|
Printable Version
|
Policy and Procedure Manual
Chapter 350, Supplies and Equipment
Section 75, Fabrication and Modification of Equipment
Approved: 11/24/03, rev. 1/22/07
Supersedes: 6/23/95
Responsible Department: Capital
Asset Accounting and Equipment Management
Source Document: Business
and Finance Bulletin BUS-29, Management and Control of University Equipment
I. Purpose
This section outlines procedures to be followed when
departments fabricate or modify items of inventorial equipment.
II. Definitions
A. Fabrication--construction by the University of a new
item of inventorial equipment valued at $1,500 or more using new or used
inventorial equipment, supplies, or inventoried components. When the fabrication
is made in part or entirely of previously inventoried equipment, those
items lose their previous identity.
B. Inventorial equipment--equipment owned by the University,
or for which the University has custodial responsibility, and that has
been previously classified as inventorial equipment by the Equipment Management
Department, or can be classified as inventorial equipment according to
the criteria outlined in Section 350-50.
C. Modification--any alteration that changes the value,
description, or function of an existing piece of equipment (e.g., incorporation
into another piece of equipment or dismantling for parts).
III. Policy
The Equipment Management Department must be notified
when inventorial equipment is fabricated or modified. For government-owned
equipment, prior approval of the sponsoring agency is also required.
IV. Procedures
A. Fabrication
| Responsibility |
Action |
| Department |
1. Ensures that suitable equipment is not available for shared
use in accordance with Section 350-24.
2. Before starting the fabrication project, processes Capital Asset
Management System (CAMS) fabrication document.
- The document will assign an asset number to the equipment item
being fabricated. The document must be fully approved before the
department may create a Requisition (PR) or Departmental Purchase
Order in DaFIS, or a UCD service unit order, to purchase supplies,
accessories, or components for the project.
3. As necessary, issues a DaFIS Requisition (PR) to the Purchasing department, Departmental Purchase Orders to external vendors, or orders to authorized campus recharge centers for materials and services used in the fabrication.
- The department must indicate on requisitions and orders that
materials or services are for the fabricated equipment by checking
the FAB box at the front of the line item and clicking on the
Equipment Certification button to enter the certification screen
and checking fabrication. The asset number assigned to the fabrication
is then entered into the asset number field of the screen.
4. Shall report progress on the fabrication periodically, but not
less than once a year, to the Equipment Management Department via
an email (eqhelp@ucdavis.edu).
5. When fabrication is complete, reports total value of item to
Equipment Management by an email itemizing the cost of:
- Component parts.
- Purchasing card purchases.
- Services purchased from external vendors (cite Purchase Order
number or Departmental Purchase Order number).
- Services purchased from campus recharge centers (cite recharge
center's name).
- Departmental payroll expense and overhead.
6. If inventorial equipment is modified for the fabrication, follows
procedure in B, below.
|
| Equipment Management |
7. Adjusts the value in CAMS. |
| Accounting & Financial Services |
8. For sponsored projects or agreements (e.g., Federal contract
or grant), applies University's indirect cost rate to labor, travel,
or other operating expenses that were direct-costed to agreement.
- The indirect cost rate is not applied to fabrication expenses
for purchases of component parts and fabrication services from
external vendors or authorized campus recharge centers.
|
B. Modification
| Responsibility |
Action |
| Department |
1. When inventorial equipment is dismantled for parts, incorporated
into another piece of equipment, or otherwise modified, processes
Asset Retirement document to dispose of those items using the appropriate
transaction code and recording the Fabrication document number in
the Notes screen of the Asset Retirement.
- For government equipment, the department obtains the sponsoring
agency's written authorization to modify the item and sends a
copy to Equipment Management before the equipment is modified.
|
| Equipment Management |
2. Reviews the authorization and approves the Asset Retirement
document. |
V. Further Information
Refer to Section 350-85 for
procedures to be followed when equipment has been damaged or destroyed
by accident. Further information may be obtained by contacting the Equipment
Management at (530)757-8801 or eqhelp@ucdavis.edu.
VI. References and Related Policy
A. UC
Accounting Manual Chapter P-415-32, Plant Accounting: Inventorial Equipment--Fabricated
Items.
B. UC
Business & Finance Bulletin BUS-29, Management and Control of University
Equipment, Section B-I-C.
C. UCD Policy & Procedure Manual:
1. Section 350-24, Equipment Screening
and Sharing.
2. Section 350-50, Classification
of Inventorial Equipment.
3. Section 350-51, Identification
of Equipment.
4. Section 350-55, Care and Control
of Equipment.
5. Section 350-85, Loss of or Damage
to University Property.
Copyright © 2006 The Regents of the
University of California, Davis Campus. All Rights Reserved.
Last Updated: 1/22/07 | Questions
and Comments
|