Encl. (2) TOCOMDTINST 4610.6
2.
Property Conditions Affecting Value.
a.
New Unissued Property. When new unissued property is lost, irreparably damaged, or
destroyed in transit, the actual loss to the Coast Guard may be determined from the
contract or purchase order price. When the purchase price is not furnished to the
consignee with the shipment, request the responsible IM or contracting officer determine
the value and obtain a priced copy of the shipping document for the activity reporting the
discrepancy.
b.
Serviceable Like New Property. A considerable amount of Coast Guard property,
although not new, is shipped as serviceable (material condition code A). This is property
that is in "good as new" condition and has not been subjected to enough use to have
depreciated more than a negligible amount. It may also be property not subject to
depreciation. Some items of property, such as certain aircraft engines, due to engineering
improvements and modification, may appreciate rather than depreciate in value. The Coast
Guard is entitled to recover the full value of such serviceable like new property, if that was
its actual value, at the time it was shipped. Generally, the priced copy of the DD Form
1348-1, DoD Single Line Item Release/ Receipt Document, serves to establish both the
preshipment condition and value of the lost, irreparably damaged, or destroyed property.
If depreciation does not apply to the serviceable condition of the item shipped, that
information must be made clear on the TDR, or be shown in the supporting documents.
c.
Serviceable Used Property. Depreciation should be considered on most serviceable used
property to some extent, even though the property may still be in good useable condition
and capable of performing its mission. The fact that it has actually been used an average
or a considerable length of time means that its serviceability and life expectancy have been
lessened. A depreciation allowance applies for claim purposes if it is lost, irreparably
damaged, or destroyed. The shipper must furnish verification of the actual preshipment
condition. The responsible IM must furnish the depreciation allowance statement, as
outlined in Section 1, paragraph c, of this enclosure. The depreciation allowance can then
be applied to the applicable Federal Supply Catalog or the DLA Consolidated
Management Data List price to
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