incident results from willful or intentional

misconduct with a reckless disregard for the consequences

Region commanders shall assess the lesser of the cost to repair or replace or $5000

National Commander may increase the assessment to full value to repair or replace

Assessment Procedures Wing CC recommends to Region CC Region CC reviews the Online Mishap Report

and all other documentation in addition to the Wing CC recommendation

Two or more members can be found equally culpable and can be assessed accordingly

CAP/NC monitors for fairness and consistency

Assessment Procedures Member has the right to appeal File appeal in writing to National Commander

through NHQ/LG National Commander’s decision is final Member has one year to make payment in full There is an installment option Proof of payment maintained in ORMS Property remains on the books until paid in full

Assessment procedures If their payment is late or if not made in full

within the installment plan period members who have been assessed will be flagged in the National database and will not be permitted to renew their membership

Tracked Expendable Assessment Procedures Wing CC makes the determination Region CC is the appeal authority

Disposal Retirement is the preferred method of

removing property from inventory Property must have zero value or be

unserviceable Upon retirement initiation, ORMS notifies

individuals responsible for approval Wing CC has approval authority for property

purchased with corporate funds

Disposal Contact lending agency for disposal

instructions for property provided by state or local govt.

Refer to CAPR 173-4 for requirement for disposal of donated property

Acquisition source determines the disposal method

Approved Methods of Disposal Property found on base will be disposed like

Federal excess property and goes to DRMO Disposal of all Federally-funded equipment will

be in accordance with CAP-USAF instructions Non-expendable supplies, not obtained from

DoD excess, that have exceeded their useful life, do not have to be returned to DRMO.

Must be disposed of IAW local environmental rules

Sale of Federally-Sourced Property CAP-USAF may direct that equipment be sold Normally sold through a sealed bid process or

through an NHQ approved broker Retain all documentation regarding the bid

process and successful bidder’s contact information

Donation to non-profit organizations Property must be from non-govt sources or

purchased with corporate funds Contact NHQ/GC to re-donate property Upload all documentation regarding donation

to ORMS

Demilitarization Comm gear must be sanitized to prevent

compromise of keys, codes and freqs Deprogram programmable gear Remove all frequencies Mark equipment with “All CAP frequency

information and /or frequency determining elements removed.” Include date and signature.

Screening Federal-Excess Property Sourced through GSA OR DRMO Reviewing property at DRMO for availability is

called “screening” Forward requests to acquire this property to

NHQ/LGS for coordination with CAP-USAF Wings may appoint up to 4 screeners Regions may appoint 1 per region

Federal-Excess Property Submit written requests for screeners through

the CAP-USAF LR/LG Re-accomplish screener list annually or

whenever a screener changes Scan and load the letter into ORMS Screening can be done online or in person---

online is the preferred method Get CAP-USAF LR/LG approval to pick up

Federal-Excess Property Property request should contain the Table of

Allowances (TA) item number and justification If not listed in TA prepare justification for each

item requested NHQ/LGS must approve non-TA items from

Federal sources Annotate property tag number on DD Form

1348-1, scan and load into ORMS

Federal-Excess Property Mark expendable property obtained from DoD

excess with letters “DRMO” Use the online Form 111 or locally generated

spreadsheet to document receipt and transfer of expendable property

There is no requirement to load expendable property into ORMS or affix property tags

All FOB, DoD- or Federal-excess property must be returned to DRMO

Disposal of Federal-Excess Property Initiate retirement in ORMS CAP-USAF will provide turn-in instructions and

document number Enter document number on the electronic turn-

in document Scan and upload turn-in documents When signed turn-in document is loaded in

ORMS NHQ is notified to retire property

Acquisition Purchase, donation lease, license or no-cost

arrangement require wing CC approval Load all associated documentation into ORMS CAP units using DoD facilities must have a

USACE license/written agreement authorizing the use and describing the terms of use

Region CCs forward request and renewals to NHQ/GC for review

Acquisition No matter what the terms, lease, nominal fee

or no charge, it is best to have some form of written agreement documenting permission and terms of use

Sign no agreements with “hold harmless” or “indemnification” clauses

CAP has comprehensive liability insurance to cover members, but no fire insurance or extended coverage for the facility

Acquisition Ensure property is free of hazardous substances Real Property Module is now available in ORMS Real property survey and contributed facilities and

utilities are now incorporated into ORMS

Disposal Real property acquired by CAP becomes

corporate property and may not be sold, transferred or disposed of without written permission of the CAP National Board

Coordinate approval through NHQ/GC Proceeds from sale of real property normally

goes to NHQ/FM

Please complete the 2015 Please complete the 2015 survey online for a chancesurvey online for a chanceto have your conference to have your conference registration fee refundedregistration fee refunded

https://www.surveymonkey.com/r/15NatCon