Property Management

000 Introductory Material

001: Introduction

Property Management Policy & Procedure Manual
Section 000: Introductory Material
Effective: 07/01/1996
Revised: 08/11/2008

The Property Management Policy and Procedure Manual (PRO) provides information necessary for managing the capital assets of Oregon State University from acquisition to disposal.

Inventory Control is responsible for:

  • Administration of the OSU equipment inventory system;  
  • Maintaining asset records for OSU;
  • Ensuring that equipment accounting transactions are reconciled with updates to the asset file;
  • Performing audits and approving all changes to the asset database;
  • Assigning unique inventory numbers and tags for new assets;
  • Coordinating and reviewing physical inventories to ensure compliance with university, state, and sponsoring organization requirements;
  • Assisting university faculty and staff with equipment procedures and inventory control;
  • Producing reports for departments, administration, and sponsoring organizations as needed;
  • Assisting with acquisition and recording of federal excess and federal surplus property;
  • Developing accountability procedures to meet federal, state, sponsor, donor, and lender requirements;
  • Preparing forms for relief of accountability of federal property due to loss, damage or destruction;
  • Disposing of surplus property through the Surplus Property Program and authorizing disposal of other property as appropriate

Corrections, changes, or suggestions should be communicated to the PRO manual coordinator at 541-737-4084.

In the event of an inconsistency or conflict, applicable law and the State Board of Higher Education's policies supersede University policies and University policies supersede college, department or lower unit bylaws, policies, or guidelines.

The University reserves the right to add, amend, or revoke any of the contained rules, policies, regulations, and instructions or incorporate additional ones, with or without notice, as circumstances or the good of the University community may require.

A printout of this manual and each change to this manual is created from the original text source for the online version and retained permanently as an official record at University Archives.  Printouts of all revisions to online P&P manuals are similarly available.

002: Definitions

Property Management Policy & Procedure Manual
Section 000: Introductory Material
Effective: 07/01/1996
Revised: 02/28/2012

  • Y
  • Z

A

Accountable Equipment

Property acquired for a current sponsored research project and not released unconditionally to OSU.

Activate

To cause an asset item to show up on the Banner FIS fixed asset system.

ADPE

Automatic Data Processing Equipment (usually means computing equipment).

Agency-Owned

Property owned by the sponsored agency and furnished on loan for a specific research project.

Annual

Every year, as in annual supplies valuation update.

Asset (or Fixed Asset)

Tangible, non-expendable personal property that meets the following criteria:

  • Is not consumed in the normal course of business.
  • Has a unit value of $5,000* or more.
  • Has a useful life that exceeds one year.

* The unit cost limit does not apply in the following circumstances:

  • When an item is included as an attachment to an existing asset (see attachment).
  • When purchased on a grant or contract with a sponsor-mandated lower threshold.

Asset Inventory

Equipment inventory.

Asset Record

An electronic record of specific standard information maintained for each piece of equipment.

Asset Tag

A permanent identifying label or decal attached to a piece of equipment (may or may not be bar-coded).

Asset Type

A Banner code that groups similar equipment into separate categories. Each code is associated with a specific useful life for depreciation. See the Banner Code: Asset Type Code matrix on the Inventory Control website.

Attachment

Items that are an integral part of an existing capitalized asset, and necessary for the functionality or performance of that asset. Attachments must have the same title-to code as the parent asset, and must be purchased from the same funding source if title is restricted. Attachments are depreciated and disposed with the parent asset. Therefore, all attachments must be purchased and capitalized in the same fiscal year as the parent asset. The $5,000 unit does not apply to attachments.

Automatic-Pay Vendors:

Vendors paid by Accounts Payable without waiting for departmental approval.

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B

B Number

A code defining an institution within the State System of Higher Education. The Agency Number for Oregon State University is 580-300.

Biennial

Every two years, as in biennial equipment inventory.

Biennium

The two-year fiscal budgeting period used by the State of Oregon.

Book Value

The original cost of an asset. In the case of donated equipment, it is the appraised or market value at the time of the gift.

Building Number

A unique four-digit code preceded by "B" used to identify each OSU building on the space inventory. Most buildings also have a 'Code Prefix' used in conjunction with the room number to specify an asset's location in Banner. See the Banner Code: Building Code matrix on the Inventory control website.

Building Retirement

The complete demolition of a building.

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C

Cannibalize for Parts

Taking components from a piece of (usually outdated or non-functional) property for use in one or more other pieces of property (see also "salvage for parts").

Capital Asset

Capital assets are major assets that benefit more than a single fiscal period. Typical examples are land, land improvements, easements, buildings, building improvements, vehicles, machinery, equipment, works of art, historical treasures, and infrastructure.

Capital Equipment

An article of property that is not permanently attached to buildings or grounds and has an acquisition cost of $5,000 or more and a life expectancy of one year or more. Allowable acquisition costs include shipping and installation fees and all costs related to the importation of equipment from foreign countries.

Capital Expenditure Category

A group of account codes beginning with '4' used to identify expenditures for long-term assets, such as equipment, buildings, or land.

Capitalization Threshold

The minimum unit value at which an item is defined as equipment and added to the asset records (currently $5,000, except where a lower threshold is required by the research sponsor).

Capitalize

To spend funds from the capital expenditure category.

Change

Any modification to an inventory record that is currently on the OSU fixed assets inventory.

Collection

Collections of items such as antiques, artifacts, works of art, and historical treasures that meet the definition of a capital asset (value of $5,000 or more) should be recorded as capital assets. Collections are generally held for reasons other than financial gain, are protected, cared for and preserved, and are subject to an organizational policy requiring that proceeds from sales of collection items be used to acquire other items for the collection. Collections are not depreciated.

Commingling

Housing federal and non-federal property in the same location.

Component

An asset that works with another asset and in which FIS Banner can link the records to show a relationship.

Condition

The physical condition of an asset that is represented by a code.

Contract Close-Out

Completing the reporting and financial requirements of a research contract.

Contractor-Acquired

Property acquired by OSU for a sponsored research project-usually purchased with research funds.

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D

DARIC

An acronym for Defense Automation Resources Information Center (U.S. Government).

DD-1419

A Department of Defense form used to screen industrial plant equipment and NASA equipment with unit acquisition cost of $1,000 or more.

DD-1662

A Department of Defense form used for reporting value of federal property accountable to certain types of Department of Defense contracts on an annual basis.

DD-1851

A Department of Defense form used for screening Automatic Data Processing Equipment.

Delete

To remove a record from the fixed assets inventory.

Depreciate

An accounting method whereby the cost of a capital asset is apportioned over its useful life to the periods benefiting from the expenditure. OUS uses a straight-line method of depreciation, processed on a monthly basis.

Depreciation Expense

The portion of a capital asset's cost that is charged to expense each period. Please see FIS 607 Depreciation for additional information.

DIPEC

Acronym for Defense Industrial Plant Equipment Center (U.S. Government).

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E

Equipment

Generally, tangible personal property with a unit value of $5,000 or more, a life expectancy of more than one year, that is not consumed in the course of operation (unless a more restrictive definition is required by the research sponsor who furnishes the funds for equipment purchase). See also Capital Asset definition.

Equipment Record

An electronic record of specific standard information maintained for each piece of equipment.

Equipment Share Program

An OSU program identifying equipment that is not fully utilized and making it available for sharing with other OSU researchers or departments.

Executed Agreement

An agreement approved by the enabling authority, such as the university Contract Administrator.

Expendable Asset

An asset with a useful life of more than one year that does not meet the threshold for a capital asset ($5,000). Such assets are considered to be supplies.

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F

Fabrication

Building property from parts or from scratch.

FADE form

Fixed Assets Data Entry form, used for initiating "new" and "change" transactions in the fixed asset inventory file.

FASOM

The Financial Administration Standard Operating Manual (OSSHE).

Federally Accountable

Something acquired on a federal contract and still assigned to that contract by the sponsor.

Federal Excess

Federal property no longer needed by the owning agency.

Federal Surplus

Federal property no longer needed by any federal agency.

First Pass Scan

A room-to-room scan of every OSU asset label encountered (see also "initial scan").

Fiscal Year

The 12-month sequence used for accounting purposes. The State of Oregon fiscal year is July through June.

Fixed Asset

A piece of equipment that should be recorded on the fixed asset inventory.

Fixed Assets Data Entry form

A form used to approve and record new fixed asset records or changes to existing fixed asset records. Used when the change is NOT accomplished with an equipment (40101) expenditure on a Banner FIS invoice. Also referred to as the "FADE form."

Fixed Assets Transfer form

A form used to approve and record transfers of assets between responsible orgs, and/or between physical locations.

FOAPAL

Acronym for the accounting distribution code fields in the BANNER FIS system. These fields are Fund / Organization / Account / Program / Activity / Location.

Funding Source

Where the money for a project or piece of equipment came from.

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G

Gain/Loss

Upon disposal, each asset will produce a gain or loss, depending on whether the proceeds from the disposal are greater (gain) or less than (loss) the Net Book Value of the asset.

Gift

Something bestowed voluntarily and without expectation of any tangible compensation.

Government-Furnished Property (GFP)

Property furnished (loaned) by the federal government for use on a specific sponsored research project.

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H

Historic Property

Three-dimensional objects including furnishings, art objects and items of personal property which have historic significance. This designation does not include paper, electronic or other media that are classified as public records.

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I

Indirect Cost

The administrative and overhead costs associated with a sponsored research project and not charged as direct costs to the contract or grant fund.

Infrastructure

Long-lived capital assets such as streets, bridges, culverts, water distribution piping, etc., that are a part of a network of assets that can have a service potential for an extended period and that are normally stationary.

Initial Scan

Room-to-room scan of every OSU asset label encountered (see also first- pass scan).

Inventory Number

A unique asset number assigned to each asset or piece of equipment on the inventory.

Inventory Record

An electronic record of specific standard information maintained for each piece of equipment.

Investment in Plant

A Banner FIS account used with a particular fund behind the scenes to record value increases and decreases to fixed assets.

IOTB

Improvement Other Than Building.

IPE

Industrial plant equipment.

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J

K

L

Lease

An agreement for the right to use property for a specified period at a specified cost. Title remains with the lessor. At no time does the lessee build equity in the property.

Lease/Purchase

An agreement for the right to use property for a specified period at a specified cost. During the term of the lease, the lessee builds equity at a specified rate so that, at the end of the lease period, the lessee has the option of purchasing the property at a specified amount. Title to the property remains with the lessor until the lessee exercises the option to purchase.

Loaned Equipment

Property provided by an outside party for use by the institution for sponsored project or research-related activities; title to the property does not pass to the university.

Location Code

The Banner FIS code from the chart of accounts that identifies building and room number.

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M

Manual Inventory

A physical inventory conducted without bar-code scanners.

Master Copy

The copy of the inventory report to be signed by department head and returned to Property Management.

Minor Equipment

Property meeting the equipment definition except that it has a unit value of less than $5,000. See also "non-capital equipment."

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N

NASA 1018

National Aeronautics and Space Administration form used for reporting value of NASA-owned property in various categories annually.

Negative Report

Reporting that we have no records that meet the information characteristics requested (e.g., reporting to the Department of Defense that we have no agency-owned property accountable to a particular contract).

Net Book Value

The original cost of an asset less accumulated depreciation.

Non-Capital Asset

An asset that does not meet all the criteria for a capital asset, also called minor equipment. See also "expendable asset".

Non-Capital Equipment

Same as non-capital asset.

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O

OMB

Acronym for Office of Management and Budgets (U.S. Government).

ONR

Acronym for Office of Naval Research (U.S. Government).

Organized Storeroom

A segregated and controlled storeroom for supplies distributed outside the department; annual expenditures of $150,000 or value at any time of $50,000.

O-Tag

Origination tag. A unique identifier for the temporary master record created in Banner for an asset. This record is either converted to a permanent asset record or is attached to a permanent record.

OUS

Acronym for Oregon University System. Formerly OSSHE.

Ownership Code

The code on an asset record indicates whether the asset is owned by OUS, the federal government, an employee or another person or agency.

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P

PDR

Acronym for Property Disposition Request, used to request approval to remove an asset from the inventory.

Personally Owned Equipment

Equipment owned by a university employee or other private party from whom the university employee has received proper and valid authorization for use.

Personal Property

Property that is not real property (meaning real estate): movable or fixed equipment, minor equipment, supplies, etc.

Physical Inventory

A periodic inspection of everything in an inventory that includes a review of the condition - for equipment/fixed assets, physical inventory includes reconciling to the asset records.

PI

Principal investigator.

Pick-up Request

Worksheet filled out to request that property be picked up by the Surplus Property Office for disposal.

Principal Investigator (PI)

The primary person under whose name a grant or contract is awarded; the person responsible for the research and the appropriate management of award funds.

Property Control System Analysis

A biennial audit of OSU's property management system conducted by the office of Naval Research.

Property Disposition Request (PDR)

A state form used to request approval to remove an asset from the inventory.

Purge

To remove from the asset inventory items that no longer meet the equipment definition.

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Q

R

Real Property

Land and permanently affixed buildings and improvements.

Release Date

The date on which a sponsoring organization releases its interest in equipment acquired for a research project to OSU; in effect, the date they transfer equipment title to OSU.

Responsible Org or Organization

The departmental organization code used to identify what department and/or sub-group within a department is accountable for an asset.

Retired

Deleted from the property control system.

Room Number

The four-digit room number plus alpha room suffix, if any.

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S

Salvaging for Parts

Taking components from a piece of (usually outdated or non-functional) property for use in one or more other pieces of property (see also "cannibalize").

Scanners

Bar-code reading devices used to record inventory numbers and room locations for the biennial asset inventory.

Screening

To see if property is available from another source before purchasing it.

Software

The entire set of programs, procedures, and related documentation associated with a system, particularly a computer system. The Oregon Executive Department ruled in 1992 that software purchases should be considered a license, not a tangible asset. Software is only inventoried if the actual source code is purchased, and the value is above the asset threshold of $5,000. The only exception is software purchased for auxiliary or service departments, although the amortization schedule for these 'licenses' should be two to five years (depending on the expected useful life) instead of the standard five years.

SPD

Surplus Property Declaration and Pick-Up Request form used to transmit property to Surplus Property Office for disposal.

Sponsored Project

A research project funded by a sponsor outside of OSU.

Sponsoring Agency

The organization, usually a federal agency, that has supplied funds for sponsored research.

Sponsoring Organization

An organization supplying funds to OSU for a sponsored research project.

State Price Agreements

Contracts with vendors for merchandise utilized by OSU and other state agencies that include discounted prices.

STOP (Security Tracking of Office Property) Tag

Stop tags are tamper-proof security plates with a barcode and indelible tattoo. The tags are pre-printed with information that ownership of the property is permanently monitored, and explains that a police traceable tattoo is beneath the plate. Once applied to a piece of property it takes approximately 800 lbs of pressure to remove the tag. If the tag is successfully removed, it leaves a 'tattoo' on the asset with the words 'Stolen Property' and a telephone number. In the event of a loss, the police can easily identify recovered property and return it to its rightful owner. These tags are ideal for equipment that cannot be cabled down, or may be in a location that cannot be adequately secured. Laptops, projectors and small or easily portable property are excellent candidates for STOP Tags.

The STOP tag program is being coordinated by the Department of Public Safety. Tags are available at a minimal cost and Public Safety staff will apply the tags. Please call (541) 737-3010 for more information. See the STOP THEFT - Campus Security program (pdf format) for additional information.

Straight-Line Depreciation

A method that allocates an equal amount of an asset's net cost to each period of its useful life. Useful life, by asset category type, has been determined by the State of Oregon.

Sub-Account

A 2-digit code that may be recorded in the Banner Fixed Asset record to break down a department's inventory into smaller sub-groups. The code is recorded under the "make" field in the asset record. Also referred to as "PI Code".

Supplies

Expendable property, non-capital assets, and other minor equipment not meeting the capitalization threshold.

Surplus Property

Property not needed by a department within the University. Surplus property includes all excess items and materials other than items that would be typically disposed of in a wastebasket, such as scrap paper, consumed pencils and pens, etc.

Surplus Property Pickup Request

A form used to list equipment and supplies no longer needed by a department. The Surplus Office reviews this form and schedules an appointment for removal.

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T

Tag

A permanent identifying label or decal attached to a piece of equipment

Title

Legal ownership of property

Title-To Code

FIS Banner fixed asset field that identifies who has title to an asset, and whether OSU insures the asset-see also "ownership code."

Trade-in

Providing a vendor with a piece of used property in return for a credit on the purchase of a piece of new property.

Transfer

The act of changing what department or organization is responsible for an asset.

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U

Un-Scanned items

Assets not scanned with the bar-code scanner during the physical inventory.

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V

W

Write-up

An equipment inventory entry to increase the value of a particular asset to its market value at the time of acquisition.

X Y Z

003: List of Exhibits

Property Management Policy & Procedure Manual
Section 000: Introductory Material
Effective: 07/01/1996
Revised: 05/27/2003

Ex1: Creating an Asset Record from a Banner Invoice

Property Management Policy & Procedure Manual
Section 000: Introductory Material
Effective: 07/01/1995
Revised: 10/16/2012

Issuing a Banner FIS purchase order with a Capital account code

When an on-line purchase order is issued using the 40XXX account code (see PRO 202: Purchases), the Document Level Accounting flag must be set to null, which changes the PO to Commodity Level Accounting. This ties an accounting distribution to each commodity on the purchase order. When commodity level accounting is used, the accounting information and commodity value information feeds into the invoice and the Fixed Asset system ‘origination’ tag file (see below).

Issuing a Banner FIS invoice with a Capital account code

When payment is processed against a Purchase Order, the invoice defaults to the commodity level of the original document. If a direct-pay invoice is processed for equipment, it must also be processed on commodity level accounting with a 40XXX account code for each commodity that creates a fixed asset. The data from each commodity line automatically feeds into the fixed asset module, creating a temporary record (see Origination Tag, below).  The invoice must have text providing information from which the asset record will be completed.  This includes:

If more than one asset is purchased on an invoice, information must be provided for each asset. Additional basic information for assets acquired on federal funds include quantity received, unit price and unit of measure, posting reference and date of transaction (see FAR 45.505-1). This information defaults into the asset record from the Banner FIS Invoice.

NOTE: When a capital asset and other items (supplies or minor equipment) are being purchased on the same invoice, care must be taken in the setup of the commodity line. The capital asset should have its own commodity line, and the related funding line should have only one account code - 40XXX. If the related funding line for a commodity is mixed between 40XXX and another account code, the asset record doesn't feed into the fixed asset module properly and the resulting origination tag must be disposed of, then recreated and capitalized.

Sample Text From a FIS Banner Invoice

Image of Sample Text from a FIS Banner Invoice

Source of Funding

An asset may be purchased on multiple indexes as long as all funding sources default to a title code of SI (State-owned, insured). If the asset is purchased on a grant or contract that restricts ownership, then the entire purchase must be funded by that source. An asset may have accountability to only one grant or contract at a time.

Funding Distributions

Assets purchased on multiple funds will reflect those funds in the asset record. If multiple assets are purchased on an invoice with multiple indexes, and each asset is being purchased by a specific index, a commodity line must be created for each asset and tied directly to the specific index.

Origination Tag

Each commodity line from a FIS Invoice with a 40XXX account code creates a temporary record in the fixed asset module. This record is called an 'origination' tag (or 'O-tag'). The record number begins with a 'T' followed by 7 digits, and is the basis for creating the asset record. An origination tag must be created for each asset purchased on an invoice. It is no longer acceptable to issue a purchase order or invoice for 'one lot'. This will necessitate either one commodity line per asset, or multiple units under quantity if several of the same item are being purchased. (An O-tag is created for each unit when the quantity is more than one.) Property Management converts the O-tag number into a 6-digit inventory number and completes the inventory record with the information provided in the invoice text.

Attachments

An attachment is defined as a piece of equipment that is integral to the parent asset (they become one). When processing PO's and invoices the value of such items should be combined with the value of the parent, rather than listed separately. On occasion such pieces are backordered causing multiple invoices for one asset. In these cases, account code 40199 (Equipment Under Construction) should be used for all invoices. When all pieces have been received and payment processed, a journal voucher should be processed moving the cost to 40XXX. The journal voucher should have the necessary text to create the asset record. See PRO-Ex2: Completing a Journal Voucher for information on 'fabricated equipment'.

Freight and other capitalized expenses

As per the OUS policy defining an asset, shipping costs may be included in the capital value of an asset if the charges exceed $25. Installation costs should also be included in the capital value of the asset.

Since information from the PO/invoice feeds the Fixed Asset Module, the information should correctly reflect the physical reality of the asset. Shipping and installation charges should not be set up as commodity lines on the invoice. Instead they should be entered as 'additional amounts' to the primary unit.

Service Centers and Auxiliaries

The invoice payment process is a little more complex for service centers and auxiliaries. Please see the instructions in PRO 202: Purchases for the correct method.

Ex2: Completing a Journal Voucher

Property Management Policy & Procedure Manual
Section 000: Introductory Material
Effective: 07/01/1995
Revised: 05/22/2006

Fabricated Assets:

  • Fabricated equipment meeting the capital asset definition for OSU, or the threshold of the research sponsor funding the fabrication, must be recorded on inventory. (See PRO 210: Fabrication)
  • During fabrication, costs are accumulated under 40199.  When the asset is completed and put into use, costs are redistributed to 40101.
  • If the asset's construction isn’t finished within the first fiscal year, the expenses must be distributed to 40101, but left as a non-complete, non-depreciating record.
  • When finally completed additional invoices are redistributed to 40101 with text to add to the value of the record and provide an in-use date or date of completion.
  • Multiple invoices can be redistributed on one JV, and only two accounting lines are required, one crediting 40199 and one debiting 40101.  The invoices being corrected should be listed in the text.
  • The text field must contain all the necessary information to create the asset record, including the start date of construction.  (This may not precede the start date of the grant or contract funding the fabrication.)  See PRO-Ex1 for required text. 
  • On a constructed asset, the manufacturer would be ‘OSU Construction’ and there would be no model or serial numbers.  However, if any parts have unique numbers, these can be added as serial numbers for identification of the asset.

Note: Account code 40199 should be used any time there will be multiple payments for a single asset.  Situations may include:

  • A vendor requires a prepayment,
  • Parts may be back-ordered and invoiced separately,
  • Freight may be invoiced separately.

Other Journal Voucher Entries on Account Code 40101:

Any journal voucher crediting or debiting the 40101 account code must have text explaining what action is being taken and referencing the inventory number of the asset affected.  If an inventory number has not yet been assigned, the original Invoice number used to purchase the asset should be referenced instead.

Image - Sample Journal Voucher

Ex3: Fixed Asset Data Entry (FADE) Form

Property Management Policy & Procedure Manual
Section 000: Introductory Material
Effective: 07/01/1995
Revised: 09/10/2007

An item acquired by donation, transfer-in from another institution, loan, lease, or purchased on Agricultural Research or OSU Foundation funds (any method other than through FIS Banner) must be added to inventory if the value meets the capital threshold and/or the item must be insured by OSU. 

A Fixed Asset Data Entry form should be completed and submitted to Property Management for each item.  This form documents the same information that would ordinarily be provided in Banner for the completion of the asset record. 

  • New or Change: Check “New”
  • Cond: Check the condition code that best describes the item.
  • Status: Check the status code that best describes the current status of the asset.
  • Asset Tag Number: Leave blank.
  • Component of: Enter Asset tag number if this item is a component of another unit.
  • Description: Complete description of the asset, generic or common noun first.
  • Department: Department responsible for asset.
  • Orgn Code: Enter the organization code for the owning department.
  • Location: Building and room number or appropriate Bldg/Room code.
  • Sound Value: Market value of item (equipment that isn’t purchased should be appraised for its current fair market value).
  • Replacement Value: Replacement value, if different from sound.
  • Book Value: Same as sound value. Note: Only OSU-owned items have a book value – i.e. they are added to the investment in plant.
  • Insurance Value: Amount item should be insured for, if different from Replacement value.
  • Title-to: Check the appropriate title code designating ownership and insurance.
  • Percent Used: Fill in the amount of time that the asset will actually be used.
  • Banner PO: Leave blank.
  • Banner Doc: Leave blank.
  • Manufacturer: Fill in manufacturer’s name.
  • Model: Fill in manufacturer’s model number.
  • Serial Number: Fill in manufacturer’s serial number.
  • Grant or Contract: Fill in if appropriate (government furnished property is usually accountable to a current award).
  • How Acquired: Check the acquisition code that describes the method of acquisition.
  • Functional Use Code: Enter the use code that describes the primary use for the asset.
  • Responsible Person: Full name of the person responsible for the asset.
  • PI Code: Enter the two-digit code to identify responsibility (if used).
  • Rec’d Date: Enter date received (date OSU became responsible for the asset).  Leave tag date blank.
  • In Use Date: The date the asset is put into service. This will be the depreciation start date for the asset. 
  • Asset Funding Source: Leave blank.
  • Explanation: Explain reason for transaction, or note any information that should become part of the asset record.
  • Requestor Name: Name of person submitting the form.
  • Requestor Phone: Phone number of person submitting the form.
  • Date: Date of request.

