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MyFedTrainer.com Blog

The Busy Person’s Guide to Equipment Records

This is the seventh section in our thirteen part series on “The Busy Person’s Guide to Grant Management.” Today we look at:

9 THINGS TO TRACK IN YOUR EQUIPMENT RECORDS—WHICH ONES ARE YOU MISSING?

Perhaps you started on the right foot with your Grant, but things have fallen into disarray.

Or, maybe you just did whatever it took to get the project done, and now DCAA or your funding Agency is planning a visit. Is it time to get your records in order?

The Busy Person’s Guide to Equipment Records

#1 Ownership: Who owns the equipment—you or the Feds?

On most Federal Grants, the terms and conditions of the Federal Award will determine who owns the equipment purchased with Federal funds.

The individual equipment records must list whether the equipment is owned (for lawyerly types: see if the title is “vested”) with the Federal Government or the Grant Recipient.

#2 Award Number: What Award paid for the equipment—or what follow-on Award was the equipment transferred to?

Each Federal Award has a unique identifier, such as the Award number that must be identified with the equipment purchase. The Award identification number that funded the purchase of the equipment must also be recorded.

If the equipment is transferred to a subsequent Award, the follow-on Award number also needs to be tracked.

#3 Description: Give enough information so the equipment can be found again.

The individual equipment records needs to include a description of the equipment so that the piece of equipment in question can be found again. No, “Xt234st-92” is not sufficient. If it’s a server or truck or radio telescope, say so.

#4 Source: Who Was It Purchased From? Where Did You Get It?

The source, such as the vendor, where the equipment was purchased from needs to be included in the equipment records. Ideally it will include enough information so you can trace the purchase back to the financial records. (Auditors love to track from the equipment record back to the actual invoice and check over on the accounting side of the house. It makes their hearts go pitter pat when that is possible to do easily.)

#5 ID Number: How do you know you are looking at the right “thing-a-ma-jig”? Maybe 15 identical “thing-a-ma-jigs were purchased on the same order.

An identification number for the equipment such as a serial number or model number needs to be included so the specific equipment can be tied back to the original purchase and make sure you can find the right one.

#6 and #7 When and How Much: When did you get it and how much did you pay for it?

The equipment records must include:

  • The date the equipment was acquired
  • The total cost and per unit cost if different

#8 Percentage of Federal Ownership: See number one – this will be somewhere between 0% and 100%.

This one can be very easy or very difficult. It all goes back to Item #1—who owns the property. If it is 100% owned by the Federal Government or the Grant recipient, this is pretty easy. However, a lot of Federal Awards require matching or cost-share in equipment purchases. This trend makes number 8 a real pain, but also very important especially when it’s time to get rid of the equipment.

#9 Blue’s Clues: We just figured out where the equipment is because we’re really smart!

Last, but not least, the Grant recipient needs to keep records on where the equipment is located, the current use and condition of the equipment. The Federal Government wants to know that the equipment they purchased can be found, what type of shape it’s in and whether the equipment is being taken care of properly.

Is this because they’re nosy? No, the Administrative Requirements for Grant Recipients clearly require all these items to be tracked so the Feds can make sure their equipment is not showing up on Craigslist to fund someone’s shrinking retirement plan.

But wait, there’s more!

Yes, I know I said there were 9 things. That’s true if you still have the equipment. However, if you have disposed of the equipment there are a couple more things you need to track.

If you are tired of reading here is a handy dandy spreadsheet with the fields already to go for you.

#10 When did you get rid of the Equipment?

The date the equipment was disposed of needs to be included in the equipment records along with #11

#11 Whaddya Get?

Don’t forget to record the final sales price and include details of how the property was sold. Oh yes, there are those pesky competitive practices rules in the Procurement Standards.

So here you have it…

  • #1 Who owns it (Feds or you?)
  • #2 Award number
  • #3 Description
  • #4 Source/Vendor
  • #5 ID#
  • #6 Date acquired
  • #7 Cost per unit
  • #8 % of Federal ownership
  • #9 Location, use, condition

 

If equipment disposed of include:

  • 10) Date of disposition
  • 11) Sales price

P.S. Here’s even more free information.

Check out the Equipment Records Video Lesson.

Length: Approx. 3 minutes


Get your own very cool, one page “Quick Reference Guide: Equipment Records.”

(Just click on the link to download the .pdf file.)

This is the seventh section in our thirteen part series on “The Busy Person’s Guide to Grant Management.”

Want to find out more?

You can find out more about the requirements for equipment purchased with Federal funds in these online courses:
For State, Local and Tribal Governments:
http://www.myfedtrainer.com/2011/1260-property-standards/
For Non-profit Organizations:
http://www.myfedtrainer.com/2011/1060-property-standards/
For Institutions of Higher Learning:
http://www.myfedtrainer.com/2011/1160-property-standards/

These courses cover Property Standards required for Federal Grant Recipients, specifically:

  • 1) Various types of Property covered in the Standards
  • 2) Various ways that Title to Property purchased with Federal Funds can be held
  • 3) Requirements for care and use of Property
  • 4) Specific requirements related to disposing of Property obtained during the Award period

P.S.S. These individual courses are marked down to only $49 for a limited time.

Buy now for the best pricing.

For State, Local and Tribal Governments:
http://www.myfedtrainer.com/2011/1260-property-standards/
For Non-profit Organizations:
http://www.myfedtrainer.com/2011/1060-property-standards/
For Institutions of Higher Learning:
http://www.myfedtrainer.com/2011/1160-property-standards/