Lost & Found items constitute a wide variety of item types, from the weird dentures and crutches stories you commonly see to the everyday objects a person carries, like a phone and wallet. Unfortunately, many of these items pose a significant risk to the consumer if they fell into nefarious hands (seriously you need to stop carrying around your Social Security card in your wallet, looking at you Frank).
Identifying items, like credit cards and IDs, and items with large amounts of data, such as your phone, fall under these categories so we want to ensure the end-users security by following a data coordination and destruction protocol. Essentially, items are sent to the proper organizations, for example the Social Security Administration, or are outright destroyed, the data not the phone, to protect the owner.