WHY SHOULD YOU BE CONCERNED ABOUT AN ACCURATE PROPERTY INVENTORY RECORD?

INVENTORY SYSTEM USER MANUAL

STATE PROCUREMENT OFFICE

INVENTORY MANAGEMENT OFFICE

July 2021

Honolulu, Hawaii

TABLE OF CONTENTS

Chapter Description Page No.

SUMMARY OF CHANGES.........................................................................iii

1 INTRODUCTION.........................................................................................1-1; 1-2

2 GENERAL TOPICS

State Statutes - Annual Inventory Reporting...............................................2-1

Penalties for Non-Compliance to Inventory Laws & Rules .........................2-1

Annual Physical Inventory and Reporting Schedules .................................2-2; 2-3

Inventory Forms and Printouts ....................................................................2-4

Responsibilities ...........................................................................................2-5; 2-6; 2-7

3 CONTROLLING INVENTORY

Designated Property Custodian ..................................................................3-1

Internal Control Procedures and Form........................................................3-2; 3-3; 3-4

Record Retention and Disposition ..............................................................3-5

Decal and Tagging ......................................................................................3-6

Maintenance and Risk Management ..........................................................3-7

4 PHYSICAL INVENTORY

Policy Guidelines.........................................................................................4-1

Physical Inventory Procedures....................................................................4-2

Bar Code Reader System ...........................................................................4-3

5 PROPERTY REPORTING

Reportable State Property - Inventory Reporting Threshold.......................5-1

Definitions Reportable State Property - Betterment, Capital lease ............5-2

Improved Ocean Areas, Land and Land Improvements..........................5-3

Building and Building Improvements, Motorized Vehicles.......................5-3

Equipment; Moveable & Built-in; Two or More Parts ...............................5-4

Computer Software ..................................................................................5-5

Controlled Items; Weapons; Works of Art & Historical Treasures...........5-5

Infrastructure ............................................................................................5-6

Supplies ...................................................................................................5-6

Real Property - Policies and Guidelines, Accountability .............................5-7

Responsibilities-Expending Agency & Custodial Agency.......................5-8

Financial Reporting .....................................................................................5-9

6 PROPERTY ACQUISITIONS

Acquisition Value of State Property.............................................................6-1

Valuation Methods, Fair Market Value ........................................................6-2

Timing of Recordation .................................................................................6-2

New Acquisitions .........................................................................................6-3

7 TRANSFER OF PROPERTY

Excess State Property – Definition, Responsibilities, Procedures..............7-1

Excess State Property SPO Form 19..........................................................7-2

Transfer of Property SPO Form 26 – Purpose, Instructions .......................7-3

Transfer of Property SPO Form 26 – Instructions – sample.......................7-4

Inventory System User Manual

July 2021

TABLE OF CONTENTS

Chapter Description Page No.

8 PROPERTY DISPOSITION

The Disposal Methods of Surplus State Property .......................................8-1

Exceptions; Disposal Authority; Maintaining Record & Compliance............8-1;8-2;8-3

Disposal Application Rules & Procedures; Certificate of Disposal .............8-4

Certificate of Disposal SPO Form 34 ..........................................................8-5

Format for Discard, Trade-in, Sale, & Donation..........................................8-6

Sample Disposal Application for Discard and Recycling; Trade-in ............8-7; 8-8

Rules & Procedures for Lost, Stolen or Damaged State Property..............8-9

Disposal Application format for Lost, Stolen, or Damaged Property...........8-10

Sample Disposal Application for Lost Stolen or Damaged Property...........8-11; 8-12

9 INVENTORY UPDATE PROCESS

Instructions, Distribution, Contents .............................................................9-1

SPO FORM 17-A, DETAIL INVENTORY OF PROPERTY

Description, Frequency & Special Instructions ...........................................9-2

SPO FORM 17-A - Instructions Data Input ...............................................9-3 to 9-10

Island Codes & Fund Codes.................................................................9-5

Maintenance Control Number – Instructions, Assignment ................9-6

Disposal Codes.....................................................................................9-8

Acquisition Codes .................................................................................9-10

Property and Item Classification Codes...........................................9-11 to 9-14

SPO FORM 17-A – SAMPLE TRANSACTIONS .......................................9-15 to 9-25

ORG & LOC Code Header Title ...........................................................9-15

Additions: Purchases, Donation, Transfer-in, Phy. Inv. – Gains ..........9-16

Disposals, Physical Inventory .....................................................9-17

Transfer-out, Accounting Adjustment, Declass to Supplies;.................9-18

Location Code Changes .......................................................................9-19

Assembly & Disassembly of Components and Items...........................9-20

Adding to Existing Grouped Controlled Items.......................................9-21

Corrections to ORG Code, Property Code, Maint. Control No.............9-22

Corrections-Fund, Item Class, QTY, Description, FY, Value, Decal....9-23 to 9-25

MDB REPORT 012 INVENTORY TRANSACTION REGISTER

Description, Frequency, Distribution, Instructions.......................................9-26 to 9-28

ERROR CODES – MDB REPORT 012 ......................................................9-29

10 ANNUAL INVENTORY REPORTING

Responsibilities, Penalties, Annual Filing Requirements............................10-1

SPO Form 17-B Annual Summary of Inventories Input Instructions...........10-2 to 10-5

SPO Form 17-B Filing Samples ..................................................................10-6 to 10-8

11 SPECIAL COMPUTER ASSIST PROGRAM

Job MDBA3 - Detail Inventory of Property MDB 033..................................11-1;11-1a;11-1b

Job MDBA4 - Inventory Change/Transaction Register MDB 042/044.......11-2;11-2a-c

Inventory System User Manual

July 2021

SUMMARY OF CHANGES

This page is used to record any revision to this manual. The revised page(s) should be inserted

and any superseded page(s) should be removed. All revisions will include a date and number.

When a revision is issued, all manual holders should complete the following Manual Revision Index

by denoting the date, each revision change number, page(s) and initialing.

MANUAL REVISION INDEX

Current

Date

Change

Number

Revised

Date

Page(s)

Number(s)

Initials

iii

1-1, 1-2

2-2, 2-3 ,2-4 ,2-5, 2-6

3-5

4-1, 4-3

5-3, 5-4, 5-6

6-3

7-1, 7-2, 7-3, 7-4

8-2, 8-3, 8-4, 8-5, 8-6,

8-7, 8-8, 8-10, 8-11, 8-12

9-1, 9-2, 9-5

November 2016

April 2003

November 2016

November

2016

November 2016

IMO

November 2016

August 2019

IMO

August 2019

September 2019

8-9

IMO

10-6

July

2021

IMO

ii, 2-4, 8-1, 8-2, 8-3, 8-4, 8-6,

8-9, 8-10

, 9-16, 9-25, 11-2

September 2019

Inventory System User Manual

July 2021

Chapter 1 INTRODUCTION

Fixed Asset Inventory System

Beginning in fiscal year 1976, the entire inventory system was redesigned to be computerized on

tapes rather tha

n on cards. The system is maintained by the Department of Accounting and

General Services and identified in this manual as the Fixed Asset Inventory System (FAIS). Each

state agency is assigned a FAIS account, identified by the five digit Organization code, which

consist of the Department, Division, Sub-division, and Island codes; inventory items are recorded

in location codes. Agencies are responsible to update their inventory account to ensure the

accuracy of t

heir records.

