PROPERTY INVENTORY - 8652-OCT-1988

(Revised: 10/1988)

Departments will make a physical count of all property and reconcile the count with accounting records at least once every three years. Inventory counting does not need to be performed at one time for an entire department's property. Departments may take a rotating inventory according to an inventory calendar.

Departments are responsible for developing and carrying out an inventory plan which will include:

1. Inventory Taking:
   1. Time schedule;
   2. Count procedure (type of listing or count sheet to be used); and
   3. Count assignment (statement of who will take the inventory at the times and locations scheduled).
2. Internal Control:
   1. Inventories will not be exclusively controlled by the custodian of the property records;
   2. Worksheets used to take inventory will be retained for audit and will show the date of inventory and the name of the inventory taker;
   3. Inventory records will be retained in accordance with provisions of SAM Chapter 1600; and
   4. The person in charge of the stockroom, if one is used, will not be in charge of maintaining the inventory records nor the taking of physical inventories;
3. Reporting and Approval of Inventory Adjustments;
   1. Adjustment and reconciliation of the records will take place after the physical count has been completed; and
   2. Review and approval of all inventory adjustments will be made by the department director or the director's designee. This review and approval will be documented on a Property Inventory Listing Adjustment Sheet (Std. Form 157).