Federal Electronic Challenge Getting Results Is It A Problem or a Gold Mine? Freddie Martinez, Office of Acquisition and Materiel Management, Materiel.

Federal Electronic Challenge

Getting Results

Is It A Problem or a Gold Mine?

Freddie Martinez, Office of Acquisition and Materiel

Management, Materiel Policy, Training and Operation

We Know The Facts• The Federal Government is largest purchaser of IT

in the WORLD - FY 2003 IT budget $54.2 Billion.

• Computers are as common in Federal offices as telephones.

• Majority of 1.8 million employees in the FederalGovernment have PCs.

• More rapid and powerful computers are quicklyreplacing previous ones on an average cycle ofevery 2 to 3 years.

We Know More Facts

• The Government discards approximately 10,000 computers each week.

• IT equipment is the fastest growing portion of the municipal waste stream.

• In 1999, more than 29 million computers were discarded, only 14 % were reutilized/recycled.

• For 2004, as many as 325 million obsolete computers are expected to be disposed in landfills.

IT equipment is considered as hazardous waste in accordance with 40 CFR Part 261 and Resource Conservation and Recovery Act (RCRA) RCRA

IT equipment contains hazardous substances e.g., mercury, chromium, cadmium, beryllium and lead (computer monitors contain about 6 lbs)

Cathode ray tubes (CRTs) will fail the Toxicity Characteristic Leaching Procedure (TCLP) for “lead”

TCLP Testing of IT Components - Testing of whole computer (CPU), keyboards and peripherals find 8 RCRA metals• EPA: Regions 4 and 5 funded research at the University of Florida

Environmental Laws and Rules

Knowing the Facts, Can Get Results?General Efforts:

• Participated In Electronic Stewardship Summit• Signed MOU Promoting Sustainability• Enrolled In the FEC• Issued Department Memorandum Encouraging

Administrations and Staff Offices to Partner In FEC

• Offered To Beta Test The FEC Annual Reporting Form

• Submitted FEC Article In “Closing the Circle” News Letter

• Actively Participated in Federal Electronics Stewardship Working Group

Knowing the Facts, Can Get Results?

Efforts in Acquisitions:

• Issued VA Directive & Handbook 0052• Provided Energy Star Requirements In VA’s

New IT VA-Wide Contract• Served on FESWG Subgroup to Develop

“Green” Contract Language.• Participated & Provided Feedback to “EPEAT”• Arranged FEC and EPEAT Briefings by EPA• Provided suggested Contract Language to EPA

for EPEAT

Knowing the Facts, Can Get Results?

Efforts In Operations and Maintenance:

• Stand-by-Power Functionally Enabled on an Average of 98% Computers in VA

• Promoted IT Energy Saving Requirements on Nation-wide Broadcast System

• Average Life-Span is 4 years versus 3 years• Incorporated Electronics Stewardship at Training

Conferences

Knowing the Facts, Can Get Results?Efforts for End-of-Life Management:

• Encouraged Donations to CFL Program• Issued Property Managers Instruction Sheet,

that Provides Schools with Proper Disposal Instructions

• Promoted Reuse over Destruction• Entered MOU with Federal Bureau of Prisons

(UNICOR) for Recycling Services• Ensure Property Managers are on IT Policy

Development Working Groups• Establish a National Property Managers Email

Group

VA’s Office of Inspector General Report

Report No. 7D2-E06-018 Dated February 12, 1997

• VA needs to maximize receipts derived from the Federal Exchange/Sale Program of property.

• VA facilities need to take available opportunities to retain proceeds from the sale or exchange of unneeded equipment.

Proceeds Retainedfor New Purchase

Local Sale

Trade-in

Auction (dot.com)

If Unsold, PropertyReverts to Excess Process

GSA Sale/AuctionLinks to FEDS

Sell

Exchange/Sale(FPMR: 101-46.002-3,4)

Yes

Is IT Item Being Disposed ofa Replaced?

