FLORIDA INTERNATIONAL UNIVERSITY
P R O P E R T Y    C O N T R O L    M A N U A L
(Revised March 2001)

TABLE OF CONTENTS

    1. PROPERTY CONTROL GENERAL
    2. DEFINITIONS - PROPERTY
    3. PROPERTY IDENTIFICATION
    4. RESPONSIBILITIES AND DUTIES - GENERAL
    5. GENERAL POLICIES AND PROCEDURES
    6. PROPERTY INVENTORIES
    7. PROPERTY SURVEY BOARD
    8. FEDERAL CONTRACTS AND GRANTS
    9. FEDERAL SURPLUS PROGRAM
    10. PROTECTION OF UNIVERSITY PROPERTY


PROPERTY MANUAL

I. Property Control - Role & Scope  
The role of Property Control is to establish guidelines and procedures governing the accountability, control, transfer, and ultimate disposal of tangible personal property acquired by Florida International University. The scope of our responsibility insures that these procedures are applicable to all accountable property owned or controlled by the University and apply to all personnel responsible for the accountability, control and safeguarding of this property.


II. Definitions - Property

 
A. Accountable Property

Tangible, movable, personal property of a non consumable, non expendable nature, with a value of $1000 or more and which has a normal expected life of one year or more.

B. "Attractive" Property

Property, which has the characteristics of accountable property, but is less than $1000 in value. These items include: VCRs, cameras, printers, monitors, etc. that by their nature are physically small in size and subject to conversion to personal use. Although such property may not be tagged, or inventoried annually, departments should make every effort to safeguard this property.

 To maintain adequate property insurance coverage, each department must keep their own inventory list for items valued less than $1000 This list is submitted yearly to the Office of Environmental Health & Safety.

C. Computers Software and Related Equipment

Computer software programs valued $1000 or more are listed in the property record with a special code. These items are automatically purged from the Property Master File after 5 years. Computers and their associated hardware equipment, such as monitors, modems, disc drives, etc., are normally assigned tags which can be physically affixed to an exterior panel. However, there is a multiplicity of accessory hardware, such boards, chips, interfaces, modules, etc. that although having a physical form which cannot be individually tagged - are assigned a tag number and the tag is placed on the frame in which the board is installed and connected. The transfer of these items to another location shall be reported to Property Control so that a "Transfer" of tag can be completed.

D. Library and Media Property - Books

Library books, films, tapes, disk records, bound periodicals, and maps, although classified as personal property, (OCO - 511XX) are the responsibility of the University's Libraries for accounting and inventory control.


III. Property Identification

 
A. Taggable Property

Each item of accountable property, when it is practical to identify by marking shall be physically marked with a bar-coded tag bearing a consecutive number identification. Items, which by their shape or composition do not permit tag identification, will be marked by stylus, pen, or other practical permanent inscription. The assigned tag number will identify these items in the Master Property Record. (Ch. 273.02)

 B. Non Taggable Property

Property Control shall not tag items, such as chairs, tables and other pieces of equipment, whose cost falls below $1000 Departments may wish to tag their own attractive property items with a generic university AProperty of FIU@ tag or a tag with their department's name.


IV. Responsibilities and Duties - General

 
A. Vice President, Business and Finance

The Vice President of Business and Finance is delegated by the University President the management of accountability, transfer and disposal of state owned property for which the University has custodial responsibility under the Florida Statutes. Although the Vice President has the delegated responsibility for all University property, the custodial accountability and responsibility is actually that of the administrative head (project leader) of an operating department to which the property is assigned. This accountable officer may delegate custodial accountability and responsibility to selected members of the unit, but the administrative head remains the responsible officer. Grant and Contract acquired property is the accountability and responsibility of the Principal Investigator. The Principal Investigator is the accountable officer until such time as title to the property is transferred to the University or other agency under terms of the grantor. At this time, the accountability and responsibility is assigned to the administrative head of the department to which the property is transferred, or to the other agency with the approval of the Board of Survey.

