Purpose: To accurately maintain the physical assets of the District.
Procedure: The District records all tangible assets over $2,000 (unit cost) as fixed assets. Every five years, MHRD contracts with a Fixed Asset Valuation company to perform a physical inventory in the District. Purchases and dispositions are added or deleted annually. An updated fixed asset list is to be provided to the district insurance company annually.
EQUIPMENT IDENTIFICATION AND ACCOUNTABILITY
Procedure:
NEWLY PURCHASED ITEMS
1. The Business Office reviews accounting records annually to identify any equipment purchased and paid for. That item is then added to the school year’s “additions to fixed assets report.”
2. Describe the item completely, e.g., “one tan, four drawers, legal size locking file cabinet” or “one gray secretarial chair, upholstered back and seat.” Include a serial number.
3. A complete Inventory will be maintained and continually updated by the Business Office for all items over $2,000 (unit cost)
4. Items must be tagged.
5. the tag must identify the grant if grant funds are used.
DISPOSAL OF EQUIPMENT
Procedure: Requests to dispose of obsolete equipment must be made to the Business Administrator/Board Secretary. Such equipment must have been determined obsolete by the professional administrative staff. Equipment may not be sold directly to individuals. It must be sold at a public sale to the highest bidder. MHRD auctions equipment through a vendor awarded a contract for these services from the State of NJ. All proceeds from the disposition of equipment or supplies will be deposited in the general fund of the Morris Hills Regional District Board of Education. Remove items from fixed asset inventory records after Board approval and disposition.