Performing Physical Verification of Capitalized Assets

UCOP and Federal Regulations require that campus departments perform a physical verification of all capitalized assets listed in the UCSF asset management database system every two years. The Controller's Office schedules the inventory date for each department. Each department custodian is given 45 working days to:

  • Physically locate and verify that the equipment is in possession, in working order, and in use.
  • Submit findings to Capital Asset Management.
  • Capital Asset Management sends the Physical Inventory Certification Form to the Equipment Custodian's email via DocuSign. Follow the steps in the Completing the Physical Inventory Certification in DocuSign for Equipment Custodians job aid to certify the Physical Inventory Certification Form by both the custodian and department head.

A field audit may be performed after the physical inventory is submitted. This is essential for continued federal, state, and private donor funding of operations and research projects.  Equipment custodians are charged with conducting the physical inventory on a biannually-scheduled basis.

You should also review all pertinent policies including BUS-29: Management and Control of University Equipment, and if appropriate, policies and guidelines for the funding agency.

Procedure

  1. Physically verify that the following attributes from the actual equipment match what is shown in the listing:
    • Property Tag Number – Verify that the tag is affixed to the asset, legible, and undamaged.
    • Serial Number – Verify the serial number. If no number is available note as N/A.
    • Manufacturer/Model – Verify the manufacturer name and model.
    • Location – Verify the building number and the room number. See Building codes.
    • Description – Verify the description of the asset.
    • Condition Code – Update the physical condition of the equipment.
      • See the grid below for values.
      • As an example, a value of "N2" = purchased new, currently in good condition.
      • The default value is “N1.”
Condition Code values and descriptions
First Character (alpha) First Character Description Second Character (numeric) Second Character Description
N New 1 Excellent
E Used, reconditioned 2 Good
O Used, without reconditioning 3 Fair
R Repairs needed 4 Poor
  1. Correct any invalid/missing information in PeopleSoft. Refer to the topic, Conduct a Custodial Review, in the PeopleSoft Asset Management Custodian Manual.
  2. Make sure that tags are bar-coded and affixed to the equipment where they can easily be read. Request new tags from Capitalized Asset Management (CAM) if necessary.
  3. Report to CAM equipment (original acquisition cost >=$5,000) that has been transferred to UCSF from another institution or came to UCSF by some other means, but did not get added to inventory.
    • Provide all available information to CAM including manufacturer's name, manufacturer's model number, serial number, description, cost, Dept ID, Fund, custody code and location.
  4. Identify equipment that cannot be tagged and provide records to verify the physical inventory was conducted. This can be a binder with tag and information above, plus picture (if available).
  5. Submit an Equipment Inventory Modification Request (EIMR) to report equipment that cannot be found or needs to be transferred to another custody code.
  6. Review and submit the Physical Inventory Certification using DocuSign.

Note: All changes/corrections should be entered on the listing's Comments section on the same line as the item in question.

Resources