The Vice President of Business and Finance shall approve all Reports of Survey before their transmittal to the Board of Regents.
 
 

B. Senior Property Manager/Property Control

Duties of the Senior Property Manager are as follows:

 
1. Responsible for the operation of a complex property control system, which monitors all acquisitions, inventories, and disposal of State property on all F.I.U. campuses and numerous off campus locations, including foreign country grants.

Meets with top level management to discuss problems arising within their respective department inventories and briefs university personnel as to property policies and procedures pertaining to more effective University property control practices. Is Responsible for the Property Master File.

2. Schedules annual cyclical inventories of all University departments required by State law.

3. Upon request, informs Internal, State, or Federal Auditors of the status of property items. Sends reports to the Board of Reagents to obtain permission to remove property items from the Property Master File after being approved by the University's Board of Survey and the V.P. of Business and Finance.

4. Manages the maintenance of a Surplus warehouse for redistribution of property to the University community and the disposal of the property.

5. Arranges and supervises all surplus disposals in compliance with state regulations. (Ch. 273.03) / (Ch. 6c8-8.002) Fla. Adm. Code.


C. Department's Accountable Officer

 
The responsibilities of the Department's Accountable Officer are as follows:

 1. Has the custodial accountability for all University property assigned to the department.

 2. Prepares and submits to Property Control a memorandum letter covering any property transfers or the moving of property to another assigned location.

 3. As necessary, submits to property control a "Report of Survey" form whenever property is lost or stolen. No property may be sold, surplused, cannibalized or otherwise disposed of until a request for disposal is made to Property Control and approved.

4. Notifies the Public Safety Department of any lost or stolen property. Notification should be made by telephone for immediate follow-up, and then should be confirmed by memorandum to Property Control. All facts should be included so that the Property Survey Board may relieve the accountable officer of the property. Failure to adequately protect University property or to report lost or stolen items may result in a recommendation by the Property Survey Board to assess financial liability to the department.

5. Verifies the Department's Inventory Report listing furnished by Property Control. A physical inventory must be taken once each year by Property Control. The Accountable Officer is responsible for locating items that have not been found.


D. Purchasing Services

 
Duties include:

1. Issues Purchase Orders for the procurement of all accountable property. Forwards copy of all Purchase Orders to Property Control, Central Receiving, Controller's and ordering departments. Purchase Orders are the supporting documents for transmitting property data into the Property Master File.

2. Advises Property Control of any requests for "trade-in" of accountable property.


E. Central Receiving

 
Responsibilities include:

1. The receipt and delivery of equipment purchased by Florida International University to ordering departments. Central Receiving will ensure that upon receipt of all types of property, a receiving report is prepared prior to delivery of the equipment. The signed AKey-Rec@ is Central Receiving's proof of delivery.

2. Notifies Property Control upon the receipt of all accountable property for tagging purposes.

3. Maintain files of signed AKey-Recs@, as official University records of accountability.


F. Public Safety Department

 
Duties include:

1. Request to see an approved Off Campus Request Form from any individual removing University property from the campus.

2. Investigate all reports of stolen property and submit a written report of findings to Property Control.

 3. When Public Safety or other source recovers accountable property that has been declared lost or stolen, a report containing the circumstances and a description of the articles is sent to Property Control. The recovered property is returned to Property Control for verification and re-issue to the department sustaining the loss. The inventory record will then be corrected to reflect the return of the accountable property on the department's property record.

4. Forwards all unclaimed lost and found items to Property Control after 30 days where it is held until disposition.


G. Facilities Management

 
1. Responsible for the maintenance of classroom furniture such as portable blackboards, chairs, tables, speaker stands, lecterns and other associated equipment.

2. The Campus Services Department of Facilities Management is responsible for the relocation of university property within the university and between campuses. Upon receipt of Property Work Order form, they will pick-up surplus items listed from departments and deliver them to the Surplus Warehouse (W-7).

