Office/Contact: Property Management Office Source: SD Codified Laws Ch. 5-24 and 5-24A Link: http://legis.sd.gov/Statutes/Codified_Laws/DisplayStatute.aspx?Type=Statute&Statute=5-24 http://legis.sd.gov/Statutes/Codified_Laws/DisplayStatute.aspx?Type=Statute&Statute=5-24A Associated Forms: Computer Surplus Form; Miscellaneous Surplus Form; Equipment Transfer Form SOUTH DAKOTA STATE UNIVERSITY Policy and Procedure Manual SUBJECT: Property Management NUMBER: 5:21 1. Purpose This policy and its procedures set forth the guidelines for property management for employees at the University. 2. Policy a. University employees are responsible for following applicable laws and policies regarding property management, including the provisions of SDCL Ch. 5-24 and SDCL Ch. 5-24A. b. For purposes of this policy and procedures, a computer item includes a hard drive, monitor, printer, fax machine, copier, or computer accessories. c. Each dean, director, or department head is accountable to the University President for all equipment assigned, controlled, or in the custody of their office or department. The Property Management Office, or successor unit, is responsible for maintaining a perpetual inventory of all moveable equipment. d. Each dean, director or department head is responsible for notifying the Property Management Office, or successor unit, of any acquisition, disposal or transfer of equipment in their custody. Most acquisition information is automatically picked up from the account system; however, there are exceptions, such as gifts, grants, foundation, surplus, or transfers for which the department needs to make notification. e. When a computer item is to be disposed of or transferred to a different department, the Property Management Office must contact the Division of Technology and Security to assist with data erasure to ensure there is no data loss through the disposal or transfer process. f.
University owned property shall be used for institutional purposes only. No University employee shall permit such property to be removed from the University campus for use on either a rental or loan basis or for personal use.
g. Those items of property with a value of less than $5,000 shall be the responsibility of the department to control. The disposal of all equipment items, regardless of value, is
Property Management
Page 1 of 5
covered by State law and regulation. h. To aid in identifying and controlling equipment, the Property Management Office, or successor unit, is responsible for assigning an SDSU tag number to each item. The tag must be placed on the equipment by Property Management personnel. Equipment in the custody of University units located outside of Brookings will be assigned identification numbers, and the placement of tags on the equipment will be performed by employees located in the outlying units. Tags will be forwarded by the Property Management Office. i.
Equipment with a value of $5,000 or more and with a useful life exceeding one (1) year must be tagged and controlled. Typical items in this classification include those capital assets purchased using a 777XX2 or 777XX7 Account Code.
j.
Equipment created on campus that is valued at $5,000 or more must be added to the perpetual inventory. Departments are responsible for preparing and sending a memo to the Property Management Office, or successor unit, with a brief description that will identity the item plus the serial number, if any, and the cost of the equipment. Cost will be determined by adding the costs of material used plus the labor costs in the manufacturing of the item. Copies of vouchers verifying the cost must also be included.
k. Gifts to the University valued at $5,000 or more must also be added to the perpetual inventory. Departments are responsible for preparing and sending the forms required by the SDSU Foundation to the Property Management Office, or successor unit, and the SDSU Foundation, including the donor or source of supply, a brief description of the item, the serial number, if any, and the known or estimated value of the item. i. Equipment purchased by the SDSU Foundation for any University department or organization is considered a gift to the University and must be added to the inventory. ii. All gifts must be accepted in accordance with SDBOR Policy 5:8. l.
Departments are responsible for providing the Property Management Office with documentation of any equipment requiring a title and/or license plate through the Department of Transportation. All titled equipment is to be photographed. If the equipment has a license plate, an additional photograph of the license plate attached to the equipment is required. All titles and records for University equipment are held with the Property Management Office.
m. Departments are responsible for notifying the Property Management Office, or successor unit, of any changes in the status of condition of all capital equipment, regardless of value, listed on the inventory records of the University. These changes may result from: i. Trade-in: An item to be traded must have prior approval and must be listed on the purchase request, showing the SDSU tag number, description, serial number if available, and trade-in allowance. This information must also be shown on the final payment voucher. Based on this information, Property Management will remove traded-in items from the inventory records.
