Tenn. Comp. R. & Regs. 0690-02-01-.22 - APPENDIX 1 - CONDITION CODES

(1) N-1 New or unused property in excellent condition. Ready for use and identical or interchangeable with new items delivered by a manufacturer or normal source of supply.

(2) N-2 New or unused property in good condition. Does not quite qualify for N-1 ( because slightly shopworn, soiled or similar), but condition does not impair utility.

(3) N-3 New or unused property in fair condition. Soiled, shopworn, rusted, deteriorated, or damaged to the extent that utility is slightly impaired.

(4) N-4 New or unused property so badly broken, soiled, rusted, mildewed, deteriorated , damaged, or broken that its condition is poor and its utility seriously impaired.

(5) E-1 Used property but repaired or renovated and in excellent condition.

(6) E-2 Used property which has been repaired or renovated, and while still in good usable condition, has become worn from further use and can't qualify for excellent condition.

(7) E-3 Used property which has been repaired or renovated but has deteriorated since reconditioning and is only in fair condition. Further repairs or renovation required or expected to be needed in the near future.

(8) E-4 Used property which has been repaired or renovated and is in poor condition from serious deterioration, such as from major wear and tear, corrosion, exposure to weather, or mildew.

(9) O-1 Property which has been slightly or moderately used, no repairs required, and still in excellent condition.

(10) O-2 Used property, more worn than O-1, but still in good condition with considerable use left before any important repairs would be required.

(11) O-3 Used property which is still in fair condition and usable without repairs; however , somewhat deteriorated with some part (or portion) worn and should be replaced.

(12) O-4 Used property which is still usable without repairs but in poor condition and undependable or uneconomical in use. Parts badly worn and deteriorated.

(13) R-1 Used property, still in excellent condition, but minor repairs required.

(14) R-2 Used property in good condition but considerable repairs required. Estimated cost of repairs would be from 11% to 25% of acquisition cost.

(15) R-3 Used property in fair condition but extensive repairs required. Estimated repair cost would be from 26% to 40% of acquisition cost.

(16) R-4 Used property in poor condition and requiring major repairs. Badly worn, and would still be in doubtful condition of dependability and uneconomical in use if repaired. Estimated repair costs between 41% and 65% of acquisition cost.

(17) X Salvage. Personal property that has some value in excess of its basic material content but which is in such condition that it has no reasonable prospect of use for any purpose as a unit and its repair or rehabilitation for use as a unit is clearly impractical (in excess of 65% of acquisition cost)

(18) XX Scrap. Material that has no value except for its basic material content.

Notes

Tenn. Comp. R. & Regs. 0690-02-01-.22

Original Rule filed April 20, 1978; effective July 15, 1978.

Authority: T.C.A. §§12-235 through 12-248 and Public Acts of 1976, Chapter 821.