Inventory Management Statutes, Rules, Polices, and Procedures

In 1976, Circular IM-1-76 was distributed with new FAIS instructions and procedures. This

manual contains basically the same information but has been rewritten to include the following

statutes, rules, policies, and procedures pertaining to inventory management of state property:

•

Hawaii Revised Statues 103D, Part XII, Inventory Management;

Hawaii Administrative Rules, Title 3, Subtitle 11, Chapter 130, Inventory Management;

Policies and Procedures required by the Administrator of the State Procurement Office, Chief

Procurement Officer for the Executive Branch, and the Inventory Management Office.

HRS and HAR is available at State Procurement Office Web Site: www.spo.hawaii.gov

Purpose of the Manual

This manual is written to provide a guide to assist department head, property custodian and

inventory personnel to achieve the following objectives of the State Inventory Management

System:

•

To safeguard property against unauthorized use or removal.

To maintain up-to-date records of state property.

To provide a basis for property insurance coverage.

To maximize the utilization resources of state property.

To clarify the property responsibilities of state officials as prescribed by statutes.

To assist department personnel in the effective management of state property.

This manual should be reviewed, studied, and understood by all personnel involved with controlling

and reporting of property owned by the State of Hawaii.

Page 1-1

Inventory System User Manual

July 2021

Chapter 1 INTRODUCTION

Why maintain accurate inventory records?

Functioning of the Government

The state government has invested billions of dollars in state properties that were authorized by

state officials to ensure the proper functioning of the government. Therefore, each state employee

is responsible for the safekeeping of the state properties in their possession, custody, control, or

use.

Public Scrutiny

There is a public trust inherent with the collection and expenditure of taxes. A well-maintained

fixed asset system demonstrates to the public the legitimacy of the expenditures as well as the

government’s sense of responsibility for the proper care and maintenance of assets purchased

with public funds.

Annual Financial Report

The FAIS asset inventory records are included in the State of Hawaii Comprehensive Annual

Financial Report and used by independent auditors in the Annual Financial Audit of the State.

An accurate inventory results in a favorable auditor’s opinion of the General Fixed Asset Account

Group. This lead to higher bond ratings, which means the State, can borrow money for Capital

Improvement Projects at lower interest rate.

Hawaii Revised Statutes

Section 103D-1206, HRS mandates designated property custodian prepare and file with the

Administrator of the State Procurement Office an Annual Inventory Report of State Properties.

This report must be signed under oath as to the accuracy of the inventory records.

Page 1-2

Inventory System User Manual

July 2021

hapter 2 GENERAL TOPICS

This chapter gives an overview of topics of general concern to the entire fixed asset and inventory

process. It is presented as follows:

•

State Statutes - Annual Inventory Reporting and Penalties for non-compliance

Annual Physical Inventory and Reporting Schedules

Inventory Forms and Printout

Responsibilities

Internal Control Procedures

State Statutes – Annual Inventory Reporting

Section 103D-1206, HRS Annual inventory reporting by state officers. The chief procurement

officers for their respective jurisdictions, the administrative heads of the executive departments,

and all other persons, offices, and boards of a public character which are not by law under the

control and direction of any of the officers specifically named in this section, before September 16

of each year, shall prepare and file with the administrator of the state procurement office an

annual inventory return of state property in the possession, custody, control, or use of the officer so

making the return, or of the department or office of the government over which the officer presides.

Any officer, agent, or employee serving in a department or under a returning officer shall file an

annual inventory return to the department head or the returning officer. The officer making the

return shall similarly file a copy with the administrator of the state procurement office. The annual

inventory return shall contain the following:

(1) A summary & a list by item description & carrying value of all non-expendable state property

on hand as of July 1 of the year for which such return is made;

(2) A summary and a list by detailed item description and carrying value of all non- expendable

state property acquired and disposed during the year elapsed since the return made as of

the preceding July 1; and

(3) A sworn statement certifying the information on the return and property listings and carrying

values provided with the return to be full, true, and correct to the best knowledge,

information, and belief of the officer making the return.

Penalty for non-compliance to Annual Inventory Reporting

Section 103D-1209, HRS Authority to withhold salary. The administrator of the state

procurement office shall ascertain if inventories have been filed as required by sections 103D-

1206. If any officer, head of department, agent, employee, or other person fails to file the required

inventory within the time prescribed, the administrator of the state procurement office shall withhold

the salary or wage due the officer, head of department, agent, employee, or other person until the

inventory is filed, provided that at the discretion of administrator of the state procurement office or

director the delay in filing the required inventory return within the time prescribed was for good

cause.

Penalty for non-compliance to provisions in HRS 103D and HAR 130D

Section 103D-1210, HRS, Penalty; jurisdiction. Any officer, member or a public board,

assessor, or other person who fails to perform any of the duties imposed upon the person by this

part shall be fined no more than $500 or imprisoned not more than six months. District judges

shall have jurisdiction to hear and determine all cases of alleged violations of this part committed

within the circuit for which the judge was appointed.

Page 2-1

Inventory System User Manual

July 2021

Chapter 2 GENERAL TOPICS

Annual Physical Inventory and Inventory Reporting Schedules

To comply with the inventory requirements of the Hawaii Revised Statutes and Hawaii

Administrative Rules, the Fixed Assets Inventory System is designed to provide each designated

property custodian the following services and products during the year:

•

Inventory Update Process, Chapter 9, at the end of each quarter, but no later than the

15th of the following month, the designated property custodians submits SPO Form 17-A

(Detail Inventory of Property) to the Inventory Management Office (IMO), reporting all

property acquisition and changes to their master inventory balances. IMO audits the

transactions for legality and coding accuracy, makes corrections, and forward the form to

DAGS, ICS Division for keypunching and subsequence updating of the property file. IMO, in

turn, provides the designated property custodian with an Inventory Transaction Register (MDB

Report 012), which serves as the official posting record and is to be retained by the designated

property custodian as its source document for audit purposes. Refer to chapter 9 of this

manual for instructions.

February of each year, IMO provides each designated property custodians with a Detail

Inventory of Property, MDB Report 033 listing, to conduct their required Annual wall-to-wall

Physical Inventory. The listing represents all inventory transactions as of the second quarter

ending December 31. Adjustments as the result of the physical inventory action should be

reported in the third or fourth quarter inventory update process. Refer to chapter 4 of this

manual for instructions.

