Fixed Assets and Inventory Control

Approved by:
Board of Trustees

Date:

01/23/07

 

Revised Date:

01/22/08

10/28/14


With the exception of specific items or situations approved by the Hall County Library Board of Trustees, the Hall County Library System will follow the guidelines for tangible personal property (equipment) established for programs funded in whole or in part by state funds, federal funds, and local funds.

Definition:

Equipment is a material item of a non-expendable nature, such as a movable unit of furniture or furnishings; an instrument or apparatus; a machine (including attachments); an instructions skill training device; or a set of small articles whose parts are replaceable or repairable, the whole retaining its identity and utility over a period of time which is characteristic of and definable for items of its class. It has a life of expectancy of two or more years and a unit cost of $100 or more.

Fixed assets include, but may not be limited to, all land, buildings, equipment, and library collections owned by the library. Purchased fixed assets are recorded at historical cost (or estimated historical cost if actual cost figures are not available). Donated or contributed assets are recorded at their fair market value on the date donated. For accounting purposes, fixed assets will refer to equipment, buildings, and land valued at $5,000 and above. The general collection of books and materials is also a part of fixed assets. Fixed assets will be depreciated using the suggested useful life recommended by Georgia Public Library Service.

Inventory Records:

Inventory records for equipment (items costing less than $5,000 and more than $100) will be maintained by the Facilities Manager. Inventory records for computer and printer equipment will be maintained by the Computer Services Manager. Inventory records for fixed assets will be maintained by the Business Manager.

Inventory records at a minimal will include the following information:

-Description of the equipment
-Serial number and/or other identification number of the equipment
-Cost of the equipment
-Acquisition date of the equipment
-Location of the equipment
-Property Tag information of the equipment
-Fund number used to purchase the equipment
-Vendor of the equipment (name, address, and phone number)
-Any notes regarding the use and condition of the equipment
-Any disposition data, including the date of disposal and sale price of the equipment.

A copy of the original invoice will be attached to the inventory record of all fixed assets.

Responsibilities:

Department heads are responsible as the appointed custodian of all personal property assigned to or used by his/her department, and thereby responsible to assure that all transfers and disposals of property subject to inventory control within his/her department are reported to the appropriate Inventory Manager.

Department heads are responsible for verifying the fixed assets in his/her department at the end of each fiscal year.

The Facilities Manager is responsible for assigning property identification tags to equipment costing less than $5,000 and is responsible for maintaining the inventory records of those items.

The Computer Services Manager is responsible for assigning property identification tags to computer and printer equipment and is responsible for maintaining the inventory records of those items.

The Business Manager is responsible for assigning property identification tags to fixed assets and is responsible for maintaining the inventory records for those assets.

Fixed Assets purchased within the first six months of a fiscal year shall start being depreciated in that fiscal year. Fixed assets purchased within the last six months of a fiscal year shall start being depreciated in the following fiscal year.

Disposal:


Furniture, equipment, and other fixed assets owned by the Hall County Library System and are not longer usable by any of the libraries in the system may be disposed of at public auction, by advertisement for sealed bids, or by other means whereby the general public may have an opportunity to purchase them. Items that are not bid upon or purchased, or that are damaged beyond repair, may be discarded or donated to a non-profit agency. Items must be approved for disposal by the Hall County Library Board of Trustees.

The Friends of the Hall County Library System may sell books and other materials that have been discarded by the library in accordance with the Library’s Collection Development Policy, as well as books and other materials donated to, but not usable by the library. Funds raised by the sale of these materials are directed into the support for the advancement of the library’s mission.