Library: Policy

OKDHS:2-21-20. Asset management

Revised 5-1-14

 (a) Definitions.  The following words or terms, when used in this Part, shall have the following meaning unless the context clearly indicates otherwise:

• (1) "Asset" means items purchased with Oklahoma Department of Human Services (DHS) funds as follows:

  • (A) information technology (IT) equipment and telecommunication equipment, such as computers, printers, fax machines, or 2-way radios that exceed $500; and

  • (B) all other tangible assets exceeding $2500.

• (2) "Other property" means items purchased with DHS funds costing less than $500 for IT assets and less than $2500 for non-IT assets.

• (3) "Bar code" means the identifying number assigned to an asset.

• (4) "FAMS" means the Fixed Assets Management System.

• (5) "Location" means the office that correlates to the location code.

• (6) "Location code" means the asset inventory location code.

• (7) "PA number" means the eight-digit Purchase Authorization (PA) number.

• (8) "Voucher number" means the disposal number assigned to a retired asset.

(b) Responsibility.  The responsibility for all assets owned by DHS is cooperatively assumed by employees at DHS locations and the Support Services Departmental Services Unit (DSU) Asset Management and Accounting Section per Sections Sections 110.1 through 110.3 of Title 74 and the Office of Management and Enterprise Services, Division of Capital Assets Management, State Inventory, Administrative rules per Oklahoma Administrative Code OAC 580:70-1-1 through 580:70-1-4.

(c) Accountability.  Assets and other property are the responsibility of each DHS location.  Disciplinary action, reimbursement to DHS, or both may be required when an employee damages or loses an asset due to negligence.

• (1) Each location:

  • (A) maintains ongoing asset tracking;

  • (B) tracks and accounts for the use of and physical location of other property on a day-to-day basis; and

  • (C) ensures that Form 23AM001E, Asset Accountability, is updated annually.

• (2) The DSU Asset Management and Accounting Section:

  • (A) maintains records regarding DHS assets; and

  • (B) coordinates the physical asset audit process.

(d) Annual asset inventory audit.  DSU Asset Management and Accounting Section staff travel to locations, every 12 to 14 months, to conduct an asset inventory audit.  Locations are notified prior to the audit visit.

• (1) When there are audit discrepancies, locations:

  • (A) are advised of all asset discrepancies; and

  • (B) have 10 days to respond regarding missing items.

• (2) When property is considered lost, the DSU Asset Management and Accounting Section:

  • (A) removes missing items from DSU property records 10 days following the physical audit, and assigns a voucher number indicating the disposal code as lost;

  • (B) notifies region deputy directors or executive team directors and the DHS Office of Inspector General (OIG) of losses in writing; and

  • (C) provides the DHS Director a list of losses annually.

(e) Asset tracking.  Assets must be assigned to the inventory location code where they are physically located.  All locations are required to maintain accurate tracking of DHS assets, including the name of the responsible employee or the physical area of assignment of the asset.

• (1) Transfer documents.

  • (A) Location staff obtains a signed transfer receipt for any tracked asset removed from a location.

  • (B) The original transfer receipt is forwarded to DSU and a copy is retained by the losing and gaining locations.

  • (C) Form 23AM002E, Asset Inventory Transaction Request, is used for asset transfers.  When Form 23AM002E is not available, the transfer document must contain the:

    • (i) bar code number;

    • (ii) brief description of item;

    • (iii) losing and gaining location names and location code numbers; and

    • (iv) signature of the person receiving the asset.

• (2) Mobile assets.  Each location maintains Form 23AM001E, Asset Accountability, or a similar document approved by the DSU Asset Management and Accounting Section, for all assets that are mobile, such as laptop computers, cameras, and personal digital devices.

  • (A) Form 23AM001E is updated annually and the employee signing as the user of the mobile asset is responsible for that asset when loss occurs.

  • (B) Locations also use Form 23AM001E for other mobile property not considered an asset.

  • (C) OIG supports the use of Form 23AM001E and reviews the completed forms during internal audits.

• (3) Asset losses between audit periods. 

  • (A) When an asset loss is realized during the year, between audit periods, DHS location staff:

    • (i) reports the loss to the police when theft is suspected;

    • (ii) completes Form 23AM002E, Asset Inventory Transaction Request, selects the 'delete' option, and chooses 'Lost,' 'Stolen,' or 'Other' option accordingly;

    • (iii) signs Form 23AM002E; and

    • (iv) submits Form 23AM002E, with supporting documents, to DSU Asset Management.

  • (B) Upon final review, DSU Asset Management staff:

    • (i) attaches a Fixed Assets Management System (FAMS) screen print of documented assets;

    • (ii) assigns a voucher number for assets retired from FAMS; and

    • (iii) notifies OIG of all lost or stolen assets.

• (4) Inventory files.  Files are maintained at each location for the current inventory year and the previous two years.  These files contain:

  • (A) signed receipts for any items removed from the location;

  • (B) receipts for new equipment; and

  • (C) other relevant inventory documentation.

• (5) New assets. 

  • (A) Upon receipt of a new asset, the DHS office location staff:

    • (i) identifies the asset with its PA number.  This is done by hand with a marker or by attaching a label.  The PA number must not deface the item, but makes the number available for inspection;

    • (ii) selects the 'Add' option and completes Form 23AM002E, Asset Inventory Transaction Request;

    • (iii) documents any difference between the item received and the description of the item on the office locations' copy of the purchase authorization or purchase contract;

    • (iv) signs Form 23AM002E and forwards the original with a copy of the equipment contract and other purchasing documentation to DSU; and

    • (v) retains a local office copy of all documentation for three years.

  • (B) A receiving report and bar code label are generated in DSU from information on the contract and returned to the location.

  • (C) The original DHS location is accountable for all equipment and has a responsibility to:

    • (i) sign and return the receiving report within 14 calendar days of receipt; and

    • (ii) ensure the bar code labels are affixed in accordance with the receiving report.

• (6) Surplus assets.  To request delivery, moving, or removal of surplus assets, the DHS location completes and emails Form 23AM095E, Supply Warehouse - Moving, and Transfer Document, to the DSU Surplus Property and Disposal Section.

(f) Training.  Accountability is a key component in regard to accurate asset management.  Training is essential to achieving the goal of accuracy.  Several training points are listed:

• (1) accountability related to asset management is synonymous with good fiscal responsibility;

• (2) training is the one tool that ensures accountability;

• (3) training is recommended for employees who are assigned asset management responsibilities; and

• (4) DHS locations request training from DSU Asset Management.

(g) Additional information.  Additional information relating to asset management may be obtained by contacting the asset management's lead audit coordinator.