Many of the inquiries posed to the Fixed Assets staff are questions that are common problems among all departments. This section will answer many of the frequently asked questions and provide some useful, but relatively unknown points about the Fixed Assets Inventory.
|
| How do I fill the Fixed Asset disposal form to remove surplus? |
To remove surplus equipment and supplies you must complete Fixed Asset (FX) Disposal form. The form is completed with the custodian name and number, inventory number, if applicable, the item nomenclature, serial number, location, condition code, reason for disposition, original value and current value. The department must indicate the means by which they wish to dispose of the items in question. They must also provide a contact person with campus phone number and address for informational purposes. The releasing department must obtain the Dean's or Director's signature for the releasing department certification.
|
| What are condition and removal codes? |
Condition codes describe the condition of the equipment being surplused. If the person completing the disposal form is not aware of the equipment's condition, they should seek the help of someone in their department who has worked with the equipment and is familiar with its condition. The RC removal code tells if the equipment is lost, stolen, surplused, salvaged, traded-in, stolen, sold or should be returned to title holder.
|
| What values do I use on the disposal form? |
For equipment that is currently listed on a department's inventory, the original value is the original acquisition price of the equipment. This figure appears on the departmental inventory list. The current or remaining book value is an difference between the original value and the accumulated depreciation to date. This amount should indicate what the current market would bear for a similar piece of equipment.
|
| What if no inventory number exists, how is it removed from inventory?
|
If there is no inventory number on a piece of equipment and it does not appear on the departmental inventory list, it probably does not meet the capitalization requirements. That does not override the requirement of reporting the department's request to dispose of equipment. The OSU Policies and Procedures Letter states that ALL equipment, surplus supplies and materials must be reported on the FX Disposal form and Board approval must be obtained before its disposal. The Policies and Procedures letter also states that UNDER NO circumstances should equipment be thrown away. Exceptions to this will be decided by the Assistant Director, Asset Management.
|
When a department purchases an accountable piece of equipment that has been added to Fixed Assets Inventory, what should take place if the equipment is returned to the vendor?
|
The department is responsible for notifying Asset Management of the equipment return via a completed FX Disposal form. A copy of the credit invoice provides an excellent audit trail for this removal.
|
How often do you have auctions?
|
There are usually three different auctions held each year. One auction is the Physical Plant surplus auction held approximately every three months. This is where equipment removed for disposal by the Physical Plant is sold. Another auction is the Police Department auction. This auction handles unclaimed or lost property that is given to the Police Department and remains unclaimed after a certain prescribed time. The last auction that Asset Management routinely holds is the Vehicle auction. This auction allows departments with vehicles a chance to sell them and upgrade their fleet with newer models. Vehicles are also sold through sealed bid, but the majority of them are sold through the vehicle auction. This auction is normally held in August.
|
| Can departments get equipment from the surplus warehouse and is it free? |
|
Departments are allowed to obtain equipment from the Physical Plant warehouse. Departments interested in this should contact Asset Management for the name and extension of the person to contact. The equipment is usually free unless you utilize Physical Plant services to deliver your selections, then your department is responsible for the work order charge.
|
| How do I get a piece of surplus equipment removed from my department? |
An FX form needs to be completed, signed by the Director or Department head and sent to Asset Management. The removal request will be presented on the Report of Surplus Equipment to the Board of Regents at their next meeting. Once disposal is approved, Asset Management notifies Physical Plant of the items to be moved to the surplus warehouse. Depending on Physical Plant's work schedule, the items should be removed in two to three weeks following Board approval.
|
What is the process for a sealed bid?
|
An FX disposal form requesting removal of equipment and disposal by sealed bid should be completed, signed by the Director or Department Head and submitted to Asset Management. Once the items are included on the Report of Surplus Property, submitted to the Board of Regents and approval for disposal is granted, Asset Management will assign a sale number, closing date and time, prepare bid sheets to be distributed to potential bidders and prepare and submit advertising in four different area publications. From the time the sale number is assigned, it takes approximately three weeks for the sealed bid to be completed and bids opened at a publicly advertised time. On the closing day, the bids are opened at the publicly advertised closing time and tabulated. The department selling the equipment will be notified of the bids and will make the decision to accept or reject the high bids. If the bid(s) is accepted, Asset Management is responsible for preparing award letters collecting and depositing sale proceeds as directed by the department, remitting sales tax, notifying department of copying and advertising costs and preparing an official OSU receipt for the high bidder when he or she pays for their purchases.
|
Can I call Physical Plant Trucking Services to pick up surplus equipment?
|
No. They will direct your call to Asset Management. As earlier stated, a department is responsible for following Policies and Procedures in submitting an MEICR form requesting disposition of surplus equipment. Once Board approval is obtained for its disposition, Asset Management will notify Physical Plant of the items to be removed. Departments should be responsible in planning for the removal of equipment and allow enough time for the necessary procedures to be followed.
|
| Can my department deliver equipment to the Physical Plant Surplus warehouse? |
Yes, but only if the department has followed the proper procedures for disposition of surplus equipment and board approval has been granted. This should still be coordinated through Asset Management.
|
| Do these broken or inexpensive items have to be approved by the Board for disposition? |
Yes. Policies and Procedures Letters 3-0125 and 3-0126 address the grounds for accountability of equipment and its disposal.
|
| If a piece of departmental equipment has been stolen, how can I remove it from my equipment inventory? |
In order to remove stolen equipment from a department's inventory, a police report must be filed and a copy of the report must be submitted with the FX disposal form requesting its removal. If no police report is attached, a note is placed on the form of the absence of a police report and the piece will be removed as lost. This may cause problems if a department tries to replace the stolen equipment, but no police report is filed. Another point that should be mentioned about lost or stolen equipment is if the aggregate value of the lost or stolen equipment is $5,000 or greater, the appropriate dean must be notified and he must sign the FX disposal form. If the department does not report to a dean, the Vice President responsible for that area must sign the FX disposal form.
|
| When a department transfers equipment to another, who initiates the transaction? |
The department releasing the equipment should initiate the transaction on an FX Transfer form. Once the releasing department signs the releasing department certification, the form should be forwarded to the receiving department for completion of the information necessary to add the equipment to their inventory. The completed form is then forwarded to Asset Management.
|
| What department name should go at the top of the transaction when equipment is being transferred? |
The department receiving the equipment becomes the responsible department; therefore, their name belongs in the responsible department space at the top of the FX transfer form.
|
| What is the procedure when trading in a piece of equipment? |
There are two processes that should be followed. First, on the invoice for the new equipment, it is very helpful to have the inventory number of the equipment being traded-in listed. Next, the department should complete an FX disposal form removing the equipment that is traded-in and it is helpful to Asset Management to include on the FX disposal form the payment reference number of the new piece of equipment being purchased.
|