Note:   This form may also be used to update information in the asset record.  In this event, check the "Change" box at the top of the form, enter the inventory number of the asset to be updated under "Asset tag #" and then fill in the appropriate line with the correcting information.  Be sure to complete the "Requestor” section.

Fixed Asset Data Form with Sample Data

Image - Fixed Asset Data Form with Sample Data

Ex4: Fixed Asset Transfer Form

Property Management Policy & Procedure Manual
Section 000: Introductory Material
Effective: 07/01/1995
Revised: 09/10/2007

Transfer From One Responsible Organization (Org) To Another

The asset transfer form is used to transfer assets from one responsible Org to another or to correct a department's Org code, should it change. Asset transfers between departments require signatures from both the requesting and the receiving parties.

  1. [ ]Org or [ ]Sub-Org Only or [ ]Locn Only: Check "Org."
  2. Asset Tag #: Enter the asset number of the item to be transferred.
  3. Transfer From Org: Enter the Organization code for the department currently responsible for the asset.
  4. Transfer from Sub-Org: Enter the two-digit code for the Principal Investigator (PI), if any.
  5. Transfer from Locn: Enter the Location code currently showing on the asset record.
  6. Transfer to Org: Enter the NEW Organization to which the asset is being transferred.
  7. Transfer to Sub-Org: Enter the NEW two-digit code for the PI, if any.
  8. Transfer to Locn: Enter the NEW Location code for the item.
  9. Reason for Transfer: Enter the reason the request is being made.  If a transfer of funds is involved, include the journal voucher number.
  10. Text Comments: If other information should be appended to the text field of the asset record, enter it here, including the name of the new person responsible for asset.  Identify which asset record the text should be added to if more than one asset is being transferred on the same form.
  11. Requestor: Type or print the name of the person requesting the transfer, and have them sign above their typed name.
  12. Phone: Enter the Requester's phone number
  13. Date: Enter the date of the request.
  14. Receiver: Type or print the name of the person signing for the property in the new Organization (could be responsible person, department inventory coordinator, or department head), and have them sign above their typed name.
  15. Phone: Enter the Receiver's phone number.
  16. Date: Enter the date responsibility was accepted.
  17. Property Mgmt: Leave blank.  Property Management will sign and date when the transfer is entered into FIS Banner.

Departments may also use this form to correct locations or PI codes.

Fixed Asset Transfer form with sample data.

OSU Equipment Inventory

FIXED ASSETS TRANSFER FORM

REV 9/97

[X] Orgn          [  ] Sub-Org Only          [  ] Locn Only

                                            Transfer From                                        Transfer To

 

 

Asset Tag #

 

Org

 

Sub-Org

 

Locn

 

Org

 

Sub-Org

 

Locn

 

Reason for Transfer

1

309512

300600

00

AD205

301300

07

AP315

Move to Electrical & Comp Engr

2

309513

300600

00

AD205

301300

07

AP315

“  “   “   “   “   “

3

309514

300600

00

AD205

301300

07

AP315

“  “   “   “   “   “

4

 

 

 

 

 

 

 

 

5

 

 

 

 

 

 

 

 

6

 

 

 

 

 

 

 

 

7

 

 

 

 

 

 

 

 

8

 

 

 

 

 

 

 

 

9

 

 

 

 

 

 

 

 

10

 

 

 

 

 

 

 

 

11

 

 

 

 

 

 

 

 

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TEXT COMMENTS:  These computers were in a lab that has been updated with new equipment. Computers have been made available to Elect & Comp Engr for graduate student use.  Responsible faculty member is Joshua Wagner.

Requestor:        Melody Bonner                    Receiver:        Chas Tackler                    Property

Phone: 7-9999     Date: 3/21/02      Phone: 7-9595   Date: 3/22/02   Mgmt:  ___

Ex5: Property Disposition Request Form (PDR)

Property Management Policy & Procedure Manual
Section 000: Introductory Material
Effective: 07/01/1975
Revised: 05/22/2006

The PDR form is used to remove assets from inventory.  Property Management will complete a PDR for any asset disposed of through the Surplus Property program.  Property Management will also prepare PDRs for assets released by Contract sponsors that do not meet OSU’s capital threshold.  For other types of disposal; departments should complete this form, attach any necessary documentation, and forward to Property Management.  See PRO 800: Equipment Disposal for additional information on the disposal of OSU equipment.

  • Type of Request: Check appropriate box.
  • Department: Type department’s name.
  • Agency No.: Type “580-300.”
  • Unit or Division: Type “Oregon State University.”
  • Date: Type the month, day and year the disposition is being initiated.
  • Prop. Tag #: Leave blank.
  • Inventory Number: Type the asset number.
  • Quantity and Unit: Usually “1 Each.”
  • Description, Location . . etc.: Type the following information from the asset record: Description, Manufacturer, Model, Serial number, Responsible Org number, Title-to code, How Acquired code, present location, and current condition code.
  • Year Acquired: Type the year from the “Received Date” field of the asset record.
  • Estimated or Inventory Value: Type the “Total Net Book Value” from the asset record. This is the depreciated value.
  • Resale Price: For trade-ins enter the value of the credit offered by the vendor.
  • We certify that the above is correct...: Explain the disposition of the asset.
  1. Trade-In: include the vendor name, purchase order number if available, amount of trade-in credit, and a brief description of the new item being purchased.
  2. Lost or stolen property: explain the circumstances of the loss and include the police case number, if any.  Attach a copy of the State Self Insurance Claim Report form (pdf).
  3. Return to owner: include information on who the property has been returned to.  Attach a copy of the written instructions if property is returned to a third-party.
  4. Transfer to another state agency: include specific information on the person and agency receiving the equipment, including address, telephone number and contact information.
  5. Cannibalization: include information on the circumstances – was the unit non-functional?
  • Signature of Accountable Person: Signature of the responsible person from the asset record, or signature of the departmental inventory coordinator.
  • Date: Date signed by Accountable Person.
  • Phone No: Accountable Person’s phone number.
  • Signature of Department Head: Signature of the department head or designee.  Must be someone other than the person who signs as the "Accountable Person".  NOTE: OUS requires the signatures of two different signers (people) to sign the PDR
  • Date: Enter the Date when Department Head signed the document.

Note:   Do not type or write in the lower one-third of the form below the two signature blocks.  Numbered Sections 1 - 4 are completed by Property Management.

disposition

 

Ex6A: Intra-Departmental Equipment Loan Agreement

Property Management Policy & Procedure Manual
Section 000: Introductory Material
Effective: 07/01/1975
Revised: 01/25/2011

The Intra-department equipment loan agreement is used to authorize and record the off site OSU-related use of university-accountable property. The form should be completed and signed by the borrower and the department head before the property leaves its university location. The original form is to be filed by the department; a copy should be forwarded to Property Management.   See PRO 701-01: Loaned Equipment To Employees for additional information on this type of loan agreement.

Complete the form as follows:

  • Borrower: Enter the name of the person borrowing the equipment.
  • Title: Enter the faculty rank or position.
  • Off-Site Location: Enter the primary location where the property will be kept.  Note: some equipment will not be kept at a specific location, but will accompany the employee on business.
  • Justification for off-campus use: Explain why the equipment is needed off-campus.
  • Inventory # (if applicable): Enter the inventory numbers of the equipment that will be removed from campus.  If the item is not capital equipment, enter “none”.
  • Description (include model#, serial# & condition): Enter identifying information for each piece of equipment that will be used off-campus.
  • Borrower’s Signature: Employee must sign the form acknowledging that they have read the form and will abide by the terms of the agreement.
  • Date: The employee should date the form.
  • Department Name: Name of the Department responsible for the equipment.
  • Period of Authorization (not to exceed two years) From and TO: The beginning and ending dates of the loan agreement.  Equipment should not leave campus until this form is completed.
  • Insurance: The department must complete the statement at the bottom of the form noting who will be responsible (Borrower or Owning Department) for; (1) the deductible, should the equipment be lost, stolen or damaged while in the custody of the borrower, and (2) any loss or damage due to perils not covered by the State insurance fund.
  • Department Head Signature and Date: The Department Head must sign and date all loan agreements.

The Form can be downloaded from the Business Affairs web site.

Intra-Department Equipment Loan Agreement for Employees with Sample data

Image - Intra-Department Equipment Loan Agreement for Employees with Sample data

Ex6B: OSU Equipment Loan Agreement

Property Management Policy & Procedure Manual
Section 000: Introductory Material
Effective: 07/01/1975
Revised: 05/22/2007

Occasionally OSU property may be loaned to other universities or research institutions in support of cooperative research or some other cooperative activity.  Departments should contact the Property Manager (541-737-7350) for assistance in evaluating equipment to determine whether it qualifies for such a loan.  Any equipment qualified for loan should be recorded on this form.

Page 1:

NAME/ADDRESS (top of page): Type the name and complete mailing address of the institution borrowing the equipment.

Equipment Loan Agreement form with sample data (page 1)

Image - Equipment Loan Agreement form with sample data (page 1)

Page 2:

To Be Completed by Borrower:

  • Institution: Enter name of Institution
  • Address: Enter complete mailing address of institution.
  • Telephone/Fax: Enter the telephone and fax number for the contact person at the institution. (This should be a person in the Contracts or Property Management Office of the other institution.)
  • Email: Enter email address for the contact person at the institution.
  • Printed Name/Title: Enter the name and title of the primary contact at the institution.
  • Signature: Signature of the primary contact at the other institution.
  • Signature (PI/Borrower): Signature of the person who will be physically responsible for the equipment while on loan.

To Be Completed By OSU:

  • Department: Enter name of department responsible for the equipment.
  • Address: Enter the location for the department (building/room number for on-campus department or mailing address for off-campus department).
  • Telephone/Fax: Enter the telephone and fax numbers for the primary contact person in the department.
  • Departmental Contact: Enter name of the person coordinating the loan.
  • Signature (Dean, Director): Signature of Dean or Director authorizing the loan.
  • Signature (V.P. for Research): The Vice President for Research must sign off if equipment valued in excess of $25,000 is loaned to another institution.
  • Signature (Property Management): Signature of Property Management staff approving the loan.

List of Equipment on Loan:

  • Description: Enter a complete description of the item or items to be loaned.
  • Inventory#: Enter the inventory number of any capital asset to be loaned.  (If non-capital, note “none”.)
  • Fund: Enter the fund code from the funding source page of the Fixed Asset Record, if applicable.
  • Purch MO/YR: Enter the month and year the asset was originally acquired.
  • Purch $ Amount: Enter the original acquisition cost of the equipment.
  • Title-To: Enter the title code from the asset record.
  • Equipment Condition: Enter the code from the asset record, or note the current condition of the asset.

Statement of cooperative activity: Enter a brief explanation of the cooperative activity and how it will benefit OSU.

Date equipment will be removed: Enter the date the equipment will leave OSU.

Date equipment will be returned: Enter the date the equipment will be returned. This date should not exceed two years, although renewals are possible with the approval of all parties.

Equipment Loan Agreement form with sample data (page 2)

Image - Equipment Loan Agreement form with sample data (page 2)

Ex6C: Personal Property Loan Agreement

Property Management Policy & Procedure Manual
Section 000: Introductory Material
Effective: 07/01/1996
Revised: 05/23/2007

This agreement is used when property is loaned to OSU.  The completed agreement and signed exclusions page should be forwarded to Property Management.  If the property will be in OSU’s custody for more than 90 days and is to be insured by OSU, a completed Fixed Asset Data Entry (FADE) form should be attached as well.

Page 1

  • Lender: Enter full name of individual or organization loaning the property to OSU.

Personal Property Loan Agreement with sample data (page 1)

exhibit6c

Page 2

To Be Completed By Lender:

  • Name: Enter full name of individual or organization loaning the property to OSU.
  • Address: Enter mailing address of lender.
  • Telephone: Enter phone number of lender.
  • Date Object(s) Will Arrive: Enter month, day and year the property will arrive at OSU for loan.
  • Date Object(s) Will Be Removed: Enter month, day and year the loan will terminate, not to exceed two years from the day the property arrives.
  • Title of Exhibit (if any): Enter title, if loaned item is displayed.
  • Name & Telephone of LENDER’s Insurance Co.: Enter name and phone number of the insurance company that insures the lender’s other personal property (either corporate or homeowner’s insurance).
  • Will LENDER’s Insurance Company Cover Object(s)?: Check “Yes” if the lender’s insurance will insure the property while it is loaned to OSU; check “No” if the lender’s insurance will not insure the property while it is loaned to OSU.

To Be Completed By OSU:

  • Department: Enter OSU department borrowing the equipment.
  • Address: Enter address of the OSU department borrowing the equipment.
  • Telephone: Enter departmental phone number of the department borrowing the equipment.
  • Contact Person: Enter name of person coordinating the agreement for the OSU department borrowing the equipment.
  • Is Insurance To Be Provided By OSU?: Check “Yes” if OSU is expected to insure the property, and “No” if OSU is not expected to insure the property.
  • If yes, explain. . .: Follow instructions on the form.

Listing of Object(s) on Loan:

  • Description: Enter complete description of property on loan (i.e., common or generic noun, manufacturer, model number, etc.).
  • Serial number or ID No.: Enter manufacturer’s serial number or lender’s identifying number, if marked.
  • Estimated value: Enter replacement value supplied by lender.
  • Identification Numbers: Enter manufacturer serial number or other identifying number.
  • Condition on Arrival at OSU: Enter lender’s and borrower’s estimate of condition.
  • Examined By: Enter name of OSU employee who examined equipment and verified condition, identification numbers, etc.
  • Title: Enter position title of OSU employee who examined equipment.
  • Date: Enter date equipment was examined.
  • LENDER: Legal signature of lender, and date of signature.
  • Property Management: Signature of Property Management staff approving the loan.

Personal Property Loan Agreement with sample data (page 2)

TO BE COMPLETED BY LENDER:

Name:____ELLEN HELMRICK__________________

Address:1450 NW Grant Ave.,Corvallis, OR 97330

Telephone:      (541) 752-7722                      

Date Object(s) will arrive at OSU:    01/05/02    

Date Object(s) will be removed:     05/31/02      

Title of Exhibit (if any):__________________________________

Name & Telephone number of LENDER’S Insurance Co.

  State Farm Insurance Co., (541) 758-6767  

Will LENDER’S Insurance Company cover object(s)?

Yes:___________ No:             X              .

TO BE COMPLETED BY OSU:

Department:          FORESTRY                         

Address  104 Peavy Hall                               

Telephone:        (541) 737-4047                        

Contact Person:       Eileen Gibby                     

Is insurance to be provided to OSU?  Yes X No __

If yes, explain what direct or material benefit will accrue to OSU by the loan of this object(s). If personal property is being loaned to OSU for on-the-job use by LENDER, explain why OSU does not provide the equipment.

  Equipment is not available within the department   and is only needed for a short term project.                                                                   

LISTING OF OBJECT(S) ON LOAN:                

Description / Manufacturer / Model         Serial or ID No.      Value         Condition on Arrival at OSU

 

Cassette Recorder, Mitsubishi HS-U54, s/n U54009188M____$499.00___________Good_________

_Camera, Olympus 35mm SLR, s/n N/A___________________$250.00___________Good_________

____________________________________________________________________________________

____________________________________________________________________________________

Examined by:___Eileen Gibby_____________       Title:_Office Specialist II               Date:__01/03/02____

LENDER has read the Department of General Services, Policy Manual, “Exclusions” to insurance provided by OSU and understands what is not covered.  The parties have caused this Agreement to be executed as of the date of the last signature.

____Ellen Helmrick____________01/03/02      _______________________________________
LENDER                                   Date                 PROPERTY MANAGEMENT             Date

NOTE: If OSU agrees to provide insurance, agreement must be signed by OSU Property Management.  Send to Property, Contract & Risk Management, 644 SW 13th Street, Corvallis, OR 97333-4238). Direct questions to Property Management at 737-7350.

 

Page 3

Personal Property Loan Agreement with sample data (page 3)

page3

Page 4

  • Signature: Legal signature of lender, and date of signature.
  • Typed or Printed Name: Enter full name of lender, typed or printed.
  • Telephone Number: Enter telephone number of lender.

Personal Property Loan Agreement with sample data (page 4)

page4

Ex7: OSU-Owned Equipment Lease Agreement

Property Management Policy & Procedure Manual
Section 000: Introductory Material
Effective: 07/01/1996
Revised: 05/22/2006

Occasionally OSU leases OSU-owned equipment to outside organizations.  Equipment proposed for such lease agreements must be reviewed by the Property Manager to determine whether it is eligible for lease.  Once verbal approval is given for the lease, the form should be completed as indicated below and forwarded to Business Services for approval of the Contracts Office.  See PRO 702 Leased Equipment for more information on leasing OSU property.

Page 1

  • LESSEE: Enter the complete name of the organization leasing the equipment from OSU.
  • LESSEE agrees to provide OSU with the following compensation: Enter the money, goods or services the lessee is providing OSU in exchange for use of the equipment.
  • LESSEE shall return . . . address: Enter the OSU address to which the property should be delivered at the conclusion of the agreement.
  • OTHER: Enter any other terms desired for this particular agreement (subject to contract officer’s approval).

OSU-Owned Equipment Lease Agreement with sample data (page 1)

Image - OSU-Owned Equipment Lease Agreement with sample data (page 1)

 

Page 2

To Be Completed By Lessee:

  • Company Name: Enter name of company leasing the equipment.
  • Street Address: Enter address of company leasing the equipment.
  • City/State/ZIP: Enter City/State/Zip portion of lessee company address.
  • Contact Person: Enter person responsible for the lease at the lessee company.
  • Email: Enter email address of contact person at the lessee company.
  • Telephone/Fax: Enter phone and fax number of the contact person at the lessee company.
  • Date equipment will be picked up from OSU: Enter month, day and year.
  • Date equipment will be returned to OSU: Enter month, day and year equipment will be returned (not to exceed two years from the date equipment is picked up from OSU).

To Be Completed By OSU:

  • Department Name: Enter name of the OSU department responsible for the equipment being leased.
  • Address: Enter department mailing address.
  • Contact Person: Enter OSU employee in the owning department responsible for coordinating the lease.
  • Email: Enter email address for the departmental contact.
  • Telephone: Enter phone number of the OSU Contact Person.
  • Department Head (Print): Enter name of Department head.
  • Department Head Approval Signature: Enter signature of department head or chair approving lease.

List of Property on Lease

  • OSU INV Number: Enter asset inventory number of the item being leased.  (If none, write “none”.)
  • Description: Enter complete description of property on lease (i.e., common or generic noun, manufacturer, model number, serial number, etc.).
  • Value: Enter replacement value of the item from the asset record.
  • Receiving Inspection Date/Condition: Date the lessee inspected the property after receiving it, and condition of the property when inspected by the lessee.
  • Examined for LESSEE by: Enter name of Lessee representative who examined the property, and date of examination.
  • Returning Inspection Date/Condition: Enter date OSU inspected the property after its return, and condition of the property when inspected by OSU.
  • Examined for OSU by: Enter name of OSU representative who examined the property, and date of examination.
  • LESSEE: Enter signature of an authorized representative of the Lessee organization agreeing to the terms of the agreement, and date of the signature.
  • OSU CONTRACT OFFICER: Leave blank. The Contracts Office will sign this agreement when approved.

OSU-Owned Equipment Lease Agreement with sample data (page 2)

BE COMPLETED BY LESSEE:

Company Name:          Paradise Farm, Inc.         

Street Address:        88000 Hwy 101, Box 298    

City/State/Zip:             Florence, OR  97444      

Contact Person:         Roy  Cob                        

E-mail:              cobb@aol.com                         

Telephone: (541) 786-2259  Fax:(541) 786-2529   

Date equipment will be picked up from OSU:

                       5/14/02                    

Date equipment will be returned to OSU:

                      6/13/02                     

TO BE COMPLETED BY OSU:

Department Name:    Food Science & Technology 

Address:     100 Wiegand Hall                            

Contact Person:              Annie Avery                

E-mail:          annie.avery@orst.edu                   

Telephone:        (541) 737-6485                       

Department Head (Print):  Robert McGillicutty     

Department Head (Signature):Robert McGillicutty

LIST OF PROPERTY ON LEASE:
                                                                            Receiving                Returning
OSU INV                                                                Inspection               Inspection

NUMBER     Description (w/Model & Serial Numbers)    Value    Date/Condition     Date/Condition

 313218     Blentec Mixer, m/n DM10028-JDV, s/n 94092               $10,650.00           Good         

__________________________________________________________________________________

__________________________________________________________________________________

__________________________________________________________________________________

__________________________________________________________________________________

(Additional items may be included on attached sheet)                     Examined for     Examined for
                                                                                              LESSEE by        OSU by

                                                                                             John Good
                                                                                                5/14/02        __________
                                                                                            Name/Date         Name/Date

The parties have caused this agreement to be executed as of the date of last signature:

                                                          OSU Contract
LESSEE:_____Roy Cobb      05/10/02            Officer_______________________________________
                           (Name/Date)                                                 (Name/Date)

 

Ex8A: OSU Surplus Property Pick-Up Request (SPR)

Property Management Policy & Procedure Manual
Section 000: Introductory Material
Effective: 07/01/1996
Revised: 05/22/2006

When university property (inventoried or not) is no longer needed by a department, an SPR form is completed and submitted to the Surplus Office.  If time is short, it may be faxed to 541-737-2170.  The Surplus Office will schedule a pick-up once the form is received. 

Page 1

  • Date: Enter the date the form is being completed.
  • Department: Enter department name (please do not use an acronym).
  • Contact person: Enter name of the person who is the primary point of contact in arranging for the pick-up.
  • Phone: Enter work phone number of the contact person.
  • Call before pick-up? [ ]YES [ ]NO: Check the appropriate box to let Surplus know if an appointment is necessary.
  • Inventory number: Enter the asset inventory tag number of the item, if any. If the item is not on inventory but has an old inventory tag on it, include the tag number anyway. If there is no tag number, put “none.”
  • Item Description: Enter the description beginning with a common noun (e.g., “computer” or “motorcycle” rather than “Personal” or “Honda”), and including any key information about internal or external components and model number and serial number, if any.
  • Does it Work? Y/N: Enter “Y” for yes or “N” for no.
  • Location (Bldg Name/Rm #): Enter the building name (not the number) and the room number where the property to be picked up is currently located.
  • Additional information/comments: If there is other information about this pickup, please put it here (e.g., “15-ft. python in room, enter with care”).  If there is insufficient space in this block for a message, leave the last few lines of "Item Description" blank and type the message there instead.
  • Property Management Use Only: Please leave this area blank.

Donations: If the department wishes to donate equipment to another agency or non-profit organization, the box at the top of the form must be completed.  Add the department name, the name of the authorizing Dean, Director or Department Head and the date. (The authorizing person must sign.)  The organization receiving the donation should be noted, along with address, contact name and telephone number.  If there is not enough room on the form, submit on a separate memo attached to the SPR.

OSU Surplus Property Pick-up Request with sample data (page 1)

Image - OSU Surplus Property Pick-up Request with sample data (page 1)

OSU Surplus Property Pick-up Request (page 2)

Page 2: If additional space is needed to list items for pick-up, complete this page and attached to Page 1.

Image - OSU Surplus Property Pick-up Request (page 2)

Ex8B: OSU Surplus Property Pick-Up Request - Online Worksheet

Property Management Policy & Procedure Manual
Section 000: Introductory Material
Effective: 01/01/2002
Revised: 05/27/2003

When university property (inventoried or not) is no longer needed by a department, this form is completed and submitted to the Surplus Office.  This form can be completed on-line and sent to the Surplus Office via the web or email, or can be printed and then faxed or mailed.  The Surplus Office will schedule a pick-up once the form is received. 

Screen 1:

Complete all fields:

  • Department Name (please spell out – no acronyms);
  • Contact Person;
  • Phone number;
  • Call before pick-up?  Y/N;
  • Email address of department contact.

Image

Screen 2:

  • Inventory number of item or “none”;
  • Item Description including generic noun and other identifying information;
  • Does it Work?  Y/N;
  • Location (Bldg/Room#).

