On February 20, 2018, President Cross approved revisions to UW System Administrative Policy 334: Accountability for Capital Equipment. Changes in this updated include:
- Technical changes throughout the policy to match the current policy template, update references, and include Attachments A-F in policy statement. Attachment G is attached to the policy as Form A: Capital Equipment Useful Life/Depreciation Schedule for ease of future maintenance.
- Requirements for capital equipment accounting to promote consistency added to 6.A Inventory System Information Requirements and 6.D. Financial Reporting Requirements:
- Changes to 6A. To promote consistency across institutions, a standard asset management tool is required for capital equipment accounting: The UW System will identify a system-wide standard asset management tool to be used by all institutions to account for capital equipment. It will contain the data elements listed below and calculate annual depreciation, accumulated depreciation, and book value (cost less accumulated depreciation).
- Changes to 6D: Instructions added for recording equipment deprecation: Equipment depreciation is calculated on a monthly basis beginning on the date of service using the useful lives shown in Form A: Capital Equipment Useful Life/Depreciation Schedule and no salvage value. Previously, depreciation was recorded using a full year’s depreciation on a straight-line basis regardless of the month acquired with no salvage value.