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HomeMy WebLinkAbout07-96 - Res. Amends Res. Nos. 105-94 and 26-86 Appendix A of the Physical Inventory Policy and Procedures RESOLUTION NO, ®96 AMENDS RESOLUTION NO, 105®94 AND 2 ®S6 A RESOLUTION TO INCLUDE THE HUMAN RESOURCES DEPARTMENT IN APPENDIX A OF THE MASON COUNTY AUDITOR'S OFFICE PHYSICAL INVENTORYIFIXED ASSET POLICY AND PROCEDURES, WHEREAS, RCW 36.32.210 requires the County Commissioners to inventory a77 county personal property annually, WHEREAS, RESOLUTION 104-94 established the capitalization value of fixed assets as $1000.00. WHEREAS, RESOLUTION 105-94 adopted the PHYSICAL INVENTORY POLICIES AND PROCEDURES to establish accountability and management control over Mason County's inventory and fixed assets. WHEREAS, a department of Human Resources was created within Mason County, THEREFORE, HE IT RESOLVED, that the Board of Mason County Commissioners amend Appendix A of the PHYSICAL INVENTORY POLICIES AND PROCEDURES to include a Line for the Human Resources Department, The amended PHYSICAL INVENTORY POLICIES AND PROCEDURES are hereby incorporated as part of this resolution. Dated this 9th day of January, 1996 BOARD OF COUNTY COMMISSIONERS MASON COUNTY; WASHINGTON a .. -_ Mary ' a , Cha i rper,41 .J .. i l l iam O. Hunte , or missioner � r L. Faughende Commissioner A TESL; eb a S. Rogers, Clerlc f the Hoard PP VE Ar TO FORM: Michael C l i ft, Chief D. Prosecutor ca Clerk of the Board Accounting(2) Treasurer Director of Administrative Services Human Resources Department MASON COUNTY AUDITOR"S OFFICE PHYSICAL INVENTORY FIXED ASSET POLICY AND PROCEDURES SEPTEMBER 27, 1994 ALLAN T. BROTCHE, COUNTY AUDITOR MASON COUNTY PHYSICAL INVENTORY POLICY AND PROCEDURES PURPOSE As per RCW 36.32.210, and Resolution #94-105, these policies and procedures are written to facilitate accounting and reporting requirements of all Mason County Physical Inventory, as mandated by the Governmental Accounting Standards Board and the Washington State Auditor 's Office through the BARS Manual, These policies and procedures will include all real and personal property intended for use, by Mason ,Caunty for a time period of more than one year. These policies will help provide accountability and management control of Mason County's Physical Inventory. FUNDANWALS Any items purchased costing over S500-00 and intended for use for a period of longer than one year wi 7 1 be considered RHYSICAL LIVVENTOPY of Mason County. All itams will be added to the purchasing department 's RHYSICAL INVENTORY LISTING. Any small and attractivP items at high risk of 7ossi but under the $500.00 vahrA may be added to a Department 's Pa y ir-7 Inventory at the discretion of the Elected Off icia7l-nepartment Head. The Auditor Is Office wi 77 be the designated centralized location for all Physical inventory records, (except for the records maintained b.11 the County Road Fnnin,z&zr15 Offirp per ROW 36.32.210 part 2). It Will be the responsibility of th­'e­iu itorls Off'7fi-e to fulfill th'e Commissioner 's obligations per the RCW 36;32.213. Each department h8adle7etted official shall be raQnnncih7,n fir the reporting of their department 's Physical Inventory to the Auditor's Office- Each department headlelected official has four primary responsi i1i*imz * 0 for their HAPAr-m-ntls Physical inventorl- 1) To ensure physical custody and protection of the equipment. 2) To ensure the equipment is properly insured, with adequate records to prove losses. 