A copy of the completed form should be printed and retained by the department.

Note:   This form cannot be used for donations because an original signature from a Department Head, Dean or Director is required.

Image

Ex9: Fixed Assets Data Structure

Property Management Policy & Procedure Manual
Section 000: Introductory Material
Effective: 07/01/1995
Revised: 09/10/2007

The Fixed Asset record now consists of 6 pages plus a text field.  Each page is a separate table in FIS Banner, which is why some information from page 1 repeats as a header on the following pages.  Here is a brief summary of the fields you may see on each page, and what they mean.  To look at an asset record in FIS, use query screen FFIMAST.

Fixed Assets Master Information                  (Page 1 of 6 of the Asset Record)

Image - Fixed Assets Master Information                  (Page 1 of 6 of the Asset Record)

Origination Tag #:  The temporary tag that FIS creates from the Invoice commodity information that feeds into the Fixed Assets module.   An Origination Tag is necessary for creating an asset record and can be created under a special function for an Asset acquired in any way other than a purchase (e.g., gift, transfer-in).

Origination Tag Date:  The date the Origination Tag is created in FIS.

Permanent Tag #:  The 6-digit OSU inventory number, which the Origination Tag is converted into.

Permanent Tag Date:  The date the Origination Tag is converted into a regular asset record with a 6-digit bar code inventory number.

Primary Tag #:  Used to identify the Parent asset for a subordinate record (either “component of” or “attached to”).

Subordinate Type:  There are three subordinate types: None, Component, and Attachment.

  • “None” indicates that the asset is not subordinate to another asset.
  • “Component” indicates that this asset works in conjunction with another asset as a system.  Components are ‘stand-alone’ capital assets and have their own 6-digit Permanent tag number.
  • “Attachments” are additions to a Parent asset.  They have a unique Origination Tag number, but have no Permanent tag number. They are linked in the FIS system to the Parent asset through this function.

System Status Code: This code indicates whether the asset is in use or disposed.  It also indicates the way the asset was acquired. 

  • “I” = Invoice
  • “N” = Non-Banner Procured Assets 
  • “G” = Gift
  • “L” = Loan
  • “D” = Disposed

Capitalization Indicator – a null field indicates an uncapitalized asset which is an asset not owned by OSU, and not included in the Investment in Plant.

Unit of Measure: The grouping by which the asset is inventoried, such as EA for Each.  This code is tied to the commodity code.

Text Exists:  Indicates whether or not information is recorded in the asset’s text field.  The text field can only be accessed from the Master Information page via the ‘navigate’ button.

Sample Asset Text Screen

Image - Sample Asset Text Screen

Tag in Use:  Indicates that some activity (adjustment or transfer) is in process affecting that asset record.

Gift Indicator: Indicates whether or not an item was gifted to the University.

Asset Description: The asset description, up to 60 characters, beginning with the generic or common noun.  This feeds directly into the asset record from the FIS invoice, and then is modified as needed.  Example: “Computer, Power Mac Model 8500/120 w/16MB.

Commodity:  This field now prompts off of the Purchase Order, and isn’t currently being used by Purchasing.  Disregard.

Asset Type:  This code comes from an OUS table and is used to group assets into broad, general categories (such as NO--non-expendable office furniture, NB--non-expendable laboratory equipment, etc.).  Each Asset Type is assigned a useful life, which drives depreciation on a given asset.

User Status Code:  Same as System Status Code.  Should be either “I” (in use) or “D” (disposed).

Insurance Value:  The value the asset is insured for.  This value is adjusted annually based on the Consumer Price Index.  If it is uninsured, or not owned by OSU and is insured by the owner, this value would be blank.

Market Value:  Market value of the asset, usually the same as Book Value.

Replacement Value:  What it would cost to replace the asset.   This value is adjusted annually based on the Consumer Price Index.    

Book Value:  The acquisition or fair market value of the asset. If the asset is gifted to OSU, the donor must set the value of the asset on the letter of acknowledgement.  Non-owned assets have no book value because they are not part of our investment in plant.

Cost:  Amount of initial commodity line from the invoice or invoices.  This field would also reflect the value if an asset was acquired as a gift.

Total Cost:  The total of all funding lines from the Parent tag & any Otags (attachments) to the asset record.

Net Book Value:  Total costs plus/minus adjustments to write-up or write-down the value of an asset, less depreciation. 

Total Net Book Value:  Total of parent record plus attachments, plus/minus adjustments and depreciation.

Fixed Assets Acquisition Information                  (Page 2 of 6 of the Asset Record)

Image - Fixed Assets Acquisition Information (Page 2 of 6 of the Asset Record)

Origination Tag:  Repeated from Page 1.

Permanent Tag:  Repeated from Page 1.

Acquisition Method:  This 2-character field is from an OUS table, and identifies how the asset was acquired (purchase, loan, gift, etc.) and, as applicable, the fund source (state, federal, other). 

Acquisition Date:   Date OSU gained title to the asset--typically this is the same as the date received, except for non-owned assets.

Make: This field is used to record the old FMS sub-account, PI, or LOC code number, which used to appear at the end of the inventory account.  It is a 2-digit code used to further sub-divide a department’s inventory below the level of responsible org. 

Model:  Manufacturer’s model number, if any.

Manufacturer:  This field is used to record the manufacturer of the asset, which is not always the same as the vendor in the case of third-party re-sellers.

Serial #/VIN:  Manufacturer’s serial number, if any, or vehicle identification number.

Part #/Vehicle Tag:  New field for a part number or a vehicle license plate number.

User Reference Number:  This field will be used for the Sponsor ID # for grants and contracts (the alpha-numeric grant or contract code the research sponsor uses to identify the research award on their records).  Research sponsors want this number to appear on any correspondence about the award.   The field can also be used for other information, like the Historic Property Number for antiques, or the name of the owner for equipment on loan to the university.

Barcode Number:  This field will not be used, as our barcode number is the inventory number.

In-Service Date:  Date the asset was put into service.

Last Inventory Date:  Records the date the asset was scanned during the biennial physical inventory.

Percentage Used:  The percentage of time the asset is actually in use.  This information is required by the state and by the federal government, to avoid unnecessary duplication of assets that could be shared.

Work in Progress: If the field is flagged (not null), the asset is currently under construction.

Condition Code: Current condition of the equipment. 

Title-To: This 2-character code comes from an OUS table and identifies who has title to the equipment.  It also shows whether or not the asset is insured (2nd character “I” means insured, “N” means not insured).

Disposal:  This 2-character code comes from an OUS table and identifies how the asset was disposed.  

Disposal Date:  Records the date an asset record is actually terminated.

Fixed Assets Procurement Information                  (Page 3 of 6 of the Asset Record)

 Image - Fixed Assets Procurement Information (Page 3 of 6 of the Asset Record)

Origination Tag:  Repeated from Page 1.

Permanent Tag:  Repeated from Page 1.

Vendor Code:  The data for this field defaults from the originating invoice.  The field includes the vendor code from the FIS vendor table, followed by the vendor name associated with that vendor.  The field is blank for records that cross-walked from FMS (the accounting system used prior to FIS Banner), or for assets acquired by means other than purchase.

Purchase Order:  Originating PO, if invoice was processed from a purchase order.

Purchase Item:  Not used.

Receiving Code:  Not used.

Received Date:  Date the department received the asset.

Invoice Code:  The payment document (e.g. FIS invoice or journal voucher, or the FMS check or journal voucher) used to pay for the asset

Invoice Date:  Transaction date of the FIS or FMS payment document referenced.

Invoice Item:  Not used.

Cancel Date:  Added by system when invoice is cancelled.

Credit Memo: Should always be null (N).

Installment: Should always be null (N).

Recurring: Should always be null (N).

COA (Chart of Accounts):  C = Oregon State University

Organization:  This code from the Organization Hierarchy Report (see FGRORGH) identifies the department responsible for the asset.  This is the ‘umbrella’ code for the entire department, not the subsidiary org code found in the FOAPAL line.  See list of current Banner Code: Organization Code on the Inventory Control web site.

Location:  The alphanumeric code that identifies the building and room in which an asset is located.  The first 2 characters of the code (prefix) usually identify the building, and the final three or four characters, the room number.   See list of current location code prefixes on the Inventory Control web site.

Grant:  This code comes from the chart of accounts for restricted funds, and is used to group together all indexes for a particular grant or contract.  

Custodian ID:  Employee Identification Number (EIN) for responsible person.

Equipment Manager:  Employee Identification Number (EIN) for departmental inventory coordinator.

Fixed Assets Funding Source Information                  (Page 4 of 6 of the Asset Record)

Image - Fixed Assets Funding Source Information (Page 4 of 6 of the Asset Record)

- -- -- -- -- -- -- -- -- -- Asset Funding Source -- -- -- -- -- -- -- -- -- --

CoA   Index    Fund    Orgn    Acct    Prog    Actv    Locn   Project 

The Asset Funding Source information shows which Chart / Index / Fund / Org / Account / Program (FOAP) combination(s) paid for each sequence of a particular asset.

Origination Tag:  Repeated from Page 1.

Permanent Tag:  Repeated from Page 1.

Sequence:  An asset that was paid from one invoice with one commodity line and one funding line will have only one sequence.  If there are multiple commodity lines, or multiple funding lines for a commodity, each will create a separate sequence.  These sequences correspond to the sequences on the Capitalization page. 

Document: The invoice from which the asset record was created.

Attachment Origination Tag:  This is the Origination Tag (Otag) created from each commodity line.  On the initial sequence, the Origination Tag number is located in the header.  Subsequent Otags are listed by the sequence number.  Each Otag can be looked up separately under FFIMAST.  A complete record is created for each Otag.

Cost:  The cost associated with the particular commodity line.

Percentage:  The percentage of the total asset value that this cost represents.

Fixed Assets Capitalization Information                  (Page 5 of 6 of the Asset Record)

Image - Fixed Assets Capitalization Information (Page 5 of 6 of the Asset Record)

Origination Tag:  Repeated from Page 1.

Permanent Tag:  Repeated from Page 1.

Change Sequence #:  If the asset is a Gift/Donation, the default for this field is zero.  This change sequence keeps track of any changes made to the capitalization accounting distribution, either on the Capitalization Information window of FFAMAST or through the Fixed Asset Adjustment form FFAADJF. 

Sequence #:  Corresponds to the sequence from the Funding Source Page.

Direct Asset Ind:  Information in this field signifies that a capitalization entry is present for the asset, and is included in the Investment in Plant.

COA:   C = OSU

Capitalization Fund:  The Investment in Plant fund code to which the asset is booked.  Assets purchased by service centers and auxiliaries are booked to the specific fund for the organization.

Equity Account:  E1001 (Net Investment in Plant)

Asset Account:  The appropriate Capital Asset Account code for the type of asset (A8011 for general equipment, A8012 for vehicles, etc.).

Accumulated Depr Acct:  The appropriate accumulated depreciation account code that corresponds with the Asset Account.

Bank Code:  B1

Attachment Otag Code:  Ties sequence to particular Otag.

Cost:  Amount from commodity line/FOAPAL for sequence.

Adjusted Cost:  Cost plus/minus adjusting entries (write-ups or write-downs) and depreciation.

Percentage:  Percent of total value of asset.

Accumulated Depr:  Total of accumulated depreciation.

Depr/Posting Ind:  Indicates that depreciation is posting or not.

Fixed Assets User Fields                                    (Page 6 of 6 of the Asset Record)

 Image - Fixed Assets User Fields (Page 6 of 6 of the Asset Record)

Origination Tag:  Repeated from Page 1.

Permanent Tag:  Repeated from Page 1.

Functional Use Code:  This 2-digit field is from an OUS table and is required by the federal government.  It identifies how the asset is being used at OSU (examples include IN--Instruction, DA--Departmental Administration, OR--Organized Research, OS--Other Sponsored Activities, etc.).

Include Equipment Reserve:  No longer used.  This field was used to flag assets purchased on equipment reserve indexes by auxiliary and service departments. 

Ex10: Account Codes

Property Management Policy & Procedure Manual
Section 000: Introductory Material
Effective: 07/01/1996
Revised: 05/22/2006

The BANNER FIS software uses "accounts" or "account codes" to identify types or categories of expenditures.  An official detailed list of these codes may be printed off the FIS Banner Screen "FGRACTH". 

The following information is a brief description of the account codes most frequently used to pay for equipment acquisitions, upgrades, and repairs in FIS Banner, and when it might be appropriate to use them.  This information is a Property Management interpretation of the account codes, and is not intended to serve as definitions for these codes.

202XX Minor Equipment

When a purchase meets the definition of equipment in every respect EXCEPT its unit value, a 202XX account code should be used for payment.  Minor equipment is not included on the equipment inventory.  The generic account code for minor equipment is 20200.  Other more specific codes for minor equipment are:

20201
20202
20203
20204
20210
20215
20216
COMPUTERS
SOFTWARE
PRINTERS
OTHER IT RELATED PERIPHERALS (Non Capitalized)
OFFICE EQUIPMENT
SPECIALIZED EQUIPMENT
SPORTS EQUIPMENT

 

20250 Parts-Auto & Equipment

When replacement parts are purchased for a vehicle or other equipment, account code 20250 is used to identify the payment.  This code is not used to pay someone to repair equipment (see 23501), nor is it used for parts that extend the life expectancy or enhance the original function of the equipment (see 23505).

23501 Equipment Maintenance and Repairs

When a piece of equipment is repaired, account code 23501 is used to identify the service charge from the vendor who performs the repair. See 20250 for replacement parts. Code 23501 is not used for repairs that extend the life expectancy of the equipment or enhance the original function of the equipment (see 23505)

Equipment repairs do not increase the value of the equipment on inventory.  Sometimes researchers working with grant or contract monies will identify an expenditure as equipment when it should really be in this category.  Please double-check "upgrades" to see if they are repairs.

23505 Major Reconditioning of Equipment

When a major reconditioning of equipment extends its life expectancy by more than 2 years, account code 23505 is used. Equipment reconditioning does not increase the value of the equipment on inventory.

23514 IT Hardware Maintenance Contracts (tax reportable)

Expenditures for Information Technology hardware maintenance covered by maintenance contracts.

23522 Maintenance Materials

Use this account code for the purchase of items such as paint for building maintenance, nuts and bolts for equipment maintenance, and bark dust for intramural field maintenance.  Remember, this account code is for the purchase of a product or good, not a service.

24101 Equipment Rentals & Leases

Use this account code for the payment of equipment acquired by rental or lease.  Rented and leased equipment held for more than 90 days must be recorded on equipment inventory if OSU is responsible for insurance.  A Fixed Assets Data Entry Form (FADE form) is used to add the item to inventory.

28810 Interest Expense

When equipment is purchased on an installment plan, use account code 28810 for the interest portion of all payments. (The initial payment is made using the appropriate 40XXX account code).  Interest is not included in the value of the equipment because the equipment is inventoried at its full capital expenditure value when the initial payment is processed.  Interest expense must be identified separately from capital expense.

40101 Equipment

When general equipment meeting the equipment definition is purchased, the payment is made using account code 40101.  All funds expended using this account code must be accounted for by corresponding additions of value to the equipment inventory. 

Note on Upgrades: Sometimes a new part is purchased which the department wants to add to the value of an asset. (An example would be additional memory capacity for a computer.) These "attachments" may only be added to the value of an asset during the fiscal year in which the parent asset was purchased. Within that period, 40101 should be used to pay for the part with a text notation on which asset is being increased in value and what is being added (see PRO-Ex1: Creating an Asset Record from a Banner Invoice).  Additions made after that time period must be purchased as supplies.

40102 Livestock

Livestock herds are no longer capitalized.  If the value of an individual animal met the capital threshold it would be added to inventory.  Submit a Fixed Asset Data Entry form with appropriate back-up documentation for the acquisition.

40103 Art Work

Art work which is not permanently attached to buildings and meets the equipment definition for value and life expectancy is purchased on this account code and added to inventory.  Since account code 40103 does not create a temporary asset record, the procedure for inventorying this artwork is the same as the procedure for inventorying gift assets – submit a Fixed Assets Data Entry Form (FADE form) and attach a copy of the invoice or other backup documentation for the acquisition.

40104 Vehicles

This is a new account code (2003) in FIS Banner for self-propelled vehicles licensed for road use.  All such vehicles are capitalized and added to inventory, regardless of value. 

40111 Equipment Lease-Purchase

This account code may only be used with authorization from the university Contract Administrator.  See PRO 204: Lease-Purchase for additional information. 

40113 Principal Installment Payment

When equipment is purchased on an installment plan, 40113 is used for the principal portion of all payments after the initial payment (the initial payment is made using the 40101 account code). See PRO 203: Installment Purchase for additional information.  Interest expense must be identified separately from capital expense, see 28810 above.  40113 payments do not add value to the equipment inventory because the equipment is inventoried at its full value when the initial 40101 payment is made.

40185 Non-OUS Equipment

Use this account code when equipment is purchased from a grant account with non-state funds, is never possessed or controlled by any Oregon University System institution, and is insured by a third party instead of OUS.  The Office of Post Award Administration will audit each use of this account code. Equipment purchased with this account code is not added to the equipment inventory.

40199 Equipment Under Construction

When equipment is fabricated by departments other than service departments and is for use by OSU, the costs are accumulated on this account code. When fabrication is complete and the asset is put into use, a single journal voucher should be done to transfer these costs to 40101. Asset information should be provided in the text field of the journal voucher, see PRO-Ex2: Completing a Journal Voucher.

40201 Vessels

A vessel is a boat or ship with a hull that is 25 ft. in length or more.  When a boat meeting the capitalization criteria is purchased, use this code for the expenditure.  This account code does not create a temporary asset record in FIS Banner.  One of two options may be used for inventorying vessels:

  1. Process the invoice on 40199, then JV to 40201, providing text for the asset record (preferred method),

    OR

  2. Process the invoice on 40201, then submit a Fixed Asset Data Entry form to Property Management.

Ex11: Types of Federal Property

Property Management Policy & Procedure Manual
Section 000: Introductory Material
Effective: 07/01/1975
Revised: 05/27/2003

Agency-Owned

Agency-owned property is equipment in OSU's custody that is owned by an outside agency.  At OSU, the term is usually applied to federally-owned equipment that belongs to the federal agency sponsoring the research for which it was acquired.  It is recorded on the university's inventory as federally-owned property, and is insured by the federal government rather than by the State of Oregon.

Contractor-Acquired

Contractor acquired property is equipment bought by OSU with contract funds.  Title may vest with the sponsor or with OSU, depending on agency regulations and the terms of the individual contract.  Often title vests with OSU, but the sponsoring agency reserves the right to transfer title back to itself or to a third party at the close of the contract.  The Office of Post Award Administration supplies departments with information about how title is vested and checks the Banner invoice to see that the department has coded the equipment record accordingly.

Government-Furnished

Government-furnished property is equipment acquired by loan from a federal agency. Such property is usually furnished by the agency sponsoring the research, and is considered agency-owned.  At the close of the contract, the sponsoring agency may transfer accountability for such equipment to another contract or direct that the equipment be returned to the owning agency.

Federal Excess

Federal excess property is equipment, minor equipment, and supplies declared excess by a federal agency.  It is then made available to other federal government agencies through the federal excess personal property program administered by GSA.  Such property may be transferred to an eligible research contract, and is recorded and treated like other government-furnished property while it is in OSU's custody.

The transfers of federal excess property to OSU are usually coordinated through Property Management.  When federal excess equipment is no longer needed, it is re-excessed into the federal excess property

101: Employee Responsibilities

Property Management Policy & Procedure Manual
Section 100: Responsibilities
Effective: 07/01/1971
Revised: 05/27/2003

 

Purpose

To identify the responsibilities associated with the management of fixed assets.

 

Background Information

The Oregon University System implements State of Oregon policies throughout higher education. The OUS Controller's Division sets standards for record keeping and controls certain data elements within the FIS Banner system, but has assumed an advisor/consultant role in the day-to-day management of OSU's fixed asset records. OUS is responsible for insurance, certain closing of the books functions, indirect cost computations, and various other reports. The OUS Chancellor's Office also coordinates the gathering of supplies inventory information and other information that is used for insurance reporting.

 

Policy

Property Management

See PRO 001: Introduction for the responsibilities of the Property Management Department.

Deans, Department Heads, Chairs & Directors

Deans, Department Heads, Chairs, and Directors are responsible for:

  • All property acquired in any way by their departments;
  • Ensuring that property in their department's custody is identified, inventoried, safeguarded, maintained, utilized and disposed of in accordance with OSU, OUS, state and federal regulations and laws.

Department Heads are responsible for:

  • Delegating maintenance duties as appropriate because each department is responsible for the use, care and maintenance of all property in its custody.

Departmental Property Coordinator

The departmental property coordinators maintain the departmental equipment records and are responsible for:

  • Ensuring that all equipment is appropriately coded, recorded and marked;
    initiate changes to the department inventory;
  • Coordinating, assisting with and/or conducting the physical inventory of equipment;
  • Providing information about property procedures and requirements to departmental personnel; and
  • Generally assisting the department heads with property functions.

The departmental property coordinators are usually the primary liaisons with Property Management inventory staff.

Principal Investigators (PIs)

Principal Investigators are responsible for:

  • Receiving, maintaining, protecting, controlling and restricting the use of property assigned to their custody.
  • Being accountable for sponsoring organization requirements regarding screening, acquisition, maintenance, storage, and the prompt reporting and disposition of excess or surplus property, as well as the prompt reporting of any loss, damage or destruction of federal property.  See PRO Section 900: Sponsored Research and Federal Property for information about federal sponsoring agency requirements.
  • Ensuring that each equipment item remains marked in a visible, easily accessible location with an OSU asset tag (see PRO 301: Equipment Tagging) and additionally with a sponsor's asset tag if required by the terms of the grant or contract. (Equipment assigned to an individual's custody, whether acquired with state, federal or other funds, remains the property of OSU or the sponsoring organization.)
  • Ensuring that certain equipment is appropriately stored and safeguarded when not in use.
  • Conducting or arranging for an annual inventory if required by the sponsor, as well as closing inventory of sponsor-accountable property as part of the grant/contract closeout process.
  • Ensuring that property is only disposed of with prior approval from Property Management in one of the approved manners described in PRO 800: Equipment Disposal.
  • Informing the departmental property coordinator of all equipment movement and disposal in a timely manner.

Other Departmental Users

Departmental users are responsible for:

  • Maintaining, protecting, controlling and restricting the use of property assigned to their custody. Equipment assigned to an individual's custody remains the property of Oregon State University.
  • Ensuring that each item remains marked in a visible, easily accessible location with an OSU asset tag (see PRO 301: Equipment Tagging).
  • Ensuring that the equipment is appropriately stored and safeguarded when not in use.
  • Ensuring that property is only disposed of with prior approval from Property Management in one of the approved manners described in PRO 800: Equipment Disposal.
  • Informing the departmental property coordinator of all equipment movement and disposal in a timely manner.

200 Equipment Acquisition

201: Equipment Acquisition - General

Property Management Policy & Procedure Manual
Section 200: Equipment Acquisition
Effective: 03/01/1979
Revised: 01/05/2007

Purpose

To define general guidelines for the acquisition of university-funded and sponsor-funded equipment.

 

Background Information

Inventorying equipment or fixed assets is an accounting procedure, as well as, a procedure for physically tracking assets. The creation of preliminary inventory records is an automatic part of the invoice payment process for equipment acquired with OSU-administered funds on Banner FIS.

 

Policy

Individual departments may purchase equipment using state, sponsored, affiliated foundation pass-through, and auxiliary funds. Regardless of the source of funds, all purchases must be made in accordance with applicable federal and state law and Oregon University System and OSU policies.

Equipment acquisitions may be made by purchase, installment purchase, lease/purchase, lease, loan, gift, transfer, trade, or fabrication. The equipment may be new or used. The acquisition cost must be =>$5,000 per unit/item to be capitalized as equipment (40xxx account codes). All other movable equipment of a lesser amount will be accounted for as minor equipment (202xx account codes).

Allowable acquisition costs include any costs related to the obtainment and installation of the equipment such as the purchase price, shipping, and installation fees. Also, all costs related to the importation of equipment from foreign countries [such as entry fee, broker's fee, cartage fee, custom's bond, import service fee and custom duty fees] are allowable as part of the acquisition cost.

Unallowable costs include extended maintenance, warranties and training.

Software in the purchase of equipment which is separately itemized on a vendor invoice is not capitalized. This cost is expensed as 20202 "software."

Buy, Fabricate, Lease/Rent Policy
When determining the best method to acquire equipment, the following considerations should be made:

  • The method chosen should be in the best interest of the University.
  • The method chosen should be the most cost effective.
  • The method chosen should not be used to circumvent normal procurement procedures.

