Reclamation Supplement to Federal Property Management Regulations

Part 60 Property Accountability

Subpart 114S-60.2 Accountability


114S-60.200-70 Review of Personal Property Holdings.

Each office will continuously examine the personal property in its custody and will maintain its inventory at the lowest practical level. Unneeded or surplus property should be considered first for reassignment, if not feasible, the office will promptly make the property available and facilitate its transfer or take other disposal action.

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114S-60.200-71 Trust Fund Property.

Nonexpendable property purchased with trust funds such as those funds advanced by water users' associations, while technically owned by the agency advancing the funds, is considered and treated as Reclamation-owned until the operation of the project is transferred to the water users. Such property will be accounted for as Reclamation-owned, except that separate records of accountability will be maintained and separate inventories prepared and submitted.

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114S-60.200-72 Property Assigned to Reclamation.

Offices having custody of nonexpendable property assigned to another Government agency or purchased with funds made available by another agency will maintain separate accountability records of the property while in Reclamation's custody in the same manner as Reclamation-owned property.

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114S-60.200-73 Property Loaned or Rented to Reclamation.

Rental of nonexpendable property will be covered by a contract or purchase order, and loans should be covered by written agreement. Property loaned or rented to Reclamation will not be accounted for as Reclamation-owned; however, records will be maintained to establish necessary control of the property as outlined in the Movable Property System Users Manual, transaction code AG, A6 or A8.

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114S-60.201 Use of Government-Owned Property Restricted to Official Purposes and the Use of Non-Government-Owned Property.

(a) Employees will be strictly responsible for the prevention of misuse of property in their custody or chargeable to their custody. The use of Government-owned property in rendering assistance in major disasters may be considered an official purpose. Such property may be made available in accordance with a cooperative agreement or a contract which is made pursuant to authority vested in Reclamation.

(b) Prior authorization is required in all cases where an employee requires the use of Government-owned property at an employee's residence, or on official travel. Permission to use Government-owned property for authorized work-related use at an employees residence must be approved in writing by the employee's supervisor and indicate the period of time the employee is authorized.

Procedures contained in 41 CFR 101-6.4 will be followed in authorizing the official use of Government-owned vehicles between an employee's residence and place of employment. Requests for authorization will be submitted to the RSC, D-7910.

At least annually, a letter will be issued by the Accountable Officer detailing the responsibilities of Cognizant Employees and Custodial Officers.

When property is removed from the immediate work area, a signed receipt must be obtained for accountability and control purposes. When the property is removed for six consecutive months or more, the Cognizant employee and/or the Custodial Officer must also notify the local property accountability unit for appropriate action. If appropriate, a permanent transfer should be made.

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114S-60.202-2 Capitalization Threshold.

(a) Reclamation property accountability records will be kept in accordance with the provisions and in the method prescribed by the Movable Property System Users Manual. Property inventories will be conducted in accordance with the schedule and in the methods described in 114S-60.3.

(b) Reclamation museum property accountability records will be kept in accordance with the Reclamation Museum Property Cataloging Handbook, utilizing either SNAP or MIMSY software. Museum property inventories will be conducted in accordance with the schedule and in the methods described in 411 DM.

(c) Within Reclamation, capitalized property, including sensitive property (e.g., motor vehicles, heavy equipment, and firearms), must be maintained on the Movable Property System.

(d) Reclamation expendable property will be kept in accordance with the Warehousing System in Reclamation's Enterprise Maintenance Management System (REMMS). Any office dispersing fuel must establish control utilizing the warehouse system.

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114S-60.202-4 Property Accountability Records.

Any office having custody of property assigned to another Government agency or purchased with funds made available by another agency will maintain separate accountability records of property while in Reclamation's custody. The movable property system will be used for formal control of property with an original cost of $5,000 or more.

Cognizant employees are responsible for the care, protection, and proper use of Government property with an original cost of less than $5,000. When custody is relinquished to another individual, the employee releasing the property should obtain a signed receipt from the gaining cognizant employee in order to maintain accountability and control. The receipt should be kept until the property is returned.

Formal control and accountability records will be maintained for property with an original cost of $5,000, and will be accomplished by the local accountability unit (see 114S-60.300).

Regardless of the original cost of the property, when property is removed for six consecutive months or more the cognizant employee and Custodial Officer will notify the local property manager. Local property managers will ensure that, for accountable property, the new location is noted in the Movable Property System.

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114S-60.202-4(b) Accountable Property in the Custody of Contractors, Grantees, Cooperators, Concessionaires, or Other Non-Federal Recipients.

Property may only be provided to non-Reclamation employees for official use under the terms and conditions of a contract. FAR 45-5 and local contracting office procedures require all Government-furnished property (GFP) to be listed in the contract. On or before award the contractor will acknowledge receipt of the GFP and the receipt becomes a permanent record in the contract file. Changes of GFP property requirements throughout the life of the contract must be made through modification of the contract. The Contracting Officer is the Accountable Officer for all GFP. Additional property may not be provided to the contractor by other Government employees, including property management personnel, without prior approval of the Contracting Officer. A signature on one of the following documents must be obtained.