3) To ensure the equipment is properly maintained and repaired, 4) To plan for any future equipment needs of the department. The department head/elected official may designate an employee within their department to function as the custodian, The custodian will be responsible for the tracking of changes in Physical Inventory for that department, and reporting these changes to the Auditor 's Office. MASON COUNTY PHYSICAL INVENTORY POLICY AN PROCEDURES CAPITAL OUTLAY PURCHASES All Physical Inventory purchases (more than $500.00) should be coded on your departmental voucher to BARS object code 60, your department 's budgeted capital outlay. Purchases include but are not limited to., land, buildings, machinery, equipment, furniture, tools, and appliances 60 CAPITAL QUTLAY 61 Land 62 Buildings and Structures 63 Other Improvements 64 Machinery and Equipment (For further information see BARS Manual Volume 1, Part 1, Chapter 8, Page 20. ) Any Lease Transaction that meets -Qne of the following criteria and is over the County Physical Inventory value of $500.00, shall be considered a "capitalized lease" and included as part of the Physical Inventory under the above po7icy: 1) The lease transfers ownership of the property to the lessee by the end of the lease term. 2) The lease contains a bargain purchase option, 3) The lease term is equal to IS or more of the estimated economic 7ife of the leased property. 4) The present value of the minimum lease payments at the inception of the lease, excluding executory costs, equals at least 90% of the fair value of the leased property. Expenditures made for interest while constructing a capital asset, is part of the historical cost for that Inventory Item, The interest cost should be capitalized and recorded as part of the cost of the Inventory Item, through the Physical Inventory System. It is the custodian 's responsibility to notify the Auditor 's Office of all Physical Inventory purchases on the PHYSICAL INVENTORY FORM (see page 6 of this document). The PHYSICAL INVENTORY FORM must be completed and returned to the Auditor's Office with the voucher for payment. The original PHYSICAL INVENTORY FORM will be kept on file in the Auditor 's Office. A copy should be kept on file in the department. The Auditor's Office Sri 11 assign a unique Tag Number to each item purchased. The Auditor's Office will issue to the department a PHYSICAL INVENTORY TAG. The "TAG" will be placed on the purchased item by that department 's custodian, in a visible place, The standard location is in the front of the item, or in the same area as the Seria7# or Model#. 2 MASON COUNTY PHYSICAL INOTORY POLICY AN PROCEDURES SURPLUS I TENS When a physical inventory item is no longer needed by a department it is considered -dered surplus. A copy of the PHYSICAL INVENTORY FORK must be returned to the Auditor's Office With Section 11 completed, The completion of Section 11 of the PHYSICAL INVENTORY FORM and submission to the Auditor's Office terminates that department 's custody of the item. The surplus item may then be acquired by another department, The Auditor's Office will notify all department headsle7ected officials of any items that are available as surplus. If another department wants to transfer the surplus item to their PHYSICAL INVENTORY LISTING they will notify the Auditor's Office in writing, The Auditor 's Office will then send the "new" department a copy of the previous department's PHYSICAL INVENTORY FORM for that item. Upon gaining custody of the surplus item, the "new" department will complete their own PHYSICAL INVENTORY FORM, The PHYSICAL INVENTORY TAG NUMBER assigned by the Auditor's Office must remain the same! The value will remain the same also, unless the "new" department is a proprietary fund. (Proprietary funds transfer assets at the lower of either cost or market