3. Facilities Management advises Property Control, in writing, of all property moves and department relocations.

 
V. General Policies and Procedures
   A. Property Acquisitions  
1. Bonus Property, which is acquired as a bonus sales promotion (received at no charge), shall be reported to Property Control. The Property Manager will determine its fair market value, identify, and if applicable, list it in the Property Master File.  2. Donations Property, which is acquired by donation through the University's Foundations for the University, shall be reported to Property Control of its receipt and special conditions, if any. This property shall be listed at the fair market value and identified in the Property Master File. 3. Fabricated Equipment fabricated by individuals or departments, that is assembled from parts or basic materials purchased from expense funds, must be reported to Property Control. Detailed records shall be kept of materials and labor used in the manufacture of such equipment in order to determine the fair market value. The finished piece of equipment will be accounted for in the same manner as any other accountable University property. The equipment will be assigned a property number, which will be listed in the Property Master File. 4. Purchase a. Operating Capital Outlay (OCO) and Fixed Capital Outlay (FCO) appropriations are used for the purchase of accountable property. The account shown on the purchase order is the account number of the department, grant or contract number to which the property location is assigned unless notified otherwise.

b. Accessory parts, additions to equipment, initial freight and installation costs are also part of the equipment cost and are paid for from the OCO or FCO funds.

c. Replacement parts, repairs, and service contracts are items of expense and are not included in the cost of the original equipment.

d. Accountable property shall not be purchased on a Blanket Purchase Order.

B. Abandoned Personal Property  
1. Personal property abandoned or lost on campus of a University in the State University System must be disposed of in accordance with the provisions of Section 705.18 Florida Statutes.

2. Under the provisions of this section, Public Safety shall take charge of the property and make a record of the date such property was found. The property will be turned over to Property Control and held until disposition.

C. Property Relocation  
1. If property is moved and remains under the control of the same Accountable Officer, Property Control will be notified in writing of the new location so the department inventory record may be updated with the new location. The notification shall include the description and the tag number of the items moved.
 D. Property Transfers  
1. When property is transferred to another department, Property Control shall be advised by memo, stating the tag number and description, the gaining and losing department and location where transferred. The losing department will be relieved of accountability and the items will then be transferred to the inventory record of the gaining department in the Property Master File.

2. Property, which is to be transferred to another institution or agency for any reason, shall be reported to the Property Survey Board for transfer approval.

3. Property acquired by transfer from other institutions or agencies, shall be reported, tagged (if accountable) and recorded in the Property Master File at the current fair market value.


E. Property Trade-Ins

 
1. All requests for property trade-in must be submitted to Property Control on a Property Trade-In Form signed by the Department's Accountable Officer, with a copy to Purchasing Services, Information provided will include: Description (including serial number if any), tag number, date acquired, original cost, location, condition, original Purchase Order number.

2. Purchasing Services will evaluate and handle trade-in with vendors.

3. University identification numbers (tags) must be removed from the property before it is shipped to the vendor.

4. The Property Survey Board and V.P. of Business and Finance shall approve all trade-ins before deletion from the Property Master File.


                    F. Cannibalization

 
1. University departments shall request permission to cannibalize any item and must notify Property Control by submitting a Cannibalization Request Form signed by the department's accountable officer. The description of the property, its current condition and the reasons for cannibalization shall be provided. Also, required is the Property identification number (tag), department's account number, item's location, and contact name.

2. The Property Manager will research the item by its age and acquisition cost. If approved for cannibalization, the Property Manager will sign the form and return it to the department. The department will remove the property tag and return it with a copy of the form to Property Control.

3. If the initial request for cannibalization is denied, the Property Manger may, in writing, request additional information or state reasons for denial. Reasons for denial may include the determination that the property is still useful in its present state or it has value as a trade-in.

4. The Property Survey Board and V.P. of Business and Finance shall approve all cannibalizations before deletion from the Property Master File.


G. Replacement of Stolen Property

 
1. The University is not insured for theft - only fire insurance coverage is provided. The University, as a state agency, is self insured; the cost of equipment replacement will be the department's responsibility. You may contact the University's Environmental Health & Safety office for more information on insurance matters.


