Fixed Asset Inventory Procedures
I. Fixed Assets
A fixed asset is defined as property costing $500 or more. Examples include, but are not limited to:
- Athletic Equipment
- Audio Visual Equipment
- Business Equipment
- Classroom Equipment
- Communication Equipment
- Computer Equipment
- Food Services Appliances & Equipment
- Grounds Equipment
- Industrial Arts Equipment
- Library Furniture & Equipment
- Machinery & Tools
- Medical Equipment
- Medical Equipment
- Outdoor Equipment
- Science Lab Equipment
- Security Equipment
- Special Education Equipment
- Stage & Auditorium Equipment
All fixed assets will be purchased using the district purchase order system. When the purchasing department receives a purchase requisition identified as Fixed Asset, item will be flagged, tracked for delivery and payment.
Exception to the above will be those fixed assets received by donation (gifts) or purchased with Associated Student Body or Booster Club money. The site or department will immediately report these assets to the purchasing department. The paper work will include item description, make, model, serial number, date of acquisition and cost.
A fixed asset is defined as equipment costing $500-4,999; using budget object codes
. 4400 (Non-Capital Equipment)
A fixed asset is also defined as equipment costing $5,000 and more; using budget object codes
. 6400 (Equipment)
. 6500 (Equipment Replacement)
Once confirmation of payment has been received, purchasing will send out the items to site/department.
- Inventory Data Request memo
- Capital Equipment Inventory log
- Copy of the original purchase order
- District Asset Tag
Please complete the request information on the Capital Equipment Inventory log and affix the district Asset Tag in a timely manner and as follows:
- Items hanging on a wall bracket – tag needs to be affixed anywhere on the front of the unit (easily assessable and visible)
- Items hanging off the ceiling – tag needs to be affixed anywhere on the bottom (easily assessable and visible)
- All other items – affix tag on the left rear side of the unit (for less removal temptation)
A second notice will be sent to the site administrative assistant and administrator with a copy to the Assistant Superintendent, Fiscal & Business Services.
Should no information be forthcoming, a third and final notice will be sent out to site/department with notification of suspension/hold on accounts to the Superintendent, Assistant Superintendent, Business Services and to Fiscal Services until satisfactory compliance has been received.
III. Donated Equipment
Donated equipment will be submitted the “Request to Accept Gift” form that is submitted to Fiscal and Purchasing, listing Make, Model, Serial number and dollar value. Purchasing will imput information into the fixed asset system and send out the Barcode/Asset tag to the site which will need to be affixed to the left side of the equipment.
IV. Check-out Equipment
Equipment signed out or loaned to individuals shall be documented both at site and in the Fixed Asset System showing who is in possession of the equipment.
V. Equipment Repair
When equipment is sent for repair to an outside vendor, a receipt is required. Receipt must show make, model, serial number and barcode along with description of problem. All locations, site/department and Fixed Asset System will show notation when the equipment went out and location of repair shop.
VI. Transferred Equipment
An “Equipment Transfer Form” will be completed and submitted to the Purchasing Department when equipment is transferred to another site. This equipment will be deleted from the originating site and added to the receiving site.
VII. Lost/Stolen Equipment
Lost equipment will be reported to site/department administrator and purchasing department for posting on the Fixed Asset System. Stolen equipment will be reported to site/department administrator and the local police department where a “Police Report of Stolen Property” form will be completed and filed. A copy of the Police Report shall be submitted to the purchasing department and staff will delete item from fixed asset system.
VIII. Surplus/Trade-in Equipment
Items to be surplus will be submitted to the Purchasing Department on the “Surplus Items for Disposal Log” which should include the make, model, serial and asset tag numbers. This information will be complied periodically throughout the year and will go before the Board of Education for approval. Once approved by the BOE the purchasing department will delete item(s) from fixed asset system and notify site/department that they may proceed with disposal through normal channels (recycled through outside services or put in a work order for maintenance to pick up and dispose of). Do not dispose items in district/school trash bins or leave them outside!
Surplus Items being used as trade-ins toward the purchase of new replacement equipment should have items being used as trade-in listed on the purchase order by make, model, serial number and asset tag number when new equipment is ordered.
The Purchasing Department is responsible for maintaining the fixed asset system and reconciliation with physical inventories.
Site and District Department Administrators are responsible for taking a physical inventory and notifying Purchasing when an inventoried item is surpluses, stolen, donated or transferred to another location.
Inventory will be scheduled every three (3) years in a rotational cycle. Purchasing personnel will run a current inventory report and request that the site verify assets. A bar code reader will be sent to the site to facilitate physical inventory of asset.
Bar code reader will be returned to Purchasing to enter information into the system for updated information.
X. Physical Inventory
A physical inventory will be scheduled every five (5) years in a rotational cycle. Purchasing personnel will run a current inventory report and request that site/department verify assets. A Bar code reader will be sent to the site to facilitate physical inventory of asset.
Equipment will be visually inspected by site/department administrator or designee. Items will be checked off of inventory list and scanned.
Sheets and scanner will be returned to the Purchase Department.
Reports over 10 days past the due date will be considered late. A late note will be sent to the site department administrator and Superintendent of Schools.
Once scanner information has been received back in purchasing the information will be loaded from the scanner into the fixed asset system and a follow-up will be created of items not accounted for to be doubled check by site/department for transfer or loaned information before being removed from system.
Purchase personnel will randomly check five (5) percent of the physical inventory. Should any variance be noted, a greater sampling will be done.
Purchasing personnel will update inventory lists based on physical inventories submitted by site. In the event there are discrepancies in the inventory, it is the responsibility of the site/department administrator to reconcile these differences.
No adjustment will be made to fixed asset records without supporting documentation. Any property that is disposed of without following proper procedures will be in direct violation of Santa Monica-Malibu Unified School District.