(a) Property Voucher, Form 7-763.

(b) Receipt for Property, Form 7-803.

(c) Property Pass, Form DI-1934.

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114S-60.202-70 Evaluating Capitalized Equipment.

Upon receipt, equipment will be evaluated as follows:

(a) Equipment Acquired by Purchase or Transfer. Record in the financial records and accounts with the prices shown on the Receiving Report and arrived at in accordance with 114S-60.5.

(b) Equipment Fabricated in Shops. Evaluate in accordance with 114S-60.5.

(c) Equipment Found on Inventory. Evaluate in accordance with 114S-60.5.

(d) Investment Cost of Heavy Equipment. Add the following costs to the investment cost of heavy equipment:

(1) The original cost of accessories such as air conditioners, winches, radios, etc. which are installed on equipment subsequent to its receipt.

(2) The initial cost of modifications such as the addition of canopy tops and special bumpers on motor vehicles, etc.

(3) The actual cost of unloading, erecting, or assembling when initially preparing equipment for service.

(e) Investment Cost of Equipment. Do not add the following costs to the investment cost of equipment:

(1) Cost of repairs (these will be charged to maintenance of the equipment).

(2) Costs incident to receiving, storing, and managing the equipment.

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114S-60.202-71 Cost Adjustments.

Differences between acquisition costs of capitalized equipment and stores supplies/materials as recorded from Receiving Reports and as subsequently adjusted for discounts, freight adjustments, etc., will be entered to the subsidiary records by Finance and Accounting Services. Refer also to the Accounting Procedures Manual for Movable and Fixed Property.

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114S-60.203 Accounting for Noncapitalized Property.

Within Reclamation, noncapitalized property, except for furniture, may be maintained on the Movable Property System at the discretion of the Accountable Officer.

The recipient of personal property items under $5,000 should acknowledge receipt by signing the acquisition document or other similar document, the same as for warehouse supplies or other property. These documents should be retained for a minimum of 3 years and should be filed in a manner to easily identify significant losses or excessive purchases.

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114S-60.204 Accountable Officers.

Refer to 114S-60.100(a).

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114S-60.205 Transfer of Accountability.

A property voucher must be prepared to document the transfer of any item regardless of original cost. The original property voucher will be forwarded to Finance and Accounting Services, D-7732.

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114S-60.206 Responsibility Records.

(a) Within Reclamation, all nonexpendable property maintained in the Movable Property System must be assigned to individual employees. Receiving reports with signatures of individual employees may be used for this purpose.

(b) Within Reclamation, expendable property that is initially charged to the standard general ledger 154 account must be carried in the Warehousing System of the Reclamation Enterprise Maintenance Management Systems.

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114S-60.206-70 Individual Custody Record Files.

A separate custody record file will be established and maintained for each Custodial Officer. Custody records will be developed from the copies of receipts for property (and from receiving report copies if used as provided in 114S-60.5) which are prepared by or transmitted to the accountability unit. Originals of these receipts (or receiving report copies) will be regarded as charges against the employee accepting custody, and the duplicates as credits to the employee relieved of custody for the equipment.

(a) Receipts, both debit and credit, will be retained in the appropriate individual custody file until they may be recapitulated and consolidated, as provided in the Reclamation Records Disposition Manual, or until the entire file is closed out.

(b) Prior to filing receipts, as above, entries updating custody will be made to the accountability records.

(c) Individual custody record files should also contain a copy of the written designation from the Accountable Officer designating the employee as a Custodial Officer, if applicable.

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114S-60.206-71 Consolidated Receipt for Property.

The reconciliations required in 114S-60.3 usually necessitate a recapitulation of the separate receipts for property contained in the employee custody file maintained by the accountability unit. To reduce the number of receipts which accumulate in an active file, recapitulations may be prepared to serve as a consolidated receipt for property. A summarized statement of the current charges to the employee will be prepared so that the new statement or listing, ordinarily in Property Control Number order, reflects the net of all individual charges less all individual credits for equipment in any one or all of the employee custody files.

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114S-60.206-72 Reconciliation of Custody Records.

The accuracy of custody records will be verified and adjusted once a year and may be verified at other times as necessary or desirable. Physical inventories should not be routinely conducted to verify discretionary custody records on furniture or noncapitalized equipment.

(a) The new statement or listing of equipment for which the employee is responsible may then be rubber stamped or preprinted with a statement containing the essential language which appears on Form 7-803, Receipt for Property. The rubber stamp should provide space to enter the number of pages or sheets, the date, and a signature.

(b) After the responsible employee has signed the new (consolidated) listing, it may be considered as a receipt for property superseding and, in effect, canceling all prior receipts of that employee. The superseded receipts may be destroyed with reference to the Records Disposition schedule.

(1) At least two copies of each consolidated receipt for property should be prepared, one for the responsibility file and one for the employee.

(2) Where multipage receipts result from these procedures, the employee should initial each page except that which contains the statement of acceptance and signature. The statement and signature may appear on either the first or the final page of the consolidated receipt.

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FPMR-22 - 11/27/95