H. Off Campus Use

 
1. Property may be used off campus only if such use will further the Mission of the University. Such removal shall be authorized by the Department's Accountable Officer and an Off Campus Form shall be furnished to Property Control for accountability. Continuation of property off campus over one year, requires approval from Property Control.  Property Control shall be notified when off campus property is returned to campus.

2. University personnel using state property off campus shall be informed as to the measures to be taken when an item in their custody is lost or stolen, otherwise they may be held personally liable (see statement on Off Campus Form). They may use their personal copy of the Off Campus form as their receipt of permission to remove property from campus. If property is lost or stolen:

 
a. Notify the local police.

b. The user of the property shall send a memorandum of the theft and a copy of the police report to the Accountable Officer charged with the property.

c. The Department's Accountable Officer shall report the loss to Property Control, along with the copy of the police report, including the statement of the person sustaining the loss.


I. Classroom Use

 
Academic and staff personnel using classrooms and lecture rooms are responsible for the safeguarding of the equipment such as projectors, tape recorders, etc. temporarily assigned to the room.


J. Property Notices

 
Classrooms, laboratories, storerooms and other areas where property is kept shall be secured and have notices posted in a prominent location - warning of the consequences of stealing State property.


K. Surplus Property

 
1. The Department's Accountable Officer may request, in writing, that property in their department be declared surplus because it is obsolete, inoperative, unserviceable and that the continued use is uneconomical or inefficient, or serves no useful function to their department's activity,

2. If any of these reasons apply, the Department's Accountable Officer shall send a memo to Property Control listing the surplus item(s)by tag and description. The item(s) will be moved by Campus Services to the Surplus Warehouse (W-7) for storage. Property item(s) will be removed from the Department's Property Record and transferred to the Surplus Account pending Survey Board and V.P. of Business and Finance approval for final disposition. All accountable property shall have Property tag numbers removed prior to final disposition. (Ch. 273.055) Disposition of state owned tangible personal property. (Ch. 6C8-8.007) Fla. Admin. Code.
 
 

VI. Property Inventories  
A yearly inventory of all University property shall be conducted by Property Control. The Department Property Record is a computer printout which provides updated information for additions, changes, and transfers of accountable property within departments. This Record lists all the accountable property charged to your department. It includes the following information for each item: Tag Number, Description, Department Number or Project, Building and Room Number where the item is located, Purchase Order Number, Cost, Date Acquired, and Acquired Cost. This report is sent out annually to each department number addressed to the Department's Accountable Officers on file.

 A. The University's Controller's office shall maintain an accurate current listing of all Department Accountable Officers.

 B. Departments shall grant access to Property Control personnel to conduct the annual inventory. If a department has special needs, such as security in sensitive areas, arrangements with the Department's Accountable Officer will be made to schedule access to those areas.

 C. Unscheduled inventory verifications may be made by an Internal, State, or Federal Auditor and Property Control. The inventory may be of the total listing or a spot check of a certain category of equipment, such as computers, microscopes, cameras, etc.
 
 

VII. Property Survey Board  
A. Purpose

To establish a standard practice for the reviewing, interpreting and recommending to the Vice President of Business and Finance, the disposition of all Report of Survey Forms submitted by Property Control.

 B. Policy

1. The Property Survey Board shall review, interpret and recommend to the Vice President of Business and Finance, the disposition of all "Report of Survey" items submitted by Property Control.

 2. The Board is responsible to the Vice President of Business and Finance for the execution of all duties as described herein. The Board is responsible for the lawful application of regulations and statutes.

C. Scope  1. Membership a. The University President will appoint the members of the Board for a term of one calendar year, which may be renewed.

b. The Board will consist of seven members from the University community, one from each of the four areas listed below plus three ex-officio members.

 
A&P Senate

USPS Senate

Faculty Senate

University Student.


