POL-U5346.01 Managing and Safeguarding University Assets

Under the purview of the Vice President for Business and Financial Affairs (BFA), the CPO is the delegated Agency Inventory Officer responsible for developing and overseeing processes designed to ensure:

1. All acquired inventoriable assets whether purchased, donated, constructed, transferred, gifted, damaged, stolen, or disposed of, are appropriately recorded, inventoried, and disposed.
2. Standards are developed for maintaining and disposing of non-inventoriable assets.

The CPO works in coordination with the Accounting Services to implement an effective inventory control process in which:

1. Appropriate inventory accounting methods and systems for acceptable alternatives are selected,
2. Written physical inventory procedures are implemented,
3. Inventory control points are defined and documented,
4. Physical inventory is identified, recorded, conducted and reconciled,
5. Selected inventory valuation methods are documented,
6. Necessary action is taken to account for and report inventories, and
7. A surplus program is maintained with best practice disposal methods.

Exceptions: Western’s Art Collection and Library Special Collections are considered inexhaustible in that their value does not diminish over time and are not required to be capitalized therefore,

1. The Director of Western Gallery is responsible for maintaining inventory and cost records for, and the disposal of, all items in Western’s Art Collection. Seethe Curating Art Policy (POL-U4910.02).
2. The Dean of Western Libraries is responsible for maintaining inventory and cost records for, and the disposal of, library resources and Library Special Collection.

Deans, directors and financial manager(s) ensure:

1. An Asset Control Custodian (ACC) is delegated or they fulfill the responsibilities of the ACC if one is not delegated. See Section # 4.
2. Appropriate measures are taken to secure, protect, and preserve assets held and used by their colleges/departments including steps to discontinue privileged access of terminated employees, volunteers and non-employees,
3. Internal procedures are established for approving and monitoring inventoriable assets removed from University property to conduct official business,
4. Access to inventoriable assets is provided to inventory personnel in a timely manner for completion of the inventory process,
5. Staff diligently attempt to locate missing assets when necessary, and
6. Lost or stolen property is promptly reported in accordance with POL-U5315.25.

Each financial manager will delegate an Asset Control Custodian responsible for:

1. Maintaining a department tagged inventory log with which tagged assets are tracked from point of purchase, to assigned employee/location, to surplus/disposal,
2. Following written instructions from Asset Inventory Operations for conducting physical inventories and audits, and
3. Following all related procedures, and
4. Keeping the financial manager informed of inventory results and safeguarding issues.

Duties of the ACC ensure compliance with state asset inventory requirements. ACCs will attest to the receipt of responsibilities of an ACC as outlined in the Asset Control Custodian Delegation Form (FRM-U5346.04A).

All employees are expected to be responsible stewards of University resources and assets by complying with applicable policies and procedures including prompt reporting any suspicions of misuse or loss.

The CPO will ensure procedures and relevant systematic processes are designed to ensure inventoriable assets, whether donated or purchased, are appropriately identified, coded, and tagged for proper reporting and tracking in the University repository.

All inventoriable assets must be permanently tagged according to state guidelines upon receipt to identify that the property belongs to the University.

Exceptions: Tagging is not required:

1. For the art collection or library reserve collection,
2. The asset is stationary in nature and not susceptible to theft (such as land, infrastructure, buildings, improvements other than buildings, and leasehold improvements),
3. When it is impractical or impossible, and/or
4. When tagging would significantly reduce the value of the asset.

Accounting Services is responsible for controlling asset tags and ensuring adequate controls for safeguarding unissued, mutilated, and voided asset inventory tags are established.

Per the agreement between the University and the WWU Foundation, any gifts-in-kind donated to the University of any value must be reported to University Advancement via the Gift in Kind Form.

Employees may remove assets from University property only when it is necessary to conduct official University business, such as when working off campus, attending conferences or meetings, or when equipment is left in the field for monitoring. This includes, but is not limited to, cell phones, tablets, laptops or other communications devices.

Financial managers are encouraged to implement check-in/check-out procedures when appropriate for monitoring certain assets not assigned to a particular employee.

See also Using University Resources policy (POL-U1500.08) regarding personal use.

A risk assessment (both financial and operational) will be performed periodically by the CPO and Accounting Services to:

1. Identify assets that are particularly at risk or vulnerable to loss, and
2. Determine if the additional controls implemented are effective in managing the identified risks.

The risk assessment will consider the Office of Chief Information Officer IT policies and standards for Mobile Computing and Media Handling and Disposal.

Western will implement specific measures to control small and attractive assets in order to minimize identified risks.

A physical inventory of all capital and S&A assets is to be conducted in accordance with the Standards for Conducting Physical Inventory of Assets (STN-U5346.04A).

Accounting Services shall calculate depreciation on capital assets according to the Office of Financial Management useful life schedule.

Departments must dispose of data storing assets in accordance with the Surplus Equipment Pickup/Transfer Request Form (FRM-U5346.01A) to ensure sensitive data is appropriately wiped (removed).

No employee may dispose of an inventoriable or non-inventoriable asset regardless of condition without notifying the appropriate ACC or financial manager.

Departments must follow the Disposing of University Assets and Surplus Property (both inventoriable and non-inventoriable). See PRO-U5346.01A.

Both inventoriable and non-inventoriable assets available for disposal shall not be sold to state elected officials, officers or employees, except at public sale.

Exception: Commissioned police officers retired for service or for non-mental or non-stress related disabilities may purchase their career service handgun at private sale as used equipment (WAC 200-360-060).

The Vice President determines the amount and distribution of excess revenue resulting from the sale of capital and S&A assets.

Exceptions: As required by the state, proceeds from the sale of:

1. Art collection items will be used for the direct care and acquisition of art collections.
2. Library special collection items may only be used to acquire other items for the library special collection.

Upon receipt and acceptance of an asset, the CPO will ensure:

1. Inventory records are maintained in the Financial Repository in a manner as required by the state,
2. Records are updated in a timely manner in regard to the addition and removal of an asset,
3. Known losses of assets are reported and documented in accordance with POL-U5315.25, and
4. Records of asset dispositions are maintained in accordance with approved records retention schedules.

For the inexhaustible collections:

1. The Director of Western Gallery maintains inventory and cost records for all items in the University’s art collection (see POL-U4910.02).
2. The Dean of Western Libraries maintains inventory records for library resources including its special collections.

All related documentation must be maintained for six years in accordance with the university’s retention schedule.

The CPO and the Director of Financial Services will ensure a communication plan is established and implemented for this policy and its related procedures to support the University’s efforts in tracking and protecting its assets.