value.) The "new" PHYSICAL INVENTORY FORM will be submitted to the Auditor 's Office and attached to the original and filed. A copy of the PHYSICAL INVENTORY FORM shou Id be kept on file in the "new" department, The TR.4NSFER DATE and TRANSFER DEPARTMENT on the original form will be filled in by the Auditor's Office. If an inventory item is stolen or destroyed by accident, a copy of the property insurance claim needs to be turned into the Auditor's Office, If an inventory item is used for trade-in, the purchase invoice showing the trade-in allowance needs to be turned into the Auditor's Office. Any inventory item in physical custody of the County that has been added to surplus, but not transferred to another department's PHYSICAL INVENTORY LISTING will be sold at the next County Surplus Sale. A list of surplus items to be sold will be provided by the Auditor's Office to the County Treasurer. After the County Surplus Sale, a list of the items sold and amounts will be given to the Auditor's Office by the Treasurer's Office, The Auditor's Office will then update the sale information of the item on the PHYSICAL INVENTORY FORM, and remove those items from the COUNTY PHYSICAL INVENTORY LISTING. NOTE: Any physical inventory item that was purchased with grant money cannot be _added to surplus without approval of the granting agency. The department must request disposition instructions. 3 MASON COUNTY PHYSICAL INVENTORY POLICY AND PROCEDURES YEAR END PHYSICAL INVENTORY REPORTING At the end of each fiscal year, the Auditor's Office will send out to each department their PHYSICAL INVENTORY LISTING. It is the responsibility of the department headle7ected official to submit to the Auditor's Off-ice a verified PHYSICAL INVENTORY LISTING. The department headlelected official may have their department 's custodian take the physical inventory. The custodian should verify the custody of each item and note any additions, d8letions, or corrections. The verified PHYSICAL INVENTORY LISTING is due to the Auditor's Office by February . Per RC W 36,32.210, the Auditor will provide a complete PHYSICAL INVENTORY LISTING of all county property to be validated by the County Commissioners on the first Monday of March. The Auditor will post the PHYSICAL INVENTORY LISTING for public inspection. By February 1st the Treasurer's Office will provide to the Auditor's Office a list of all property acquired through tax foreclosures, The Treasurer 's Office will also provide a list of property sold at the Tax Title Sales during the year. AUDITSIPHYSICAL VERIFICATION The Internal Auditor will audit and physically verify the inventory and fixed assets of each department on an "as necessary" basis. The purpose of these audits will be to validate the accuracy of the PHYSICAL INVENTORY SYSTEM, The PHYSICAL INVENTORY TAG NUMBERS are vital to the validity of the PHYSICAL INVENTORY SYSTEM, During audits, special emphasis will be placed on the proper use of TAG NUMBER, , 4 MASON COUNTY PHYSICAL INVENTORY FORM MASON COUNTY PHYSICAL INVENTORY FORM STEItC/!T��Am�t(�i�i I TA67 NO. (To b@ assigned by Auditor°s Office. ) DEPARTMENT. _ITEM CODE: ITEM DESCRIPTION: LEGAL DESCRIPTION: SERIAL #e MODEL #e BRAND COMPETITIVE DID; Yes No HEARING DATE, PURCHASE DATE(Mo11)ay,-VI) m WARRANT #n VP�9ciG.6i§JE PU�SCSC7C7' pSE `1Z.16.✓€:(Zncluding Sales Tax) SOURCE(ri CC+ p�4pd�F Cg'�ND (%FEDERAL Z.F GRANT SOURCE T1. !L4.. HOLDS (ZF GRANT SOURCE) CONDITION: LOCATION - � - --- - Custodian Signature SECTION II Fill out only if applicable! REASON FOR SURPLUS: SURPLUS DATE., SURPLUS SALE AMOUNT: TRANSFER DATE: DEPT TRANSFERRED TO: Custodian Signature SECTIQN III AUDIT DATE, AUDIT CONDITION: Auditor's Office Signature 5 MASON COUNTY PHYSICAL INVENTORY POLICY AND PROCEDURES INSTRUCTIONSe- HOW TO FILL OUT THE PHYSICAL INVENTORY FORM SECTION I 1. The TAG NUMBER will be assigned by the Auditor 's Office. 