Their respective chairperson will recommend a nominee from their ranks to the Vice President of Business and Finance who will submit the names to the University President.

c. The three permanent ex-officio officers are:

 Investigator from Public Safety

Associate Director, Purchasing

Sr. Property Manager


d. The Property Manager will act as Secretary of the Board.

e. All members of the Board including ex-officio officers, with the exception of the Property Manager, will have voting power.


2. Meetings

 
a. The Property Manager will call meetings of the Property Survey Board as often as deemed necessary, but not less than once a year.


3. Reports

 
a. The Property Survey Board will receive, review and recommend to the Vice President of Business and Finance action on Reports of Survey which are submitted by the Property Manger.

 b. The Vice President of Business and Finance will forward the approved "Report of Surveys" to the Senior Property Manger for disposition.

D. Action  
1. Property Control will submit to the Board, "Reports of Survey" initiated by the Department's Accountable Officers requesting relief of accountability for items lost, stolen, missing on inventory for more than two years, scrap, cannibalizations and trade-in.

2. The Property Survey Board will review the requests and recommend any justified release from accountability. When loss or damage has been determined as having been caused by gross negligence or lack of due care, the Board may recommend corrective action.

 3. In case of loss or damage to property that is covered by private insurance, such as; articles taken off campus and stolen from cars or homes, a memo stating these facts shall have a local police report substantiating evidence of loss as well as the name of the insurance company having coverage. Claims that are reimbursed will be credited to the University's department.

                                       E. Secretary of Board (Property Manager) - Duties 1. Log in receipt of documents received from the departments, Public Safety, State agencies and all documents from outside sources pertaining to survey property. Review and list each "Report of Survey" and all back up documentation prior to submission to Survey Board for recommendation.

2. Submit a list of Report of Survey cases under consideration.

3. Maintain a file of all pending and approved Report of Survey Forms (this includes all documentation).

4. Call Survey Board meetings as necessary.

5. Maintain a file of all minutes, reports and recommendations of Survey Board Meetings.

6. Submit Survey Board approved Report of Survey Forms to the Vice President of Business and Finance for approval with the following information:

a. Total Dollars to be approved for survey. Reports should indicate reason for surveyed amounts.

b. Total cost recommended to be disapproved with appropriate supporting documents.


VIII. Federal Contracts and Grants - Property Management

 
A. Title 1. Actual and/or custodial title to all tangible property acquired with Contract or Grant funds usually vests in the University upon acquisition. Without exception, all property controls outlined herein apply to property acquired with Contract and Grant Funds. Title to Federally owned non expendable property, which is provided to the guarantee, shall remain vested in the Federal government and wear a Federal tag.

 2. Annual inventory lists are furnished to the Principal Investigator (the Department's Accountable Officer).

 3. Upon termination or completion of a Federal Contract or Grant, final disposition of property is made by the contract directives.

 4. Prior approval of the US Government Property Administrator or grantor agency is required before Federal Government property may be transferred either to Surplus or from one Contract and Grant to another.

 5. In some cases, Federal agencies may waive accountability for equipment purchased under research grants in favor of the host institution. Application must be made to the grantor agency under Public Law 85-939 for the waiver.


B. Marking and Recording

 
1. The inventory and control of accountable property acquired with Federal Grant Funds for use by grantee departments is subject to regulations prescribed by the individual federal agency contract, and since the criteria for the recording of property so acquired is as varied as the number of agencies providing these funds, the following policy shall govern in determining the method of marking Federal Grant Property.

2. U.S. serially numbered tags will be assigned to those items whose acquisition cost is $1000 or greater.


C. Principal Investigators- Responsibilities and Duties

 
The Principal Investigator is the accountable and responsible officer of record for inventory control and maintenance of grant property.

1. Maintain a historical file covering research projects which must be available for audit by the Government Property Administrator. The historical file requirements are:

a. A copy of the Contract or Grant and all supplements.

b. All copy of shipping documents covering equipment acquired from or supplied by the U.S. Government.

c. Copies of all papers pertinent to conversion, major repairs, modification, loss or damage, and other conditions of all government equipment acquired through the Grant.

d. An accurate inventory list of Contract or Grant equipment showing location and tag number of each item.