Fabrication (assembly) of a Capitalized Unit
See PRO 210 for guidance on what constitutes a fabricated piece of equipment and specific approval procedures for fabricated units.

Ways of Acquiring Ownership (Title) of Equipment
OSU may acquire ownership of equipment in several ways including, but not limited to, the following:

  1. purchase or fabrication of equipment using state, affiliated foundation flow-through, or auxiliary funds,
  2. purchase or fabrication of equipment using federal or non-federal sponsored funds for which the award document states that OSU retains title upon receipt of the equipment,
  3. purchase or fabrication of equipment using federal or non-federal sponsored funds for which equipment title is vested with the sponsor and subsequently transferred to OSU at the completion of the project,
  4. donation of equipment,
  5. lease/purchase of equipment after the lease/purchase option has been exercised. Normally, lease/purchase equipment is treated as university equipment when the first installment payment is made.

Ways of Acquiring Use of Equipment (not Title)
OSU may acquire the use of equipment, though not ownership, by receiving the following:

  • government-furnished property (GFP), with title vesting with the government,
  • loaned equipment, with title remaining with the lender, or
  • purchased or fabricated equipment using federal or non-federal sponsored funds for which equipment title remains vested with the sponsor.

202: Purchases

Property Management Policy & Procedure Manual
Section 200: Equipment Acquisition
Effective: 03/01/1979
Revised: 11/15/2010

Purpose

To ensure that equipment purchases are made in accordance with applicable federal and state law; and Oregon University System and Oregon State University policies.

 

Applicability

All equipment (other than vehicles – see PRO 501: Vehicles) purchased with state, local, or sponsored funds for which title vests with OSU or the sponsor upon acquisition.

 

Policy

Equipment purchases using state, local, or sponsored funds must be made in accordance with applicable federal and state law and Oregon University System and OSU policies.   Equipment purchases over $5,000 must be made through the Purchasing department.  Use of the procurement card for purchases associated with account code 40199 Construction in Progress [Equipment] is allowable.

Departments may purchase equipment out of multiple indexes.  However, this practice is prohibited in two instances:

  1. Equipment purchased by Service Centers and Auxiliaries must be funded solely by the unit and must be used solely in support of the service department for which it was purchased.
  2. Equipment purchased on a grant or contract where the sponsor retains title, either fully or conditionally, must be purchased solely from that grant or contract.


Equipment Purchased with University or Sponsored Funds

Coding Requisitions
A departmental requisition must reflect the proper account code and must be used to classify purchases.  See GCG 204-02Cost Classification: Assigning Account Codes and GCG 205: Expenditure Account Codes in the Grant, Contract & Gift Accounting Manual because sponsors with grants and contracts may have a lower threshold for equipment purchases. 

Determination of Factors Affecting Installation or Use
The requesting department is responsible for determining all factors affecting the installation or use of equipment, including, but not limited to:

  • utilities availability
  • space requirements
  • floor loading capacity, and
  • building accessibility

Obtaining Approval for the Purchase of Used Equipment
Before purchasing used equipment, an individual must obtain approval from the department chair, dean, director, or designee. Approval may be given in a memo or as a statement on the requisition.

Capital Budget
Most purchases require equipment to be in an approved capital budget. If the equipment is not budgeted, the supervisor’s or sponsor’s approval may be necessary before purchasing.


Equipment Purchased with Sponsored Funds

See PRO 902-02: Ordering, Receiving & Tagging.

Top

Procedure

Equipment Costing $5,000 or More (General)

Responsible Party Action
Department:
  1. Prepare a departmental requisition, obtain necessary approvals and send the document to the Purchasing department using the appropriate transaction account code:
  • 40101  Equipment
  • 40102  Livestock
  • 40103  Art/Museum Collections
  • 40104  Vehicles
  • 40199  Asset under Construction
  • 40201  Vessels
Purchasing Department 
  1. Ensure document is prepared properly.
  2. Solicit bids or quotes on the item from vendors.
  3. Prepare purchase order in FIS Banner on commodity level accounting.
Department:
  1. After receiving equipment (see PRO 301), process the invoice in FIS Banner.
  2. Include appropriate information in the text field for the asset record.  See PRO-EX1: Creating an Asset Record from a Banner Invoice.
Property Management
  1. Create asset record from invoice information and sends department a bar code tag for equipment.

Equipment Costing $5,000 or More (Service Centers and Auxiliary)

Responsible Party Action
Department
  1. Equipment purchases are an exchange of a capital item (cash) for a capital item (equipment). 
  2. Prepare a departmental requisition, obtain necessary approvals and send the document to the Purchasing department.

Note: Process Purchase Orders and Invoices on an operating index using account code 40199, 'Asset Under Construction.'

Purchasing Department   
  1. Ensure document is prepared properly.
  2. Solicit bids or quotes on the item from vendors.
  3. Prepare purchase order in FIS Banner
Department
  1. Process payment for new asset on an operating index and capital account code 40199.
  2. A journal voucher is submitted simultaneously moving the expense from the operating index and 40199 to the unit’s fund code and using the appropriate capital asset account code:
  • A8011   Capital Equipment
  • A8012   Vehicles
  • A8015   Vessels
  • A8031   Collections
  • A8032   Works of Art and Historical Treasures
  • A8042   Library Books (General)
  1. The journal voucher number should be referenced on the invoice's text, and vice versa. The journal voucher should contain the necessary information to create the asset record. See PRO-Ex2: Completing a Journal Voucher.
Property Management
  1. Create asset record from journal voucher information and sends department a bar code tag for equipment.

NOTE:  See PRO 401: Depreciation of Equipment for additional information when replacing existing equipment.

Equipment Costing $5,000 or More Purchased with Agricultural Research Foundation (ARF) or OSU Foundation (OSUF) Funds

Responsible Party Action
Department
  1. Prepare a departmental requisition, identifying the funds to be used and appropriate transfer index, obtain necessary approvals and send the document to the Purchasing department.
Purchasing Department
  1. Ensure document is prepared properly.
  2. Solicit bids or quotes on the item from vendors.
  3. If applicable, prepare purchase order in FIS Banner.

Note: Departments do not have delegated authority to make purchases over $5,000 unless approved by the Purchasing Department, regardless of the source of funds.

Department
  1. After receiving equipment (see PRO 301), process the invoice in FIS Banner or submits check request to ARF or OSUF.
  2. If Banner is used, then include appropriate information in the text field for the asset record.  See PRO-EX1: Creating an Asset Record from a Banner Invoice.

If Banner is not used, then submit a Fixed Asset Data Entry (FADE) form to Property Management including a copy of the invoice and the check request.  FADE forms are available on the Inventory Control website.  See PRO-Ex3 for a sample FADE form.

Property Management
  1. Create asset record from invoice information and sends department a bar code tag for equipment.

 

Top

Cross Reference

See the Procurement and Contract Services (PaCS) Website for more information on purchasing requirements.

Top

Additional Information

Automatic-pay vendors
Due to a high volume of OSU purchases, certain vendors have been designated "automatic pay" by Accounts Payable. They submit invoices directly to Accounts Payable, where they are input and paid without routing to departments for approval. The expense is then distributed to departmental indexes using journal vouchers. Accounts Payable makes every effort not to use automatic payments for equipment expenditures-such invoices, when identified, are forwarded to department accounting personnel for payment through the regular Banner invoice process.

To assist Accounts Payable in making that identification, the person making the purchase should give the vendor the 40101 account code along with the Banner index code to be charged. Despite all efforts, we recognize that the information will not always get to the vendor, nor will it always get from the vendor to Accounts Payable. Department accountants should review automatic payments as they occur and enter journal vouchers to correct any incorrectly coded purchases.

Oregon State University VISA procurement card purchases
The VISA procurement cards may not be used for the purchase of equipment or equipment upgrades. VISA instructions detailing the restrictions on individual purchases, etc. are supplied with each card. Please refer to these for further information.

Wire Transfers
Wire transfers do not create an origination tag in the fixed asset module.  If a payment must be made via wire transfer, use account code 40199 and a journal voucher to redistribute to the appropriate transaction code.

Multiple Invoice Function in Banner
The multiple invoice function in FIS Banner under FAAINVE does not create an origination tag in the fixed asset module.  If a payment must be made via the multiple invoices function, use account code 40199 and a journal voucher to redistribute to the appropriate transaction code.

203: Installment Purchase

Property Management Policy & Procedure Manual
Section 200: Equipment Acquisition
Effective: 07/01/1996
Revised: 05/27/2006

Purpose

To allow the purchase of equipment through installment purchases.

Background Information

Installment-Purchases may be desirable to extend the payout of capital Purchases over time instead of lump sum purchasing. However, installment-purchases are avoided because of the additional costs incurred in the form of interest.

Policy

Departments are permitted to make installment purchases of equipment, regardless of the funding source. All installment purchases must be approved by the Procurement and Contract Services (PaCS) group. Installment purchases/financing in excess of $100,000 require that the financing be acquired separately from the equipment through a third-party financing bid administered by the State of Oregon Department of Administrative Services (DAS).

An installment purchase made with grant funds must have the purchase (payment of installments) completed within the time period of the grant. (If a grant is for 3 years and equipment is purchased on an installment plan in the first month of the grant, then the payment schedule cannot be longer than 36 months.)

The Installment purchase option should not be used when the ownership of the equipment is Federally-Owned (FN) or Other-Owned (OI).

Title to the equipment passes to OSU with the first payment. The first payment is usually coded "equipment," and the item is added to inventory at its full value (total of all principal payments) at the same time. The remaining payments are coded "principal installment payments" and "interest expenses" as appropriate (see PRO-Ex10: Account Codes).

Procedure

Installment Purchases - General Fund Transactions

Responsible Party Action
Department
  1. Complete and submit a requisition for the proposed installment purchase of equipment to PaCS.
PaCS
  1. Ensure requisition is properly completed.
  2. Solicit bids or quotes on the item from vendors.
  3. Select vendor and create purchase order.
  4. Notify Business Affairs of approved installment purchase and market value of purchased assets.
Department:
  1. Receive equipment and invoice.
  2. Process FIS Banner invoice:
  1. Code the initial payment as 40101 to initiate the inventory record, exclusive of any interest.
  2. Add text: (1) providing the inventory information for the creation of the asset record, and (2) noting the market value of the purchased asset.
  3. Code the subsequent payments as 40113: Installment-Purchase, with the interest portion coded 28810: Interest Expense.
  4. Each payment should reference the inventory number assigned to the asset, either on the description line or in the text field (e.g., Monthly payment on copier, FA#315062.)

Note: Business Affairs will adjust the Installment purchase liability for Non-Proprietary Funds.

Property Management
  1. Create asset record and send bar code tag to department.

Installment Purchases - Service Centers and Auxiliary

Responsible Party Action
Department
  1. Complete and submit a requisition for the proposed installment purchase of equipment to PaCS.
Purchasing Department
  1. Ensure requisition is properly completed.
  2. Solicit bids or quotes on the item from vendors.
  3. Send a copy of the signed leased agreement to Business Affairs.
  4. Initiate purchase order in FIS Banner using operating index and account code 40199 for the asset and 28810 for the interest expense.
Department
  1. Department receives equipment and invoice.
  2. Simultaneously process a FIS Banner invoice and a FIS Banner Journal Voucher.
  1. Process a FIS Banner invoice for initial payment using operating index and account code 40199 for asset portion and 28810 for interest. Then liquidate balance of PO.
  2. Process a FIS Banner Journal Voucher to book the asset and the liability incurred:
  • Debit A8011 for the full value of the asset,
  • Credit operating index and account code 40199 for portion paid on initial invoice,
  • Credit B2102 for the balance of the principal,
  • Add appropriate text (See PRO-Ex2: Completing a Journal Voucher)

Example: PO processed for $20,000 asset paid over 24 months with 5% interest. Total PO equals $21,000.

Initial invoice pays:
Index/40199 $833.33
Index/28810 41.67

Journal voucher is processed:
Dr: Fund/A8011 $20,000.00
Cr: Index/40199 833.33
Cr: Fund/B2102 19,166.67
  1. Process remaining payments to vendor (to reduce liability) on department fund and account code B2102. Interest expense should be processed against unit's index and account code 28810. Each payment should reference the inventory number assigned to the asset, either on the description line or in the text field (e.g., Monthly payment on copier, FA#315062.)
Property Management
  1. Create asset record from journal voucher information and sends department a bar code tag for equipment.

204: Lease Purchase

Property Management Policy & Procedure Manual
Section 200: Equipment Acquisition
Effective: 07/01/1996
Revised: 05/22/2006

Purpose

To allow the purchase of lease/purchase equipment.

Background Information

Lease-Purchases may be desirable to extend the payout of capital Purchases over time instead of lump sum purchasing. However, lease-purchases are avoided because of the additional costs incurred in the form of interest.

Definition

A lease/purchase or capital lease has at least one of the following characteristics:

  1. Ownership of the property passes to OSU at the end of the lease;
  2. The lease contains a lease/purchase option;
  3. The lease lasts for 75 percent or more of the useful life of the equipment;
  4. The total of all lease payments (excluding insurance and maintenance costs) is greater than or equal to 90 percent of the fair market value of the equipment.

Policy

Lease/purchase equipment may be purchased using installment payments over a period of five years or less. Lease/purchase agreements must be approved by the OSU Contracts Office. Lease/purchase equipment is "conditionally owned" (title code CI) until the final payment is made and the department exercises the option to purchase.

When the final payment is made, the department notifies Property Management. The inventory record is then corrected to show "purchase" rather than "lease purchase" for the acquisition method, and the title code is corrected to SI. If the option to buy is not executed, the asset is returned to the vendor and a PDR should be submitted to remove it from inventory

Acquisitions Involving Federal Funds
If federal funds are involved in the acquisition of equipment for lease/purchase, the principal investigator must first determine that the source of funding allows for leasing.

Procedure

Lease Purchases (General)

Responsible Party Action
Department
  1. Complete and submit a requisition for the proposed lease purchase of equipment to Purchasing.
Purchasing
  1. Ensure requisition is properly completed.
  2. Solicit bids or quotes on the item from vendors.
  3. Send a copy of the signed leased agreement to Business Affairs.
  4. Initiate purchase order in FIS Banner.
Department
  1. Department receives equipment and invoice.
  2. Process FIS Banner invoice:
  1. Code the initial payment as 40101 to initiate the inventory record, exclusive of any interest.
  2. Add text: (1) providing the inventory information for the creation of the asset record, and (2) noting the market value of the purchased asset.
  3. Code the subsequent payments as 40113: Installment-Purchase, with the interest portion coded 28810: Interest Expense.
  4. Each payment should reference the inventory number assigned to the asset, either on the description line or in the text field (e.g., Monthly payment on copier, FA#315062.)
  1. After final payment is made, the department notifies Property Management and Business Affairs.
Property Management
  1. Correct the inventory record to reflect, "purchase" rather than "lease purchase" for the acquisition method, and the title code is changed from CI to SI. If the option to buy is not executed, the asset is returned to the vendor and a PDR should be submitted to remove it from inventory.

Lease Purchases (Service Centers and Auxiliary)

Responsible Party Action
Department
  1. Complete and submit a requisition for the proposed installment purchase of equipment to PaCS.
Purchasing Department
  1. Ensure requisition is properly completed.
  2. Solicit bids or quotes on the item from vendors.
  3. Send a copy of the signed leased agreement to Business Affairs.
  4. Initiate purchase order in FIS Banner using operating index and account code 40199 for the asset and 28810 for the interest expense.
Department
  1. Department receives equipment and invoice.
  2. <!--[endif]--> Process FIS Banner invoice for initial payment using operating index and account code 40199 for asset portion and 28810 for interest. Then liquidate balance of PO.
  3. <!--[endif]--> Simultaneously process a FIS Banner Journal Voucher to book the asset and the liability incurred:
  • Debit A8011 for the full value of the asset,
  • Credit operating index and account code 40199 for portion paid on initial invoice,
  • Credit B2102 for the balance of the principal,
  • Add appropriate text (See PRO-Ex2: Completing a Journal Voucher)

Example: PO processed for $20,000 asset paid over 24 months with 5% interest. Total PO equals $21,000.

Initial invoice pays:
Index/40199 $833.33
Index/28810 41.67

Journal voucher is processed:
Dr: Fund/A8011 $20,000.00
Cr: Index/40199 833.33
Cr: Fund/B2102 19,166.67
  1. Process remaining payments to vendor (to reduce liability) on department fund and account code B2102. Interest expense should be processed against unit's index and account code 28810. Each payment should reference the inventory number assigned to the asset, either on the description line or in the text field (e.g. Monthly payment on copier, FA#315062.)
  2. 10. After final payment is made, notifies Property Management and Business Affairs whether or not equipment will be retained or returned to vendor.
Property Management
  1. Correct the inventory record to reflect, "purchase" rather than "lease purchase" for the acquisition method, and the title code is changed from CI to SI. If the option to buy is not executed, the asset is returned to the vendor and a PDR should be submitted to remove it from inventory.

Cross Reference

For information on buying or leasing capital equipment, see the Procurement and Contract Services (PaCS) Website.

205: Operating Lease

Property Management Policy & Procedure Manual
Section 200: Equipment Acquisition
Effective: 07/01/1996
Revised: 05/22/2006

Purpose

To identify the responsibilities associated with leased or rented equipment.

Background Information

An operating lease allows the acquisition and use of equipment in a quickly changing technological area while avoiding ownership of equipment that may become obsolete.  

For Service Centers and Auxiliaries, operating leases permit the use of equipment without the obligation to own and fund reserves and steady the operational cash flow and associated expense reports.

Definition

Lease

An agreement for the right to use property for a specified period at a specified cost.  Title remains with the lessor.  At no time does the lessee build equity in the property.

Policy

All lease agreements must be approved by the OSU Contracts Office.  The lease agreement should specify whether or not OSU is responsible for insuring the equipment.  OSU assumes no responsibility for leased or rented equipment unless a responsibility is specifically stated in the contract or written agreement.  Only then does OSU insure the equipment against theft or damage.   Property control, security, and administration of the equipment are the lessor’s responsibility.

Procedure

Responsible Party Action
Department
  1. Draft a lease agreement and forward official document to the Contracts Office for approval.
  2. Submit copy of approved lease agreement to Business Affairs.
  3. If lease requires OSU to insure equipment and the asset will be held less than 90 days, a copy of the agreement should be forwarded to OSU Risk Management.  (Item will be covered under supplemental insurance.)

    If lease requires OSU to insure equipment and the asset will be held more than 90 days, the asset must be added to inventory.  A copy of the agreement should be forwarded to Property Management along with a Fixed Asset Data Entry form.  See PRO-Ex3: Fixed Asset Data Entry (FADE) form.

  4. Lease payments are coded "equipment-rentals and leases" (see PRO-Ex10: Account Codes).
Purchasing
  1. Add leased equipment to the university asset records at its replacement value for tracking and insurance purposes. 
Department
  1. When lease ends and equipment is returned, the department will submit a PDR to remove the equipment from inventory.

206: Loan

Property Management Policy & Procedure Manual
Section 200: Equipment Acquisition
Effective: 03/01/1979
Revised: 05/22/2006

Purpose

To identify and record equipment loaned to OSU.

Background Information

Personal property brought on campus for the convenience of the employee and not required for institutional purposes will not be insured against loss or theft by OSU (paintings, pictures, stereos, etc.).  Property not under the specific control of the University will not be insured.

Definition

Control

Having the legal ability and responsibility to (i) direct the property's use and location, (ii) direct who may have access to it, and (iii) take possession of it.  State control cannot exist when the property is in the possession or control of the owner and the owner is not the state. 

Policy

Equipment may be loaned to OSU by individuals, organizations, institutions or research project sponsors.   Oregon State University assumes no responsibility for equipment on loan unless the user has submitted a Personal Property Loan Agreement form to Property Management.  If the form is not submitted, the Oregon Department of Administrative Services (DAS) Risk Management Division may not insure the equipment.  Property Management must approve all Personal Property Loan Agreements.  Loan agreements must be for a finite period of time not to exceed five years.

Faculty and staff members who use their personal equipment at university facilities do so at their own risk and are responsible for marking their property to indicate ownership. 

Departments may receive equipment loans from organizations or institutions with their own standard loan agreements.  All such loan agreements must be forwarded to the OSU Contracts Office for review.  Departments may only enter these agreements with the written approval of the Contracts Office.  Once approval has been obtained, the property is accounted for on the inventory and the agreement is filed at Property Management.

Some equipment is loaned by an agency or organization for use on a sponsored research project.  If the loaned equipment is from the sponsoring agency, we usually call this equipment "agency-owned."  Risk Management will insure sponsor-furnished property or government-furnished property.  See PRO-Ex11: Types of Federal Property for details.

When equipment loans accompany a PI from another university, these agreements must be documented and written approval must be obtained from Property Management.  When these agreements are in the form of contract modifications, the original copy is kept in Contract Administration.  For additional information, see PRO: 701: Loaned Equipment.

Procedure

Property Loaned for 90 Days or Less

Responsible Party Action
Borrowing Department
  1. Complete and submit a Personal Property Loan Agreement form to Property Management.
Property Management
  1. Review loan agreement. 
  • If approved - forwards it to risk Management.
  • If not approved - returns agreement to department with deficiencies noted.
Department
  1. Record loan under supplemental insurance policy.

Property Loaned for More Than 90 Days

Responsible Party Action
Borrowing Department
  1. Complete and submit the Personal Property Loan Agreement and Fixed Asset Data Entry forms to Property Management.
Property Management
  1. Review loan agreement. 
  • If approved - create fixed asset record and file the form and loan agreement.   
  • If not approved - return to department with deficiencies noted.

Additional Information

See the DAS Risk Management website.

207: Gift

Property Management Policy & Procedure Manual
Section 200: Equipment Acquisition
Effective: 07/01/1996
Revised: 01/30/2007

Purpose

To properly record gifts acquired by the University.

Background Information

Individuals, corporations or other organizations sometimes donate equipment to OSU.  The OSU Foundation is responsible for OSU gift administration, gift recognition, and IRS tax forms.

Policy

Any gift or donation acquired by or given to the University must be reported to the OSU Foundation for the purposes of acknowledging the gift and issuing an official OSU gift receipt.

Please report all gifts in writing to the OSU Foundation. Include the following information:

  • name, address, and social security number or tax ID number of the donor;
  • fair market value (FMV) of the gift;
  • purpose of the gift;
  • name and title of the staff member in charge of the gift; and
  • a copy of the gift letter and/or any other documents furnished by the donor.

The IRS requires that any gifts that are disposed of within three years of receipt have an additional tax form (8282) filed with the IRS; departments are advised to keep gift equipment for at least three years.

All gifts meeting the equipment definition should be added to inventory immediately.  The true market value of the gift should be ascertained by a formal appraisal at the time of transfer of ownership.

Antiques, or personal property received from noted alumni, and Assets gifted to the University that may have historic significance to OSU or the State of Oregon should be reviewed for possible inclusion in the Historic Properties register.  Property Management should be contacted if an item of possible interest is received.

Booking Gifts as Revenue
OUS has instituted a new policy requiring that tangible property (gifts-in-kind) donated to the university must be booked as revenue.  To facilitate the appropriate entries to the General Ledger, the OSU Foundation will send Property Management a monthly listing of all gifts-in-kind (capital and non-capital) received on behalf of OSU.  Property Management will contact individual departments requesting additional information on any item that appears to be a capital asset, and will process the journal voucher to book these gifts as required.

Prohibited Gifts and Gratuities
University employees shall not accept or solicit, directly or indirectly, anything of economic value as a gift, gratuity, favor, entertainment, or loan that is or may appear to be designed to influence official conduct in any manner, particularly from a person who is seeking to obtain contractual or other business or financial arrangements with the university (e.g., a vendor who has interests that might be affected substantially by the performance or nonperformance of the employee’s duty).

Such persons include both present and potential suppliers and contractors to the university and agents working on behalf of suppliers and contractors.

Procedure

Property Loaned for 90 Days or Less

Responsible Party Action
Department
  1. Receive equipment and letter of acknowledgement (gift letter) from donor.
  2. Submit acknowledgement letter and Gift-in-Kind form to the OSU Foundation for tax acknowledgement.
  3. Submit photocopies of all documentation (gift letter, appraisal, Gift-in-Kind form, etc.) along with a completed Fixed Assets Data Entry form to Property Management.
Property Management
  1. Create asset record in FIS Banner and sends bar code tag to department.

Additional Information

See the OSU Foundations website for related information on Gifts.

