Please note that as of the new Asset Management System (AMS) implementation in June 2017 this guide is no longer up-to-date. This section has been flagged for a future update.

 

General Policy

Equipment Management must be notified of equipment dispositions via the Equipment Management System or email prior to any equipment disposition, except in situations that do not require Equipment Managements approval or are from circumstances that are not controllable by the department. Departments do not have the authority to sell or dispose equipment directly; these actions are only allowed if the directions to do so specifically came from the Equipment Management Department or Excess Property Operation (Surplus).

The following actions require approval by Equipment Management and in most cases must be coordinated or completed by Equipment Management or the Excess Property Operation (Surplus) directly:

• Selling of equipment
• Inter-campus transfer of equipment
• Direct disposal, destruction, or recycling of equipment

The following actions do not require prior approval by Equipment Management and Equipment Management should be notified as soon as possible:

• Trading in of equipment
• Interdepartmental transfers of equipment
• Reporting equipment as lost or stolen
• Reporting equipment as being transferred to Excess Property (Surplus)

For actions that do not require prior approval the campus departments should submit EIMR's (Electronic Inventory Modification Request) in the Equipment Management System to notify Equipment Management of disposals that need to be processed. Depending on the type of disposition that has taken place the required steps the department must take to request the disposition will differ. Please see the individual sections for each disposition type as appropriate for further information.

 

Selling Equipment

Action Code: 21

The campus departments do not have the authority to sell equipment directly. All equipment sales must be completed by Equipment Management or the Excess Property Operation (Surplus). Equipment Management will determine fair market value of the equipment, the price reasonableness of received offers, transfer of funds, and handle the required administrative paperwork that protects the University from liability.

Typically the equipment that departments are no longer utilizing should be transferred to the Excess Property Operation where is will be sold or scrapped based on its overall value and condition. Departments are automatically reimbursed for equipment sales of items that exceed $50.00 in total value at time of sale from this operation.

If the equipment in question is being potentially transferred or sold to another University directly please contact Equipment Management via email at equipment@ucr.edu and provide a listing of all property that is intended to be transferred to the other institution.

If you are not transferring of selling to another University location or do not have a specific buyer in mind for the equipment in question please contact Judy Hodge at judy.hodge@ucr.edu and Mike Gonzales at michael.gonzales@ucr.edu when you are ready to sell the equipment.

The Equipment Management and Excess Property Operation have the right to take a percentage of the equipment proceeds as payment of the service. Typically this amount will be between 2% and 20% at the discretion of Equipment Management. The total amount taken is dependent on the proceeds received from the equipment sale and the total amount of effort and time involved in completing the transaction.

For more information about the Excess Property Operation (Surplus) please see Campus Surplus Procedures.

 

Lost / Missing Equipment

Action Code: 22

Equipment that cannot be located should be classified as lost equipment. Lost equipment is often identified at the completion of the biennial physical inventory, audits performed by Equipment Management, or audits performed by outside agencies. Any lost equipment needs to be reported immediately to Equipment Management. All lost equipment is required to be located or reported as lost with an EIMR submission by the department prior to the completion of the department’s inventory verifications.

Missing equipment must be reported to the Police and Risk Management Departments before the submission of an EIMR to Equipment Management. A police report number is required to be obtained for all lost equipment; this police report number must be entered onto the remarks field for any EIMR’s submitted for lost equipment. Equipment Management cannot approve the removal of equipment from the active inventory until the police report number is obtained.

If the lost equipment is later located, the department will be required to notify Equipment Management. If the equipment’s remaining undepreciated value exceeds the inventorial equipment threshold the equipment will be added back onto the equipment inventory.

 

 

Destroyed / Cannibalized Equipment

Action Code: 23

Equipment to which the University does not hold title can never be destroyed or cannibalized without prior written approval of the Government Property Administrator. Custodial departments are not authorized to directly dispose of non-functional equipment; this equipment is required to be transferred to the Excess Property Operation (Surplus) for sale or disposal.

Departments can submit EIMR’s for destroyed equipment to Equipment Management only if the equipment is destroyed due to accidental causes (e.g., fire, earthquake, flood) or the equipment is cannibalized. Non-functional or obsolete equipment may be cannibalized for parts, if certain parts may be re-used and incorporated into other equipment. The cannibalized parts not re-used are required to be sent to the Excess Property Operation (Surplus).

If equipment is broken the department should not submit an EIMR for the destroyed equipment, instead the department should update the properties condition code, and note on the record that the equipment is no longer operational. Broken or damaged equipment if no longer wanted by the department needs to be turned over to the Excess Property Operation (Surplus). Broken equipment often can still be sold by the Excess Property Operation; if not the equipment will likely still have scrap value.

For more information about the Excess Property Operation (Surplus) please see Campus Surplus Procedures.

To update records of inventorial equipment that is destroyed you will need to complete the following procedure.

 

 

Trade-In Equipment

Action Code: 24

Departments have the option of trading in old equipment for newer equipment on Purchase Orders. When doing a trade in the associated Purchase Order will need to have a line item on it detailing the manufacture, model, serial, and UC equipment property number of the properties that are being traded in.

After the equipment has been traded in the department custodian will need to place an EIMR in the EMS under action code 24, the remarks field is required to list the Purchase Order number that the equipment was traded in on.

 

 

Stolen Equipment

Action Code: 25

When stolen equipment is detected, the department’s equipment custodian must immediately report the theft to the Campus Police, Equipment Management, and Risk Management. A police report number must be obtained by the department prior to submitting an EIMR in the EMS.

The submitted EIMR will use action code 25 and must provide the associated police report number on the remarks field. Equipment Management cannot approve the removal of equipment from the active inventory until the police report number is obtained.

If the lost equipment is later located, the department will be required to notify Equipment Management. If the equipment’s remaining undepreciated value exceeds the inventorial equipment threshold the equipment will be added back onto the equipment inventory.

 

 

Intercampus Transfer

Action Code: 26

Section Coming Soon

 

Miscellaneous Disposal

Action Code: 29

Section Coming Soon
 

Interdepartmental Transfers

Action Code: 90

Section Coming Soon

 

Sent to Excess Property (Surplus)

Action Code: 91

Section Coming Soon
 

Low Value Fully Depreciated Equipment

Action Code: 86

Equipment does not actually depreciate from the Equipment Management System; the name of this action code is misleading. Equipment is tracked though it’s entire life cycle from the time that it is acquired until it is physically disposed of by Excess Property (Surplus) or through other authorized methods.

The inventorial equipment threshold has increased several times over the years; the last increase was from $1,500 to $5,000 on July 1, 2004. This created a large population of formerly inventorial assets that no longer had to be tracked or physically inventoried. However these items were not immediately dropped from the inventory when the inventorial equipment threshold was increased. These items are being switched to the inactive inventory (disposed) when the equipment has fully depreciated in value. Once a year the Office of the President provides a listing of equipment that has fully depreciated in the previous year and the items are removed from the Equipment Management System at that time.