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3.3.9.p. Procedure: Southeastern Technical College Inventory Management

Introduction

In accordance with Georgia law (O.C.G.A. § 50-5-140 et seq.), all inventory records maintained by Southeastern Technical College shall conform to all property and inventory laws established by the Technical College System of Georgia and/or the Department of Administrative Services.

Purchases

All purchases of $1,000 with at least a three-year useful life must be maintained on the College’s inventory management system. Also, purchases of less than $1000 that meet certain criteria are tracked in a separate database.

To purchase equipment over $1,000 with at least a three-year useful life expectancy, the employee will submit an online Purchase Requisition detailing the item, cost, vendor and other relevant information pertaining to the item. The Purchase Requisition must be approved by the employee’s supervisor and vice president. If the item is to be purchased with Perkins funds, it must also be approved by the Vice President of Institutional Effectiveness. If the item is technology-related, it must be approved by the Director of Information Technology. If the item has a cost of $10,000 or greater, it must be approved by the President.

Once the property is received by the Receiving Clerk and delivered to the requestor, the Receiving Clerk will ‘Receipt’ the property in the PeopleSoft system.

All equipment that does not require a decal will be delivered to the requestor. All computers and printers will be held in a secured location until the Director of IT, the Receiving Clerk and the Accountant meet to decal and label the units. The inventoried items will then be stored until a time can be scheduled with the requester to have them delivered.

When the Accounts Payable Technician pays the invoice, an interface process transfers the item to the Asset Management system. The Accountant, who acts as the coordinator for all asset management duties, will run queries in PeopleSoft concerning equipment received, assign property asset inventory numbers to equipment, locate equipment, affix the property asset inventory number label and run the transaction load process in PeopleSoft to add equipment to inventory. For items that are paid for by TCSG, the Asset Manager at TCSG sends the college an on-behalf spreadsheet. This spreadsheet is reviewed by the Accountant to ensure that the items are added to inventory.

When an inventoried item must be moved from one location to another, the custodian of the item must complete a Transfer of Inventory form. This form must be forwarded to the Accountant immediately upon transfer of the item.

Year-end reconciliation is completed by the Accountant. In addition to the monthly reconciliation, queries are run in AP module of PeopleSoft and compared to AM reports to verify that all assets purchased have been entered in the inventory system.

Yearly, the Accountant conducts a full physical inventory. The custodians are provided Asset Management reports of the inventory items for which they are responsible. The custodian checks his/her report and verifies its accuracy. Asset Decals are scanned and saved in an Excel spreadsheet and compared to the Equipment Inventory in PeopleSoft. Any differences are noted in PeopleSoft and if any items are missing, the custodian is notified and asked to locate the asset. If the asset cannot be located, the Accountant changes the status to “Lost” and makes a note in the comment section of the Asset in PeopleSoft.

Disposal of Inventory

In compliance with state law, the only way that state property may be disposed of are destruction, transfer to state surplus, transfer to other governmental entities, or sale. Operations is the only department authorized to destroy, sell, transfer to another governmental agency or transfer to State Surplus any property on the Southeastern Technical College inventory. Only items which are no longer of any value or use to the college may be disposed.

Destruction

Operations must secure an authorization number from State Surplus, complete an affidavit of destruction, have it witnessed and properly notarized. Documentation of destruction must be sent to State Surplus before these assets can be retired from the Asset Management system.

Transfer to Other Governmental Entity or Sold

In order to transfer inventory items to other government entities Operations must complete the Transfer Form and Invoice and secure an authorization number from State Surplus. Once the transfer is made and the Transfer Form and Invoice has been signed by the transferor, the transferee, and a representative from State Surplus, the property may be retired from STCs property inventory. The same process must be followed for the sale of inventory items, and all proceeds from property sold must go directly to DOAS-State Surplus.

Transfer to State Surplus

When STC has equipment which needs to be surplused, Operations must send State Surplus a completed and accurate description of items on the Transfer Form and Invoice and digital photos in order to secure an authorization number. State Surplus has implemented a Virtual Surplus Disposal Process and no longer accepts surplus items at their warehouse locations. If the Fair Market Value is d$20.00, the State Surplus division will issue a Destruction Authorization. If the Fair Market Value is e$20.00, the State Surplus division posts the item to the website for sale. Items that are not sold will be pickled up by a scrap or e-scrap vendor. The surplus property will remain on the STC campus in a secure location until the sale of the items. The properly completed and signed State Surplus Transfer Form and Invoice is used for documentation for retirement of the property items from the state inventory system. Prior to retirement on the asset management system, this Transfer Form and Invoice must contain a State Surplus signature.

Adopted: June 13, 2011
Reviewed: November 26, 2018;
Revised: October 17, 2016;