August of each year, after the fourth quarter inventory update process, IMO provides each

designated property custodian a complete updated Annual Inventory Report of Property,

MDB Report 020 listing. The new maintenance control number assigned to each inventory

item must be used on transactions for the new fiscal year. This printout represents your fiscal

year-end inventory balance as of June 30, and shall be used as the source document in

preparing your Fiscal Year SPO Form 17-B (Annual Summary of Inventories Report).

Refer to Chapter 10 of this manual for instructions.

Before September 16 of each year, each designated property custodian must submit to the

SPO, Inventory Management Office an Annual Inventory Report submission package

containing the following:

1. One electronic copy of the SPO Form 17-B, Annual Summary of Inventories Report

prepared in accordance with chapter 10 of this manual and One electronic copy of the

SPO Form 17-BTrans, Property Custodian Delegation of Authority if applicable

(Refer to the Procurement Circular No. 2013-10) at SPO website under references.

2. Agencies with inventory records maintained by SPO, Inventory Mgmt Office. One

electronic copy of the total page(s), MDB Report 020, which contains the year-end dollar

values, entered on the SPO Form 17-B.

** Exempt agencies that maintain their own inventory recording system.

complete set of their inventory by detailed item description and carrying value of non

expendable state property on hand, acquired and disposed as of July 1 of the year for

which such return is made.

Page 2-2

Inventory System User Manual

July 2021

Chapter 2 GENERAL TOPICS

Schematic Overview - Annual Physical Inventory and Reporting Schedule

Page 2-3

1st QTR UPDATE - SEPT 30th

( Submit to IMO by Oct 15th )

2nd QT R UPDATE - DEC 31st

NNUAL PHYSICAL INVENTORY

FEBRUARY

3rd QTR UPDATE - MARCH 31s

NNUAL INVENTORY REPORT

UGUST

NNUAL INVENTORY REPORTING

BY USERS SUBMIT TO IMO BY

IMO Audits

SPO-017A

ICS D upda te

Inventory

Fil

To Users

Trans. Register

MDB 012

To Users

Trans. Register

MDB 012

IMO

Initiate

Request

Info from

Inventory

File

To Users

Detai l Inv. of

Propty MDB 0 33

To Users

Trans. Register

MDB 012

To Users

Trans. Register

MDB 012

IMO

Initiate

Request

Info from

Inventor

File

To Users

Annual Inve ntory

Report MDB 020

SPO-017B&Trans

Copy of Total Page

Annual Inventory

Report MDB 020

SPO Inventory

Management Office

INVENTORY REPORTING

CYCLE

(Fiscal Year: July 1st - June 30th)

SEPT 30th

- 1st QTR UPDATE

(By OCT 15th - SPO-017A t

PO, Inventory Mgt. Office -

IMO)

DEC 31st

- 2nd QTR UPDAT E

(By JAN 15th - SPO-017A to IMO)

MARCH 31st -

3rd QT R UPDATE

JUNE 30th - 4th QTR UPDATE

FEBRUARY

ANNUAL PH YSICAL IN VENT ORY

PRINTOUT

AUGUST

ANNUAL I NV ENTORY REPORT

PRINTOUT

SEPTEMBER 15th

ANNUAL INVENTORY REPORT

DUE TO IMO

IMO Audits

SPO-017A

ICS D upda te

Inventory

File

IMO Audits

SPO-017A

ICS D upda te

Inventory

File

IMO Audits

SPO-017A

ICS D upda te

Inventor

File

USERS COMPUTER

(By APR 15th - SPO-017A to IMO)

(By JULY 15th - SPO-017A to IMO)

Inventory System User Manual

July 2021

hapter 2 GENERAL TOPICS

Inventory Forms and Printouts

Inventory personnel will be associated with, and therefore must be familiar with the following

inventory documents that are used in the State of Hawaii Fixed Asset Inventory System.

USER PREPARED - FORMS

Title Form Number Usage

*Detail Inventory of Property

SPO Form 017A Updates to Inventory File

(Chapter 9, Pages 9-2 to 9-25)

*Annual Summary of Inventories Report

SPO Form 017B&Trans Annual Inventory Reporting &

Property Custodian Delegation of Authority

(Chapter 10, Pages 10-1 to 10-8)

*Transfer of Property

SPO Form 026

Transferring of Property

(Chapter 7, Pages 7-3 & 7-4)

Property Disposal Application Letter Format Disposal of Property

(Chapter 8, Pages 8-1 to 8-11)

*Certificate of Disposal

SPO Form 034

Confirming Disposal Action

(Chapter 8, Page 8-3 & 8-4)

*Excess State Property SPO Form 019 To list Excess State Property

(Chapter 7, Page 7-1 & 7-2)

• Inventory forms are available at spo.hawaii.gov/all-forms/

• Electronically signed documents must be accompanied by audit trail or written statement

certifying the signature belong to appropriate personnel

COMPUTER PREPARED PRINTOUTS/ELECTRONIC VERSION

Job No. Title Printout No. Frequency

MDBA1 MDB012 Quarterly

MDBA2 MDB020 Annually-August

MDBA3

MDB033 Annually-February

*MDBA3

MDB033

As Required

*MDBA4

MDB042/044 As Required

Inventory Transaction Register

(Chapter 9, Pages 9-26 to 9-28)

Annual Inventory Report of Property

(Chapter 10, Pages 10-1 to 10-8)

Detail Inventory of Property

(Chapter 11, Pages 11-1, 11-1a)

Detail Inventory of Property

(Chapter 11, Pages 11-1, 11-1a)

Inventory Change Register

Inventory Transaction Register

(Chapter 11, Pages 11-2, 11-2a-c)

Email written requests to inventory.management.office@hawaii.gov

Page 2-4

Inventory System User Manual

July 2021

Chapter 2 GENERAL TOPICS

Responsibilities

The purpose of this section is to establish guidelines and fix responsibilities of property accountability

at different levels of the state government. The provisions in this section are in accordance to the

requirements of chapter 103D, Hawaii Revised Statutes.

Delegation of Accountability of State Property

Accountability of state property is the responsibility for maintaining continuous records, periodically

reporting the location and condition; and insuring proper usage, safekeeping, and maintenance of

all property. (§3-130-2, HAR)

The department heads are responsible for accountability of state property in the custody, control

or use within their department. Depending on each departmental structure, the department

head may delegate accountability of state property to property custodians at different levels of

the department. To ensure proper controls, accountability should be assigned to positions with

authority and that has daily use of the property. Ultimately, the responsibility for property

accountability remains with the department head. (§3-130-3, HAR)

Recommended Property Accountability Flow Chart

Department Head

Department Designated Property Custodians

Division Administrator

Inventory Person

Res

onsible for Record kee

Inventory Person

Res

onsible for Record kee

Branch

Section or Unit Head

Locations

Page 2-5

Inventory System User Manual

July 2021

Chapter 2 GENERAL TOPICS

Responsibilities

Administrator of the State Procurement Office (Inventory Management Office):

•

of state property.

