These procedures are a summary guide for college departments. They outline processing requirements through property management. Instructions for processing supply management and purchasing actions are contained in the supply management and purchasing procedures located separately.
General
“Property” as used in this procedure includes furniture, laboratory equipment, information technology equipment and similar items with a cost in excess of $5,000 and a useful life of two (2) years or more.
- The provisions of this procedure are applicable for use in the inventory, use and control of all college property.
- The purpose of the property control program is to establish responsibility for property, provide for better utilization of property, facilitate the physical inventory of property, establish insurance requirements, and comply with State policy.
- The Citadel uses an automated Fixed Assets System to process property management activity.
- The Fixed Assets application ties in very closely to Financial Accounting, Accounts Payable, and Purchasing.
- It examines Purchasing and Accounts Payable files to identify newly acquired items that should be capitalized and carried as property.
Definitions
“Property,” for this program, is defined as those items which possess the characteristics listed below. Further assistance in the defining individual items may be obtained by contacting the Property Manager.
- Movable – not built in or permanently attached to a building or structure.
- Attached – permanently attached to a building or structure.
- Real property – stationary or fixed property, as buildings or land.
- Personal property – movable property.
Responsibility for Property
The responsibility for property control is under the Vice President for Finance.
- Day-to-day property management responsibility has been delegated to the Director of Procurement Services.
- Vice Presidents, The Chief of Staff, the Commandant, the Athletic Director, Deans, Directors, and Department/Activity Heads are responsible for the custody, maintenance, and reasonable security of all property purchased for, or assigned to, their respective department or activity.
- All college employees should be concerned with the proper care and security of any equipment which they use or oversee.
Property Management – The Property Manager is responsible for maintaining the Fixed Assets property control records, affixing decals to new acquisitions, scheduling annual inventory verifications, and coordinating other aspects of the property control program.
- Departments and activities should contact the Property Manager for assistance and information relative to the property control program.
Departmental Custodian – Each department or activity with assigned property will designate an individual as the “Departmental Custodian.”
- Departments may designate more than one individual, if necessary.
The Department Custodian will coordinate property inventory matters with the Property Manager and carry out control responsibilities as assigned by the Department/Activity Head.
Acknowledgment of Responsibility – Each custodian to whom property is assigned will sign an Asset Control Sheet acknowledging receipt and acceptance of responsibility for the property.
- Signatures on Property Transfer Forms, Asset Control Sheets, or Receiving Reports entered in the Purchasing System will establish custodial responsibility.
- Departmental custodians should process Property Transfer Forms, obtainable through this link or from Property Management, relieving them of responsibility when property is removed from their area of responsibility.
Ownership – Ownership of property acquired by the College rests with the State of South Carolina.
- This is true whether the items are purchased from departmental funds or from special property appropriations or are acquired by gift, grant (CDF, Federal or otherwise) or contract.
- Property may be reassigned by proper authorities at any time.
- Citadel/State property can only be disposed of through South Carolina Surplus Property Procedures.
Loans and Removal From Premises – College property is intended to be used at the designated work place on The Citadel campus, however, certain circumstances will occasionally warrant the use of this property at other sites.
- Such circumstances will most often relate to using property in an activity directly related to one’s profession; professor, scholar, activity director, chairman, etc.
- The Director of Information Resources Management is the approval authority for personal use of personal computers and related property, and the Vice President for Finance is the approval authority for all other property.
- In cases where the property is being used for approved professional purposes, proper approval will be obtained in advance. The Citadel assumes responsibility if the property is lost, stolen, or damaged through no fault or negligence of the user.
- In those cases where the property is being used for approved off-campus purposes, the individual assumes personal responsibility for the equipment.
Acquisition of Property
Property is normally acquired through purchase.
- Whenever property is purchased using the purchasing system, the Fixed Assets System simplifies and automates the process of targeting capital purchases.
Lease Purchase and Installment Purchase of Property – Acquisition of property by any means other than purchase must be fully justified and requires approval of the State Materials Management Officer.
- Property purchased by lease purchase or installment purchase will be considered property of the college and entered on the property records at the time of purchase in the same manner as purchased property.
- Material is available from the State Surplus Property Office at a minimal cost.
- The Property Manager also maintains a stock of available surplus property.
- Before purchase requisitions are initiated, consideration should be given to obtaining the material from one of these sources.
- Contact the Property Manager for details.
- Property acquired through either of the above programs will be considered property of the college and entered on the property records in the same manner as purchased property.
Art – To purchase art objects such as paintings, antiques, sculptures or similar objects, the President is required to provide a written determination specifying the need for such objects and the benefits to the State.
- Such written determination will be provided to the South Carolina Arts Commission for approval prior to acquisition.