208: Transfer

Property Management Policy & Procedure Manual
Section 200: Equipment Acquisition
Effective: 07/01/1996
Revised: 05/27/2003

Purpose

To identify and record equipment transferred from other institutions and agencies to OSU.

Policy

Individuals must notify Property Management of equipment transfers from another institution or agency to OSU.  Unless otherwise stated, title of equipment vests with the University at the time of the transfer.

Equipment transferring to OSU from other institutions with new faculty should be reviewed and documented IMMEDIATELY upon receipt.  This type of property becomes state property (not personal property of the principal investigator) and must be added to the inventory in order to be tracked and insured.

Equipment that is accountable to a sponsor award that is transferring to OSU must be documented immediately, including information on the index and sponsor ID assigned by the Office of Post Award Administration.

Procedure

Transfer of Equipment Into OSU

Responsible Party Action
Department
  1. Request the following written information from the transferring institution: current market value, age, description, serial number, funding source, condition and federal accountability.
  2. Submit Fixed Asset Data Entry form to Property Management along with any backup documentation from the transferring institution or agency within 30 days of receipt.

Note: If the transferring institution cannot provide the market value, a certified appraiser must appraise the equipment.  Contact Property Management for assistance with appraisals.

Property Management
  1. Create asset record in FIS Banner and sends bar code tag to department.

Transfer of Grant or Contract Accountable Equipment to OSU

Responsible Party Action
Department
  1. Request the following written information from the transferring institution: current market value, age, description, serial number, funding source, condition and federal accountability.
  2. Submit Fixed Asset Data Entry form to Property Management along with any backup documentation from the transferring institution or agency within 30 days of receipt, including information on the award designation to OSU.

Note: If the transferring institution cannot provide the market value, a certified appraiser must appraise the equipment. Contact Property Management for assistance with appraisals.

Property Management
  1. Create asset record in FIS Banner and sends bar code tag to department.

209: Trade

Property Management Policy & Procedure Manual
Section 200: Equipment Acquisition
Effective: 07/01/1996
Revised: 01/27/2011

Purpose

To define a procedure for the trade-in of university/sponsor owned capital equipment.

Policy

Units are permitted to trade all or part of an asset to reduce the cost of a new asset.  All trades require prior approval from Property Management and must  be fully documented in FIS Banner.  Items acquired by trade are capitalized at their full value, not the amount after it was reduced by a trade-in allowance.  Please see PRO 803: Trade-in of Equipment for additional information on trade transactions.

Procedure

Exchange of an older piece of equipment for a reduction in cost on a new asset.

Responsible Party Action
Unit
  1. Contact Property Management (via phone or email) to request approval for the proposed trade.
  2. Submit to Purchasing within the appropriate Business Center:
    1. A Departmental Requisition and vendor quote of the item to be obtained.
    2. A Property Disposition Request (PDR) form containing the following:
    • The asset(s) to be traded.
    • Note under ‘resale price’ the credit that is to be received from the vendor for the traded asset(s).
    • A description of the item to be received for the traded item.

Note: If multiple assets are being traded there must be a specific amount for each asset – not a lump sum for all.

Purchasing
  1. Set up the Purchase Order in FIS Banner to reflect the full value of the new asset (including, rather than less than, the value of the trade-in credit). There should be a text notation on the Purchase Order regarding the amount of credit to be received from the vendor.
  2. Purchasing will provide a copy of the PO as well as the original PDR to Inventory Control to keep on file until the asset is received and payment processed.
Business Center
  1. Process the invoice for the new asset for the full amount of the asset (including trade-in credit) even though the invoice from the vendor will probably be reduced by the value of the trade-in allowance.  In order to pay the correct amount, a credit memo must be created in Banner for the amount of the trade-in allowance.  Be sure to process the invoice and credit memo simultaneously (cross-referencing the document numbers in the text field of both). This allows the proper payment to the vendor.
  2. Set up the credit memo for the amount of the trade-in, and posted to fund 095880 Asset-Undistributed Income Clearing and Account Code B5801 Undistributed Income.
Property Management
  1. Create the new asset record from the Origination tag created by the invoice. Then the disposition of the traded asset will be processed in the Fixed Asset module under the ‘sale of asset’ function. This function will take the ‘proceeds’ of the sale (the credit amount in the undistributed clearing account from the credit memo) and return it to the appropriate departmental fund. This process allows the proper recording of the gain or loss on the disposal of the traded-in asset. Gain or loss will only be posted to 09XXXX Service Center and 1XXXXX Auxiliary funds.
Exception: If the traded item is not a capital asset, this process cannot be used as there is no way to return the proceeds (credit) to the unit through the ‘sale of asset’ function. In this case, the credit memo should reflect the same index as the invoice and use account code 06981 Sale or Trade-In of Assets to reduce the payment to the vendor. The new asset will be recorded on inventory at full value.

One-to-One swap of equipment with no dollars changing hands.

Responsible Party Action
Department
  1. Request permission from Property Management to trade an asset.
  2. Obtain the current market value of the asset being received.  (May require services of a certified appraiser.)
  3. Use current market value as its inventory value, if it meets the capital threshold.
  4. A letter documenting and justifying the swap should be sent to Property Management with a PDR to remove the traded asset from inventory and a Fixed Asset Data Entry form with information to add the received asset to inventory.

210: Fabrication

Property Management Policy & Procedure Manual
Section 200: Equipment Acquisition
Effective: 07/01/1996
Revised: 08/31/2011

Purpose

To outline procedures for fabrication (assembly) of a capitalized equipment unit.

Definition

Fabricated Unit

Transformation of materials (supplies and minor equipment) into an identifiable unit by fabrication and meets the following criteria:

  1. Total finished value =>$5,000 and has a useful life of > 1 year.
  2. The ownership or title-to code must be the same for the entire fabricated unit. Funding sources can not be mixed so part of the fabricated unit is owned by the Federal Government or another outside entity and the remaining part(s) is owned by the university.
  3. Free standing, movable as an entire unit, not permanently attached to a structure, and will not lose its identity when installed in other property.
  4. Unit must be complete in itself. It will be added to, accounted for, and removed from capital inventory as one unit or record. All pieces stay together until entire unit is surplused.
  5. Assembled parts must be integrated, permanently attached to each other, and essential in the performance of the unit. A basic schematic diagram with a description must show how the parts are integral to the unit.
  6. A fabricated unit with all assembled parts must be physically found in one location at all times. Parts which do not meet this requirement are considered individually for capitalization.

Policy

Fabricated, assembled or constructed equipment that meets the above definition will be capitalized and added to the equipment inventory. The faculty member and department will be responsible for pre-approval prior to purchasing of any parts or items for the fabricated unit. This includes a basic schematic diagram of the proposed fabricated unit with explanations of the integration of the parts (see Procedures section).

Costs to assemble or fabricate can include parts, shipping costs, and labor of an organized shop. Faculty time may not be included. Donated parts will be recorded at fair market value. (See Procedures below for details).

Network and communication wiring can not be capitalized as equipment. This is infrastructure and special rules apply. Contact Property Administration if you have questions concerning these costs.

Software that is leased or licensed for use and which is separately itemized on a vendor invoice can not be capitalized. Do not include this expense in a fabricated unit cost.

Replacement parts:
Once a fabricated unit has been initially completed and placed in service, all replacement items, parts, or pieces to upgrade or enhance the unit will be expensed.

Example: a battery is replaced with a more powerful battery. The new battery must be purchased as an expense using Account Code “23501 Equipment Maintenance & Repairs”. [Note: the original battery remains on inventory and depreciates as part of the fabricated unit.]

Prototype fabrications:
OSU may receive special grant or contract funding to assemble and test a specialized piece of equipment which has not been previously constructed. These prototype units are unique experimental pieces of equipment which are designed for a specific purpose. There is a testing period. Even though on the fixed asset inventory as an asset, the unit should not be coded as “in-use” until the testing period is completed or the end date of the grant/contract; which ever comes first. If the item is found to be non-functional after the testing period, it must be removed from inventory.

Removal of a fabricated unit from fixed asset inventory:
When a fabricated unit is no longer in-service as it was designed and the department wants to surplus the parts or use some of them for another purpose the asset record must be removed from the fixed asset inventory and any remaining depreciation expensed to the university. These parts can not be added back to inventory as a single asset or part of a newly fabricated unit.

Procedure

Transfer of Equipment Into OSU

Responsible Party Action
Faculty Member & Department
  1. Prepare Fabricated Equipment Unit Pre-approval form and basic schematic diagram with an explanation of the integration of the parts.
  2. Present the completed, signed form and schematic diagram to OSU Property Administration (Business Services) for review and approval. Property Administration will review the application within 24 hours of receipt.
  3. a. If the cost of the fabricated unit is part of a sponsored proposal, the approved form and schematic should accompany the Proposal Transmittal Form presented to Office of Sponsored Programs and Research Compliance (OSPRC).

    b. If the fabricated unit is to be funded with Research Equipment Reserve Funds (RERF), the approved form and schematic must accompany the funding application to the Research Office for approval by the Research Council.

    c. If the fabricated unit is to be funded with other funding, the approved form is to be maintained at the department business office.

  4. Once funding is approved, Purchase Requests may be processed. A copy of the approved Fabricated Equipment Unit form (with the funding indexes noted) with the basic schematic diagram attached should accompany the first Purchase Request to the PaCS office.
  5. Begin fabricating the unit. (Note: approval is required when using sponsored funds. On the grant index, look for a dollar amount budgeted as account code 40101 Equipment.)
  6. a. Process all vendor invoices using account code 40199 for all parts associated with the construction of the unit.

    b. External shop labor invoices should be processed using account code 24995 Construction Contract Services due to IRS 1099 reporting requirements for services received. After processing these invoices through Accounts Payable, complete a Journal Voucher (JV), with the appropriate text, to change the account code to 40199.

    c. If fabrication includes OSU shop labor, prepare a Journal Voucher (JV) to debit account 40199 on the funding source and credit account 79343 on the shop index.

  7. When fabrication is complete or at fiscal year-end, whichever comes first, costs must be redistributed by JV from account code 40199 to account code 40101 so the asset record can be created. The text field of the JV must have the necessary information to create the asset record, including the original “I” doc numbers. The asset will be capitalized as a CIP (Construction in Progress) unless it is completed and in-use. [See FIS 601 Equipment for additional reference.]
  8. If the asset is “CIP” (Construction-in-process), any additional costs in the new fiscal year should continue to be processed on account code 40199 and converted to account code 40101or A80xx for an auxiliary or service center at completion or fiscal year-end.
  9. When construction is complete and the asset is in use, process a final journal voucher to convert any remaining costs from account code 40199 to the equipment account code 40101. Include the in-service date in the text of the JV. All modifications after asset is placed in service must be expensed.
Property Management
  1. Receives the Fabrication Equipment Unit Pre-approval form and basic schematic diagram from the faculty member/department.
  2. Reviews and returns the pre-approval form within 24 hours of receipt. Retains a copy for future reference.
  3. Approves Journal Vouchers which move costs from account code 40199 to account code 40101 or A80xx.
  4. At fiscal year-end, creates the capital inventory record as “CIP” until the unit is placed in-service or use.
  5. Issues a Bar Code Tag to the department for the fabricated unit.
  6. Requests a detailed update annually from the department for all assets that are still coded “CIP."

211: Surplus

Property Management Policy & Procedure Manual
Section 200: Equipment Acquisition
Effective: 07/01/1996
Revised: 06/07/2012

Purpose

To facilitate the reuse and acquisition of excess OSU, State and Federal property. 

Definition

Surplus Property

Property not needed by a department within the University. Surplus property includes all excess items and materials other than items that would be typically disposed of in a wastebasket, such as scrap paper, consumed pencils and pens, etc.

Background Information

OSU Surplus Property
OSU departments have access to a variety of used equipment. OSU Property Management staffs the Property Services warehouse at the corner of 13th and A streets in Corvallis, where departments may purchase OSU surplus equipment and supplies.

State Surplus Property
The Oregon Department of Administrative Services (DAS) in Salem offers state and federal surplus property for sale to state agencies.  Information on this program may be found on the DAS State Property Program website.

Federal Surplus Property
The Oregon Department of Administrative Services (DAS) has a property screener to assist state agencies in locating, reviewing and acquiring property from other federal sites as well as from the Salem depot.  Information on this program may be found on the DAS State Property Program website.

Federal Excess Property
Nationwide, the federal government also makes federal excess property available for use on federally-sponsored programs such as research projects, Agricultural Experiment Stations, etc.

Policy

Departments may purchase surplus property for university and sponsored use from the OSU Surplus Property Department and Oregon Department of Administration’s Services Surplus Property Management Office. 

Procedure

Acquisition of Used Equipment

OSU Surplus Property

  1. Departments may purchase available surplus property at the Surplus Property warehouse on SW 13th and A streets in Corvallis, Oregon.
  2. General fund indexes may only be used (no federal grant/contract indexes may be used).
  3. Purchases can be made during regular business hours, except during closed periods prior to public auctions.  See the current sales schedule on the OSU Surplus Property Website.  Additional information is available at the Property Surplus website.

State Surplus Property

State surplus equipment acquisitions of less than $5,000 are considered minor equipment.  Acquisitions costing $5,000 or more must be inventoried.  If processed on a FIS Banner invoice, see PRO-Ex1: Creating an Asset Record from a Banner Invoice.  If not processed through FIS Banner, see PRO-Ex3: Fixed Asset Data Entry (FADE) Form.

Departments have two options for reviewing and acquiring Surplus Property through DAS in Salem, Oregon.

Option (1) The OSU employee can bring a letter of authorization (from their Department) to purchase items on a single day.  The letter may be either a general authorization to purchase any item or restricted to specific items.  The letter must be signed by an authorized representative of OSU.  Authorized signers for OSU are:

  • Mark McCambridge, Vice President for Finance& Administration
  • Brian Thorsness, Director - Property, Contract & Risk Management
  • Patsy Hendricks, Surplus Property Supervisor
  • Bil Burton, Equipment Systems Specialist

Option (2) An OSU employee can get permanent authorization to go to DAS by completing three forms found on the DAS State and Federal Surplus Property website

  • Application Return Checklist
  • Application for Eligibility
  • Certifications & Agreement form
  • Return Policy Agreement form

Click on "Eligibility" and then "State Agency, Boards & Commissions" to locate the forms.  These forms must be completed in advance, signed by the employee’s supervisor or Department Chair, and returned to DAS prior to the visit.  If an individual who is not on the application for eligibility wants to go to DAS, she or he may hand carry a letter from an eligible person.  If an item is purchased, the letter is attached to the DAS invoice.

Federal Surplus Property

Federal surplus property is recorded in a similar manner; however the "cost" of federal surplus property is really a handling fee from DAS rather than a capital expense-the property is donated to the state of Oregon by the U.S. General Services Administration. 

Departments may acquire property through this program or through other screeners who are certified to review and acquire surplus property for the state (contact Property Management for details).  In either case, the donation is coordinated through DAS, and a 5% or 6% fee is levied to pay for their handling costs.

Federal surplus property must be put in use for the purpose for which it was donated within one year of donation, and be kept in use for 12 months (18 months for vehicles and property with original acquisition cost of $5,000 or more).  If these terms are not met, possession reverts to DAS.  During this restriction period, title to the equipment vests with the federal government.

Federal Excess Property

Such property remains titled to the federal government and is considered "government furnished equipment" on loan to the university.  Title never reverts to the university.  Disposal of Federal Excess Property must be back to the original federal agency.  For details about Federal Excess Property acquisition and inventory, see PRO 900: Sponsored Research and Federal Property.

Additional Information

OSU Surplus Property website

State of Oregon Surplus Property website

300 Equipment Management

301: Receiving Equipment

Property Management Policy & Procedure Manual
Section 300: Equipment Management
Effective: 03/01/1979
Revised: 09/10/2007

Purpose

To properly receive and record equipment to protect the University against loss.

Policy

The receiving department is responsible for receiving and inspecting newly acquired equipment, regardless of the method of acquisition.   Inspection should occur prior to processing the invoice.

Assets Purchased through Banner FIS
All assets purchased through the Banner FIS system have a record generated automatically and results in an inventory bar code tag being sent to the owning department. 

Assets Received Through Other Means
Assets received through other means (loans, government-furnished, leases, etc.) must be added to inventory via a Fixed Asset Data Entry (FADE) form. FADE Form (pdf format) are available at the Inventory Control website.  See PRO-Ex3 for an example of a FADE form. 

Adding to Inventory
All capital assets must be added to inventory within 60 days of receipt.  Any asset stolen or damaged after the 60-day window may not be covered by Risk Management.

Procedure

Responsible Party Action
Receiving Department 
  1. Prior to signing any documentation to accept a shipment, ensure that the package(s) has not been damaged.  The shipment should be refused if damage is apparent.
  2. Verify contents against Bills of Lading, Purchase Orders or other receiving documents to assure that the order is complete.  If overages, shortages, or damages are discovered, the vendor or shipper should be contacted immediately.  Packing slips, bills of lading & other documents should be submitted to the department's accounting office and archived with the purchase order/invoice.
  3. Test equipment to make sure that it functions properly within the allotted warranty period.
  4. For reporting requirements for Federal Sponsored Grants and Contracts, see PRO 902-02: Principal Investigator Responsibilities - Ordering, Receiving & Tagging.

Cross Reference

See PRO 304: Insurance for information on interim period.

Additional Information

See Campus Freight website for information relating to shipping and receiving packages.

302: Tagging

Property Management Policy & Procedure Manual
Section 300: Equipment Management
Effective: 03/01/1979
Revised: 05/22/2006

Purpose

To properly identify and track OSU equipment via a bar code inventory tag .

Policy

Equipment Tagging
All equipment on the OSU inventory must be tagged with an OSU bar-code inventory tag, which is furnished by Property Management. Equipment acquired for sponsored research may also require an asset tag from the sponsoring organization (See PRO 902-02: Federal Property Requirements in Section 9). At the time the tag is attached, all information on the inventory record should be verified against the actual equipment and updated as needed.  Clear laminated covers should be used to protect tags that will be exposed to the elements or to harsh environments; contact Property Management at 541-737-7350 for details.

Historic Properties
Assets included on the Historic Properties register should have a tag from the Historic Properties Commission.  This tag begins with an "H" and should not be removed under any circumstances.

Tag Locations
Tags should be placed where they can easily be seen and scanned, but where they will not interfere with the use of the equipment or be hidden when the equipment is used.

Replacement Inventory Tags
When inventory tags are lost, damaged or poorly located, replacement inventory tags should be obtained from Property Management.  They are printed in-house, so response time is usually 48 hours.  Please e-mail (Kim.Rowe@oregonstate.edu),  fax (541-737-2170), or campus mail a list of the tags needed to be replaced to Property Management.  New tags will be attached to the request and returned via campus mail or US mail.

Tagging Non-Capital Equipment
Property Management does not identify or tag equipment with an acquisition cost of less than $5,000.  If a department has an interest in identifying, tagging, and tracking equipment costing less than $5,000, Property management can supply "Property of OSU" identification labels to the department.

STOP (Security Tracking of Office Property) Tags
Departments may tag equipment with STOP Tags to protect OSU's property interests and help prevent theft of equipment. 

Untaggable Items
Use the term "untaggable" to describe items that cannot be tagged because they are too small, delicately calibrated, or they are used in harsh environments that would immediately destroy a tag.  The word "untaggable" and a brief explanation should be added to the asset record text of the item.  Departments should keep the tags in a notebook with information about the equipment to which they refer (description, serial number, etc.).   When the inventory is conducted, the equipment is located and identified from the information contained in the notebook, and then the tag is scanned.

Marking Equipment
When an item is untaggable, or can be tagged but has no serial number, permanently mark the OSU inventory number on it using an engraver or indelible marker.  An engraver is available for loan from the Oregon State Police / Department of Public Safety.

Procedure

Tagging Equipment

Responsible Party Action
Department  Place tags on equipment promptly upon receipt in a location that is visible and scannable.

Tag Locations

Responsible Party Action
Department 

Tag items consistently in accordance with the following guidelines:

  • General location: on the front, near the upper left corner
  • Machinery, instruments and vehicles: near the equipment manufacturer's nameplate, overlaminated as needed with clear protective label available from Property Management
  • Cylindrical items: tag should go up and down the length of the cylinder, not wrapped around it
  • Small items and movable internal components: see Untaggable Items section herein, or contact Property Management for assistance.

303: Use and Maintenance

Property Management Policy & Procedure Manual
Section 300: Equipment Management
Effective: 03/01/1979
Revised: 05/22/2006

Purpose

To ensure that capital equipment is properly used, maintained, and serviced to maintain the efficiency and usefulness of the equipment for as long as possible and to make the most effective use of the university's assets.

Policy

Use
Equipment on the OSU inventory is intended for institutional use and not for private purposes.  Use may be additionally restricted by the terms of the research contract or grant for which the equipment was acquired, if applicable.  See PRO 900: Sponsored Research and Federal Property and PRO 206: Equipment Acquisition-Loan.  Equipment should only be used by properly trained personnel and only for the manufacturer's intended purposes, and not misused.

Non-Use
Non-required equipment that has not been used for a substantial period of time should be made available to others or sent to Surplus Property for disposal. 

Maintenance
Capital equipment should be maintained by department personnel or outside vendors in accordance with the manufacturer’s recommended maintenance schedules.  Maintenance schedules should be followed for equipment currently in use and equipment in storage.  Records of maintenance performance should be kept for each item of capital equipment.  Maintenance may include:

  1. Periodic inspection,
  2. Regularly scheduled lubrication,
  3. Protection from exposure,
  4. Routine cleaning,
  5. Proper cleaning prior to storage, and
  6. Associated record keeping.

Maintenance records must be kept for agency-owned equipment (e.g., federally owned equipment belonging to DOD, NASA, DOE, etc.).

Cross Reference

See PRO 1002: Inventory Records Maintenance

304: Insurance

Property Management Policy & Procedure Manual
Section 300: Equipment Management
Effective: 07/01/1988
Revised: 05/24/2007

Purpose

To protect the University against loss by properly insuring equipment

Background Information

The State of Oregon Insurance Fund covers all property included on the Annual Risk Report, including the OSU fixed asset inventory.  The fund is used to replace, repair, restore or rebuild state property that is lost, damaged, or destroyed, subject to specific exclusions outlined in the Department of Administrative Services Policy Manual #125-7-101.  A $2,500 deductible applies to most equipment and supply losses; a $10,000 deductible applies to equipment lost due to theft or hazard which was preventable.

Policy

The Department of Administrative Services (DAS) Risk Management Division (RMD) provides supplemental insurance to insure newly acquired capital equipment within a 60-day interim period after receipt.  After 60 days the item is not considered insured against loss unless it has been added to equipment inventory.  Departments must process the appropriate documents (Invoice or Fixed Asset Data Entry form) within the 60-day interim period to add the equipment to inventory.     

Employees are responsible for promptly reporting loss or damage to their supervisors, who in turn are responsible for reporting the loss or damage to OSU Risk Management and the Law Enforcement.

Losses should be reported immediately to the OSU Risk Management Office, (541) 737-7252, to allow adequate time to process the claim.  OSU must file a claim with Risk Management within a time limitation of 90 days from the date of a loss. 

Procedure

Insuring Equipment

Responsible Party Action
Department 
  1. Within 60 days after receipt, submit the invoice or a completed Fixed Asset Data Entry form to Property Management.
Property Management 
  1. Add to inventory by creating an asset record in FIS Banner, assigning an OSU inventory number.
  2. Send bar code tag to departmental inventory coordinator for application to asset.

Filing an Insurance Claim

Responsible Party Action
Department 
  1. Complete a State Self-Insurance Claim Report form (pdf) and submit to Risk Management located in the Property Services Building.
  2. If loss occurs from a criminal act contact the Oregon State Police / Department of Public Safety (or local police if loss occurs out-of-state)
  3. If Capital Equipment has been lost or damaged beyond repair, a Property Disposition Request should be submitted to remove the equipment from inventory.
Note: If Risk Management pays on a claim, the asset becomes the property of Risk Management.  Any proceeds from the sale of damaged assets must be returned to Risk Management.  A Surplus Pick-up Request form should be submitted for such items, identifying them as 'claimed' property, and Property Management returns anything received from their sale back to Risk Management.  If a stolen asset is retrieved that Risk management had paid a claim on, that asset is also Risk Management property, and the department must either pay Risk Management for the asset, or sell it with the proceeds going back to Risk Management.

Additional Information

The State Insurance Fund self-insures agencies of the State of Oregon.  Claims approved for OSU increase the insurance premium that is levied against OSU in future years.  This results in OSU fully repaying the fund for any funds disbursed.  All reasonable precautions should be taken to adequately secure and protect OSU property from theft or damage.

