Administrative Rules

Subject: Equipment Inventory AR# 3.03.001
Based on Board Policy: C-3, Duties & Responsibilities, College President
Approved by Council/President: Administrative Services Council
Date Approved/Amended: 06/03/1998; amended 07/20/05, 07/24/08


Value Statement 

It is critical that the equipment inventory system of the Austin Community College District (“ACC” or “the College”) provides control and accountability over capitalized equipment and other assets, and that it gathers and maintains information needed for the preparation of financial statements. 

Administrative Rule 

Physical equipment inventories will be performed in accordance with Generally Accepted Accounting Principles (GAAP). 


Fixed assets are defined as items that are tangible in nature, have a useful life of more than one year and are reasonably identifiable and controllable.  They may include land, buildings, machinery, furniture and other equipment that are held or used over a period of time more than one year.     

Equipment is a general term referring to fixed assets that are not land or buildings.  Land and buildings are referred to as real property.  Equipment includes machinery, furniture, instructional equipment, and other such fixed assets. 

Capitalized fixed assets are those fixed assets having an acquisition cost over an established threshold dollar amount and are recorded in the financial records as such.  The College has established capitalization thresholds of $5,000 for equipment and $100,000 for real property. 


The Executive Vice President for Finance and Administration will ensure that a system of internal controls is maintained for safeguarding equipment of the College.  The system will provide for adequate identification of these assets, properly recording the assets in the college accounting system and timely reconciling the two systems.   

To enhance this process, Business Services will conduct physical equipment inventories.  The College’s equipment inventory will include both capitalized equipment and all equipment with an acquisition cost from $500 - $4,999.99. 

All organizational units at each college site will appoint a property custodian for the purpose of safeguarding and tracking the equipment under their control.  Property custodians will use the Property Management Form for reporting or requesting property/equipment movements, updates of status codes, and dispositions such as lost, stolen, damaged, traded, salvaged, cannibalized or destroyed.

The ACC Foundation will maintain a system for the proper processing of assets donated to the college.  All assets donated to the College must be processed through the ACC Foundation using their prescribed process and form.


President/CEO:   Stephen B. Kinslow Date:   07/06/09