What are the key factors in determining if property is excess?

The key factor in determining if property is considered excess is that it is no longer needed for its intended function. This focus on the intended purpose is essential because property classified as excess indicates that it does not fulfill the current operational needs of the organization. Assessing the functional necessity of property ensures that resources are efficiently used and that assets are managed effectively to meet operational goals.

When property is deemed unnecessary for its original use, it may either be discarded, repurposed, or otherwise managed to avoid unnecessary maintenance, storage, and costs. This approach helps maintain an efficient inventory and enables the organization to redirect resources towards areas of immediate requirement.

While property that is damaged and needs repair or outdated but still in use may present challenges, they do not inherently qualify the property as excess without considering its necessity for current operations. Similarly, being in storage for an extended period, such as three years, does not automatically imply that the property is excess if it remains relevant to operational functions.