11 The DEPARTMENT is the department with custody of the item. The IT CODE is 4 characters starting with the departmental abbreviation from ,appendix A (2 characters) and ending with the fixed asset code from Appendix B (2 characters). 4. The ITEM DESCRIPTION should give physical traits of the item, 5. The LEGAL DESCRIPTION should give Parcel Numbers for property. 64 The SERIAL NUMBER is designated by the manufacturer and is marked on the item. 7. The MODEL NUMBER is the manufacturer 's Model number and usually on the item or listed on the invoice. 8 The BAAND is also the .manufacturer 's and marked on the item or listed on the invoice. 9 The COMPETITIVE BID should be marked "yes" there was one, or "no" there was not. Please refer to Mason County Code Chapter 3.48 for requirements on competitive bids. 10, The HEARING DATE is the date of the Public Hearing that the County Commissioners award the bid. 11. The PURCHASE DATE is the date on the invoice as designated by the seller. This field must include month,, day, and year. 12. The WARRANTNUMBER is assigned by the Auditor 's Office when payment is issued for the item. 6 MASON COUNTY PHYSICAL INVENTORY POLICY AND PROCEDURES INSTRUCTIONS11 HON TO FILL OUT THE PHYSICAL INVENTORY FOIN SECT ION I fg-gootinued) 13 The VALUEIPURCHASE PRICE is the cost of the item including shipping, installation, and sales tax. if an item is transferred front one department to another, the VALUEIPURCHASE PRICE remains the original cost of the item-, unless it is transferred to a proprietary fund. The proprietary fund acquires the item at lower of cost or Fair Market Value (GA A P). When an item is acquired by donation the VALUE/PURCHASE PRICE should be listed at its Fair Market Value at the date of the donation. 14: The SOURCE OF FUNDS should be listed li,e. Current Expense Fund). If the SOURCE OF FUNDS is a grant, you Must specify which one, and the Fund the grant revenue is deposited in. Per "Common Grants Management Rule";, if the SOURCE OF F114NDS is a federal grant you must specify the percentage that was from federal funds vs. matching funds. 15. The TITLE HOLDER need only be filled in if the item was purchased by grant funding, The TITLE 14OLDER will be defined in the terms of the grant agreement. 16p The CONDITION refers to whether it is new, used, damaged etc, at the time 'Of acquisition 17. The LOCATION is Lot Number for land and buildings, the building number or floor for stationary equipment, or the individuals workstation for portable equipment. Please let the Auditor 's Office know whenever an inventory item changes location. 18. The responsible person for that department must sign to verify the Section I information. SECTION_L! 1. Section 11 only needs to be filled out when the item is no longer needed by the custodial department. 2. The REASON FOR SURPLUS is the reason the department no longer needs the item. S. The SURPLUS DATE is the month, day, and year that the item. -is moved from the custody of that department. 4, The SURPLUS SALE AHOUNT wi 77 be provided by the Treasurer Is Office after, each Sale of Surplus County Property. 7 MASON COUNTY PHYSICAL INVENTORY POLICY ANO PROCEDURES INSTRUCTIONS.