FPMR: 101-44.101

FPMR: 101-43.302

Abandonment orDestruction if Unsold

(FPMR: 101-45.9)

Sell(FPMR: 101-45)

Donation(FPMR: 101-44.101)

Report to GSAFederal Screening

(FPMR: 101-43.302)

Screen VA wide(VA Handbook 7343)

Screen locally(VA Handbook 7343)

Unrequired

Includes GSAOn-lineAuctioning

CFL

No

De-manufacturing

Excess

Required Determination Set Forth by 41 CFR

• Agencies must determine, which Exchange or Sale will bring the maximum return to the Government

• Considerations– Trade-in: Disposes of item faster

• Federal Contracting Officers should make every attempt to obtain “trade-in” agreement during acquisitions

– Sale: Normally brings higher return• Sales Contracting Officers need to be

trained in environmental end-of-life laws, regulations and “Due diligence” rules.

Exchange (trade-in) Rules

• Replacement transactions may involve more than one organizational unit of a Federal Agency.

• May take place at separate locations.

Sales Rules forSales Contacting Officers• Property can be sold prior to

acquisition of replacement property– Proceeds from sale can be held

remaining FY of sale, plus one additional

• Property must have accurate condition code

Federal Condition Codes

1 – New. Property, in new condition or unused condition & can be used immediately without modifications or repairs

4 – Usable. Property, showing some wear, but can be used without significant repair

7 – Repairable. Property,unusable in its current condition, but can be economically repairable.

X – Salvage. Property, with value in excess of its basic material content, but repair or rehabilitation is impractical and/or uneconomical.

S – Scrap. Property, has no value except for its basic material content.


Local Sale

Trade-in

Auction (dot.com)



Sell


Yes


FPMR: 101-44.101

FPMR: 101-43.302


(FPMR: 101-45.9)

Sell(FPMR: 101-45)



(FPMR: 101-43.302)



Unrequired


CFL

No

De-manufacturing

Excess


Local Sale

Trade-in

Auction (dot.com)



Sell


Yes


FPMR: 101-44.101

FPMR: 101-43.302


(FPMR: 101-45.9)

Sell(FPMR: 101-45)



(FPMR: 101-43.302)



Unrequired


CFL

No

De-manufacturing

Excess


Local Sale

Trade-in

Auction (dot.com)



Sell

Exchange/Sale(FPMR: 102-39)

Yes


Proceeds to Treasury

(FPMR: 101-45.307)

Proceeds to Supply Fund(If Purchase connected

to Supply Fund)


(FPMR: 101-45.9)

Sell(FPMR: 101-45)

Donation

(FMR: 102-37)


(FMR: 102-36)



Unrequired (station excess


CFL

No

De-manufacturing

EXCESS

Recycle/waste prevention

WEBSITE TRANSFERS

• www.gsa.gov• www.computers.fed.gov/property/pm1.asp• Password required

http://www.gsa.gov/

VA CFL Donations Through GSA

• $ 2 Million in Acquisition Value

• Amounts to 1,586 Computers and Peripherals

How To Select Qualified Schools

• Agencies can set own requirements• Register on GSA’s Computers for

Learning (CFL) Program Website

• Must be certified by State Ed. Board• School must provide letter

requesting IT equipment or needs on website

• Forms on GSA Website

CFL - PICKUP OR SHIPPING Rules

• IT equipment may be picked up directly by school

• Contact CFL partnerships• Encourage volunteers


Local Sale

Trade-in

Auction (dot.com)



Sell


Yes


FPMR: 101-44.101

FPMR: 101-43.302


(FPMR: 101-45.9)

Sell(FPMR: 101-45)



(FPMR: 101-43.302)



Unrequired


CFL

No

De-manufacturing

Excess

Property Reported to GSA As Excess

• Available to Other Federal Agencies for 21 days

• Schools not Eligible at this Stage


Local Sale

Trade-in

Auction (dot.com)



Sell


Yes


FPMR: 101-44.101

FPMR: 101-43.302


(FPMR: 101-45.9)

Sell(FPMR: 101-45)



(FPMR: 101-43.302)



Unrequired


CFL

No

De-manufacturing

Excess


Local Sale

Trade-in

Auction (dot.com)



Sell


Yes


FPMR: 101-44.101

FPMR: 101-43.302


(FPMR: 101-45.9)

Surplus Sell

(FPMR: 101-45)



(FPMR: 101-43.302)



Unrequired


CFL

No

De-manufacturing

Excess

Department of Veterans Affair (VA) Is One of The Largest Civilian Agency

• Challenge To VA– Lack of government-wide standards for

environmentally sound management/disposal practices.