•

The Department Head:

The Department Administrative or Fiscal Office:

• Assist in the management of all property possessed by any agency in the department.

• Supervise operation of the state’s inventory management system within the department.

• Advise the department head of any discrepancies and problems pertaining to inventory.

• Serve as the primary liaison agent pertaining to all property inventory activities. All reports and

correspondences relating to property shall be channeled through this office.

• Assure that all designated inventory personnel are familiar with the requirements of the State

Inventory Management System.

Page 2-6

• The accountability, protection, maintenance, and proper use of all state property pertaining to their

office or department

• Designating in writing property custodians to be responsible for the accountability of state

properties within their jurisdiction, notifying SPO, Inventory Management Office (SPO Form 17B

Transmittal).

• Developing, installing, and operating department property accounting & internal control systems

conforming to the standards set by the SPO, Inventory System User Manual.

• Conducting a physical inventory when there is a change in designated property custodian.

Outgoing and incoming custodians must verify this inventory listing.

• Enforcing compliance of State Inventory Management System Laws, Rules, Policies, Procedures,

and Department Internal Control Procedures. Taking administrative or disciplinary measures for

non-compliance.

• Preparing and filing with the Administrator of the State Procurement Office before September

of each year, a full, true and correct annual report of state properties belonging to the State of

Hawaii under their custody or control (SPO Form 17B).

Establish, manage and maintain a centralized property inventory record file for each

department, board, commission, or office of the State having the care, custody, or control of

any state property, other than the University of Hawaii, the department of education, the

several counties, and those governmental bodies administratively attached thereto, unless

otherwise specified in this chapter or in rules adopted pursuant to chapter 91

Perform

a periodic review of the inventory management system of all governmental bodies.

Enforce

rules adopted by the policy board governing the management of state property.

Assist,

advice,

and guide governmental bodies in matters relating to the inventory management

Inventory System User Manual

July 2021

Chapter 2 GENERAL TOPICS

Responsibilities

The Department Designated Property Custodians:

• Ensuring the proper operation of property accounting and internal control systems as required by

the Department Head and the SPO Inventory System Manual.

• Designating in writing the location custodians and inventory personnel to be personally

responsible for the accountability of property within their jurisdiction (SPO Form 23).

• Completing required input form and sending to the appropriate organization for updating of their

Fixed Asset Inventory System account in a timely manner.

• Controlling the distribution, assignment, and transfer of state property for which they are

responsible.

• Completing, verifying and distributing all required inventory documents.

• Ensuring that a physical inventory is taken annually and when there is a change in designated

property custodian or upon termination of an agency or inventory account.

• Maintaining copies of source documents such as claims, invoices and purchase orders for all

inventory purchases, transfers, and disposition.

• Enforce compliance of State Inventory Management Laws, Rules, Policies, Procedures, and

Department Internal Control Procedures.

• The custodian is also responsible for the accuracy of the inventory reported as signed and

sworn by oath. Therefore, it is suggested that the official place enough emphases on inventory

so that all personnel delegated with the responsibility act accordingly.

Personal Responsibility of All State Employees

It is emphasized that the designation of property custodians to be accountable for the state

property does not relieve supervisors and other state employees of their responsibility to exercise

care and discreet judgement in the use of government tools, equipment and other property. Loss

of or damage to such government property may result in criminal or civil actions or disciplinary

action against the individual for such property.

Page 2-7

Inventory System User Manual

July 2021

Chapter 3 CONTROLLING INVENTORY

An inventory control system is a set of policies, procedures, and methods for recording and using

property. While the components of the system may vary depending upon unique

departmental requirements, the policies and procedures discussed in this section are the

minimum needed to assure effective control over the State's properties.

Each item maintained by the DAGS Fixed Asset Inventory System must be assigned a property

custodian. This assignment facilitates inventory procedures and is useful in making

inquiries regarding the item's condition, status, and location.

All state organizations are required to have written Internal Control Procedures to ensure the

accountability of state property in their custody.

A key to an effective inventory control system is that the financial general ledger, fixed asset

subsidiary ledger and the physical identification system are integrated by common recording and

record keeping procedures at the department level. Department records should contain the

following information at a minimum:

• payment information (p

urchase orders, fund, appropriation, object, vendor, etc.);

• acquisition method; acquisition date; in service date and cost; and

• asset description; organization and custodian name; date and method of disposition.

Department records must be maintained in an orderly manner and be available for review by

the Chief Procurement Officer or auditors.

Control is improved when all equipment assets are tagged with decal numbers. The

tagging procedures in this section are recommended to facilitate the identification and control of

fixed asset and inventory items entered in the system.

Adequate maintenance procedures are necessary for controlling state property. These procedures

should be sufficient to keep the property in good, working condition without being overly costly

or otherwise uncontrolled.

This section presents the following topics related to the control of state property:

• Designated Property Custodians

• Internal Control Procedures for State Property

• Record Retention and Disposition

• Decal and Tagging

• Maintenance

• Risk Management

Designated Property Custodians

A property custodian should be assigned to each inventory item acquired by the organization. The

custodian is responsible for establishing and maintaining written Internal Control Procedures to

ensure accountability of state property. The custodian may or may not be directly involved in the

use of the property.

The custodian should be an individual in charge of a specific division, branch, or office within the

department. Assets assigned to the department as a whole, and utilized by many different

divisions (such as a building or land) should be assigned a custodian at the department level. The

custodian should be directly involved the acquisition, physical inventory and disposition of the

property in custody of their organization.

Page 3-1

Inventory System User Manual

July 2021

Chapter 3 CONTROLLING INVENTORY

Internal Control Procedures

The purpose of this section is to define the internal control requirements of the state's inventory

management system. These guidelines are minimum requirements and may be tailored to each

rganizational situation.o

Responsibility

Designated property custodians are required by sections 103D-1205, HRS and 3-130-4, HAR to

establish written internal control procedures to ensure the accountability of State property.

Guidelines

• Assigning of Responsibility which includes providing the names and positions of personnel

responsible for custody of property at each location;

• Record keeping of Property which includes accounting for all acquired state property by

reconciling financial expenditures for property with property recorded in the FAIS; conducting

of physical inventory; updating the master inventory listing; maintaining an accurate audit trail;

and conducting internal audits;

• Proper Usage of Property which includes assuring property is used by authorized personnel

and only for official state purposes; training personnel on the proper use of vehicles and

equipment;

• Safekeeping of Property which includes affixing of property identification or decal;

documentation for authorized loan, movement from location, and transfer to another agency;

guidelines pertaining to property declared excess, surplus, obsolete, beyond economical

repair, lost, or stolen; guidelines for sale of property;

• Safeguards for Property which includes procedures for security of property during and after

working hours; special care of items that are of a sensitive or theft prone nature; investigating

and reporting of thefts, or vandalism; appointment of key or lock custodian; and

• Care and Maintenance of Property which includes a preventive maintenance schedule;

management of warranty file; repair of broken property; guidelines for damaged or destroyed

property.

