Control of University Equipment and Materials (Policy 6270)
University Policy 6270
Last Revision Date
August 02, 2022
Fixed Assets and Inventory Control, email@example.com
Campus Operations, Campus-Operations@boisestate.edu
Scope and Audience
This policy applies to all equipment, materials, and capital assets belonging to the university.
Idaho Code §§ 67-5722, 67-5746
Idaho State Board of Education Policy, Section V.I.
1. Policy Purpose
To outline the appropriate use and control of the university’s equipment, materials, and capital assets.
2. Policy Statement
Boise State University is committed to ensuring the proper use and control of its equipment, materials, and capital assets. The University complies with state regulations for inventory control, disposition, and reporting as well as specific requirements related to grants and contracts.
3. Ownership of Property
Boise State University owns all property purchased with University funds and property received as gifts. Although title to property purchased with funds from a grant or contract may not vest with the university, the university exercises the responsibilities of ownership for such property. No department, unit, or employee may hold proprietary interest in any particular piece of University property. The principle of University ownership prevails regardless of which department or unit ordered the item, the fund cited, or the budget expensed.
4. Responsibility for Maintaining Property
The president/vice president/dean, or designee, is responsible for safeguarding and maintaining property that is assigned to or is under their control and for ensuring that a physical inventory review is conducted once each fiscal year for all property identified through the University property inventory system.
Property with a value of $2,000 or more must be affixed with a property tag and must be included in the university’s annual physical inventory review. Such inventory also includes items which are constructed by University employees and are valued at $2,000 or more at completion. (See Section 7 – Inventory Receiving and Tagging).
6. Capitalized Equipment or Capitalized Property
a. Equipment or property with a cost greater than $5,000 is capitalized and reported as a depreciable asset in the university’s financial statements. Capital outlay is defined as expenditures of $5,000 and over for:
- Permanent land improvements (e.g., roads, sidewalks, sprinkler systems, etc.);
- Buildings and other permanent structures, including fixtures and fixed equipment, as well as additions, replacements, major repairs, and renovations to structures that materially extend, improve, or increase the capacity of the structure’s useful life. The salaries and wages related to building construction are also included in this category;
- Machinery, equipment, and furniture;
- Library books added to the permanent collection; and
- Items constructed by University employees valued at $5,000 or more upon completion.
b. Capital outlay also includes expenditures necessary to ready capital items for their intended use, such as shipping and installation costs.
6.1 Donated Items
Capital items donated to the university are valued at fair market at the date of donation. Those items having a value of $2000 or more must be tagged and entered into the university’s physical inventory. Items valued at $5000 or more will be entered into the capital asset listing for financial statement reporting.
6.2 Expense and Asset Codes
Items that cost less than $5,000 will have an expense-type code. Items that cost $5,000 or more will have a capital asset code. Questions about equipment or property coding should be directed to the Inventory Control Office at firstname.lastname@example.org.
6.3 Grants and Contracts
Property purchased with funds from a grant or contract may have additional usage restrictions. For questions related to equipment purchased with sponsored funds, contact P2P_Procurement@boisestate.edu.
7. Inventory Receiving and Tagging
a. All inventory items with a cost of $2,000 or more must be affixed with a property tag when received.
b. When possible, items should be delivered by the vendor to Central Receiving. Central Receiving will document items received in the inventory system and affix a property tag to any item with a cost of $2,000 or more.
c. Inventory Control must be notified when an item such a furniture or large equipment is delivered directly to the department or unit so the item can be affixed with a property tag as appropriate.
8. Inventory Control Procedures
Departments and units must conduct an annual physical inventory review of all items valued at $2,000 or more that are included in the university’s inventory system (See Idaho Code § 67-5746).
8.1 Inventory System Custodial Report
a. A list of assets and an Inventory System Custodial Report will be sent to all departments and units annually.
b. Departments and units must use the listing of assets to conduct their annual inventory review. Departments and units must identify discrepancies or exceptions between the listing and the actual physical inventory. Items on hand that meet the inventory criteria but do not appear on the listing of assets should be identified as additions. Items not on hand or not found that appear on the listing should be identified as deletions.
c. Departments and units will be given sixty (60) calendar days to review and correct the listing of assets.
d. The Inventory System Custodial Report must be signed by the employee performing the inventory review and the department head.
e. The Inventory System Custodial Report, and the listing of assets with corrections, must be returned to Inventory Control within the sixty (60) calendar-day time period.
9. Lost or Stolen Property
a. A Property Loss Report should be filed with the Office of Risk Management and Insurance. The same information should then be given to Inventory Control on the Report of Lost, Missing, or Stolen Equipment form.
b. If an item on the listing of assets is deemed to have been stolen, the department head, or designee, should report it to Campus Security in complete detail from the listing of assets.
10. Disposal of Property
a. A department or unit that no longer has use for certain property, or deems any property to be in unusable condition, must report such property, regardless of condition, to Procurement and Vendor Services via the Request for Disposal of Excess Inventory Items form (See Idaho State Surplus Property Policy and Procedures for more information).
b. For disposal of real property (i.e., buildings, structures, and parking lots used by the university to assist in its operation), special rules apply. Contact the office of the Vice President and Chief Financial Officer for questions about real property disposal.
11. Property Removed from Campus
a. Generally, equipment and materials that are part of the university’s inventory should not be removed from campus for personal use. Exceptions include items checked out from departments or units authorized to loan equipment, including Albertsons Library and Learning Technology Solutions. For equipment and materials used for an employee to telecommute or work remotely, see University Policy 7600 (Telecommuting – Hybrid) or University Policy 7605 (Telecommuting – Remote Work).
b. Departments and units may allow off-campus use of equipment and materials following the criteria below:
- The equipment or materials must be used for University business that is within the scope of the employee’s job duties,
- The department chair/head or supervisor must approve the off-campus use of the equipment or materials (approval documentation including where the equipment or materials are located should be kept on file), and
- The equipment or materials must be returned to campus for any needed repair, maintenance, or upon the employee’s separation from the university.
c. University equipment and materials are covered off-campus subject to a $2000 deductible per covered loss. Optional Inland Marine coverage is available for certain property that is frequently transported or subject to theft or breakage. Details on the Inland Marine coverage are available on the Risk Management and Insurance Office website.
Property Loss Report – Risk Management and Insurance
Report of Lost, Missing, or Stolen Equipment Form
Request for Disposal of Excess Inventory Items
13. Related Information
Optional Inland Marine Coverage – Risk Management and Insurance
University Policy 7600 (Telecommuting – Hybrid)
University Policy 7605 (Telecommuting – Remote Work)
January 2008; August 02, 2022