A. Inventorial Fabricated Equipment - Procedures for Reporting and Recording

Departments anticipating construction of an item of inventorial equipment should submit an Equipment Inventory Modification Request (EIMR) form to Equipment Management. This request should include a complete description of the item, its location, the custodial department, the account and fund number of the fund source, the anticipated completion date, and an estimated total cost of the finished item.

The Equipment Manager reviews the request, verifies that the item is an allowable expenditure under the fund source, assigns a University property number, and returns an approved copy of the EIMR to the department, along with a University property decal to be affixed to the item when it is sufficiently developed to do so.

During the construction process, the department must ensure that all expense documents to be included in the fabricated item's cost are object coded 9610 and that copies (paper or electronic) are sent to Equipment Management for recording. The types of expenditures allowed include materials, supplies, and services purchased from outside vendors and recharges from authorized internal recharge activities such as machine, glass, electronic, and other types of campus shops involved in the design and/or construction of the item. Departmental labor, travel, and other departmental operating expenses associated with the fabrication will not be recorded as fabrication costs and should not be object coded 9610.

Equipment management initially records the fabricated item in the equipment inventory system at the end of the month when accumulated costs equal or exceed the inventorial equipment threshold. Subsequent expenses are added to the value of the item during the month that they occur or when notification is received by Equipment Management until the fabrication is completed. A record of recorded expenses is retained by Equipment Management for audit purposes.

B. Non-Inventorial Fabrications

Equipment being fabricated for sale or delivery to an external entity, such as a sponsoring corporation or agency, is not recorded in the campus equipment inventory system. Expenses for constructing such equipment, therefore, should be recorded under non-capital object codes (codes other than 9xxx series). Expenses for durable components that would otherwise be considered inventorial should be coded 8100, non-capitalized fabrication cost.