Definitions:

Items that cost $5,000 or more and have a useful life of at least one year are considered capital equipment. If a sponsor requires that an item of lesser value be classified as equipment, the sponsor's requirement will be met. Capital equipment is inventoried, tagged, depreciated and accounted for on the annual inventory certification.

Acquisition:

The acquisition of property will be in accordance with the property clauses of the acquiring sponsored project. The Research Foundation Purchasing Office, upon request by the Principal Investigator and approval by the Research Administrator, handles the procurement. Before procuring new property, screening will be done to assure that the property is not already available or obtainable without buying.

Receiving:

A Principal Investigator (or delegate) certifies receipt of property by their approval to pay on the vendor's invoice.

Inventory Numbers:

All capital equipment property is issued a sequential Research Foundation identification number consisting of a ten digit base number and a two digit component number (Ex: 000001234502). Parts of one system are grouped together using the same base number and are identified separately with different component numbers.

Inventory Records:

All capital equipment property is entered into a fixed asset database. Records for each item contain, as a minimum, the inventory number, the name and description of the item, cost, ownership, accountable Principal Investigator, acquisition date, vendor, acquisition document number, project number, serial number, model number, and location. Locations are updated as a notification of the move is received, or as a result of updated location information provided on annual physical inventory.

Tags with Inventory Numbers:

All property will be marked by affixing a metal tag with the assigned inventory number unless such tag will damage the property or otherwise be impractical. Painting or engraving of the inventory number will be considered if the tag cannot be used.

Government Owned Property:

Property that the Government has retained ownership of will be clearly noted in the inventory record for that property. Government owned property will be marked with an additional tag showing it is Government owned.

Any Government Owned property on hand that is not covered by an existing contract will be reported to the assigned Government Property Administrator.

Storage:

The usual practice is to acquire items that are currently needed. They are used and stored at the project site. If items are not immediately needed, locked and covered storage areas will be provided except for items that cannot be easily moved without special equipment. Where some open storage areas are used, security measures have been established.

Disposition:

Government owned and other sponsor owned property will be reported to the sponsor retaining ownership at the end of the project period and disposal instructions will be requested.

Foundation owned property that is no longer serviceable or of use to the Principal Investigator will be transferred to TAMU Surplus department upon request from the PI.

Transfer to Another University:

Foundation owned items may be transferred to another university with a Principal Investigator if the PI's Department Head and Dean approve the transfer.

Sponsor approval to transfer sponsor owned property will be requested before such property is transferred.

Missing and Stolen Equipment:

Principal Investigators must notify the RF Property Office immediately upon identifying missing equipment. The RF will prepare a notice concerning the lost equipment to be circulated in the department and posted on departmental bulletin boards. All missing equipment will be tracked by the RF and removed if not located during two physical inventory cycles.

Stolen equipment must be reported to the proper police authorities within 24 hours of identifying the theft. A copy of the police report will serve as approval to remove the stolen item from inventory.

All missing and stolen equipment that is Government or sponsor owned will be immediately reported to the Government or other sponsor.

Commingling:

The Research Foundation makes an effort to keep Government owned property separate from University and Foundation property; however, at times it is necessary and advantageous to commingle the three classes named. Permission to commingle Government owned property with University and Foundation property has been requested and granted.

Maintenance:

Maintenance of equipment consists of a routine system of inspections and checks on a scheduled basis by project staff, as recommended by the manufacturer or other reasonable methods that will assure that equipment is maintained in good working condition. Records are kept with the equipment to show when maintenance is due and accomplished.

Depreciation:

Equipment is depreciated on a monthly basis using a straight-line method of depreciation. Inventory records are updated monthly to record the accumulated depreciation for each item.