Defense Inventory:

Information on Disposal of Unrequired Inventory

NSIAD-90-228BR: Published: Aug 17, 1990. Publicly Released: Sep 17, 1990.

Additional Materials:

Contact:

Office of Public Affairs
(202) 512-4800
youngc1@gao.gov

Pursuant to a congressional request, GAO provided information regarding the disposal of the Department of Defense's (DOD) unrequired inventory, focusing on: (1) unrequired inventory available for disposal and sale; (2) the condition of potential excess inventory and related storage costs; and (3) inventories disposed of and sales proceeds.

GAO found that: (1) in September 1989, DOD had about $34 billion worth of unrequired inventory, including $10.1 billion in its potential excess category; (2) the amount of inventory that DOD should dispose of could exceed its reported excess; (3) two-thirds of the potential excess inventory consisted of used materials that needed repairs; (4) the average annual storage costs for the potential excess inventory were about $101 million; (5) DOD turned over its excess inventory to the Defense Logistics Agency's Reutilization and Marketing Service for disposal; (6) DOD had property disposal regulations specifying when and what items could be abandoned or destroyed; (7) DOD valued its used property sold in fiscal year (FY) 1988 at $1.8 billion and $2.1 billion in FY 1989, with sale proceeds at $107.6 million and $139.7 million, respectively; (8) DOD deposited $72.4 million and $80.1 million, respectively, from the sale proceeds into the U.S. Treasury, and used the remaining proceeds to reimburse the military services for authorized expenses; and (9) DOD attributed its relatively low returns on sales of excess property to such factors as the condition of the property, limited civilian uses, and surcharges.

Oct 11, 2018

Oct 10, 2018

Oct 9, 2018

Sep 24, 2018

Sep 20, 2018

Sep 10, 2018

Sep 6, 2018

Sep 5, 2018

Sep 4, 2018

Looking for more? Browse all our products here