• It Is Important That VA Maximizes Efforts In Its IT Disposal Program:– Because data supports hazardous waste

determinations

IT Data Challenge• The Privacy Act of 1974, 5 U.S.C. 552a

protects sensitive, non-public information

• More recent Federal security/privacy laws are the Gramm-Leach-Bliley Act of 1999

• HIPPA, which protect disclosure of non-public financial data and medical information, respectively.

VA Property Office Works With Office of Cyber Security

• VA “Sanitization Certification Program” Created

• Sanitizing Software “Data Eraser” Distributed

Accounting for IT disposed Equipment

• Property Managers are Asked Not to Accept Turn-ins Without Certificates of Data Removal

• Property Managers Shall Maintain all Disposal Documents

Many IT Technicians Claim

• Don’t have time to run software• Don’t have resources to run

software• Don’t have space to run

software• Don’t have software• IT Sanitizing contractor claim

software does not work

Solution - Use of Keyboard-Video-Mouse Switch

• Allows multiple computers to controlled by one monitor, keyboard and mouse

• Most models are scalable in multiples of 8 or 16

• Keyboard & mouse emulation permits simultaneous boots

Use of Keyboard-Video-Mouse Switch continued

• Several computers may be sanitized in a relatively small space

• Also very useful for software configuration modification, repair and testing

• In combination with desktop switch multiple computer can access the network through a single drop (very useful for Windows or COTS updates)


Local Sale

Trade-in

Auction (dot.com)



Sell


Yes


FPMR: 101-44.101

FPMR: 101-43.302


(FPMR: 101-45.9)

Surplus Sell(FPMR: 101-45)



(FPMR: 101-43.302)



Unrequired


CFL

No

De-manufacturing

Excess

No Problem VA Signs MOU With UNICOR

Freight Shipments 103

Pallets Weight Cost Total of Shipping

9682 1,341,760 $75,456

Average Cost per shipment is $803

VA Shipments to UNICOR:

Why Did VA Select UNICOR?• UNICOR is Another Federal Agency to

Support • Has Excellent De-manufacturing and

Recycling Program• Assists with Rehabilitation• Program is Cost Efficient• Incorporates Safe and Environmentally

Sound Practices• Security is Top Notched

IT De-manufacturing Requirements

• Facility Property Management (PM) Should Coordinate Truck Loads with other facilities

• PM should coordinate transfer with Bill Bardwell, VACO, Traffic Manager; 202-273-6118

Federal IT Challenge

• Ensure IT Equipment is Being Managed in an Environmentally Sound Manner

• Keep IT Equipment Out of Waste Stream• Minimize the Resources Managing IT

Disposal• Maximize Reuse/Utilization• Purchase “Greener” Electronics Products

Any Better Solutions? Consideration Federal Contract

language!

• IT Purchasers need to consider life-cycle Assessment

• Such considerations need to be implemented during the acquisition planning

• Include language in the “Statement of work”, “Solicitation”, & “Contract” as to what manufactures should offer in their products?

Federal Acquisition Clause?

e.g., The “your organization” will give acquisition preference to contractors that can provide a secure and sustainable method to effective Erasable Hard Drives without the destruction of the original operating software or, that can provide: –Separate hard drive for adding data of

that of un-writable operating hard drives?

How Does Such Contract Language Assist With Electronic Sustainability?

• Makes it easier for IT technicians to sanitize data

• Maintains longer life-span for computers when no longer needed by an organization verses destruction of hard drives

• Provides method for reuse in an agency as well as in Government

• Provides much needed computers to CFL Program

• Eliminates Worms and other Viruses from attacking Operating Software.

Thank You Very Much

Freddie Martinez - Chief, Materiel Policy, Training and Operations (202) 273-6119

or

Linnie Baker (202) 273-6109

Barbara Matos (202) 273-6121

[email protected]

Federal Electronic Challenge Getting Results Is It A Problem or a Gold Mine? Freddie Martinez, Office of Acquisition and Materiel Management, Materiel.

Documents

federal offices

federal exch

powerful computers

obsolete computers

factsthe federal government

general efforts

equipment disposal

vas new