- HOW TO FILL OUT THE PHYSICAL INVENTORY FORM SECTION 11 {continued) 5, The TRANSFER VAT E wi 7 7 need to be provided, month, day, and year,, if the item is transferred to another department rather than sold at a surplus sale. 6, The DEPARTMENT TRANSFER-RED W is the new custodial department if the item is transferred rather than sold at a surplus sale, 7, The responsible person for that department must sign to verify the Section 11 information- SECTION III 1, This Section will be filled out by the Auditor 's Office, 2, The AUDIT OATS will be the date that the ,Auditor 's Office physically verifies the PHYSICAL INVENTORY of a department. 3. The AUDIT CONDITION is the actual state that the item is in at the time of physical verification. 4. The responsible person for the Auditor's Office must sign to verify the Section III information. MASON COUNTY PHYSICAL INVENTORY APPENDIXES M.A.SON COUNTY PH Y SI CA L I NOTORY POLICY AND PROCEDURES APPENDIX A DEPARTMENT ACCOUNT NUMBER AV PHYSICAL INVENTORY ABBREVIATION., 100 COOPERATIVE EXTENSION EO 200 ASSESSOR AS 300 AUDITOR AU 4490 BOARD OF EOUALIZATION BE 500 CENTRAL SERVICE ADMINISTRATION CA 510 CENTRAL SERVICES MAINTENANCE ss 520 HUMAN RESOURCES RR 600 CIVIL SERVICE CS 700 CLERK CL 800 COMMISSIONERS CO 810 CLERK OF THE BOARD CB` 1000 DISTRICT COURT DC 1200 EMERGENCY SERVICES ES 1405 GHCF GH 1410 GENERAL SERVICES OS 1461 PARKS PK 1470 PLANNING PL 1490 FIRE MARSHA4,4 FM 1710 PROBATION SERVICES UP 1720 JUVENILE SERVICES GRANT JU 1800 PROSECUTOR PA 1810 CORONER CR 1820 CHILD SUPPORT CH 2000 SHERIFF so 2500 SUPERIOR COURT Sc 2600 TREASURER TR 12500 COUNTY FAIR CF 12600 CONVENTION (ENTER cc 12800 COUNTY ROADIPUBLIC WORKS Pw 13900 PERSONAL HEALTH HN 14000 HEALTH ADMINISTRATION HA 14200 LAW LIBRARY L L 14250 MEMORIAL. HALL RH 15050 WATER QUALITY GRANT wo 15060 ENVIRONMENTAL HEALTH ER 16000 COMBINED SEWER & WATER SW 16200 LANDFILL LF 16400 EQUIPMENT RENTAL & REVOLVING ER 64700 RSVP RS LAND ,fix BUILDINGS Vim' IMPROVF WENTS MASON COUNTY PHYSICAL INVENTORY POLICY AND PROCEDURES APPENDIX B PHYSICAL INVENTORY CODE., a DESKS & TABLES 00 DESK ol RETURN UNIT 02 CREDENZA 03 CONFERENCE TABLE 04 FOLDING TABLE 05 COMPUTER TABLE 06 SPECIALIZED WORK TABLE 07 MACHINE STANAITABLE 08 OTHER TABLESISTANDS I- CHAIR SIFURNI TO)ZE 10 EXECUTIVE CHAIR III SIDE ARM CHAIR 12 SIDE CHAIR 13 SECRETARY CHAIR 14 STOOL 15 BOOKSHELF/ORGANIZERS 16 COUCH 17 CLOTHES RACK 18 CHAIR MAT 19 OTHER FURNITURE 2 FILIN6 CAOINETSISAFES 20 FILING CABINETS 21 LATERAL FILES 22 DATA FORMS FILES 23 CARD FILES 24 SAFE 25 OTHER FILING CABINETSISAFES 10 -MASON COUNTY L XEDRES SKA' INVENTORIf POLICY AND PRL APPEND T" n PHYSICAL INVEN'IrORY CODE, 3 ELECTRONIC OFFICE EQUIPMENT 30 TYPEWRITER 31 WORD PROCESS OP 32 CALCULATORIADDING 4CHINE 33 RECORDING EQUIPMENT 34 LAMPS 35 CLOCK/TIME PIECE 36 COPI ER(MIMEOGRAPH 37 F4X 94CHINES 38 OTHER ELECTRONIC EQUIPMENT 4 COMPUTERS 40 COMPUTER HARDWARE 41 PRINTER 42 SOFTWARE 43 OT14ER COMPUTER EQUIPMENT 5 DEMONSTRATION EQUIPMENT 56 CAMERA 51 OVERHEAD PROjECTOR 52 SLIDE PROJECTOP 53 MOVIE PROjECTOR 54 VIDEO RECORDER/CAMCORDER 55 TELEVISION 56 PUBLIC ADDRES51SOUND EQUIPMENT 57 D-EMON$TRATION BOARDS 58 PODIUM 59 OTHER DEMONSTRATION EQUIPMENT 6 APPLIANCES 60 AIR CLEANER/AIR CONDITIONER 61 REFRIGERATOR 62 MICROWAV E OVEN 63 STOVEIRANG 3E 64 OTHER APPLIANCES 7 MISCELLANEOUS EQUIPMENT 70 MISCELLANEOUS EQUIPMENT 8 LAND, BUILDINGS AND IMPROVEMENTS 80 LAND 81 BUILDINGS MASON COUNTY PHYSICAL INVENTORY POLICY AND PROCEDURE As the Elected Of ficials of Mason County, we hereby agreehe attar hed Physical Inventory Policies, � � L Darr 1 C1 ve1an /Asssessgr A 11 an T. che, Aud 7 to Pat Swartos, Clerlk i Larry J, King, strict Cou t Judge Gary P. ur 1 e5 , Pros -V LIQ nk ; Rob �Oep erd, Sheriff ames B. r I, uperior Court Judge Toni Sheldon, Sup r7or Court Judge DoreennAe Rae, Treasure M. L. Faughenderr., ai . erson f � fYV P Wi-11-i-am-0 -_._-Hunter, ommissioner Laura E. Par e�Gamm7�s�oner 12 a