Property Management
Page 2 of 5
ii. Excess or Surplus Items: Equipment which is unserviceable, obsolete or excess to the needs of a department for any reason must be disposed of as surplus property. The department must first submit the applicable surplus request form to Property Management requesting the item be declared surplus. The form must also include the inventory number, a brief description, the current condition of the item, and the current location. iii. Direct Sale to Other State Agencies and University Departments: Departments must contact Property Management before the sale to obtain permission, as state laws and regulations prohibit certain types of sales. When permission is obtained, Property Management is responsible for working with the department to assure that the item has been sold according to state law and regulations. The department must prepare a memo to Property Management including the inventory number, a brief description, and other relevant details before the sale. iv. Theft of Equipment: Whenever the theft of equipment is discovered the department must immediately report the loss to the University Police, including all pertinent information related to the equipment. Notification should also be sent to Property Management. The University Police are responsible for investigating the circumstances of the loss and, upon completion of the investigation, for submitting a copy of the case to Property Management. Property Management shall not remove the item from the inventory records until all investigative action has been completed and all attempts to recover the item failed. v. Transfer of Equipment between Departments: Departments must prepare an Equipment Transfer Form and submit it to Property Management including the inventory number, a brief description of the item being transferred, and the department to which the item is being transferred. The memo must also include the new building and room number location of the item. Property Management is responsible for verifying the transfer with the departments. n. On an annual basis, the Property Management Office, or successor unit, is responsible for providing departments a list of the equipment charged to their custody. The department is responsible for verifying the list through the dean, director, department head, or designated representative, to ensure that all equipment has been accounted for. The department is also responsible for returning one (1) copy of the list to the Property Management Office, or successor unit, along with a list of any changes to be made and for maintaining the second copy in the department. o. On an annual basis, the Property Management Office, or successor unit, is responsible for providing departments a list of titled equipment charged to their custody. The department is responsible for verifying the list through the dean, director, department head, or designated representative and for analyzing whether the equipment is usable, the equipment is needed, and the equipment is being used. The department is also responsible for returning one (1) copy of the list to the Property Management Office, or successor unit, and for maintaining the second copy in the department. p. During the interval between annual listings, the Property Management Office, or successor unit, may conduct spot inventories of various items in departments and offices throughout the University. Items are selected at random, but may include those reported
Property Management
Page 3 of 5
as missing on the latest annual inventory as well as items that are subject to pilferage and high value items. All discrepancies discovered will be reported to the appropriate dean, director or department head. q. Federally-funded property titled to the University and federally-owned property loaned to the University have certain restrictions on use. i. If the property is federal property, identification of equipment must indicate ownership. ii. All unneeded property must be reported as excess, and disposal of federal property must be approved by the federal agency. iii. Loss or theft of federal property must be reported to the owning agency. r.
With regards to federal property, the Grants Administration Office, or successor unit, is responsible for the following: i. Annual Report of Federal Property – completed annually as of September 30th; ii. Subcontractor Control – ensures that subcontractors follow all reporting requirements; and iii. Contract Property Close Out – monitors subcontractors’ and University’s property reports at close of awards to ensure that all property has been disclosed.
s. The Federal Government has instituted several requirements which must be followed when requisitioning equipment with a value over $5,000. One of the most important is that of screening for like equipment that might not currently be in use. Therefore, each department is responsible for contacting other departments that would be likely to have the type of equipment they are requisitioning. The Property Management Office, or successor unit, is also available for assistance in locating similar types of equipment with a value over $1,000. 3. Procedures a. Departments must notify the Property Management Office before any item of equipment, furniture or fixtures is disposed of by any means, including trade-in, sale, exchange, salvaged for parts, thrown away, etc. following the guidelines set forth in this policy. b. Departments can declare items surplus by submitting the appropriate surplus form to Property Management. The Computer Surplus Form should be used for computer and computer items, and the Miscellaneous Surplus Form should be used for all noncomputer items. i. Surplus forms must be saved as an Excel document and emailed to Property Management at the email address indicated on InsideState under Property Management.
Property Management
Page 4 of 5
ii. If the item being declared surplus is a computer item, a Computer Support Specialist (“CSS”) will need to look at the item before it is put on the surplus list. iii. The CSS should put a tag sheet on the computer item to show it has been inspected and all of the appropriate actions have been taken to surplus the item. The applicable tag sheets can be found on InsideState under Property Management. iv. Once the items to be declared surplus have been identified, tagged by a CSS, if applicable, and given to Property Management, the items will then be tagged by Property Management at their earliest convenience. Items should not be stored in the University hallways pending this step. v. Once the items have been tagged by Property Management, a list of the items declared surplus will be sent to Facilities & Services. Representatives from Facilities & Services will come pick up the surplus items at no charge at their earliest convenience. If departments call Facilities & Services to pick up the items as a designated time, the department will be charged accordingly. vi. Every spring the University holds a surplus auction to dispose of the surplus items that are acquired over the year. In mid-February, Property Management no longer tags surplus items until after the auction in order to prepare for the sale. Department should keep this in mind when submitting surplus requests. vii. All departments that have surplus items moved without submitting the appropriate form to Property Management will not receive funds from the sale of the surplus items at the auction. 4. Responsible Administrator The Vice President for Finance and Business, or designee, is responsible for the annual and ad hoc review of this policy. The University President is responsible for approval of this policy. SOURCE: Approved by President on 09/30/2015.
Property Management
Page 5 of 5
