Seattle College District Procedure
TITLE: Fixed Assets Inventory and Surplus Property
622.10 The Department of Enterprise Services (DES) sets the Fixed Assets rules and policies in valuing, capitalizing, and depreciating fixed assets. It further establishes fixed asset inventory policy and requirements.
Fixed Assets are defined as assets of a relatively fixed or permanent nature that are tangible and are not held for resale. Fixed Assets include land, buildings, equipment, library resources, and construction in progress. Fixed Assets have a useful life of one year or more, which varies for each asset category according to the DES policies.
622.20 There are two categories of equipment that are considered Fixed Assets and are subject to inventory for the purpose of these procedures:
- Capitalized Equipment ($5,000 or more in value)
- Small and Attractive Assets (less than $5,000 in value)
622.30 Capitalized Equipment at Seattle Colleges District (SCD) are fixed assets with a unit cost of $5,000 or more. Capitalized equipment, as State Property, shall have designated TAG numbers, and are recorded in the Fixed Asset Database and the Financial Management System (FMS).
622.40 Small & Attractive assets are equipment with a value of less than $5,000; however, they are considered particularly at risk and vulnerable to loss, and require additional controls in managing the identified risk. Similar to Capitalized equipment, such items must be purchased, transferred, coded, recorded, tagged, and inventoried in the Fixed Asset Database.
This category includes items with all of the following criteria:
- A unit cost between $300 and $5,000,
- A useful life of more than one year, and
- Particularly susceptible to loss.
The Small & Attractive Assets at the SCD are limited to the following items and classifications:
|Weapons, Firearms, Signal Guns and Accessories
(Required Classification by DES)
|1005, 1040, 1095|
|Portable Video Projectors||6730|
|Portable Computer Equipment
such as Laptops & Notebook computers, and Tablets & Smart Phones
|Digital Video Cameras||7730|
|* This list has been developed after a risk assessment was conducted in 2004.|
622.50 Unit Cost of Capitalized and Small & Attractive equipment is defined as purchased price including ancillary cost of transportation, installation, warranties and taxes.
622.60 The current regulations require that a physical inventory of all Capitalized Equipment and Small & Attractive Assets be conducted at least once every two years. The bi-annual physical inventory of equipment shall be performed by a person or persons with no direct responsibility for the equipment.
622.70 The Purchasing Department purchases equipment based on an approved Purchase Requisition from an SCD Department. After establishing a Purchase Order for a Capitalized or Small & Attractive asset, Purchasing assigns a TAG number, develops a Fixed Assets Reporting form (Exhibit A) for each asset, and sends it to the requesting Department.
Upon receipt of a completed form, consisting of equipment serial number, date of receipt, exact location (building name and room number), and name of custodian, Purchasing sends the TAG directly to custodian at the SCD Department. The custodian is responsible to attach the TAG sticker to the equipment immediately upon receipt.
622.80 SCD Departments are accountable for the safekeeping and security of the asset in their possession. Departments, as owners of state property, are required to maintain a complete and up-to-date record of their fixed assets, and to report any and all changes to the status of every asset by revising of Fixed Assets Reporting form (Exhibit A) and submitting it to the Purchasing Department.
622.90 Donated equipment and gifts to the Seattle Colleges are considered state property, and must be inventoried and tagged upon receipt of the Report of the Tender of a Gift. The donated items are also entered into the SCD Fixed Asset Database and the Financial Management System.
II. SURPLUS PROPERTY
622.100 The Seattle College District(SCD) exercises its right to either:
- Dispose of its assets directly; or
- Use the services of the Department of Enterprise Services Surplus Property to dispose of its assets.
622.110 SCD assets cannot be thrown away, given away, sold, or traded-in without following the process outlined in this procedure.
622.120 Departments, responsible for the assets, must prepare a listing of their obsolete, unusable assets, or donations, and report to the Purchasing Department in order to arrange for their proper disposal and removal from the Fixed Asset Database and FMS.
- The Department reports to Purchasing by sending an email to FixAsset@seattlecolleges.edu along with a detailed list of surplus items. This list should include the following information for every item listed:
- Brand name and model
- Serial number
- TAG number, if applicable
- Approximate value
- Location (building name and room number)
- Any special characteristics or instruction
- For assets being disposed of through DES Surplus Property, the Purchasing Department prepares a DES surplus request form. Pursuant to WAC 200-360-010, the DES Surplus Property arranges for trade-in, direct sale to other state agencies, sale through auction or any other means. Upon receipt of the proceeds of sale from DES, the SCC Accounting Department transfers funds to the appropriate Department account.
- Under special, justifiable circumstances, the Purchasing may consider other options to dispose of the SCD assets. Such situation must be documented and approved by the Vice Chancellor for Finance & Technology or designee before a Department or Purchasing may proceed.
622.130 The Departments may transfer equipment or materials to other Departments at SCD. The Department, transferring a fixed asset with a TAG and barcode to another Department, must report in detail all the fixed assets with assigned TAG to the Purchasing Department to update the Fixed Asset Database and FMS.
622.140 The Purchasing Department prepares the Fixed Asset Reporting Form (Exhibit A) for all its newly-purchased Capitalized and Small & Attractive assets. The requesting Department receives the form as an attachment to an email, completes section 1 and 2 of the form, and returns it to FixAsset@seattlecolleges.edu.
The Department maintains this form for each asset, updates it upon any changes to the location or ownership of that asset, and reports such changes immediately to the Purchasing Department. The Department fills out section 3 of the form to report transfer and relocation of the asset, section 4 for surplus and disposal of the asset, and section 5 for loss of the asset (which includes the Security/Police report).
622.150 The SCD Departments are accountable for the safekeeping and security of the assets in their possession. The Departments, as owners of state property, are required to maintain a complete and up-to-date record of their fixed assets and to report any and all changes to the status of the asset to the Purchasing Department.
The primary means of communication with Purchasing is the Fixed Assets Reporting form and emailing FixAsset@seattlecolleges.edu. This allows Purchasing to maintain an accurate inventory of all assets at SCD, and to update the necessary fixed asset and financial systems.
Exhibit A: Fixed Assets Reporting Form
Exhibit A – Instructions
Instruction for Filling out the Fixed Assets Reporting Form:
- Complete Sections 1 and 2 for any Capitalized Equipment and Small & Attractive Asset and provide exact location info. Save this form online for future use.
- Fill out Section 3 if equipment is relocated OR if it is transferred to another department or College.
- Complete Section 4 for equipment being surplused or sold or scrapped.
- Complete Section 5 for lost or stolen equipment – be sure to attach the Police Report to this form.
- Note any additional information needed or questions on Section 6.
- Email this form to FixAsset@seattlecolleges.edu, stating Purchase Order and TAG numbers in the subject line.
Chancellor’s Cabinet – Revision & Adoption History
Companion Document : Pol
Adoption Date : 2011/04/05
Revision Date : 2014/05/12