40.01 Fixed Assets Inventory Issued: May 15, 1998
Updated: January 21, 2000
University Property Manager – the individual assigned the responsibility for maintaining
the official fixed asset inventory for the University. Currently this is the Manager of
Accountable Property Officer – the individual in each department assigned the
responsibility for maintaining the department’s inventory of fixed assets. This is the
department head, unless they have formally designated a staff member.
Annual Inventory – the physical verification of each item on the University’s equipment
inventory conducted once a year.
Surplus Property – useful equipment no longer needed by the responsible department.
Salvage – equipment that is no longer useful.
Inventoriable Equipment – generally, equipment with a purchase price or donated value of
$1,000 or more. Exceptions are those items classified as controlled assets by the State
Non-Inventoriable Equipment – generally, equipment with a purchase price or donated
value of less than $1,000 and not classified as a controlled asset.
2. Equipment Management Manual
The Texas A&M University System Equipment Management Manual establishes the overall
guidance and procedures for managing equipment within the System.
All inventoriable equipment or furnishings purchased by the University is tagged and
added to the University’s inventory by the Fixed Assets Staff in the Fiscal Office
within 10 days after delivery.
3.2 Missing or Stolen Equipment
All equipment (inventoriable or non-inventoriable) that is identified as missing or stolen by
a department must be reported to the University Police Department and the and the Fixed
Assets Office using a Missing or Stolen Report (Attachment 1).
Departments desiring to transfer inventoriable equipment to another department must
complete a Property Transfer form (Attachment 2) to document the transfer of
responsibility and to provide proper information for updating the fixed asset inventories
of the respective departments. When transferring computer equipment, departments
must also complete the transfer of Computer Equipment form (Attachment 3). The
completed and approved Property Transfer form must be filed with the Fixed Asset
3.4 Annual Inventory
Departments are provided with a listing of their equipment inventory annually.
Departments should verify that each item exists and that the information on the listing
is correct. Any items not on the list should be added. For missing or stolen items,
departments should attach copies of the the applicable Missing or Stolen Reports.
Department Heads are required to sign the Certification of Physical Inventory form
and to return it to the Fixed Assets Office.
3.5 Non-Inventoriable Equipment
Although there is no requirement to keep an official inventory of these items, they
should be marked “Property of PVAMU” with indelible ink and departments should
ensure that they are properly secured. Additionally, departments are encouraged to
maintain pertinent information (e.g. serial number) to aid in an investigation should an
item turn up missing or stolen.
3.6 Random Inventory
The University Property Manager is responsible for conducting random inventory checks
on a test basis. During the course of a year, all departments should be tested at least
3.7 Surplus/Salvage Property
Departments are responsible for identifying surplus and salvage property. Proper
disposal of surplus property requires the department to transfer (See Section 3.3
above for transfer procedures) the equipment to the Central Stores/Central Receiving
operation, which administers the surplus property disposal program for the University.
Proper disposal of salvage requires written approval of the applicable department head
using the Property Destruction Record Form (Attachment 4). Upon approval, the salvage
equipment should be discarded in the appropriate trash receptacle, unless special disposal
requirements exist due to size or nature of equipment. A copy of the approved Property
Destruction Record form must be filed with the Fixed Assets Office.
Departments desiring to trade older equipment in on a new piece of equipment must
properly identify the equipment on the purchase requisition for the new item. Proper
identification includes description, inventory number and/or serial number. A copy
of the requisition should be filed with the Fixed Assets Office.
3.9 Leased Equipment
Depending on the lease arrangement the University may be required to include leased
equipment on its inventory. To ensure proper accounting, the requesting department
should contact the Manager of Accounting.
3.10 Gift Equipment
Gift equipment is subject to the same inventory rules as purchased equipment, with
the exception that the fair market value is used when placing the assets on the inventory.
Departments receiving gift equipment must notify the Fixed Assets office so that they
can tag the equipment and update the inventory records.
3.11 Temporary Property Transfers
When employees use University equipment outside of their department or off-campus,
custody of the equipment must be signed for by completing a Custody Card (Attachment 5).
the Custody Card must be approved by the department head or their designee and a copy
must be filed with the Fixed Assets Office. Proper notation should be made by the
department head on the card when the property is returned.
Contact: Manager of Accounting
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