2. Property Control shall be advised when:

 
a. Government property is to be shipped to another destination other than Florida International University. Copies of the transferred or shipping document and notice of authority for shipment must be retained.

b. Items are cannibalized.

c. Government or State Property is lost, damaged or stolen.

d. Ninety days notification before termination or extension of Contract.


3. Upon termination of the contract or grant, the Principal Investigator is required to reconcile inventory listing and physical inventory. The Principal Investigator has the responsibility to:

 
a. Note the equipment to be returned to the grantor, purchased by the University, or charged off as expendable.

b. Secure the approval of the Vice President of Business and Finance for items to be donated to the University.


D. Transfer of Equipment

 
Equipment acquired with Contract or Grant Funds may be transferred to institutions which are not part of the State University System, agencies of the State of Florida, or Florida counties, subject to the following conditions or restrictions:

1. The Principal Investigator or the Contract or Grant is relocating at the institution to which the equipment is to be transferred by the Department of Sponsored Research.

 2. The equipment to be transferred was purchased SOLELY with funds furnished under the Contract or Grant of the transferring Principal Investigator's department.

3. Written approval by the grantor or contractor, department chairman, and the Dean of the participating college and the Survey Board has been secured for the transfer.


E. Property Control must keep the following records for inspection and audit :

 
1. Copies of Contracts and Purchase Orders with which Principal Investigator acquired accountable property.

2. An accurate, current inventory record, including description, original source, acquisition cost, date of acquisition, condition, and location of the grant property.
 
 

IX. Federal Surplus Program  A. Federal surplus property obtained from the Florida Surplus Property Division is accounted for in the same manner as property obtained from any other source. Federal surplus property is recorded in the property record at its fair market value and not at the service charge. If the fair market value is $1000 or more and the life expectancy is a year or more, the purchase must be made from the Operating Capital Outlay, and the item becomes subject to accountable property rules.

 B. A Federal Surplus item will be designated as a "controlled item" if the original cost to the US Government exceeded $2500. In addition, motor vehicles, regardless of the cost of acquisition are always considered "controlled items". The amount of service charge paid by the University to obtain the property does not influence this designation.

C. "Controlled items" shall not be disposed of, moved from the State of Florida, cannibalized, utilized for a secondary purpose or transferred for a period of four years after acquisition, (two years in the case of motor vehicles) without written permission. If the acquiring department intends, at the time of purchase, to use the items for a secondary purpose or for cannibalization, property control must be advised so that authorization for this conversion shall be approved.
 
 

X. Protection of University Property  A. The protection of State property is incumbent upon all faculty and staff to leave an office, trailer or room where valuable property is located for any length of time without securing the area invites a theft! It is the responsibility of each department to safeguard its property.

 B. Particular attention shall be paid to media equipment such as, slide projectors, video monitors, cameras, and tape recorders which are loaned from the Media Department to be used in classrooms. Provisions shall be made for assigned person to safeguard equipment until Media or the owning department picks it up.

C. The University issues special equipment to individual staff members for use in their particular activity such as firearms, pagers, cellular phones, and two way radios. Since it would be impractical to return this equipment to the Department daily - it is essential for inventory purposes - that the custody receipt identifying employee charged with the item - be maintained in the respective departments.

 Personnel leaving University employment whom have been issued special equipment, must have their custody receipt cleared upon return of the accountable and non-accountable equipment to the department. Failure to return property may subject their final paycheck to be withheld, pending a satisfactory explanation. Property Control will be advised of all terminating employees to ensure that their custody receipts (if any) have been cleared by the department concerned. The Internal Auditor and Property Control may check maintenance of custody files. A properly kept custody file is the best insurance against inventory audit shortages.
 
 

POLICY REFERENCES
Florida Statute - Chapter 216, 273, 284
Rules of the Auditor General - Chapter 10.300
Florida Administrative Code - Chapters 6C8-8