Fixed Assets - University of Virginia

Fixed Assets
Management of Capital
Equipment at the University
of Virginia
Introduction to Capital
Equipment Management
Equipment Additions
 Equipment Disposals
 Equipment Tracking & Maintenance
 The Inventory Process
 Financial Reporting

Equipment Additions

There are four ways that capital equipment
gets added to the Fixed Assets module
– Purchases of $5,000 or more in the
Purchasing Module “PO/AP” ( ETF equipment has
$500 threshold)
– Cost Transfers
» Example: Purchases through Cavalier Computer
– Gifts-in-Kind (IX.A.11)
– Releases From Sponsors or Other
Universities to UVA (X.A.3)
Equipment Disposals

There are a number of reasons for removing
equipment from the Fixed Asset module
– Surplus (V.II.A.6) – Use P-1 form and “Request to
Surplus” E-form at www.procurement.virginia.edu/Surplus
– Release to Other Universities (X.A.2) - Use Form
P-1, and attach explanation from PI (Principle Investigator) &
“Request to Surplus “ form
– Trade-In Use Form P-1 Request and Document PO
(Purchase Order) Number
–
–
–
–
Cannibalization Use P-1 Request
Donate Use P-1 Request & “Request to Surplus” form
Abandoned or Missing – Use P-1 Request
Stolen Use P-1 Request & file police report
Equipment Tracking & Maintenance
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The orgs are primarily responsible for their
capital equipment and its maintenance.
Fixed Assets Accounting is responsible for
oversight of capital equipment policies for the
University
As the Equipment /Property Contact you are
responsible for the tracking and management
of your organization’s equipment – So what
do you need to do?
– Verify information in the system is accurate
– Ensure Off-Ground Forms are submitted promptly
– Contact the Fixed Assets Accounting Office when
changes impact asset location, assignment, etc.
– Complete and submit P-1 forms as needed
The Inventory Audit Process
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Fixed Assets Accounting (FAA) scans the
organization’s bar-coded equipment assets
(excluding Org self-audit assets)
Upon completion, the Org Chair & Equipment
Contact receive a “Not Found Capital Equipment
Inventory Report” which lists missing equipment
Org must audit this report, locate missing assets,
complete and return report to FAA along with any
required forms (Off-grounds & P-1’s )
FAA verifies found equipment and records
equipment inventory info in Fixed Assets Module
Final Certification form is sent to Chair who
confirms missing or non-missing equipment and
returns signed form to FAA.
Financial Reporting
Sponsor Annual Report in September of
each year
 Annual Report to SCHEV in October of
each year
 Final Sponsor Property Reports
 Annual Report to Budget for ETF
Allocation Analysis
 Annual Financial Statements

The Role of the Fixed Assets
Accounting Office pertaining to
Capital Equipment
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Responsible for management, accounting and
financial reporting for University equipment assets
Administrator the Oracle Fixed Asset Module and
data updates to the system
Responsible for tagging newly acquired assets &
collecting asset information with scanners
Control/report UVA and Gov’t inventory
Responsible for control of asset retirements
The Role of Equipment/
Property Contacts
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Provide information to Fixed Assets Accounting
for ALL equipment-related activity
Review equipment inventory reports to ensure
your organization’s equipment is properly
accounted for
Stay current on equipment policies & procedures
– Visit Fixed Assets Accounting’s website
– Call or email Fixed Assets Accounting Staff with
questions ([email protected])
How Oracle Changes the
Way We Do Business
Each person with FA Viewer or FA SelfService access can query the Fixed Assets
Module directly
 Each person with Discoverer can run their
own reports
 Equipment in the Fixed Assets Module can
be updated from the integrated Oracle
Purchasing Module

The Purchasing Module

Accuracy
– It is very important that ALL users in your
organization input data into this module correctly
» Description: Must be completely filled out, using noun
first and followed by adjective. “Lab equipment” is NOT
sufficient if you have purchased a “laser, high intensity”.
» Quantities: Must be on purchase order. On LPO show in
description; remember that items with many accessories
will be tagged as one item so you can put this on one line
in the purchase order (ex. Microscopes)
» Freight & Installations: Code as part of capital equipment.
» Training is NOT part of the value of the capital
equipment
» Expenditure Type: It’s got to be right or a cost transfer
has to be done.
» Furniture is always non-capital equipment regardless of
threshold cost or quantity
The Importance of
Expenditure Types
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It represents the core data element for Fixed
Assets Accounting
Understanding the signs….
– Use these for UNIT cost not total cost
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>/= $5K: greater than or equal to $5,000
<$5K: less than $5,000
Cost transfers
– If the original expenditure category is wrong you
need to do a cost transfer (exception – All ETF cost
transfers are done by Fixed Assets Accounting)
Equipment/Property Contacts must:

Fill Out the P-1 Form When…
–
–
–
–
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Transferring Equipment internally
Disposing of Equipment
Releasing equipment to another institution
Receiving specific types of Acquisitions
Review their Reports Monthly To…
– Ensure each organization has accounted for all capitalized
equipment as well as Government-Furnished or owned equipment
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Inform Fixed Assets Accounting if equipment has changed
location or assignment
Review Not Found inventory lists and work with the Fixed
Assets Accounting to reconcile any differences
Ensure Inventory Certification is completed & submitted
Ensure Off-Grounds certifications are completed & submitted
Items You Will Need
Contact Information
 List of Expenditure Types (Discoverer Report)
 The P-1 Form and Instructions
 Inventory Certification Form
 Off-Grounds Equipment Certification
Form

Fixed Assets Accounting Staff
Name
Position
Email
Phone
Gary Young
Director - Fixed
Assets Accounting
[email protected]
434-924-4284
Lisa Layne
Manager - Plant
Accounting
[email protected]
434-924-4283
Charles “Joe”
Samborsky
Manager - Equipment [email protected]
& ETF Accounting
434-924-4323
Larry Norem
Equipment Specialist
[email protected]
434-924-0805
Mike Williams
Equipment Inventory
Specialist
[email protected] 434-924-4209