Internal Control Procedures for State Property SPO Form 23

The following two pages should be used by the designated property custodian to establish

internal control procedures for their organization.

Page 3-2

Inventory System User Manual

July 2021

hapter 3 CONTROLLING INVENTORY C

INTERNAL CONTROL PROCEDURES FOR STATE PROPERTY Page 1 of 2

Date:

Branch/

Office:

ACTIVITY AND RESPONSIBILITIES

RECORD KEEPING OF PROPERTY

1. Update Fixed Asset Inventory System (FAIS) recor

ds to

ensure the timely addition, correction & removal of it

ems.

2. Completing, distributing and maintaining records f

or the following

inventory forms:

a. Detail Inventory of Property SPO Form 17-A.

b. Transfer of Property SPO Form 26.

c. Disposal Application/Certificate of Disposal SPO Form 34.

3. Maintaining records of inventory printouts & docum

ents:

a. Annual Inventory Report of Property MDB Repor

t 020.

b. Detail Inventory of Property MDB Report 033.

c. Inventory Transaction Register MDB Report 01

d. Purchase Order and Vendor Invoice/Delivery Slip.

e. Other inventory documents, correspondence an

d letters.

4. Reconciliation of Financial Expenditures (Purchase

Orders)

for State Property to ensure property is recorded in

the FAIS.

6. Establishing and maintaining a listing of all consu

mable

and non-consumable supplies.

7. Wall-to-wall Physical Inventory

a. Organize & conduct Annual Physical Inventory

during the third

quarter (Feb-March) & update records to cor rect discrepancies.

b. Organize & conduct physical inventory when the

ft, fire,

major disaster or change in accountability of property. Updating

records to correct discrepancies.

Department:

Designated Custodian Signature:

Record-keeper

( Dept - Div. / Sub. Div. / Island )

Type Name & Position Title:

Section 3-130-4 HAR, requires the designated property custodian to establish, enforce & maintain

written internal control procedures to ensure the accountability of state property.

Location

(Address):

Division:

Location Code(s):

FAIS ORG Code:

Responsible Person Name,

Position & Phone

Page 3-3

Annual Summary of Inventory Report form 017B & Trans

Complete & submit by SEPT 15th to SPO, Inventory Mgt Office.

Inventory System User Manual

July 2021

hapter 3 CONTROLLING INVENTORY

ACTIVITY AND RESPONSIBILITIES

PROPER USE OF PROPERTY

Assuring state property is used by authorized state personnel

and only for official State business.

All loans of state property shall be authorized by the Designated

Property Custodian. The person using the property shall be

responsible for its replacement if lost is due to negligence.

Documentation of authorized loan on a hand receipt and

maintaining a suspense file to ensure return.

Training of personnel on the proper use of equipment.

SAFEKEEPING OF PROPERTY

Maintaining a decal number log, assignment of decal numbers to

items and ensuring each item is properly tagged or identified.

Property acquired by purchase, fabrication, donation, transfer-in

or other means must be authorized by the Designated Property

Custodian & the Record-keeper must be notified.

Transfer-out or movement of property from its location must

be authorized by the Designated Property Custodian and the

Record-keeper must be notified.

Property that is identified as excess, obsolete, or beyond

economical repair shall be reported to the record-keeper.

Lost, stolen or vandalized property shall be reported to the

Designated Property Custodian. Who shall ensure that

losses are investigated promptly and if required reporting to

the Police or State Attorney General; DAGS Risk Mgmt; and

SPO Inventory Mgmt Office.

Ensuring that all state property assigned to an employee that is

permanently departing the activity is accounted for.

SAFEGUARDS FOR PROPERTY

Secure entry doors & windows at the end of the day.

Secure office, shops and other facilities if no one is present

during lunch or working hours.

Special controls to protect small and attractive items that can

be easily converted for personal use or pawned.

Key and lock custodian will be responsible to maintain a

key register & inventory record of outstanding keys and locks.

CARE AND MAINTENANCE OF PROPERTY

Establish and maintain regular schedule for performing

preventive maintenance on all state property.

Maintain a warranty file and update when necessary.

Designated Property Custodian

Responsible Person Name,

Position & Phone

Designated Property Custodian

Record-keeper

CONTROL PROCEDURES FOR STATE PROPERTY Page 2 of 2

Record-keeper

Designated Property Custodian

Record-keeper

Designated Property Custodian

INTERNAL

Page 3-4

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July 2021

Chapter 3 CONTROLLING INVENTORY

Record Retention and Disposition

Property inventory records are defined as pertinent documents for any state property. Such

documents include purchase orders; vouchers; receiving documents; warranty and insurance

documents. Special consideration for record retention should also be according to their

administrative, fiscal, legal, & historical value.

The State Comptroller is authorized by statutes to provide retention and disposition standards for

all state records. Accordingly, the following General Record Schedule Number 6 was formulated

for retention and disposition of property inventory records:

Description of Records or Equivalent Retention & Disposition

• Detail Inventory of Property SPO Form 17A

• Annual Summary of Inventories Report SPO Form 17B

• Transfer of Property SPO Form 26

• Disposal Application – Letter format or equivalent

• Certificate of Disposal SPO Form 34

• Material and Supplies Listing

• Inventory Transaction Register MDB Report 012

• Annual Inventory Report of Property MDB Report 020

Retention: 3 years if

audited, otherwise 6 years.

Disposition: Destroy after

cited retention.

• Detail Inventory of Property MDB Report 033

• Inventory Change Register MDB Report 042

Retention: 3 years

Disposition: Destroy after

cited retention.

• Real Property Documents

Supporting documents verifying the purchased, constructed,

estimated or appraised cost of land, land improvements,

buildings, building improvements, and infrastructure assets.

Retention: Life of Asset

Disposition: Destroy after

asset is disposed.

• Detail Inventory Report by Decal No. MDB Report 050

• Detail Inventory Report by Item Class MDB Report 070

• Detail Inventory by Selected Carrying Values MDB 072

Non-permanent

Destroy when not

administratively useful.

• Maintenance Record – Records documenting the service,

repair, and inspection of property.

Retention for life of the

property.

Page 3-5

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July 2021

Chapter 3 CONTROLLING INVENTORY

Decal and Tagging

•

The department's Property Custodian or designee shall control the decal numbers.

All state equipment shall be affixed with a decal tag or other identification showing State of

Hawaii ownership at the time of physical receipt.

Items incapable of receiving a physical decal will still be assigned a decal number for control

purposes. Such equipment includes heat sensitive or finely tuned items for which physical

tagging would be impractical or alter the item's usefulness. The unused tags should be stored

in the logbook to avoid duplicate use of tag numbers.