See the Property Security Policy in the General University Policies section of the OSU Administrative Policies and Procedures Manual for more information.

See the State of Oregon Risk Management Division web site for additional information.

305: Storage

Property Management Policy & Procedure Manual
Section 300: Equipment Management
Effective: 05/22/2006

Purpose

To ensure that OSU-owned equipment and equipment in our custody is properly stored, protected and preserved during long-term storage.

Background Information

Federal and State of Oregon policies encourage the use or disposal of equipment that has not been used for long periods of time.

Policy

Equipment used for current operational needs is generally considered required equipment and should be stored as appropriate.  The long term storage of non-required equipment is not advocated.  Non-required equipment that has been in storage for a substantial period of time should be made available to others or sent to Surplus Property for disposal.  However, equipment that is extremely specialized and used only intermittently or during specific seasons for field work may be appropriately stored for future use.

When equipment is not in use, the responsible department must make arrangements for the optimal maintenance and protection of the asset.  The equipment should be housed adequately with proper packaging to ensure preservation of the asset.  Special controls and inspections should be provided for (1) equipment that is subject to corrosion or may be damaged by humidity and temperature extremes, and (2) the accessories and special tools that may or may not be regularly used with the parent asset. 

Government property in the custody of a department should be segregated when required and adequate security and protection must be provided for assets both inside and outside storage.  Access to property in storage should be limited to authorized personnel. 

Cross Reference

PRO 303: Use and Maintenance

PRO 804: Surplus Property

501: Vehicles

Property Management Policy & Procedure Manual
Section 500: Vehicles
Effective: 05/27/2003
Revised: 05/05/2013

The Oregon State Legislature has mandated an annual fleet review to document the utilization of all government owned vehicles.  Oregon State University must also report this information to the OSU Department of Administrative Services (DAS) Risk Management Division for insurance purposes.  All state-owned vehicles licensed for road use, regardless of value, are capitalized and added to the Fixed Asset Inventory.  Accurate record keeping facilitates the production of these mandated reports.

Departmental purchases of vehicles must be made in accord with PaCS policy 301-007 Vehicle Purchase and Leasing.

Donated Vehicles

Vehicles received as gifts must also be added to inventory.  Follow the procedures outlined in PRO 207: Gifts to properly acknowledge the Gift and add it to inventory.  The OSU Foundation’s policy on donated vehicles requires the vehicle's value to be verified using a blue-book search.  The lesser of the donor’s value or the blue-book value will be used as the inventory value. 

Asset Information

See PRO-Ex1: Creating an Asset Record from a Banner Invoice for information required for the asset record.  In addition to the regular information required for equipment, the ‘E’ license plate number is also required for the Fixed Asset Record for vehicles.   See  PRO 1002: Inventory Records Maintenance for record management requirements for vehicles. 

Title Requirements

Departments can register and title a vehicle, but may wish to have Motor Pool manage this process.  All OSU vehicles must have State of Oregon license plates.  Vehicles for on-road use must have an "E" plate, which has an "E" as the first letter in the license plate.  Vehicles for off-road use must have a "N" plate, which has an  "N" as the first letter in the license plate.

Once a title is received, the title should be scanned and sent to Property Management so an asset number can be referenced on the title and confirmation can be made that the vehicle is on OSU inventory.

Payments processed on the FIS Banner system should use account code 40104 for general funds and A8012 for Service Centers or Auxiliaries.  See PRO 202: Equipment Purchases for the procedure for vehicle acquisitions. 

Vehicle Purchases via OSU Foundation (OSUF) or Ag Research Foundation (ARF) funds and Not Processed Through Banner

Complete and submit a Fixed Asset Data Entry (FADE) form to Property Management.  A copy of the OSUF Check Request form and invoice should accompany the form.  FADE forms may be obtained from the Inventory Control website. See PRO-Ex3: Fixed Asset Data Entry (FADE) for instructions and a sample FADE form.

Additional Information

See the Motor Pool web site for additional information on basic vehicle rules and regulations.

See the Vehicle Incident Prevention Project (VIPP) Toolkit on the State of Oregon Risk Management Web page.

600 Biennial Inventory

601: Bar-Code Inventory

Property Management Policy & Procedure Manual
Section 600: Biennial Inventory
Effective: 07/01/1986
Revised: 01/18/2012

Purpose

To properly inventory capital equipment.

Background Information

Requirement for a Physical Inventory
As a recipient of federal grants and contracts, OSU is required to be in compliance with the Office of Management and Budget Circular A-110, Uniform Administrative Requirements for Grants and Agreements With Institutions of Higher Education, Hospitals, and Other Non-Profit Organizations.

OMB Circular A-110 states in part:  "A physical inventory of equipment shall be taken and the results reconciled with the equipment records at least once every two years.  Any differences between quantities determined by the physical inspection and those shown in the accounting records shall be investigated to determine the causes of the difference.  The recipient shall, in connection with the inventory, verify the existence, current utilization, and continued need for the equipment."  See OMB Circular A-110, Property Standards, Section 34 (f) (3).

Reporting Results of Inventories
Business Affairs, Fixed Assets is required to notify the Office of Naval Research (ONR) upon completion of OSU's biennial inventory and provide them with (1) a listing that identifies all discrepancies disclosed by the physical inventory, and (2) a signed statement that a physical inventory of all or certain classes of Government property was completed on a given date and that the official property records were found to be in agreement except for discrepancies reported.  ONR is the cognizant agency for property procedures and rates the University on its ability to protect, preserve, account for, and control Government-owned property.  An unsatisfactory rating would have an impact on OSU's ability to receive federal grants and contracts.  Every effort should be made to identify all assets on OSU's inventory during the physical inventory cycle.

Auditing the Auditors
ONR conducts an audit of OSU's property procedures each biennium, called a Property Control System Analysis.  This audit includes a review of OSU's Administrative Policies and Procedures Manuals (including this manual), a review of inventory results, and may include an on-site inspection of federally-owned assets. OSU's Property Control System is currently approved.

Policy

OSU is required by the Oregon University system (OUS) and the federal government to perform a physical inventory of all capital equipment every two years.  Business Affairs, Fixed Assets will conduct inventories department-by-department using bar code scanners, inventorying half of the campus during the first year of the biennium and the remaining half during the second year.  Unless a bar code scan inventory is scheduled, off- campus departments, Extension Offices and Agriculture Research Stations will conduct manual inventories biennially.

Procedure

Barcode Inventory Procedures

Scheduling the barcode inventory
The scanning system developed by Business Affairs, Fixed Assets includes the use of hand-held scanners.  Business Affairs, Fixed Assets staff conduct the scan in conjunction with a departmental property coordinator or other departmental representative.  This independent audit is an integral part of OSU's approved Property Control System (PCS).

Conducting the barcode inventory
The inventory process usually consists of six stages:

  1. Initial Scan
  2. Final Scan
  3. Reconciliation
  4. Fixed Asset Condition Code Update
  5. Department Head Sign-Off
  6. Master Inventory File update
Responsible Party Action
  Initial Scan

Business Affairs, Fixed Assets

Contact each department and set up an appointment to conduct the initial scan.

Business Affairs, Fixed Assets & Department Rep.

Scanner, with department representative, will make a first pass scan through every room in a department's area of responsibility containing current assets held by the department.  All equipment with a barcode tag should be scanned, even if it does not belong to the department (borrowed).  (Each barcode scanner has current information from the University's inventory in its memory, so fields can be verified, and corrections and exceptions noted.)  Business Affairs, Fixed Assets will provide the department with a Fixed Asset Condition Code Update form for completion as part of the inventory process.

Business Affairs, Fixed Assets

Prepare a list of all equipment that was not scanned.  This "Assets Not Scanned" report will be provided by Business Affairs to the departmental inventory coordinator within one week of the initial scan.

Department

Locate remaining assets within a 2-week period and contact Business Affairs, Fixed Assets to schedule the Final Scan.

  Final Scan

Business Affairs, Fixed Assets

At the end of the two-week period, contact the department for the second scan appointment. If department does not respon or is not prepared for final scan after 30 days from receipt of “Assets Not Scanned” report, the Department Head will be contacted directly. After 45 days, if still no response from the department, the Dean of the College will be contacted by the Business Affairs Director.

Business Affairs, Fixed Assets & Department Rep.

Scan all the available items on the "Assets Not Scanned" report.

  Reconciliation

Business Affairs, Fixed Assets

Upon completion of the final scan, Business Affairs, Fixed Assets will again provide a final "Assets Not Scanned " report to the departmental inventory coordinator within 48 hours.

Department

Use the final "Assets Not Scanned " report as the reconciliation report.  State the reason why each asset was not scanned in the blank field to the right of each asset.  Submit the reconciliation report to Business Affairs, Fixed Assets with back-up documentation to support this information.  Back up documentation includes:

  • Copy of a loan agreement
  • Print out of email confirming location of asset and responsible parties
  • Copy of Surplus Pick up Request for items sent to surplus
  • Property Disposition Request form for items cannibalized or salvaged
  • Property Disposition Request form for missing items
  • Fixed Asset Transfer form for items transferred to another department

Note: See PRO 903: Reporting & Inventories for necessary actions regarding missing federal property.

Department

Complete and submit a Fixed Asset Condition Code Update form to Business Affairs, Fixed Assets (received above).  This form lists the department’s assets in numerical order including basic information from the inventory record.  Complete the two sections on the right side of the form.  The first section lists the various condition codes that may apply – A1, A2, A3, A4, A6 A7 and ML.  The description of these keys is at the top of the form:

A1 – Excellent
A2 – Good
A3 – Fair
A4 – Poor
A6 – Useable
A7 – Non-functional
ML – Missing/Lost

Circle the code that most closely describes the current condition of the asset.

Note the "date of last use" to the right of the Condition Code in the 2nd section.  This can be an approximate date if the asset is used irregularly.

  Department Head Sign-Off
 

The Dean, Department Head or Director of the unit should review both the Reconciliation form and the Fixed Asset Condition Update form.  Sign and date each form on the line provided on each form.  Submit both forms together to Business Affairs, Fixed Assets within five working days of the final scan.  This finalizes the physical inventory process for the department.

  Master Inventory File Update

Business Affairs, Fixed Assets

The inventory scan data will be uploaded to FIS Banner periodically.  The upload will correct the location of the asset (if necessary) and add the date the asset was scanned to the Fixed Asset Record’s ‘Last Inventory Date’ field.  Other corrections to asset information or condition will be input as departments submit their inventory reconciliation's.  Property Disposition Requests and Fixed Asset Transfer Forms will be processed as they are received.

602: Manual Inventory

Property Management Policy & Procedure Manual
Section 600: Biennial Inventory
Effective: 03/01/1971
Revised: 01/18/2012

 

Purpose

To properly inventory capital equipment.

Background Information

Requirement for a Physical Inventory
As a recipient of federal grants and contracts, OSU is required to be in compliance with the Office of Management and Budget Circular A-110, Uniform Administrative Requirements for Grants and Agreements with Institutions of Higher Education, Hospitals, and Other Non-Profit Organizations.

OMB Circular A-110 states in part:  "A physical inventory of equipment shall be taken and the results reconciled with the equipment records at least once every two years. Any differences between quantities determined by the physical inspection and those shown in the accounting records shall be investigated to determine the causes of the difference. The recipient shall, in connection with the inventory, verify the existence, current utilization, and continued need for the equipment."  See OMB Circular A-110, Property Standards, Section 34 (f) (3).

Reporting Results of Inventories

Business Affairs, Fixed Assets is required to notify the Office of Naval Research (ONR) upon completion of OSU's biennial inventory and provide them with (A) a listing that identifies all discrepancies disclosed by the physical inventory, and (B) a signed statement that a physical inventory of all or certain classes of Government property was completed on a given date and that the official property records were found to be in agreement except for discrepancies reported.

ONR is the cognizant agency for property procedures and rates the University on its ability to protect, preserve, account for, and control Government-owned property.  An unsatisfactory rating would have an impact on OSU's ability to receive federal grants and contracts.  Every effort should be made to identify all assets on OSU's inventory during the physical inventory cycle.

Policy

Off campus departments, Extension Offices and Agriculture Research Stations will conduct manual inventories biennially when a bar code inventory is not scheduled. 

Procedure

 

Responsible Party Action

Business Affairs, Fixed Assets

  1. Mail (1) a current asset inventory listing, (2) an 'Assets Not Scanned' Report, and (3) the Fixed Asset Condition Code Update to the department.

Business Affairs, Fixed Assets & Department Rep.

  1. Physically verify the existence of each asset on the asset inventory listing and that the asset's bar code tag is affixed.
  2. Complete and submit to Business Affairs, Fixed Assets the "Assets Not Scanned " report. On the form, note all the located assets as "found" in the blank field to the right of each asset. Exceptions such as items on loan, missing, etc. should be explained in the blank field to the right of each asset with appropriate documentation supporting the explanation. Submit the Assets Not Scanned Report to Business Affairs, Fixed Assets with supporting documentation that may include the following:
    • Copy of a loan agreement
    • Print out of email confirming location of asset and responsible parties
    • Copy of surplus pick up request for items sent to surplus
    • Property Disposition Request form for items cannibalized or salvaged
    • Property Disposition Request form for missing items
    • Fixed Asset Transfer form for items transferred to another department

      Note: See PRO 903: Reporting & Inventories for necessary actions regarding missing federal property
  3. Complete and submit a Fixed Asset Condition Code Update form to Business Affairs, Fixed Assets (received in step #1 above). This form lists the department's assets in numerical order including basic information from the inventory record.
    1. Complete the two sections on the right side of the form. The first section lists the various condition codes that may apply - A1, A2, A3, A4, A6 A7 and ML. The description of these keys is at the top of the form:
      • A1 – Excellent
      • A2 – Good
      • A3 – Fair
      • A4 – Poor
      • A6 – Useable
      • A7 – Non-functional
      • ML – Missing/Lost
    2. Circle the code that most closely describes the current condition of the asset.
    3. Note the "date of last use" to the right of the Condition Code in the 2nd section. This can be an approximate date if the asset is used irregularly.
  4. The Dean, Department Head or Director of the unit should review both the Reconciliation form and the Fixed Asset Condition Update form. Sign and date each form on the line provided on each form. Submit both forms together to Business Affairs, Fixed Assets within the date requested by Business Affaris, Fixed Assets. This finalizes the physical inventory process for the department.

Business Affairs, Fixed Assets 

  1. Process paper work upon receipt and updates asset records as necessary.

Additional Information

Auditing the Auditors
ONR conducts an audit of OSU's property procedures each biennium, called a Property Control System Analysis.  The audit includes a review of OSU's Administrative Policies and Procedures Manuals (including this manual), a review of inventory results, and may include an on-site inspection of federally owned assets.  OSU's Property Control System is currently approved.

700 Equipment Loaned and Leased

701 Loaned Equipment

701-01: To Employees

Property Management Policy & Procedure Manual
Section 701: Loaned Equipment
Effective: 07/01/1996
Revised: 09/10/2007

Purpose

To document and record equipment being loaned to faculty or staff.

Policy

OSU equipment is intended for use by the institution, and is not to be used for private purposes. 

Deans, Department Heads and Directors must authorize all equipment loans to their employees.  Authorization must occur prior to the employee taking possession of the equipment.  The borrower is expected to maintain and secure this property when in the borrower's custody. 

The equipment loan must be for a finite period of time not to exceed TWO years, though renewal is possible with the written consent of all parties.  The department head and the borrower will determine who will be responsible for the deductible in the event of a loss.  The borrower may be held financially responsible for any perils not covered by the State Insurance Fund, or for any loss or damage due to the negligence of the borrower.  The borrower may be asked to produce the equipment for inspection upon request. 

Procedure

Equipment Loaned to Faculty or Staff

Responsible Party Action
Department
  1. Complete an Intra-Department Loan Agreement available at Inventory Control website. Obtain the appropriate signatures that authorize the loan.
  2. Submit a copy of the loan agreement to Property Management and maintain the original on file in the department.

Property Management

  1. Update the inventory record to show the new location of the equipment, with an entry in the text field identifying who is borrowing it, where it will be housed, and how long it will be on loan.
Department
  1. Notify Property Management when equipment is returned and of its new location.
Property Management
  1. Update the inventory record to show the corrected location of the asset. 

Additional Information

See PRO 206: Equipment Acquisition - Loan for related information.

701-02: Equipment Loaned - To Other Institutions and Agencies

701-02: Equipment Loaned - To Other Institutions and Agencies

Property Management Policy & Procedure Manual
Section 701: Loaned Equipment
Effective: 07/01/1996
Revised: 09/10/2007

Purpose

To document and record equipment being loaned by OSU.

Policy

The Property Management Office must approve all equipment loaned by OSU.  The loans require written approval from the Department Head, the OSU Vice Provost for Research (only for equipment valued over $25,000), the Principal Investigator/Borrower, and an authorized institutional representative of the borrowing institution.

Under certain circumstances, OSU-owned equipment that is not accountable to a current grant or contract may be loaned to another research institution for a cooperative research, educational, or extension effort for up to two years (renewable).  When a cooperative research loan expires, it must either be renewed or the equipment returned to OSU at the other institution's expense. 

Procedure

Responsible Party Action
Department
  1. Contact Property Management to determine if asset(s) is eligible for loan and for advice prior to initiating an equipment loan.
  2. Download an Equipment Loan Agreement from Inventory Control website.
  3. Complete and submit the original Equipment Loan Agreement with the appropriate signatures to Property Management.

Property Management

  1. Update asset records to reflect asset's new location with text information regarding the loan.
  2. Maintain the original executed agreements at Property Management.
Department
  1. Ensure that equipment is returned or loan agreement is renewed.

Note: The cooperative equipment loan is not always the best solution, and can be cumbersome.

701-03: Loaned Equipment - To OSU

Property Management Policy & Procedure Manual
Section 701: Loaned Equipment
Effective: 03/01/1979
Revised: 09/10/2007

Purpose

To document and record equipment being loaned to OSU.

Policy

The Property Management Office must approve all equipment loaned to OSU.  Equipment loaned to OSU must be for official institutional purposes and the use must be directed by OSU Officials, Managers, or Representatives.

OSU does not accept responsibility for personally owned equipment that is lost or stolen.  However, if personally owned property is being used for university business, generally the property will be covered by Risk Management.  Exceptions include stereo equipment, radios, pictures, paintings, fans, and general property not to be used for university purposes.

Property Control suggests that individuals who have personally owned equipment on campus take the following precautions to avoid the possibility of its being mistaken for OSU equipment:

  • Mark the equipment for identification of ownership.
  • Provide the department head with a list of personally owned equipment being used for university purposes.

Should confusion arise, proof of ownership will lie with the individual, not with OSU.

Procedure

Responsible Party Action
Department
  1. Download a Personal Property Loan Agreement form from the Inventory Control website.
  2. Complete and submit the original Personal Property Loan Agreement with the appropriate signatures (Department & Loaner) to Property Management.

Property Management

  1. If the equipment loan is for less than 90 days, forward the Personal Property Loan Agreement form to the OSU Risk Management Office and the item will be insured under supplemental insurance.
  2. If the equipment loan is for more than 90 days, an asset record will be created and a bar code tag will be generated for the equipment.
  3. Maintain the original executed agreement at Property Management.
Department
  1. Ensure that equipment is returned or loan agreement is renewed.

Cross Reference

See PRO 206: Equipment Acquisition - Loan for related information.

Additional Information

See the Department of Public Safety & Oregon State Police website for information on how to identify your personal items through the "Operation ID" program.

702: Leased Equipment

Property Management Policy & Procedure Manual
Section 702: Leased Equipment
Effective: 07/01/1996
Revised: 09/10/2007

Purpose

To document and record equipment being leased to non-OSU individuals, businesses or institutions.

Policy

OSU owned equipment may be leased to outside organizations or individuals when leasing the equipment is in the best interest of the University.

Procedure

Responsible Party Action
Department
  1. Download an OSU Owned Equipment lease Agreement form from the Inventory Control website.
  2. Complete and submit the Lease Agreement with the appropriate signatures (Department & Lessee) to the Contracts Office.

PaCS

  1. Ensure lease agreement is properly completed.
  2. Forward a copy of the approved lease agreement to the leasing department and sends the original to Property Management.
Property Management
  1. Update asset records to reflect asset's new location with text information regarding the lease.
  2. Maintain the original executed agreements at Property Management.
Department
  1. Ensure that equipment is returned or lease agreement is renewed.

Cross Reference

See PRO-Ex7: OSU-Owned Equipment Lease Agreement on how to complete a the lease agreement

800 Equipment Disposal

801: Lost, Damaged or Destroyed Equipment

Property Management Policy & Procedure Manual
Section 800: Equipment Disposal
Effective: 03/01/1979
Revised: 09/10/2007

Purpose

To ensure that university departments follow the necessary procedures when reporting lost, damaged or destroyed equipment.

Applicability

All equipment in the custody of OSU.

Policy

Departments must report all incidents resulting in equipment loss, damage or destruction to the OSU Risk Management Office (541-737-7252) for insurance purposes.  Departments must notify Property Management (737-7350) if the equipment is lost or damaged beyond repair and should be removed from inventory.  If the property is accountable to a grant or contract, the principal investigator must also follow instructions in the award document for reporting lost, missing, stolen or damaged property to the sponsoring organization.

Departments must report all equipment loss, damage or destruction resulting from suspected criminal activity to the Oregon State Police/Department of Public Safety (737-3010) or local law enforcement if the incident occurred away from the OSU main campus.

Procedure

Reporting Lost or Damaged Equipment

Responsible Party Action
Department
  1. Complete and submit a State Self-Insurance Claim Report form (pdf) to the OSU Risk Management Office.  (Record the police case number on the Preliminary Report (if applicable)).

Removing Lost, Damaged or Destroyed Equipment from Inventory

Responsible Party Action
Department
  1. Complete a Property Disposition Request Form along with copies of the State Self-Insurance Claim Report form.
  2. Record the police case number on the Property Disposition Request (if applicable).
  3. Submit to Property Management.
Property Management
  1. Remove equipment from inventory.

Cross Reference

See PRO 304: Insurance for filing a claim for lost, damaged or destroyed equipment.

See PRO 802: Stolen Equipment.

See PRO 903: Reporting & Inventories.

Additional Information

See the Department of Public Safety & Oregon State Police website for procedures on reporting crimes and incidents to law enforcement.

802: Stolen Equipment

Property Management Policy & Procedure Manual
Section 800: Equipment Disposal
Effective: 03/01/1979
Revised: 03/15/2013

 

This policy defines equipment as any tangible property with a life expectancy of more than one year, that is not consumed in the course of operation

Units must immediately notify the Department of Public Safety/Oregon State Police (541-737-7000) of all incidents resulting in stolen equipment or suspected theft of equipment.  Contact local law enforcement, if the incident occurred away from the OSU main campus. 

For insurance purposes, units must also notify the OSU Risk Management Office (541-737-7350 or risk@oregonstate.edu).

Units must complete a Property Disposition Request Form and contact Property Management (541-737-4084), if the equipment is a capital asset. 

If the stolen property is accountable to a grant or contract, the principal investigator must contact the Office of Post Award Administration (OPAA) and follow instructions in the award document for reporting stolen property to the sponsoring organization.

Additional Reference

PRO 304: Insurance for filing a claim for lost, damaged or destroyed equipment.

PRO 903: Reporting & Inventories.

803: Trade-In of Equipment

Property Management Policy & Procedure Manual
Section 800: Equipment Disposal
Effective: 07/01/1996
Revised: 09/10/2007

Purpose

To define a procedure for the trade-in of university capital equipment.

Policy

Departments are permitted to trade-in state owned property upon obtaining approval from Property Management.  

Trade-in values that are substantially less than the market value of the equipment are prohibited.

Procedure

Reporting Stolen Equipment

Responsible Party Action
Department
  1. Contact Property Management (541-737-7350) to obtain approval to trade-in state owned property.
Property Management
  1. Review asset records and determines if item is eligible for trade-in.
  2. If eligible, grant verbal authorization to department.
  3. If not eligible, department is not granted authorization for disposal of equipment via trade-in.
Department
  1. Complete a Property Disposition Request (PDR) form available at the Inventory Control website.
  2. Submit PDR with Purchasing Requisition (see PRO 209: Acquisition-Trade) and quote form the vendor.
Property Management
  1. Remove traded asset from inventory as new asset is being added to inventory.

Cross Reference

See PRO 209: Acquisition-Trade.

804: Surplus Property

Property Management Policy & Procedure Manual
Section 800: Equipment Disposal
Effective: 07/01/1971
Revised: 08/17/2011

Purpose

To facilitate the reuse and disposal of excess departmental property in compliance with State of Oregon Departments of Administrative Services policies.

