Facilities Planning (PLN)
POLICY 8
Effective Date: 11/03/1999
Last Modified Date: 02/11/2004
State Funds
Memorandum
PLN Appendix 2, State Restrictions on Movable Equipment, is a memorandum from the Division of State Budget and Management in Raleigh dated January 3, 1973, which applies to the University, and contains definitions of movable equipment.
Tight Restrictions
State restrictions on movable equipment are considerably tighter than those of the Federal government. Heretofore, departments could in some cases buy typewriters, business machines, file cabinets, and associated equipment for capital improvements projects. This is not the case now.
Detailed List
A requirement which is in effect and was again reemphasized by the January 3, 1973, memorandum is that the University must submit a detailed list of proposed movable equipment purchases for each capital improvements project in advance of receiving any allotment for movable equipment. No items can be purchased in advance of the submission of the total movable equipment list and receipt of the approval of the Division of State Budget and Management.
Each department must submit a detailed list of movable equipment items with the approximate cost well in advance of the completion date of any building or facility constructed under a capital improvement account. This movable equipment list must not show any items restricted by the Division of State Budget and Management memorandum and must include all items to be purchased. The total cost of the list must not exceed that authorized for the individual project.
Combined List
Only one list of movable equipment needs may be prepared for one building. Therefore, individual offices or sub-departments may not prepare their own lists and proceed independently with the purchase of equipment. Provisions must be made for common items, such as fire extinguishers, venetian blinds, one-time equipment purchases for the maintenance department, lounge furniture, bulletin boards, and other equipment in common-use areas.
Lead Department
The lead department in the building must submit this list (after consulting with other departments that use the building) to the Facilities Planning and Design Department.
Completion Time
The process of completing allotment and purchase procedures and getting equipment delivered usually takes many months. This fact should be considered if delivery is to be in time for use in a new building.
Retaining Departmental Copy
The department must retain a copy of the approved equipment list and order only those items on the list. Assistance in selecting furniture, colors, and room layouts may be obtained from the Architectural Engineering section of the Facilities Services Division. The department must order only that equipment necessary for the proper operation of the facility and must maintain the approved equipment list.
Authorized Signatures
All purchase requisitions must be signed by the one individual in the department who is authorized to sign for and maintain the approved equipment list.
Routing of Purchase Requisition
All purchase requisitions must be sent to the Facilities Planning and Design Department for approval, after which they are sent to Material & Disbursement Services.
Federal Funds
Restrictions
If Federal funds are involved in a capital improvements project, additional restrictions apply.
Submission Deadline
Movable equipment lists must be submitted to Federal government agencies early in the project and theoretically must be received in the Federal agency within 90 days after the start of the project.
Withheld Funds
If the list is not received prior to the 25% completion stage of the project, the Federal government may withhold all funds including construction funds.
Sample List
Each department with Federal funds in capital improvements projects should visit the Facilities Planning and Design Department and see samples of the proper way to prepare a movable equipment list for a particular grant.
Completion of Project
Upon completion of a project involving Federal funds, the total movable equipment list must be updated to show actual items purchased, the cost, and the location of each item.
Equipment Inventory
An inventory of movable equipment items must be available at the using department; the records and inventory must be maintained for a minimum of 10 years. Federal auditors frequently cross-check the item, the cost, and the location of each piece of movable equipment against that approved by the granting agency at the start of the project.
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