Decals and other property identification should be placed on the equipment where it can be

visually seen. If practical the decal number may be written with permanent markers, painted or

engraved on the equipment

Controlled items do not require a decal. However, labels or markings identifying these types of

items will help in identification during the physical inventory process.

Equipment transferred-in with the losing agency's decal tag, should be removed & replaced

with the gaining agency‘s decal tag. The property custodian has the option to retain or replace

decal tags when the transfer is within the same department.

State of Hawaii Decal Tag

The State of Hawaii decal has human readable and bar code capabilities. The number series is

limited to eight positions. The first position shall be the alpha code assigned to the department, the

designated property custodian or designee responsible to control the decal serial numbers will

formulate the balance of the positions. Decals can be ordered through the SPO, Purchasing Office

Price List: "STATE OF HAWAII Inventory Decals".

STATE OF HAWAII

Bar Code |||||||||||||||||||||||||||||||||||||||

M A 1 2 3 4 5 6

Dept Code (Alpha) (one position)

Div Code (optional) (alpha/num) (one position)

Sequential Serial Number (numeric) (six positions)

Page 3-6

Policies and Procedures

Tagging equipment with a decal provides a method of assigning a unique identification number

to each inventory item. This allows the item to be accounted for and identified in the

computerized inventory system, identifies stolen property, discourages theft, and simplifies

physical inventory.

Inventory System User Manual

July 2021

Chapter 3 CONTROLLING INVENTORY

Department/Agency Decal Alpha Code Assignment

Agency Code Agency Code Agency Code Agency Code

Agriculture

DOH

B&F

Senate

DBEDT

DHHL

DHRD

House

DLNR

Judiciary

GOV

Auditor

DOT

DHS

DCCA

LRB

DOE

DLIR

LTGOV

Ethics

DAGS

TAX

Ombuds

DOD

PSD

OHA

•

Maintenance

In order to properly perform the property management function, an organization should oversee all

maintenance costs associated with their property. By reviewing and controlling maintenance costs,

the organization can demonstrate stewardship over its available resources. Agencies should set

up maintenance log to record types and dates of

repair and preventive maintenance on each item.

Capturing maintenance information associated with a particular item is essential in providing

management with the information necessary to make allocation of resource decisions such as:

Replacing a particular item that has maintenance cost higher that similar property.

Reducing maintenance cost by entering a service contract.

In addition, the organization should retain detailed information about each property regarding

maintenance contract dates (inception, expiration, renewal, warranty), contract number, and cost.

Controlling maintenance contracts and cost is essential in ensuring that the property management

function is appropriately addressed.

Risk Management

DAGS, Risk Management Office will reimburse agencies if loss of property is due to accident, theft,

fire, or natural disaster. To file a claim the agency must show proof of ownership, properties listed

in the DAGS, Fixed Asset Inventory System (FAIS) is sufficient to substantiate the insurance claim.

State property that does not meet the FAIS inventory recording requirement, however replacement

is important for the functioning of the agency. The agency may:

•

Record the property in the FAIS under Controlled Items property code 5; or

Record the property in the agency's supply listing, keeping documents to verify ownership.

Page 3-7

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July 2021

Chapter 4 PHYSICAL INVENTORY

The objectives of a physical inventory are to:

•

ensure the items recorded in the Fixed Asset Inventory System physical exist;

determine if unrecorded or improperly recorded transactions have occurred;

maximize use of equipment and minimize equipment loss; and

identify any excess, defective or obsolete equipment on hand.

An effective inventory results in an accurate accounting of State property and indicates the

reliability of the system of accountability for the acquisition, use & disposal of property.

The frequency of inventory taking depends on the nature, quantity, and value of the properties, and

the cost and effort required to perform the procedures. Inventories of assets, which are

susceptible to errors and irregularities, should be more frequent. A physical inventory of properties

is required at least once every year

in order to safeguard assets and maintain appropriate fiscal

accountability.

hysical Inventory Requirements - Section 3-130-6, Hawaii Admin Rules

The designated property custodian shall conduct a wall-to-wall physical inventory of all state

property under the control of their organization:

•

Annually during the third quarter of each fiscal year: after receipt of your Detail of Inventory of

Property (MDB Report 033) printout in February;

If there is a change in the responsibility for accountability of property; or

Immediately upon the completion or termination of an agency or inventory account.

Policy Guidelines

The following guidelines have been established to ensure that physical inventory will be effectively

performed by the department:

•

Individuals responsible for inventory management function of the department shall insure that

all agencies within the department conduct the wall-to-wall physical inventory in accordance to

the above HAR requirements.

Responsible persons may assist in conducting physical inventory in their areas.

Discrepancies between recorded and actual inventories are resolved through immediate

submission of the SPO Form 17A and equipment tagging when necessary.

Each recorded item is inspected for changes to condition and usage.

Excess or obsolete equipment should go through Excess State Property process.

Broken or defective equipment should be repaired if economical.

Missing items shall be investigated and if no results, a Loss Disposal Application shall

be submitted to the Department Head or Designee.

Page 4-1

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July 2021

Chapter 4 PHYSICAL INVENTORY

•

Additions, deletions & changes to the agency inventory records must be transmitted to the

record keeper to insure the timely updating of the Fixed Asset Inventory System.

Inventories may be conducted on a cyclical basis, i.e., all property do not have to be

inventoried at the same time. Cyclical inventories enable property managers to schedule

inventory activities over a period, and help conserve staff resources.

Physical Inventory Procedures

The following procedures are recommended in taking physical inventory:

•

Prepare an inventory-taking plan.

Organize defined inventory areas - buildings, floors, rooms, etc.;

Set up inventory taking teams. Two per team are generally sufficient; one to describe

physical assets and one to record.

Brief all staff to your methods. Have written instructions ready & distribute before hand.

Provide for questions before & after inventory taking.

Establish time schedules and provide for test counts.

Taking Inventory

Take your inventory systematically. Starting from one end of the area, the person counting

or verifying the inventory should proceed systematically until all items are fully covered.

The second person is to note quantity on prepared list (Detail Inventory of Property - MDB

Report 033).

Some means of marking each equipment

item counted with a piece of chalk, tape or self-

adhesive labels should be used so that the same item is not counted twice, and each room

can be visually double checked before leaving the room. Do not remove any marking,

tape or label.

All items should be adequately described (description, brand, model, serial number, state

identification number, etc.). If not, inventory takers are to note in red all pertinent

information.

Items that are not on the list should be fully described on a separate list.

Inspect each item to identify if it is excess, defective or obsolete equipment.

As each room is completed, turn in the list to the individual responsible for testing.

Submit the listings with discrepancies between recorded and actual inventories to the

agency's record keeper to update the Fixed Asset Inventory system.