Background Information

The Surplus Property department is a self-sustaining unit of OSU.

Policy

All excess state owned property must be disposed of through the OSU Surplus Property department.  Experiment stations, extension offices and other remote sites must bring their surplus items to the Surplus Property department in Corvallis.  Surplus property is taken on a consignment basis.

All sales of state owned property to outside individuals or agencies are prohibited except for sales through the Surplus Property department.

Exemptions

Excess property authorized for disposal by transfer, or trade-in.

Procedure

Disposal of Excess Property

Responsible Party Action
Department
  1. Complete and submit to Property Management a Surplus Property Pick-up Request (SPR) Worksheet that lists all items to be collected by Surplus Property.  Hard copy and online SPR forms are available on the Surplus Property Website.
Surplus Property
  1. Review list and verify that all capital assets are eligible for collection and disposal.  (Surplus Property will not collect or dispose of federally or other owned property.)   
  2. Schedule an appointment with department (if necessary or requested) for collection of surplus property. 
  3. Collect surplus property and relocates it to surplus warehouse. 
  4. Send computer generated receipt listing the items collected to the department.
Department
  1. Compare items on list to the original pickup request and communicates discrepancies to Surplus Property.
Surplus Property
  1. Make property available to OSU departments, state agencies or other authorized non-profit organizations.
  2. Property not purchased internally will be made available at public sales.
  3. Proceeds from the sale of surplus property (less consignment fee) are returned via a journal voucher in the month after the sale occurred.

Disposal of Historic Property

Responsible Party Action
Department
  1. Complete and submit a Surplus Property Pick-up Request (SPR) Worksheet (that specifically identifies the historical asset property tag number) to Surplus Property.  Hard copy and online SPR forms are available on the Surplus Property Website.
Surplus Property
  1. Schedule an appointment with department (if necessary or requested) for collection of historical asset.
  2. Collect historical asset and relocates it to surplus warehouse. 
  3. Send computer generated receipt listing the historical items collected to the department.
Department
  1. Compare items on list to the original pickup request and communicates discrepancies to Surplus Property. 
Surplus Property
  1. Makes historical asset available to OSU departments and state agencies.

Note: There are restrictions on the disposal of any asset included on the Historic Properties register. These items may be transferred to another OSU department or another state agency. If a department no longer wishes to keep an asset marked as Historic Property, it should be sent to Surplus Property. Surplus Property will contact the State Parks and Recreation Department (which now handles Historic Properties) and request that they claim the asset or release it for sale or other disposition.

Additional Information

Any equipment on inventory will remain on inventory for record-keeping purposes until it is sold or otherwise disposed of.  Property Management will then remove it from inventory.

Some equipment may be difficult or inconvenient to move to the surplus warehouse.  In these cases, Surplus Property will arrange the sale of the item at its current location and coordinate dismantling/moving the equipment when the item is sold. 

805 Transfer of Equipment

805-01: Transfer/Sale of Equipment Between OSU Departments

Property Management Policy & Procedure Manual
Section 805: Transfer of Equipment
Effective: 07/01/1971
Revised: 02/26/2008

Purpose

To facilitate the transfer of equipment.

Policy

OSU owned equipment (title code SI) may be transferred to other OSU departments with or without an accompanying financial transaction. The transferring department must notify Property Management of the proposed transfer and complete the necessary forms, either a Property Disposition Request (PDR) or a Fixed Asset Transfer form (FATF). 

Procedure

Transfer Between Departments without a Financial Transaction

Transfer Between Departments with a Financial Transaction

Sale of a Capital Asset by Proprietary Fund

Sale of an asset by Non-Proprietary Fund to a Proprietary Fund

Transfer Between Departments without a Financial Transaction

Responsible Party Action
Transferring Department
  1. Complete the "FROM" section on the Fixed Assets Transfer Form (FATF) and signs form as requestor.
  2. Send original FATF and equipment to Inventory Coordinator or departmental contact in receiving department. 
  3. Send a copy of the FATF to Property Management.
Receiving Department
  1. Verify that equipment has been received.   
  2. Complete the "TO" section of the FATF and signs as receiver.
  3. Submit original FATF to Property Management.
Property Management
  1. Update the asset record to reflect the new inventory ownership.

Transfer Between Departments with a Financial Transaction

Responsible Party Action
Transferring Department
  1. Complete the "FROM" section on the Fixed Assets Transfer Form (FATF) and signs form as requestor.
  2. Complete a Journal Voucher (JV) in Banner FIS to charge the “purchasing” department for the amount of sale using account code 20200 on both the debit and credit lines.  JV number should be noted on FATF.
  3. Send original FATF, copy of JV and equipment to Inventory Coordinator or departmental contact in receiving department.
  4. Send a copy of the FATF to Property Management.
Receiving Department
  1. Verify that equipment has been received.
  2. Complete the "TO" section of the FATF and signs as receiver.
  3. Submit original FATF to Property Management.
Property Management
  1. Update the asset record to reflect the new inventory ownership.

Sale of a Capital Asset by Proprietary Fund

Responsible Party Action
Transferring Department
  1. Propriety Fund provides Property Management with a PDR Form for the asset sold, including:
  • Index/Fund for department purchasing asset,
  • New location of asset,
  • Name of Responsible Person,
  • Amount of Sale.
Property Management 
  1. Record cash receipt from sale in "sale of asset" to undistributed income clearing fund:

    Debit: Index/Fund of purchasing department:

  • Index and acct 401XX if purchased by non-proprietary fund
  • Fund and acct A80xx if purchased by proprietary fund

Credit: 095880 B5801

  1. Uses Fixed Asset Adjustment - sale of fixed asset function in Banner FIS.  The fixed assets system removes the asset, accumulated depreciation, records gain or loss, and clears the clearing fund.
  2. Creates a new Asset record and capitalizes the "purchase" in the fixed asset module if required to be capitalized.

Sale of an Asset by Non-Proprietary Fund to a Proprietary Fund

Responsible Party Action
Transferring Department
  1. Non-Propriety Fund/Department provides Property Management with a PDR Form for the asset sold, including:
  • Index/Fund for department purchasing asset,
  • New location of asset,
  • Name of Responsible Person,
  • Amount of Sale.
Property Management 
  1. Records cash receipt from sale in "sale of asset" to undist income clearing fund:

    Debit: Fund and acct A80xx
    Credit: 095880 B5801

  1. Uses Fixed Asset Adjustment - sale of fixed asset function in Banner FIS.  The fixed assets system removes the asset, accumulated depreciation, records gain or loss, and clears the clearing fund.
  2. Creates a new Asset record and capitalizes the "purchase" in the fixed asset module if required.

Cross Reference

See PRO 900: Sponsored Research and Federal Property. 

805-02: Transfer of Equipment from OSU

Property Management Policy & Procedure Manual
Section 805: Transfer of Equipment
Effective: 07/01/1971
Revised: 02/25/2012

OSU owned equipment (title code SI) may be transferred to other state agencies with or without an accompanying financial transaction. 

State-owned equipment may be transferred to a non-state agency when:

  1. It is accountable to a current grant or contract that is transferred to another institution;
  2. When there will be a continuing collaborative research relationship between a departing faculty member and OSU that is expected to last at least two years.   Equipment acquired on federal grants and contracts may be transferred without restriction.  Equipment funded entirely or in part by state funds must be purchased by the new institution in an amount not less than the current depreciated value of the state-funded portion of the asset on OSU’s records. or
  3. The equipment/property has been identified as surplus property as defined in OAR 580-040-0300. Surplus Property will determine the most cost effective means for transfer/disposal. This may include transfer to a non-profit or public entity with or without an accompanying financial transaction.

Transfer to another State of Oregon Agency

Responsible Party

Action

Transferring Department

  1. Complete a Property Disposition Request (PDR) Form including information such as the receiving agency's name, address, telephone number, and the agency's contact person.
  2. Obtain department head signature and send PDR to Business Affairs, Fixed Assets.
  3. Ship equipment to receiving agency's contact person.
  4. Receive acknowledgement that equipment was received.

Business Affairs, Fixed Assets

  1. Remove asset record from inventory.
  2. Mail a copy of the PDR to the receiving agency.

Transfer of Current Grant or Contract

Responsible Party

Action

Principal Investigator (PI)

  1. Notify the Office of Post Award Administration (OPAA) that s/he has accepted employment at another institution and intends to transfer the current award to the new institution.

Office of Post Award Administration (OPAA)

  1. Upon PI's notification, coordinate transfer of grant or contract funds and equipment.
  2. If applicable, submit a copy of the sponsor's instructions to Business Affairs, Fixed Assets.

Transferring Department  

  1. Complete a Property Disposition Request (PDR) Form including information such as the receiver's name, address, telephone number, and the receiver's contact person.
  2. Obtain department head signature and send PDR to Business Affairs, Fixed Assets.
  3. Ship equipment to receiver's contact person.

Business Affairs, Fixed Assets

  1. Remove asset record from inventory.

Transfer of Equipment to Non-State Institution

Responsible Party

Action

Principal Investigator (PI)

  1. Notify Department that s/he has accepted employment at another institution and requests permission to transfer equipment to the new institution.  The request must include:
    1. a statement that collaboration will be continued while at the new institution and
    2. a complete list of equipment (both capital and minor) that will be needed to continue the activity.

Transferring Department

  1. Department Head approves or disapproves PI’s request.  If approved, prepares a letter to Business Affairs, Fixed Assets summarizing the continuing collaboration and requesting permission for the transfer.  Submits letter, list of all equipment to be transferred, and a Property Disposition Request (PDR) Form for the capital equipment to be transferred to Business Affairs, Fixed Assets for approval.
Business Affairs, Fixed Assets
  1. Review asset records for eligibility to transfer; Notify department of decision, and any requirements (i.e., required buy-out of state-funded assets).

Transferring Department

  1. If transfer approved, arranges shipment of equipment to new institution.

Business Affairs, Fixed Assets

  1. Remove asset record from inventory

Transfer of Equipment/Property to Non-Profit or Public Agency

Note: to be considered eligible to receive property, a non-profit organization must provide documentation confirming current non-profit status.

Responsible Party

Action

Transferring Department

  1. Create a list of items to be transferred and contact Surplus Property to review the list for approval.
  2. A PDR must be completed for all inventory/property with a current asset number and the appropriate responsible party signature and submitted to Business Affairs, Fixed Assets for review.
  3. Upon authorization, a transfer form will be provided by Surplus Property for completion by the transferring department.
  4. The transferring department may transfer the property to the receiving organization.
  5. The receiving organization will finish completing the transfer form and provide the non-profit documentation, prior to removing the property from OSU.
  6. The transferring department must return the completed form and non-profit documentation to Surplus Property within 3 days of the property being removed from OSU.

Surplus Property

  1. Surplus Property will review the items listed for transfer and approve the request if appropriate. Surplus will determine if this is a cost effective means for disposal of the property and does the receiving organization qualify.
  2. Surplus Property will retain the records of all transfers for the required record retention.
  3. Upon transfer, the property will be removed from inventory by Business Affairs, Fixed Assets. Surplus Property will notify Business Affairs, Fixed Assets of the completed transfer.
  4. Surplus Property will assure equitability and reduce the perception of favoritism.
  5. If a department appears to be directing supplies/equipment to any one organization on a regular basis, the management for Surplus Property may intervene and take corrective actions.

Additional Information

Oregon Revised Statute 351.210

Oregon Administrative Rule 580-040-0302

Cross Reference

See PRO 900: Sponsored Research and Federal Property.

806: Return of Equipment

Property Management Policy & Procedure Manual
Section 800: Equipment Disposal
Effective: 07/01/1971
Revised: 09/10/2007

Purpose

To facilitate the return of equipment to sponsoring agencies and owners.  

Policy

Agency or other owned equipment must be returned to the agency or owner; upon request, upon completion of project, or expiration of the loan agreement.  The returning department must notify Property Management of the return and complete a Property Disposition Request form (PDR).

Procedure

Return to Sponsoring Agency at Contract Close-out

Responsible Party Action
Office of Post Award Administration (OPAA)
  1. At contract or grant closeout, request sponsor's disposition instructions for sponsor owned equipment.
  2. Submit a copy of the sponsor's instructions to Property Management.
  3. If applicable, submit a copy of the sponsor's instructions to departmental Principal Investigator. 
Returning Department
  1. Complete a Property Disposition Request (PDR) Form including information such as the Sponsoring Agency's name, address, telephone number and contact person.
  2. Obtain department head signature and send PDR to Property Management.
  3. Ship equipment to Sponsoring Agency's contact person.
Property Management
  1. Remove asset record from inventory.

Return to Owner

Responsible Party Action
Returning Department 
  1. Complete a Property Disposition Request (PDR) Form including information such as the owner's name, address, telephone number and the owner's contact person.   
  2. Obtain department head signature and send PDR to Property Management.
  3. Ship equipment to owner or contact person.
Property Management
  1. Remove asset record from inventory.

Cross Reference

See PRO 701-03: Equipment Loaned to OSU.

See PRO 900: Sponsored Research and Federal Property.

807: Salvage or Cannibalization of Equipment for Parts

Property Management Policy & Procedure Manual
Section 800: Equipment Disposal
Effective: 07/01/1996
Revised: 09/10/2007

Purpose

To manage the disposal of salvaged or cannibalized capital equipment and to ensure compliance with federal and university requirements.

Background Information

Departments can use components from outdated or nonfunctional equipment to build or repair other equipment.

Policy

Departments may salvage or cannibalize obsolete or nonfunctional equipment upon obtaining approval from Property Management. 

Procedure

Responsible Party Action
Department 
  1. Prepare a list of potential equipment to be salvaged or cannibalized.
  2. Submit list to Property Management and requests approval to salvage or cannibalize equipment. 
Property Management
  1. Audit the asset record to see that the property is OSU-owned and not accountable to a current grant or contract, and that the Surplus Property Program could not get a better value by reselling the property for the department.  (Note:  This process is usually completed over the phone in just a few minutes.)
  2. Approve or disapprove request and notifies department of decision.
Department
  1. If approved, submit a Property Disposition Request (PDR) Form to Property Management. 
Property Management
  1. Remove equipment from inventory. 

808: Donations

Property Management Policy & Procedure Manual
Section 800: Equipment Disposal
Effective: 07/01/1996
Revised: 04/03/2014

Purpose

To manage the disposal of capital and other equipment through donations and to ensure compliance with state and university requirements.

Background Information

The State of Oregon Department of Administrative Services policy on disposition of surplus property requires that equipment no longer needed by an agency must be made available to other agencies in the following order:

  1. OSU departments, then
  2. other state agencies and political subdivisions, then
  3. non-profit organizations with a current 501-C status.

Equipment not utilized by these agencies or organizations will be disposed of through public sales.

Policy

Departments may donate excess, unused, or unneeded equipment to the qualified non-profit organization upon obtaining approval from Property Management.   OSU requires a copy of the 501-C status each time a non-profit organization receives a donation or purchases an item from the Surplus Office.  All donations MUST BE PROCESSED through Surplus Property, which is responsible for documenting the donations for audit purposes.

Departments will not show favoritism to any particular organization.  If a department appears to be directing supplies/equipment to any one organization on a regular basis Property Management may intervene and take corrective actions.

Procedure

Responsible Party Action
Department 
  1. Create a list of items to be donated.
  2. Complete a Surplus Property Pickup Request (SPR) worksheet listing the items to be donated.
  • In the body of the form, type the name and address of the receiving organization as well as a contact name and telephone number.
  • If additional space is needed to identify items, attach a memo with the information and the department head's signature.
  • Obtain department heads signature on the SPR approving the donation.
  1. Submit completed SPR form to Surplus Property department.
Surplus Property
  1. Post the availability of this equipment in the Warehouse for a reasonable period of time.  If requested by department, picks up property for disposition.
  2. If not needed by another department or state agency, Surplus will
  • collect the equipment when appropriate,
  • verify that the non-profit organization is properly authorized to receive donations before they are allowed to pick up the donation,
  • make sure the organization receives the donation, and
  • processes the necessary paperwork.

900 Sponsored Research and Federal Property

901: Accountability of Equipment on Sponsored Awards

Property Management Policy & Procedure Manual
Section 900: Sponsored Research and Federal Property
Effective: 03/01/1979
Revised: 05/22/2006

Purpose

To comply with federal, state and sponsor mandated requirements regarding equipment purchased or acquired on grants or contracts.

Background Information

The federal government specifies screening, tagging, use, maintenance, reporting and disposal requirements for property accountable to federal grants and contracts.  See PRO-Ex11: Types of Federal Property.

Policy

Property acquired from a research sponsor or purchased with sponsored research funds is accountable to the grant or contract.  Contract authority must exist for the acquisition of facilities, special test equipment and other capital equipment on sponsored research funds. Equipment budgeted in the grant or contract award is assumed to be approved by the award sponsor.  Additional acquisitions of capital equipment on award funds must be pre-approved in writing by the sponsor when required by the regulations of that sponsor.

There may be additional management procedures and restrictions required by an award sponsor.  In the case of federally sponsored research, procedures and restrictions are specified in OMB Circular A110 (Property Standards section), OMB Circular A21, the Federal Acquisition Regulations (FAR), and the NASA Grant Handbook, as well as terms of the individual contract or grant.  (Note: The NASA Grant Handbook has been updated as of October 19, 2000.  The revised rules are not retroactive, but affect awards begun after that date.) 

Principal Investigators acquiring equipment for sponsored research are held accountable for following the Sponsor's requirements regarding screening, receiving, acquisition, tagging, use, maintenance, storage, physical inventories, record keeping, reporting and disposition of property.

Additional Information

See Federal Publications for additional information on federal requirements at the links below:

Office of Management & Budget (OMB)
OMB Circular A21
OMB Circular A110
Federal Acquisition Regulations (FAR)

902 Principal Investigator Responsibilities

902-01: Screening

Property Management Policy & Procedure Manual
Section 902: Principal Investigator Responsibilities
Effective: 07/01/1996
Revised: 05/22/2006

Purpose

To comply with federal, state and sponsor mandated requirements regarding equipment purchased or acquired on grants or contracts.

Background Information

The federal government has outlined 15 functional areas of property management including screening, tagging, use, maintenance, reporting and disposal requirements for property accountable to federal grants and contracts.

Policy

Equipment will be screened as required by University policy, OMB Circular A110 (Property Standards section), OMB Circular A21, the Federal Acquisition Regulations (FARs), and the NASA Grant Handbook. 

Procedure

Principal Investigator Responsibilities

Screening

  1. Equipment Share Screening

State and federal policies require that scientific equipment be made available for sharing if it is not fully utilized by the accountable department. 

  • As part of the grant proposal process, a PI must contact Property Management to see if equipment budgeted in the proposal is already available for sharing at OSU.  This is part of the check-off process described in the Sponsored Project Operations Manual.
  • When practical, the PI should contact Property Management again to see if shareable equipment has become available before a purchase order is issued. If shareable equipment is identified, an agreement may be negotiated between the two departments.  Property Management can determine whether property is available for sharing from a general description of the equipment and how it will be used.  The percentage of time the equipment is in use is a standard field in the inventory record and should be updated by the responsible department as needed. Guidelines for shared use are as follows:
  • This is a "no challenge/no conflict" system.  No pressure may be applied by the lender, the borrower or the administration at any stage of the process.
  • The departments and/or individuals involved must agree in advance upon the terms of all shared use arrangements, including utilization schedules.
  • University-funded equipment, however acquired, may be shared.  Agency owned equipment may also be shared, when it does not interfere with the original contract or grant and when the Contract Administrator approves the share agreement.
  • Departments may not charge rental fees for the shared use of university owned equipment acquired with federal funds.  However, reasonable maintenance, repair, calibration, or other costs directly related to the shared use may be billed on a journal voucher.
  1. Department of Defense Screening

In the Federal Acquisition Regulations, the Department of Defense specifies the following screening requirements for contract fund acquisitions.

  • Automatic Data Processing Equipment (ADPE) with acquisition cost greater than $25,000 must be screened by submitting form DD-1851 to the Office of Naval Research (ONR) in Seattle. Acquisition is not approved until the Defense Automation Resources Information Center (DARIC) returns a Certificate of Non-Availability.
  • Industrial Plant Equipment (IPE) is defined as equipment used for any of the following purposes: cutting, abrading, grinding, shaping, forming, joining, testing, measuring, heating, treating, or otherwise altering the physical, electrical or chemical properties of materials, components, or end items entailed in manufacturing, maintenance, supply, processing, assembly, or research and development activities.  IPE with acquisition cost greater than $15,000 must be screened by submitting form DD-1419 to the ONR office in Seattle. Acquisition is not authorized until the Defense Industrial Plant Equipment Center (DIPEC) returns a Certificate of Non-Availability.
  1. NASA Screening

In the NASA supplement to the Federal Acquisition Regulation, NASA specifies the following screening requirements for property acquired on NASA contracts.

  • Automated Data Processing Equipment (ADPE) with acquisition cost greater than $25,000 must be screened by submitting form DD-1851 to the ONR office in Seattle. Acquisition is not authorized until NASA approval is received.
  • Centrally-reportable equipment is defined as plant equipment, special test equipment (including components), special tooling and non-flight space property that is commercially available, identifiable by a manufacturer and model number, and valued at $5,000 or more.  Centrally-reportable equipment must be screened by submitting form DD-1419 to the ONR office in Seattle. Acquisition is not authorized until NASA approval is received.

Additional Information

See Federal Publications for additional information on federal requirements at the links below:

Office of Management & Budget (OMB)
OMB Circular A21
OMB Circular A110
Federal Acquisition Regulations (FAR)

902-02: Principal Investigator Responsibilities - Ordering, Receiving & Tagging

Property Management Policy & Procedure Manual
Section 902: Principal Investigator Responsibilities
Effective: 07/01/1996
Revised: 05/22/2006

Purpose

To comply with federal, state and sponsor mandated requirements regarding equipment purchased or acquired on grants or contracts.

Background Information

The federal government specifies screening, tagging, use, maintenance, reporting and disposal requirements for property accountable to federal grants and contracts.

Policy

Departments will order, receive and tag equipment as required by the contract or grant, OMB Circular A110 (Property Standards section), OMB Circular A21, the Federal Acquisition Regulations (FARs), and the NASA Grant Handbook.

Procedure

Principal Investigator Responsibilities

Ordering, Receiving & Tagging Procedures

  1. Ordering

Acquisition documents should be detailed with accurate descriptions of assets and properly coded with the contract or grant index or identifier. Items and quantities requisitioned, purchased or fabricated should be reasonable, contractually authorized, based on firm requirements, and not available from existing stocks.

Orders for supplies and assets should be processed in a timely manner to minimize emergency acquisitions or requisitions. Economic ordering practices should be applied, when applicable. Outstanding orders should be monitored until received, and cancelled or amended promptly when contract modification or other events change requirements.

  1. Receiving

Government furnished property (GFP) received for sponsored research must be reviewed immediately upon arrival (see FAR 45.502-2 Discrepancies Incident to Shipment). If overages, shortages, or damages are discovered the PI should provide a statement of the condition and apparent causes to the sponsor's property administrator within 48 hours. However, when the shipment has moved by Government bill of lading and carrier liability is indicated, the PI should report the discrepancy to the sponsor's property administrator within five working days. (A copy of all correspondence with the sponsor's property administrator should be sent to the Office of Post Award Administration (OPAA) and Property Management.)

On contractor-acquired property, the PI is responsible for necessary action to correct overages, shortages, or damages in shipment of property from a vendor or supplier. However, when the shipment has moved by Government bill of lading and carrier liability is indicated, the PI should report the discrepancy to the sponsor's property administrator within five working days. (A copy of all correspondence with the sponsor's property administrator should be sent to OPAA and Property Management.)

Packing slips, bills of lading, reports of discrepancies and related documentation must be returned to the department's Accounting Office and filed with other related grant and contract related information. Packing slips for capital equipment should be attached to the copy of the invoice and sent to Property Management where they will be kept for audit and a copy should also remain with the department. (See FARs 45.502, 45.502-1, 45.502-2)

The receiving process should also include the proper identification of the new equipment (see FAR 45.506 Identification). This includes identifying serial numbers for the asset record, adding the asset to inventory and marking the asset with identifying tags (see "3. Tagging" in this document).

  • See PRO-Ex1: Creating an Asset Record from a Banner Invoice to add contractor-acquired property to inventory from an invoice.
  • See PRO-Ex3: Fixed Asset Data Entry form for the method of adding government-furnished property to inventory. A copy of the packing list should accompany the Fixed Asset Data Entry form for GFP, and care should be taken to identify the contract or grant number the GFP will be accountable to for reporting purposes. Property Management should be notified of GFP within 5 days of receipt.

