PROPERTY MANAGEMENT MANUAL
Each dean, director, and/or department head is accountable for all equipment assigned, controlled and/or in
the custody of their office or department to the President of the University. The Property Management
Office in the Department of Finance and Budget is responsible for maintaining a perpetual inventory of all
moveable equipment.
GENERAL
Each dean, director or department head is responsible for notifying the Property Management Office of any
acquisitions, disposal, or transfers of equipment in his or her custody. Most acquisition information is
automatically picked up from the accounting system. However, there are exceptions to this, such as gifts,
grants, foundation, surplus, or transfers for which the department needs to make notification.
Equipment with a value of $1,000 or more, with a useful life-exceeding one year, will be tagged and
controlled. Typical items in this classification are those capital assets purchased using a 7000 expense
subcode except those marked with an (*) (See SDSU Chart of Accounts). Exceptions to this rule, which are
for purchases in excess of $1,000, will be coded with an expense subcode in the 5000's and are as follows:
clothing and uniform items (including footwear); glass columns, tubes, etc.; livestock tanks and waterers;
nylon or wire mesh laboratory items; plastic chair and furniture mats; replacement or repair parts to original
equipment.
EQUIPMENT MADE ON CAMPUS OR RECEIVED AS A GIFT
Equipment made on campus (valued $5,000 or over) is to be added to the inventory. Prepare a memo to
Property Management with a brief description that will identify 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. Please include any copies of vouchers verifying the cost.
Gifts to the University will include 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.
EQUIPMENT PURCHASED BY SDSU FOUNDATION
Equipment purchased by the SDSU Foundation for any SDSU Department and/or organization is considered
as a gift to the University and will be added to the inventory.
USE OF PROPERTY
Property owned by SDSU shall be used only for institutional purposes. No employee in the University
System shall permit such property to be removed from the campus for use on either a rental or loan basis for
personal use.
Those items 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 covered by State Law and regulation. You must notify
Property Management before any item of equipment, furniture or fixtures is disposed of by any means (trade
in, sale, exchange, salvaged for parts, thrown away, etc.).
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EQUIPMENT IDENTIFICATION
To aid in identifying and controlling equipment, the Property Management Office will assign an SDSU tag
number to each piece. The tagged will be on the equipment by Property Management personnel.
Equipment items in the custody of SDSU units located outside of Brookings will be assigned identification
numbers as outlined above 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.
REPORTING EQUIPMENT CHANGES
Property Management must be notified of any changes in the status or condition of all capital equipment,
regardless of value, listed on the inventory records of SDSU. These changes may result from:
A. Trade-in
An item to be traded must have prior approval and be listed on the purchase request, showing the SDSU
tag number, description, and 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.
B. Excess or Surplus Items
Equipment which is unserviceable, obsolete or excess to the needs of a department for any reason may
be disposed of by transfer to Property Management Surplus Equipment Storage. The department must
first prepare a memo to Property Management stating that the equipment is no longer needed and
request the item to be removed from their inventory. Show on the memo the inventory number, a brief
description, and current condition of the item.
Property Management will place a work order for equipment to be picked up. There will be no charge
for this service to your department but this will be performed at the convenience of General Service.
C. Direct Sale to Other State Agencies and SDSU Departments
Please contact Property Management before the sale to obtain permission, as complex state laws and
regulations prohibit some types of sales. When permission is obtained, Property Management will work
with your Department to assure that the item has been sold according to state law and/or regulations.
Information is required in a memo before the sale, the inventory number, a brief description, and any
other relevant details.
D. Loss or Theft of Equipment
Whenever the loss or theft of equipment is discovered the department must immediately report in the
loss to the University Police. Be sure to include all pertinent information and send a copy of the
notification to Property Management. The University Police will investigate the circumstances of the
loss, and upon completion of the investigation will submit a copy of the case to Property Management.
Property Management will not delete the item from the records of the departmental inventory list until
all investigative action has been completed and all attempts to recover the item failed.
E. Transfer of Equipment between Departments
Prepare a memo to Property Management showing the inventory number, a brief description of the item
being transferred, and the department the item is being transferred to. Also include the new building
and room number location of the item. Property Management will verify the transfer with the receiving
department.
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DEPARTMENT INVENTORY LISTS
STATE LAW REQUIREMENTS
Annually, each department will receive two copies of a listing of the equipment charged to their custody.
This listing is to be verified and signed by the dean, director, and department head or designated
representative, that all equipment has been accounted for. One copy will be returned to the Property
Management Office along with a listing of any changes to be made.
FEDERAL REQUIREMENTS
Once a year each department will receive two copies of a listing of equipment with a value over $1,000.
This list must be verified to answer three questions: (A) Is it usable equipment? (B) Is it needed? (C) Is it
being used? One copy of this list will be signed by the dean, director, department head or designated
representative, and returned to Property Management Office and one copy will be maintained in each
department.
A. Federally-funded property titled to the University and federally-owned property loaned to the
University has restrictions on use.
B. If federal property, identification of equipment must indicate ownership.
C. All unneeded property must be reported as excess. Disposal of federal property must be approved
by the federal agency.
D. Loss or theft of federal property must be reported to the owning agency.
During the interval between annual listings, the Property Management Office may conduct spot inventories
of various items in departments and offices throughout the University. Items are selected at random, but
may include those reported as missing on the latest annual inventory as well as items which are subject to
pilferage and are high value items. All discrepancies discovered will be reported to the appropriate dean,
director, or department head.
In regards to federal property, the Grants Administration Office is responsible for:
1. Annual Report of Federal Property - completed annually as of September 30th.
2. Subcontractor Control - ensures that subcontractors follow all reporting requirements.
3. Contract Property Close Out - monitors subcontractors’ and Universities property reports at
close of awards to ensure that all property has been disclosed.
CONTRACT/GRANT EQUIPMENT SCREENING AND REQUISITIONING REQUIREMENT
The Federal Government has instituted several requirements which must be followed when requisitioning
equipment with a value of over $5000. One of the most important is that of screening for like equipment
which might not be currently in use. Therefore, the following procedures are to be followed:
A.
Each department will contact other departments, which would be likely to have the type of equipment
they are requisitioning.
B.
Complete the section at the bottom of the Purchase order form. You may contact Property
Management for assistance in locating similar types of equipment with a value of over $1,000.
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