Revenue Sharing

Cal Overstock & Surplus returns net sales proceeds to the departments originating the surplus property. In fiscal year 2010-2011, Cal Overstock & Surplus returned $782,267 net revenue to campus departments. Net proceeds are those revenues in excess of Overstock and Surpus' annual operation expenses. When items are sent to Cal Overstock & Surplus for disposal, it identifies the originator of inventorial assets (those of $5,000 acquisition value) through the Berkeley Equipment Tracking System (BETS). However, it is frequently unable to identify the originator of non-inventorial assets (those of $5,000 acquisition value) sent for disposal.

 
To be eligible for revenue sharing on a non-inventorial asset:

  • Affix a BETS-generated property number (tag) to those items being disposed of when you send it to Cal Overstock & Surplus for disposal, so that we can track the item and any associated revenue-sharing back to your department. 
  • Since you are already requesting the pick-up of surplus property via BETS, we encourage you to use the BETS non-inventorial module to generate the property number and affix the tag to the item.    

If you are not interested in qualifying for revenue sharing for a particular item, you can continue to request disposal without affixing a property number tag to the non-inventorial item.   

 
General guidelines on how the process works: Cal Overstock & Surplus processes sales proceeds in accordance with the applicable provisions of Business and Finance Bulletins BUS-49, "Cashiering Responsibilities and Guidelines," and A-51, "Application of Proceeds from the Sale, Trade-In or Transfer of University Property.”   
 
Current revenue sharing thresholds for eligible items sold:

  • Any individual piece of equipment or vehicle for $1,500 or more that has a property number

Within 30 days after Cal Overstock & Surplus completes the processing of the sale, the originating department will receive 80% of the net proceeds of that item.

  • Any item (with a property number) valued at $200 or more

The originating department will receive 80% of the net proceeds of that item at the end of the fiscal year in excess of Cal Overstock & Surplus' annual operating costs.
 
Eighty percent of all other net sales proceeds for items (that cannot be attributed to a disposing department) are forwarded to the campus discretionary fund at the end of the fiscal year in excess of Cal Overstock & Surplus' annual operating costs.  

Frequently Asked Questions:

Why are the net proceeds only shared once a year?

  • Departments are not charged for these services.
  • The expense for these services is offset through sales proceeds from the surplus campus goods.
  • Many departments use the services of Cal Overstock & Surplus repeatedly throughout the year.
  • At times, the cost of processing and selling surplus items exceeds the revenue from its sale. 

How are the net proceeds distributed back to Departments? 

Net proceeds are returned to departments by:

  • processing a temporary budget journal via BFS
  • crediting the department's UCB revenue account 47150
  • using Cal Overstock & Surplus' fund number with the respective departmental org code  

  
Contact Us 
 

© 2012 The Regents of the University of California. All Rights Reserved.