EQUIPMENT MISSING DURING PHYSICAL INVENTORY

Asset Management & Surplus Property Section (ASM)

PROCEDURE 5

Effective Date: 02/22/2000

Last Modified Date: 06/30/2003

Procedure Description

Equipment discovered missing during a department's annual physical inventory is flagged in Asset Management computer files. Both Asset Management and the department representative have responsibilities in the attempt to locate the missing property.

Procedure Steps

1. The department having items of equipment missing during the annual inventory will be given a period of 90 days to locate the items in question.
2. If the items in question are still missing after the 90-day period, Asset Management will submit a report to the appropriate dean or director and copy the Associate Vice Chancellor for Finance. The dean or director will be requested to respond within 30 days.
3. After 180 days, if the items are still considered missing, a second report will be submitted to the appropriate Vice Chancellor, with a copy to the Associate Vice Chancellor for Finance. The Vice Chancellor will be requested to respond within 30 days.
4. If items are still missing after 210 days, Asset Management will consult with the Associate Vice Chancellor for Finance to determine appropriate steps to be taken based on the individual circumstances, including contacting the Department of Public Safety, filing a misuse report, conducting an on-site audit, or awarding additional time to locate items. University disciplinary action will be taken when appropriate.
5. Equipment that is not located at the end of one year, and is still on the missing status report, will be removed from the Asset Management computer files at the end of the next fiscal year.
   
   

The following actions will occur simultaneously with the steps described above:

• The designated departmental representative will submit to Asset Management quarterly status reports of efforts to locate the missing equipment.
• Asset Management will monitor the progress of the department's investigation by comparing the quarterly status reports.
• Asset Management will update the inventory computer files when missing equipment is located.
  See also: ASM Procedure 1, Missing Inventory Items Located

Random Audits

In addition to the above, Asset Management will conduct random audits to test the validity of the annual reports and located missing items submitted by campus departments.

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