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July 2021

Chapter 4 PHYSICAL INVENTORY

Bar Code Reader System

Bar code reader system automates the wall-to-wall physical inventory process, resulting in an

easier, faster and more efficient process. Agencies are responsible to purchase their own

equipment and software. When writing or negotiating the contract with the vendor include a

provision to train personnel on the use of the system.

Basic Requirements and Overview:

•

Personal computer with software designed to accept property information from the DAGS,

Fixed Asset Inventory System (FAIS).

Portable hand held scanner with interface and bar code reader software.

All equipment must be tagged with bar coded tags. The FAIS master file would have to

be updated to reflect the new tag serial numbers; the numbering sequence must be

identical to the tag including blank spaces and zeros. If the sequence is different, the

computer software will not be able to match the record.

Input of FAIS property listing into the PC software. Submit your request to

inventory.management.office@hawaii.gov for your master inventory records in Excel.

Using the portable scanner, the user would scan the bar coded decal tags in the location

being inventoried. The data terminal will store the decal tags serial numbers in memory.

Upon completion of the physical inventory, the data would be uploaded to the personal

computer software.

The software will match the scanned decal numbers by ORG and Location Code. Various

types of reports can be generated depending on the programming of the software. Some

examples are:

Listing of scanned decals with no matching records (items not recorded).

Listing of decals not in the inventoried location & the location which it belongs.

Listing of decals that were not scanned. These items with description are missing from

the location being inventoried.

Page 4-3

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July 2021

Chapter 5 PROPERTY REPORTING

Departments should be concerned that all state property is properly controlled and accounted for.

This chapter defines the inventory requirements of the different types state property.

This chapter presents the following topics related to reporting of property.

• Reportable State Property - Inventory Reporting Threshold

• Definitions and Requirements - Reportable State Property

• Supplies (Consumable and Non-consumable)

• Real Property - Policies and Guidelines

• Financial Reporting

Reportable State Property - Inventory Reporting Threshold

The purpose of the DAGS Fixed Asset Inventory System (FAIS) is to provide control and

accountability over inventories and maintain information for the preparation of financial statements.

The following are categories and dollar thresholds of state property that are required to be reported

in the FAIS:

1. State property that requires recording regardless of cost or expected life includes:

• Land and Interest in Land - property code 1;

• Weapons (handguns, rifles, and other explosive devices) - property code 6; and

• Works of Art and Historical Treasures - property code 7.

2. Non-expendable state property having a unit cost of $1,000 or more and a useful life of more

than one year includes:

• Land Improvements - property code 1;

• Buildings and Building Improvements - property code 2;

• Motorized Vehicles - property code 3;

• Equipment (machinery, tools, furnishing, software, books, etc.) - property code 4; and

• Infrastructure - property code 8.

3. Theft sensitive property having a unit cost of $250.00 through $999.99, with a useful life of

more than one year shall be recorded as Controlled Items in property code 5. These types of

properties includes Personal Computer Equipment; Photographic Equipment; Television Sets;

Video Equipment and Communication Equipment

Note: Property custodians have the option to record in the FAIS other non-expendable

property that does not meet the recording requirements, provided the item is determined to

be critical to the agency's operation or important for safekeeping and property management.

These properties shall be recorded as Controlled Items - property code 5 and may be

recorded as one item or identical items in the same inventory location may be combined

into a single line item.

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Chapter 5 PROPERTY REPORTING

Definitions – Reportable State Property

The following definitions and requirements are applicable to the proper recording of state

properties in the DAGS, Fixed Asset Inventory System (FAIS), or agencies exempt by statutes in

their respective inventory system. Only state-owned property or property that qualifies as capital

lease shall be reported in the FAIS

Property Codes: All

Betterment or Extraordinary Repair

Expenditures that increase future benefits of an existing

property beyond its previously assessed standard of performance are to be inventoried regardless

of its cost. Increased future benefits typically include:

• An extension in the estimated useful life of a property;

• An increase in the capacity and or productivity of a property; and

• A substantial improvement in the quality of output or a reduction in previously operating costs.

Capital Lease

A lease of real property, vehicles or equipment that transfers substantially all the

benefits and risks inherent in the ownership of property to the State. A lease must meet one of the

following four criteria to qualify as a capital lease:

1. By the end of the lease term, ownership of the property is transferred to the State;

2. The lease contains a bargain purchase option;

3. The lease term is equal to 75 % or more of the estimated useful life of the property; or

4. At the inception of the lease, the present value of the minimum lease payments, excluding cost

to execute the lease (usually insurance, maintenance, and interest payment) is 90 percent or

more of the value of the property.

A property that qualify, as a capital lease should be recorded in its appropriate property and item

classification codes.

DEFINITIONS - OTHER

Construction in Progress

includes the cost of construction work on buildings, building

improvements, land improvements and infrastructure properties undertaken but not completed.

The cost of construction includes all expenditures incurred to get the property in a state of

readiness to be occupied or use. After the construction project is completed, the property shall be

recorded in the inventory system by the agency designated as having control and management of

the property by policy, executive order, or statutes.

Intangibles

Includes inventions, patents, copyrights, and other similar intangibles owned by the

State.

Non-expendable

means property not consumed in use, retaining its original identity when used for

the purpose for which it was designed.

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Chapter 5 PROPERTY REPORTING

Property Code 1

Improved Ocean Areas Reflects the acquisition or construction value of a new harbor or other

water areas. It also includes improvements that increase the capacity or productivity of an existing

harbor or other water areas.

Land and Interest in Land

Reflects the carrying value of land, easements, and rights of ways

owned by the State. If land is purchased, this

account includes the purchase price and any cost

incurred to finalize the purchase, such as legal title, appraisal, negotiation, survey fees, closing and

other overhead cost.

Land Improvements - Not-depreciated

Reflects the acquisition value of improvements, other

than buildings, that produce permanent benefits or ready land for its intended use, includes but not

limited to excavation, fill, grading, utility installation and landscaping; removal, relocation, or

reconstruction of property of others.

Land Improvements - Depreciated

Reflects the acquisition value of improvements, other than

buildings that deteriorate with use or passage of time, includes but not limited to fencing and gates,

retaining walls, pedestrian bridges and paved paths, parking lots and lighting, irrigation systems,

fountains, septic systems, signage, kiosks, piers, wharves and swimming pools.

Land Improvements - Leasehold - Depreciated

Reflects the acquisition or construction value of

land improvements made to property leased by the State.

Property Code 2

Building Reflects the acquisition value of a permanent structure usually used to house persons

and property owned or held by the state governmental unit. Such structures include not only office

buildings, garages, warehouses and storage facilities, but all other property permanently attached

to or made an integral part of the structure such as loading docks, central heating and air

conditioning equipment and ducting, refrigeration equipment, telecommunication conduits and

wiring, etc. It does not include floor and window coverings, and furniture, fixtures and equipment

that are not an integral part or structural component of the building.