- Departments/Activities desiring to purchase art objects will forward to the purchasing office their purchase requisition with an attachment, in memorandum form, specifying the need for such objects and the benefits to be derived.
- Art objects will be entered on the property records in the same manner as any other assets.
Construction – Movable property acquired through a construction project will be entered on the property records in the same way as other purchased property.
Inventory and Property Control
Basic control and identification of a property item is usually accomplished through a serially-numbered metal tag affixed to the property item.
- Some items will not have tags affixed because of the type of item; if possible, the number is etched or painted on these items.
- Items without metal tags will still have an assigned number.
- The tag or assigned number becomes the asset number in the Fixed Assets System.
Additions – The Property Manager is responsible for affixing a metal tag as soon as possible after the item is acquired.
- An Asset Control Sheet will be completed by Property Management and carried to the acquiring department.
- Property Management should enter the building and room number where the item is located, and affix decals to those items.
- The Department will sign and date the sheet after the metal tag has been affixed to the property.
Property Records – After the items have metal tags affixed, the property records will be updated in the Fixed Asset System.
- Changes to property records will be accomplished only by the Property Manager.
- Departments may request changes/corrections to their property records by submitting a Property Record Change Request, obtainable from Property Management.
- The Property Record Change Request can only be used to update non-critical data.
- Property actions which require tracking, such as, transfer or disposal, can only be accomplished by Property Management as a result of an Property Transfer Form, obtainable through this link or from Property Management.
Gifts – Department/Activity Heads anticipating receipt of gifts of property, regardless of cost, shall complete a Donated Property Report, obtainable from Property Management.
- As much information as possible should be included in the Donated Property Report, e.g., quantity, description of property.
- Any letter, deed of gift or transfer should be attached to the report.
- The Property Manager will, upon receipt of the Donated Property Report, enter the gift in the Fixed Assets System as a pending asset and request an Asset Control Sheet.
- The Property Manager will affix a property decal to the property and obtain the signature of the departmental custodian.
- It is very important to understand that specific IRS forms may also be required to document donated property.
- It is required that all departments/activities contact the controller’s office at 3-6980 prior to agreeing to accept any donations of property.
Transfers – Transfers between departments will be accomplished by means of a Property Transfer Form, obtainable through this link or from the Property Manager.
- The relinquishing departmental custodian will initiate the Property Transfer Form and forward to the receiving departmental custodian.
- When the transfer is made, the department receiving the equipment will indicate the new custodian name, custodian number, new building, and new room number and forward the original copy the Property Manager.
Excess Property – All college officials share responsibility for effective utilization of property.
- Property for which the using department no longer has a need should be returned to the Property Manager for reissue or disposal.
- Excess property will be transferred to Property Management using the Property Transfer Form.
- The departmental custodian will initiate the request and forward it to Property Management.
- Property Management will arrange for pickup of the property.
- Such property will be made available to other departments on campus at no charge.
- Property found to be excess to the College’s needs will be disposed of in accordance with State surplus property procedures.
Trade-In of Property – Property may be used for trade-in credit when purchasing new, like items.
- When the original unit price exceeds $5,000, the State’s Materials Management Officer must approve the transaction.
- Trade-in transactions of $25,000 or more must be approved by the State Budget and Control Board.
- Whenever a trade-in transaction is concluded, the departmental custodian will complete a Property Transfer Form and forward the completed request to Property Management.
Lost/Missing or Stolen Items – Deletions from the Fixed Assets System are necessary when items are lost/missing or stolen.
- Loss or theft of property must be reported immediately upon discovery to the Department of Public Safety on a Lost, Missing or Stolen Property Report , obtainable through this link or from the Property Manager.
- Relief of accountability for property that is lost, missing or stolen will be approved only after investigation by the Department of Public Safety and approval of the Vice President for Finance.
Disposal of Junk and Scrap – Property coded as junk/scrap by the State Surplus Property Office will be screened by the Property Manager.
- Those items having value shall be held for sale in accordance with State Surplus Property Procedures.
- Those items that are determined not to have further value shall be “trashed” or thrown away, hauled to dump or dumpster, etc., provided that these areas are legally approved for such disposal.
- Items placed in approved on-campus dumpsters will be removed only for official purposes, i.e., to obtain a needed repair part.
Annual Inventory Verification
A physical inventory of all property will be made annually.
- An Inventory Verification List will be produced each year and distributed to the departmental custodian accompanied by instructions on accomplishing the inventory verification.
- The Inventory Verification List will be provided by the first day of the month in which the inventory verification is scheduled, and the completed verification must be returned by the last day of the month.
- If a change in the annual verification month is desired, contact the Property Manager.