Lateral transfers are transfers of nonexpendable property from one organization to another.

• A. Transfers of real property from one organization to another
• B. Transfers of nonexpendable property from one organization to another
• C. Transfers of personnel between units
• D. Transfers of expendable property from one organization to another

Answer: (B)

Lateral transfers focus on moving durable, nonexpendable items that stay as organizational assets and require custody records as they change hands. Nonexpendable property includes equipment, furniture, and other items with multi-year useful life that are tracked in property books. Because these items retain value and must be accounted for when they move between organizations, the transfer is categorized as a lateral transfer.

Transfers of real property (land or buildings) follow separate real-property procedures and aren’t typically handled as standard property accountability transfers. Transferring expendable property involves consumables that are used up and replaced, so they aren’t tracked as long-term assets in the same way, and aren’t classified as lateral transfers. Transferring personnel deals with people rather than property, so it falls outside the scope of property transfers.