Policy Number: 302.1.1

Policy: Property/Equipment - Acquisition

Date Adopted: 04/96

Revision Date: 01/04

References: OMB Circular A-21, MOM: Procurement/Property

Approved By: Robert A. Duringer, Vice President for Administration & Finance

There are several ways in which the University may acquire property and equipment.

Purchased - Property/Equipment

Most property/equipment is acquired through a purchase which must follow University purchasing policies. Some property/equipment is considered capital assets and as such requires specific tracking.

Trade-ins of any property/equipment in conjunction with a purchase must be authorized by Business Services - Property Management prior to the trade-in.

The Office of Research and Sponsored Programs must approve the purchase of property/equipment acquired with sponsored program funding prior to the purchase

Gifted - Property/Equipment

The University often receives gifts from donors in the form of property/equipment. Upon receipt of such gifts, the receiving department is responsible for notifying Business Services - Property Management for determination regarding the need to record and/or tag the property/equipment.

Leased - Property/Equipment

Leasing is another means by which the University may acquire property/equipment. This type of acquisition occurs when the University enters into a lease agreement for property/equipment, which transfers substantially all of the benefits and risks associated with that property/equipment to the University. In that case, the University is basically buying the property/equipment. It is the responsibility of the department- and very important to the University- that any department planning to enter into any property/equipment lease contact Purchasing before any lease is finalized.

Loaned - Property/Equipment

Property/equipment can be loaned between one department or unit and another within the University. It is the responsibility of the lending department to notify Business Services- Property Management to ensure proper recording of the change in location of the property/equipment in University property records.

Occasionally, property/equipment is loaned to the University by an external entity. In this circumstance, the receiving department is responsible for notifying Business Services - Property Management to ensure proper recording of the property/equipment.

Personally Owned - Property/Equipment

The University assumes neither responsibility nor liability for the loss of, damage to, or any other contingency related to personally owned property/equipment that is utilized in the conduct of business of the University unless there is a formal written agreement regarding the conditions for that use that is approved by an executive officer of the University.