The federal government requires specific information to be maintained in the asset record (see far 45.505-1 Basic information).  This includes, but is not limited to:

  • The name, description, and National Stock Number (if furnished by the Government or available in the property control system).
  • Quantity received (or fabricated), issued, and on hand.
  • Unit price (and unit of measure).
  • Contract number or equivalent code designation.
  • Location.
  • Disposition.
  • Posting reference and date of transaction.
  1. Tagging

All property acquired as part of a sponsored research project that meets the OSU capital equipment definition or the sponsor's capital equipment definition must be added to inventory. When an inventory number is assigned, a barcode inventory tag is sent to the responsible department. Affix this tag to the equipment within five working days of receipt. Use a clear laminate cover (obtained from Property Management) to protect tags that will be exposed to the weather elements or to other harsh environments.

Federally-owned equipment also requires a "Property of U.S. Government" tag, furnished by Property Management. This tag is sent with the barcode tag to the responsible department when the inventory number is assigned. Place this tag on the equipment at the same time as the barcode tag. Some sponsoring organizations supply their own numbered tags for equipment tracking as well. Affix these tags to the equipment upon receipt.

Equipment with Federal and\or sponsoring organization tags may not be cannibalized or disposed of without written authorization from the sponsoring agency. Request for this authorization needs to be coordinated with Property Management and OPAA.

Additional Information

See Federal Publications for additional information on federal requirements at the links below:

Office of Management & Budget (OMB)
OMB Circular A21
OMB Circular A110
Federal Acquisition Regulations (FAR)

903: Reporting & Inventories

Property Management Policy & Procedure Manual
Section 900: Sponsored Research and Federal Property
Effective: 07/01/1996
Revised: 01/18/2012

Purpose

To properly perform periodic physical inventories requested by sponsors and to complete appropriate reports.

Background Information

Federal property is reviewed every two years as part of OSU's biennial physical inventory.  In some cases a federal agency or other sponsoring organization may require an annual or more frequent inventory of equipment.  The Department of Defense (DOD), NASA and the Department of Energy (DOE) require inventories according to the following schedule:

  • October 15th of each year, OSU completes summary reports of values for various DOD-owned property categories, plus additions and deletions on form DD 1662 and submits them to the Office of Naval Research in Seattle.  The DD 1662 is used for government owned property on Department of Defense contracts and is effective as of September 30th.  This form is not required for DOD grants, only contracts.
  • October 15th of each year, OSU completes summary reports of values for various NASA-owned property categories on NASA form 1018 and submits them to ONR in Seattle (or to the appropriate national lab, such as JPL).  This form is completed for NASA contracts or sub-contracts with NASA-owned property but is not required for grants.
  • October 15 of each year, NASA-owned property on research grants is reported.  There is no specific form for grants.  A simple memo and a complete inventory list are sent to the NASA office in charge of the award.  Negative reports (in the form of a memo stating that there is no government owned property accountable to a given award) are required for grants in effect on/before October 19, 2000.  The new NASA Grant Handbook does not require negative reports for grants awarded after October 19, 2000.

Policy

The reporting of equipment and taking of physical inventory will be accomplished as required by the grant or contract, OMB Circular A110 (Property Standards section), OMB Circular A21, the Federal Acquisition Regulations (FARs), and the NASA Grant Handbook.

When federally owned property is no longer needed to perform the contract (also called excess property), the Principal Investigator (PI) is responsible for informing Property Management.

Procedure

Reporting and Inventories Required By Sponsor

Responsible Party Action

Business Affairs, Fixed Assets

Generate a list of property accountable to each award and submits it to the Principal Investigator or the department's inventory coordinator, for a physical inventory. This inventory list includes each asset's recorded condition.

Principal Investigator (PI)

Conduct a physical inventory using the list and communicates to Business Affairs, Fixed Assets the property's (1) current location, (2) current condition, and (3) if it still needed for current project. Any discrepancies must be explained and communicated to Business Affairs, Fixed Assets.

Business Affairs, Fixed Assets

Analyze data to complete and submits the appropriate forms to the Office of Post Award Administration (OPAA) for final signature.

Office of Post Award Administration (OPAA)

Sign the original forms, retains copies, and forwards the originals to the appropriate agency.

Reporting of Lost, Damaged or Destroyed Property

Responsible Party Action

Principal Investigator (PI)

  1. Promptly identify, investigate and report incidents of loss, damage and destruction of government owned property in accordance with instructions in the award documents. 
  2. Fully document each incident with the following information (1) What happened, (2) where, (3) when, (4) how, and (5) who was involved.
  3. Notify the following parties within five working days of the loss:
  • The Sponsor's Contract Officer;
  • OPAA for coordination of reporting procedures;
  • Departmental Inventory Coordinator (for processing of a Property Disposition Request (PDR) if the asset cannot be repaired);
  • Business Affairs, Fixed Assets, for notification of the sponsor's Property Administrator, and preparation of requests for relief of accountability;
  • The State Police, if the event is the result of criminal activity;
  • Risk Management.

Business Affairs, Fixed Assets

  1. Submits the information provided by the PI to (1) the sponsor's property office requesting release of accountability, and (2) OPAA.
  2. Upon receipt of the release, inputs the PDR into FIS Banner.

Note: Even though Federally owned property is not insured by the State of Oregon, Risk Management maintains records of certain types of loss and damage and should be notified.

Reporting of Excess Equipment

Responsible Party Action

Principal Investigator (PI)

  1. Determines when equipment is no longer necessary for the performance of the contract or award.
  2. Prepares list of excess equipment and submits to Business Affairs, Fixed Assets.

Business Affairs, Fixed Assets

  1. Prepares and submits either a "request for disposition" letter or Form 1428 - Inventory Schedule B to (1) the sponsor's property office, and (2) OPAA in accordance with FAR 45.606. (Such schedules are used for screening with other Federal agencies so that the equipment may be redirected to another agency.)
  2. Upon receipt of sponsor's instructions for equipment disposition, forwards information to departmental inventory coordinator.
Department  Complies with instructions (returns equipment to sponsor, ships to a third party, sends to OSU Surplus Property Department, etc.)

904 Contract Close-out

904-01: Contract Close-Out - Accountable Equipment

Property Management Policy & Procedure Manual
Section 900: Sponsored Research and Federal Property
Effective: 07/01/1996
Revised: 08/11/2008

Purpose

To properly verify accountable equipment at the close of a federal contract or award.

Background Information

Federal Acquisition Regulation (FAR) 45.508-1 specifies the reporting requirements for federal contracts.

Policy

Upon termination or completion of an award, federally owned property must be verified and reported according to FAR 45.508-1 or within the time specified within the grant or contract.

Final reports are due to NASA on or before 60 days after the expiration date of the award. Final reports are due to DoD awards on or before 90 days after the expiration of the award.

Procedure

Reporting and Inventories Required By Sponsor

Responsible Party Action
Office of Post Award Administration (OPAA)
  1. Notify Property Management that an award close out is necessary.  (OPAA must send a list of acquired equipment to the sponsor when required by the award document, regardless of whether it is sponsor-owned property or not.)   
Property Management 
  1. Prepare and submits a list identifying the accountable equipment to the Principal Investigator (PI).
  2. Request physical inventory be taken by the Principal Investigator (PI) and to report the current condition of the equipment.
PI
  1. Take physical inventory and reports results to Property Management.
Property Management 
  1. Complete appropriate forms (as required by the sponsor) and submits to OPAA for final signature.
OPAA  
  1. Ask the PI what equipment disposition s/he wants to request from the sponsor.
  2. Review, sign off and submit forms (required by sponsor) to the sponsor's property office requesting final disposition instructions.
  3. Upon receipt of instructions, notifies Property Management of final disposition instructions.
Property Management
  1. Follow the sponsor's disposition instructions for equipment (return to sponsor, transfer to new award, released to OSU, etc.). See examples.

Examples:

  1. Release - If the sponsoring organization releases equipment title to OSU, OPAA notifies Property Management to correct the title codes on the equipment records. The release date is also recorded on the inventory record in place of the contract number. The PI\Department is also notified of any release. If the value of the released asset is below the capital threshold for OSU, Property Management will remove it from inventory and notify the owning department to add the item to their supply inventory.

    Property Management will compute the value of each released asset as if it had started to depreciate upon acquisition.  Assets that had an acquisition value below the capital threshold, or a depreciated value that does not meet the capital threshold, will be removed from inventory and treated as minor equipment.  Per OUS instructions, released assets whose depreciated value meets the capital threshold will first be removed from inventory, then a new record will be created and capitalized at the depreciated value.  The records will be cross-referenced and a new bar code tag will be submitted to the department.  The department should remove the original bar code tag and the "Property of US Government" tag, and place the new tag on the asset.

  2. Transfer - The sponsor may allow accountability for equipment to be transferred to a new or follow-on award. OPAA will notify Property Management to make the necessary changes (new grant code and sponsor ID number) to the asset records. Title will remain vested with the sponsor. When accountability transfers to a new award the equipment is no longer considered contractor-acquired property, but government furnished property (GFP).   This results in the title remaining with the Federal Government and the title of GFP will almost never be released to OSU.
  3. Return - If the disposition instructions from the sponsoring organization require that the equipment be returned to the sponsor or sent on to a third party, the responsible department will handle the shipping arrangements. A copy of the disposition instructions should be attached to a completed Property Disposition Request (PDR) form and forwarded to OPAA.  OPAA will forward the PDR to Property Management for removal of the record from inventory.

904-02: Contract Close-out - Residual Supplies

Property Management Policy & Procedure Manual
Section 900: Sponsored Research and Federal Property
Effective: 07/01/1996
Revised: 05/22/2006

Purpose

To properly account for and report unconsumed supplies acquired on a federal contract or award.

Background Information

Federal Acquisition Regulation (FAR) 45.508-1 specifies the reporting requirements for federal contracts.

Policy

Upon termination or completion of an award, a project's residual (unconsumed) supplies that exceed $5,000 actual cash value (i.e., the value that OSU could receive if they were auctioned off in their current condition) may have to be inventoried and reported if required by the terms of the grant or contract.

Procedure

Reporting Residual Supplies

Responsible Party Action
Office of Post Award Administration (OPAA)
  1. Notify Property Management that an award close out is necessary for supplies.
  2. Request from the PI the value of minor equipment and residual supplies that were purchased on the award.
Principle Investigator 
  1. Furnish this information to OPAA.
Property Management
  1. Prepare appropriate forms (as required by sponsor) and forward to OPAA.  
OPAA 
  1. Submit the appropriate forms to the sponsor. 
  2. Upon receipt of the sponsor's disposition instructions, notify department of necessary action (if any) to be taken.
Department 
  1. Follow the disposition instructions provided by OPAA.

905: Property in the Hands of Subcontractors

Property Management Policy & Procedure Manual
Section 900: Sponsored Research and Federal Property
Effective: 04/01/2000
Revised: 05/22/2006

Purpose

To properly account for the equipment in the hands of subcontractors.

Background Information

Subcontracts are predicated on the prime award, and a copy of the prime award is always attached to the subcontract agreement.  The terms of the prime award flow down to the subcontractor.  However, such terms are not automatic in the area of federally owned property.

Policy

A subcontractor must have an approved property system, including procedures for the care and maintenance of equipment, in order to receive federally owned equipment.  The subcontractor is required to adequately care for and maintain such property (as required by federal regulations per OMB Circular A-110 or FAR 45.510) and assure that it is used only as authorized by the contract.  Equipment reports must be submitted to OSU for referral to the sponsoring agency, as required by the prime award and\or at contract closeout.

The Contract Office must give prior approval for the acquisition of equipment not specified in the subcontract where title will vest with the federal government.  A subcontractor will assume full risk for loss, damage or destruction of federal property in the subcontractor's possession or control except to the extent that the subcontract, with the advance approval of the Contracts Office, relieves the subcontractor from such liability, per FAR 52.245-4.  If there are unusual property requirements, they will be stated in a special conditions attachment to the subcontract. These will include title restrictions and reporting requirements.

1000 Equipment Inventory Record Keeping

1001: Inventory Records & Retention Periods

Property Management Policy & Procedure Manual
Section 1000: Equipment Inventory Record Keeping
Effective: 07/01/1971
Revised: 05/27/2003

Purpose

To retain university property records for the required period of time.

Policy

OSU will keep and maintain property control records for all active, missing, and retired capital equipment on the FIS Fixed Asset Module.  Other property records are retained by Property Management and Departments for the periods listed below:

Record Type Property Management Departments
Equipment Inventory Lists 4 years 2 years
Lost/Stolen Property Reports 4 years after loss 2 years after loss
Damage Or Loss Of State    
Property Claim 4 years after loss 2 years after loss
Equipment transfer forms 4 years 2 years
Biennial inventory reconciliation 4 years 2 years
Equipment Loan agreements 6 years after term   3 years after term
Equipment Maintenance Records   1 year after disposal    
Equipment Loan/Usage logs   2 years after return of prop
Federal Property Records 6 years  3 years    
Personal Property Loan Agreements 6 years after term Upon return of property
Storeroom physical inventories 6 years 2 years
Property Disposition Requests 4 years  2 years
Supplies Inventory Records 4 years   2 years
Surplus Property Records 4 years  2 years
Vehicle Records 2 years after disposal 2 years after disposal

Additional Information

The OSU Archives Records Retention and Disposition Schedule is available online at the Archives website.

1002: Equipment Inventory Records Maintenance

Property Management Policy & Procedure Manual
Section 1000: Equipment Inventory Record Keeping
Effective: 07/01/1971
Revised: 09/10/2007

Purpose

To maintain accurate audit records for internal and external audit agencies and to provide departments with information about equipment.

Policy

OSU must maintain property control records for all active, missing, and retired capital equipment on the property control system as required federal and state regulations.  Departments must notify Property Management of any changes to Capital Equipment that requires the updating of an asset's record. 

Departmental Inventory Coordinators are responsible for maintaining the completeness and accuracy of their department's inventory records and must update them when a change occurs.  Discrepancies between the asset record and the actual asset must be corrected when identified.

In order for the Departmental Inventory Coordinator to discharge her/his responsibilities effectively, department heads, departmental users, and principal investigators must supply her/him with the necessary information in a timely manner.  Inventory changes should be discussed with the inventory coordinator before they occur, rather than after the fact.  Employees should be responsive to requests for information from the department's inventory coordinator.  (The coordinator's efforts to keep accurate inventory records help maintain a department's eligibility for insurance coverage and sponsored research funding.)

Updating an Asset Record

Changes   Departments Must:
Corrections: Notify Property Management of any discrepancies in the asset record via email.   Discrepancies may occur in the equipment's description, model number, serial number, condition or percent of time available for sharing.
Responsibility:  Notify Property Management of any changes that occur in the personal accountability of the equipment.  This may be submitted via email or on a Fixed Asset Transfer form (FATF) to change the "PI" or sub location code.
Location:    Notify Property Management of any change in the equipment's location via email or FATF.  Departmental Inventory Coordinators who do not update the asset records each time equipment moves should keep internal records that enable them to locate their equipment between updates.  In the event of an audit, if an asset cannot be found at the inventory location, the Departmental Inventory Coordinator will be asked to produce the asset.
Transfers:  Notify Property Management when equipment is transferred to another department (See PRO 805: Transfer of Equipment) using the Fixed Asset Transfer form (FATF).   Both the requesting and receiving departments must sign the FATF prior to submitting it to Property Management. The FATF is available on the Inventory Control website.
Functionality:  Notify Property Management when the equipment becomes non-functional and is beyond repair.  Submit a Property Disposition Request (PDR) form to Property Management to remove the asset from inventory.
Documentation   
  • Property Management must retain records, including email, of all requests that correct or update an asset record. 
  • Departments - See PRO 1001: Inventory Records & Retention Periods

1101: Supplies Inventories

Property Management Policy & Procedure Manual
Section 1100: Supplies Inventories
Effective: 03/01/1979
Revised: 05/27/2003

Purpose

To ensure that departments appropriately secure minor equipment and supplies against loss or theft. 

Background Information

All items purchased by OSU, capital and non-capital, are included in a valuation for insurance purposes.  The value is submitted annually to State of Oregon Risk Management Division (RMD).  The value of OSU non-capital equipment and supplies is estimated to be 15% of the value of the building.

Policy

All non-capital equipment must be subject to internal control measures that are sufficient to provide reasonable assurance that such property will not be lost or stolen.

Procedure

Minor Equipment Security

Responsible Party Action
Department
  1. Review Property Security Policy in the General University P&P manual.
  2. Make sure that equipment is cabled down or maintained in locked rooms or file cabinets.
  3. Place appropriate tags on equipment.  ‘Property of OSU’ tags are available from Inventory Control.  STOP tags are available from the Office of Public Safety.
  4. Maintain loan agreements (see PRO 701-01) or sign-out sheets for equipment used off-campus.
  5. Remind faculty and staff regarding security policy

Organized Storerooms

Responsible Party Action
Department
  1. Conduct an itemized count of storeroom (required at Fiscal Year end).
  2. Send copy to Property Management.
Property Management 
  1. Maintain record copy of itemized report.

Valuation Reporting

Responsible Party Action
Property Management
  1. Report to Risk Management the consumable supplies value based on the current value of OSU-owned buildings.  Value is a flat 15% of building value.

Additional Information

The current policy has been approved on a trial basis for the FY’03-05 biennium.  Historically, departments were required to maintain an itemized list of non-capital equipment valued from $500 to the capital threshold ($5,000).  Departments may continue to do so as a method to verify that equipment is properly secured and accounted for.

Manual Revision Record (MRR)

Property Management Policy & Procedure Manual
Section: Manual Revision Record
Effective: 05/27/2003

2003-04 Revisions

Property Management Policy & Procedure Manual
Section: Manual Revision Record
Effective: 05/27/2003

2004

Date Policy Summary of Change
4/21/2004 PRO 201
Equipment Acquisition - General

Clarification of allowable and non-allowable costs.

PRO 401
Depreciation of Capital Equipment
Added in-use date requirement related to depreciating capital equipment, and added new capital assets to Banner.
PRO 501
Vehicles
Updated information regarding the obtaining of titles for vehicles. 

 

2003

Date Policy Summary of Change
5/27/2003

Entire manual

Changed format and updated contents.

2006 Revisions

Property Management Policy & Procedure Manual
Section: Manual Revision Record
Effective: 05/27/2003

2006

Date Policy Summary of Change
5/22/2006 PRO 002
Definitions
Updated several definitions.
PRO-Ex10
Account Codes
Added information on account codes 23514: IT Hardware Maintenance Contracts (tax reportable) and 20204: Other IT-related Peripherals.
PRO 207
Gift
Added information on Booking Gifts as Revenue and web link to new OUS policy on this topic.
PRO 210
Fabrication
Added NOTE in Procedure section.
PRO 211
Surplus
Updated Option 2 in Procedure section.
PRO 301
Receiving Equipment
Updated Procedure section.
PRO 303
Use & Maintenance
Added information on maintenance and non-use of equipment.
PRO 305
Storage
Added PRO 305 to manual.
PRO 808
Donations
Updated policy section to reflect 501-C requirement
PRO 902-02
PI Responsibilities - Ordering, Receiving & Tagging
Updated the policy section regarding the documentation of the receiving process.
PRO 902-03
Use, Maintenance & Storage
Added "Use" and "Storage" to title and information on these subjects.
PRO 903
Reporting and Inventories
Deleted outdated information (4th bullet point).
PRO 904-01
Contract Close-out – Accountable Equipment
Updated Procedures section and added 2nd paragraph to Example: A Release.

 

2007 Revisions

Property Management Policy & Procedure Manual
Section: Manual Revision Record
Effective: 05/27/2003

2007

Date Policy Summary of Change
9/10/2007 PRO 001
Introduction
Changed verbiage from Property Management to Inventory Control. Also, updated link to Inventory Control web site.
PRO-Ex3
Fixed Asset Data Entry (FADE) Form
Updated links to bullet 2, 8, 9, 14, 22, and 23.
PRO-Ex4
Fixed Asset Transfer Form
Updated link in number 5 for Location Code.
PRO-Ex9
Fixed Assets Data Structure
Updated links to Banner Code: Organization Code and Code Prefixes under Fixed Assets Procurements Information (Page 3 of 6).
PRO 210
Fabrication
Updated link under Procedure #1 for Fabricated Equipment Pre-Approval Form.
PRO 301
Receiving Equipment
Updated link to FADE forms.
PRO 501
Vehicles
Updated title and link to Procurement and Contract Services web site.

Updated link to DMV web site.

PRO 701-03
Loaned Equipment - To OSU
Changed verbiage from Property Management web site to Inventory Control web site.
PRO 702
Leased Equipment
Changed verbiage from Property Management web site to Inventory Control web site.
PRO 802
Stolen Equipment
Changed verbiage and added link to Property Disposition Request form.
PRO 805-01
Transfer/Sale of Equipment Between OSU Departments

Updated links to Fixed Asset Transfer form.

Entire manual Updated link to Inventory Control web site and Property Disposition Request form.
5/24/2007 PRO 801 Updated phone number for OSU Risk Management Office to (541) 737-7252.
5/24/2007 PRO 701-01 Added the borrower may be held financially responsible for any perils not covered by the State Insurance Fund, or for any loss or damage due to the negligence of the borrower.
5/24/2007 PRO 304 Updated time frame of when losses should be reported and added phone number.  Changed term “superiors” to “supervisors” and “Legal Authorities” to “Law Enforcement.”
5/22/2007 PRO-Ex6A Updated sample in Intra-Department Loan Agreement.
1/30/2007 PRO 207
Gift
Changed term "value of the gift" to "fair market value (FMV) of the gift" and updated the length of time to retain gift equipment from 2 to 3 years per IRS updated policy.
1/08/2007 PRO 201
Equipment Acquisition

Updated and expanded policy.

PRO 210
Fabrication

Updated and expanded policy.

2008-2010 Revisions

Property Management Policy & Procedure Manual
Section: Manual Revision Record
Effective: 05/27/2003

2010

Date Policy Summary of Change
11/15/2010 PRO 202: Purchases

Added a section for use of the P-card to purchase parts for constructed equipment 40199 account code. 

02/24/2010 PRO001
PRO002
PRO202
PRO501
PRO701-01
PRO701-02
PRO701-03
PRO702
PRO1002

Updated the link to the Inventory Control Website (http://oregonstate.edu/fa/businessaffairs/inventorycontrol)

2009

Date Policy Summary of Change
04/21/2009 PRO-Ex1
Creating an Asset Record from a Banner Invoice

Added acquisition code, use code, and noting additional information. Updated responsible person verbiage.

2008

Date Policy Summary of Change
10/15/2008 PRO 002
List of Exhibits

Updated link to STOP-THEFT - Campus Security Program.

8/11/2008 PRO 903
Reporting & Inventories

Updated date from October 31 to October 15 in Background Information.

PRO 001
Introduction

Updated PRO manual coordinator phone number and email address.

PRO 904-01
Contract Close-Out - Accountable Equipment
Added new paragraph to Policy explaining when final reports are due.
2/26/2008 PRO 805-01
Transfer/Sale of Equipment Between OSU Departments

Fixed title for Sale of a Capital Asset by Proprietary Fund.

Adjusted account code from 40101 to 401XX under Sale of Capital Asset by Proprietary Fund.

2011 Revisions

Date Policy Summary of Changes
November 22

401: Depreciation of Capital Equipment

Updated content
August 31 210: Fabrication Updated content
August 17 804: Surplus Property Updated link for online SPR forms
January 25 209: Trade updated content
  Ex 6A: Intra-department equipment loan agreement Added a link to download the form from the Business Affairs web site.

2012 Revisions

Date Policy Summary of Changes
January 18 601: Bar-Code Inventory Updated content throughout entire section
January 18 602: Manual Inventory Updated content throughout entire section
January 18 903: Reporting & Inventories Updated content throughout entire section
February 25 805-02: Transfer of Equipment from OSU Updated content throughout entire section
February 28 002: Definitions Updated definition for Depreciation Expenses
April 16 401 PRO 401 was incorporated into FIS 701 and FIS 607.
June 7 211: Surplus Updated link for OSU Surplus Property website
October 16 Ex1: Creating as Asset Record from a Banner Invoice Added links underto text under "Issuing a Banner FIS invoice with a Capital account code"

2013-2014 Revisions

2014

Date Section Summary of Revisions
March 3
808: Donations removed content from Additional Information section of page

2013

Date Section Summary of Revisions
March 15 802: Stolen Equipment updated entire section
June 5 501: Vehicles updated entire section