Fiscal Operations Manual
Section 700: Reserves and Investment Management
Effective: 01/01/2003
Revised: 03/29/2012

Each Service Center is responsible to develop a business plan that includes setting aside funds for equipment replacement.  Each service center will have a capital asset replacement plan. The plan must set a target for funding levels and include dollar amounts for contributions to the reserve fund.

This plan must be submitted to the Director of Business Affairs and approved by the Vice President for Finance and Administration at the beginning of each fiscal year.

Both operating and reserve funds for service centers are non-interest bearing funds.  Oregon Revised Statutes make no provision for these funds to be interest bearing.

Equipment reserve funds cannot be used to purchase new assets, only replacements. All purchases are made from the operating fund. When purchasing a replacement, cash is moved from reserves to the operating fund by use of Exxxx or Fxxxx account codes.

Reference: IMD 6.350.