Property Control

The Office of Property Control is responsible for the university’s asset management program. The office works with U-M schools, colleges, and units to track and tag all capital equipment valued at $5,000 or more with a useful life of greater than 1 year, as well as all sponsor-titled equipment regardless of value. University capital equipment is inventoried every two years and sponsor-titled equipment is inventoried annually.

The University has a significant investment in equipment, representing long-term commitments to fulfill its mission. The University owns and controls all equipment purchased with University funds, unless otherwise stipulated by the funding source. Custody and use of all assets is the responsibility of the various colleges and departments.

Safeguarding the University’s capital equipment assets is a priority for each custodial department and those individuals responsible for those assets. Vigilance must be maintained to ensure that equipment assets are not lost, stolen, or vandalized. Departments and their personnel should always try to be cognizant of risk regarding their equipment assets and do whatever possible to minimize that risk. Assumption of security and complacency regarding possible risk are the two most significant factors leading to asset loss.

Contact Property Control

Office of Property Control

7135 Wolverine Tower

3003 State Street

Ann Arbor, Michigan 48109-1273

Email: property.control@umich.edu

Phone: (734) 764-6251

Fax: (734) 615-6235

SPG 520.01 Acquisition, Use and Disposition of Property (Exclusive of Real Property) can be found here. The pdf document can be found here.

 

TYPES OF ASSETS

  • Financial--assets valued at $5,000 and over with a useful life of one year or greater. These are centrally tracked, tagged, capitalized, and depreciated. This equipment must be purchased under code EQPMT or 61400 to be added to the Asset Management Module by Financial Operations. FinOps definition of capital equipment can be found here.
  • Non-financial--assets valued at $4,999 and less are not tracked or inventoried by Property Control. Departments and Units can track these items as they see fit, or not.

An overview of the purchasing process can be found here. You can also contact your financial

department or email property.control@umich.edu.

REASON FOR POLICY

These policies have been established to ensure that:

  • capital equipment assets are properly acquired and retained by the University;
  • the accounting treatment is in compliance with generally accepted accounting principles (GAAP), the Governmental Accounting Standards Board (GASB), and other regulatory agencies; and
  • University financial reports are accurate related to asset values, depreciation, and categorization.

Asset values are reported on the University financial statements, subject to external examinations and provide the means of allocating costs to accounting periods which are used to establish the University's F & A rate. This policy establishes various requirements to help ensure the accuracy of asset values; that equipment duties are segregated; off-campus use is restricted; and ongoing verification is made.

EQUIPMENT BOUGHT ON SPONSORED PROJECTS

In all cases where capital equipment is purchased using sponsored funds in the University general ledger system, the equipment is the property of the University and is subject to all related oversights and procedures.

If a capital equipment asset is purchased with sponsored funds, and the Principal Investigator or fellowship recipient decides to leave the University and wishes to take the item (e.g. research equipment) with them, they or the external entity must purchase it from the department in adherence with Administrative Policy: Selling Capital Equipment to External Entities or Employees.

OFF-CAMPUS USE OF U-M PROPERTY

Employees with regular appointments and students with class requirements can use university equipment at off-campus locations whenever it will benefit U-M's teaching, research, administration, and patient care. Refer to the document Off-Campus Use of U-M Property.