Capital Assets

On-Campus Departments

• Financial Services – Capital Equipment Inventory (FSCEI) adds qualifying purchases to departmental records.
• FSCEI performs tagging of on-campus capital equipment.
• Includes purchases funded by:
  • Donations
  • Revolving loans
  • Bond funds

Off-Campus Departments

• FSCEI adds qualifying purchases to departmental records.
• Off-campus departments are responsible for tagging items.

Departments must ensure all acquisition methods are captured and properly recorded.

Transfers Between Departments

• Requires completion of the Capital Equipment Transfer Form.
• Must include signatures from both sending and receiving administrators.

Location Changes Within a Department

All building, floor, and room changes must be documented promptly.

Why Location Accuracy Matter

• Each room is assigned a functional classification (e.g., research, instruction, administration).
• Equipment located in research-designated space increases the expense base used to calculate UMB’s Facilities & Administrative (F&A) rate.
• If equipment is not located in its recorded space, audit adjustments may reduce the F&A rate.

Departments must notify FSCEI of all capital equipment deletions.

Required:

• Excess Property Declaration/Capital Asset Deletion Form (EPD/CADF)
• Supporting documentation as outlined on the form

FSCEI reviews each request and determines appropriate action, including:

• Removal from capital asset records
• Referral to Surplus Property

Equipment must not be discarded, transferred, or disposed of outside established procedures.

UMB conducts a physical inventory of capital equipment at least once every two years.

Inventory Coordination

FSCEI:

• Establishes the inventory schedule
• Provides an inventory packet to departments

The packet includes:

• Inventory Receipt Form
• Inventory Certification of Completion
• Inventory Reports (room sequence and tag sequence)
• Transfer and deletion forms

Department Responsibilities

Upon receipt of the inventory packet, departments must:

1. Sign and return the Inventory Receipt Form.
2. Perform a physical count using the provided reports.
   • Items listed and found
   • Items found but not listed (to be added)
   • Items listed but not found (must investigate and resolve)
3. Maintain appropriate segregation of duties in purchasing, recordkeeping, inventory, and disposal processes.
4. Return the updated inventory report and signed Inventory Certification of Completion within 60 days of receiving the packet.
5. Be aware that delinquency notices will be issued if the submission deadline is missed.

Submission Deadline

Departments must return:

• Updated inventory report
• Signed Inventory Certification of Completion

within 60 days of receipt of the inventory packet.

FSCEI Verification

Within 45 days of receiving the updated report, FSCEI will:

• Independently verify selected items
• Notify departments of results
• Determine if further investigation is required

If a department does not return the required documentation within 60 days:

1. A notice of delinquency is sent to the Department Administrator.
2. If not resolved within two additional weeks, a follow-up notice is sent to the Administrator with a copy to the Department Chair and Associate Director of Financial Services.
3. If still unresolved after two more weeks, a notice is sent to the applicable Dean with a copy to the Department Chair.

Timely completion of inventory requirements is mandatory.