Building Improvements

Reflects significant expenditures for enlargement, or improvement of an

existing building that materially extend the useful life or increase the value, or both beyond one

year. Building improvements should not include maintenance and repairs done in the normal

course of business. Exception: buildings associated with roadways and buildings as part of a

historical collection.

Building Improvements-Leasehold

Reflects the acquisition or construction value of permanent

improvements made to buildings leased by the State.

Property Code 3

Motorized Vehicles Reflects the acquisition value of automobiles, trucks, motorcycles, and other

motorized vehicles.

Vehicles will be listed individually in the FAIS with a decal number and if applicable, make, model,

and serial number.

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Chapter 5 PROPERTY REPORTING

Property Code 4

Equipment

Includes non-expendable state property with a unit cost of $1,000 or more and a useful

life of more than one year. Examples include but are not limited to machinery, tools, furnishings,

and computer hardware & software.

Equipment will be listed individually in the FAIS with a decal number and if applicable, make,

model, and serial number.

The following are definitions and guidelines for reporting equipment:

• Movable equipment consists of an item that can be transported from one location to another

location without causing appreciable damage to the building. It does not function as an

essential part or permanently fastened or attached to of the building.

A piece of equipment that is simply bolted to the floor, such as a heavy lathe or a shelving unit,

and that can be moved as a unit once these bolts are removed, is a "movable equipment".

• Built-in equipment is an essential part of the building. The equipment is permanently

fastened to the building & functions as part of the building & removal would causes damage to

the building. Examples: counters, cabinets, shelves; centralized air-conditioning,

communication & water systems.

Built-in equipment may be incorporated into a building at the time of construction or at a later

date. It is classified as part of the building. Exception: The agency acquiring the funds to

construct or purchase an improvement shall record the improvement in their inventory account.

• Equipment comprised of two or more parts that depend on each other for functioning

should be inventoried by the most dominant part, as one inventory item.

When a replacement part is purchased, the original cost should not be altered, unless the

replacement part is an upgrade to the part being replaced. The cost difference between the

replacement part and original part should be added to the original cost.

If additional parts are purchased, it will be inventoried together with the property for which it

was purchased and its cost should be added to the original cost.

Modular furniture has many parts comprising one Unit. These parts depend on each other to

support the Unit, so they should be inventoried as one item. Agencies should maintain a log of

all parts.

• Computer software shall follow the following inventory requirement and guidelines:

State Decal Tags or property identification will be affixed to the binder or other holder(s) that

contains the instruction manual(s), diskette(s), or CD(s).

Transfer of software to another State agency is allowed provided all items comprising the

software package is transferred, including removing the software from the computer’s hard

drive. Use the Transfer of Property, SPO Form 26.

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Chapter 5 PROPERTY REPORTING

Software upgraded to a new version is purchased at a discounted price by the License holder

of the original software, is considered an improvement to the original software.

The following procedures shall apply:

• The description in of the listed software shall be changed to identify the new version.

• The cost of the new version shall be added to the original price of the software.

• The revised instruction(s) and diskette or CD holder shall be tagged or marked with the

original or new property decal number.

• The old version software may be disposed provided it is not needed to support the new

upgraded version. Because the cost of the old version is

incorporated in the new version,

it has no value. The following procedures shall apply: Approval for disposal shall be

obtained from designated property custodian. The written request shall contain the

description, reason for disposal & method of destruction. The disposing agency shall

maintain internal disposal records.

Property Code 5

Controlled Items

Includes non-expendable tangible state property not classified as equipment,

weapons, land, buildings, infrastructure, work of arts or historical treasures, but having

a useful life

of more than a year and are considered theft sensitive; or determined by the designated property

custodian to be critical to their operations. These items may be inventoried as a single item, or two

or more physically or functionally identical items within the same inventory area may be combined

into a single line item.

Theft sensitive item means small and attractive property that is easily converted to personal use or

easily pawned, including personal computer equipment, photographic equipment, video

equipment, television sets, and communication equipment.

The Department head or Designee shall approve the disposal of all controlled items. The

disposing agency shall maintain disposal records.

Property Code 6

Weapons

Includes handguns, rifles, shotguns, grenade launchers, and other explosive devices

used for law enforcement or security purposes.

Weapons are to be accounted for individually, by make, model, serial number, and decal number,

regardless of the cost or expected life of the item.

Property Code 7

Works of Art and Historical Treasures

Reflects the historical cost of purchased property or fair

value at date of donation whether held as individual items or a collection. This type of property is

considered inexhaustible with extraordinary long useful life and because of their culture, aesthetic,

or historical value, the holder of the property applies efforts to protect and preserve the property in

a manner greater than that for similar properties without such value.

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Chapter 5 PROPERTY REPORTING

Property Code 8

Infrastructure

Includes long-lived state properties that normally are stationary in nature and

normally can be preserved for a significantly greater number of years than most properties.

Infrastructure properties may be inventoried as a network, which is composed of many different

properties that provides a particular type of service for the State or subsystem, which is all

properties that make a similar portion or segment of a network.

The following are network and subsystems of the network:

Roadway System - This network includes but not limited to the following subsystems:

State Highways - Includes all state highway roads such as interstate highways, principle

thoroughfares, and minor thoroughfares.

Other Roads - A surface designed for motor vehicle travel that has been improved with

gravel or pavement.

Tunnels & Bridges - Includes tunnels bridges, & other similar properties.

All of the above subsystems include but are not limited to construction cost but also

associated costs such as signage, lighting, traffic control systems, guardrails, drainage

systems, retaining walls, & buildings associated with the subsystem.

Utility System - This network includes but is not limited to the following subsystems that are

independent of an integral part of the operation of a single building: Sanitary Sewer Collection

Systems (not septic systems), Fiber Optics Systems, Water Distribution Systems, and

Electrical Distribution Systems.

SUPPLIES

Definition

Consumable Supply - Items that are consumed and/or loses its identity in use. Examples are

paper, pencil, and other materials that are used within one year.

Non-Consumable Supply - Items that are not consumed in use, retaining its original identity when

used for the purpose for which it was designed, but do not qualify as an equipment because it is

below the inventory reporting threshold.

Requirement:

State agencies are required to maintain internal control records for non-consumable supplies with

a unit cost of $250 but less than $1,000.

State agencies with annual expenditures for consumable supplies that exceed $5,000 are required

to maintain written internal control records.

Supplies are to be physically inventoried annually and each agency shall maintain internal control

records containing information on purchases for all supplies, usage for non-consumable supplies,

transfers for non-consumable supplies, and disposals for non-consumable supplies. These

records are subject to audit.

The Department head or Designee shall approval the disposal of all supplies. The disposing

agency shall maintain disposal records.

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Chapter 5 PROPERTY REPORTING

REAL PROPERTY - Policies and Guidelines

The purpose of this section is to define the responsibilities of agencies to ensure the recording of

real property assets.

Definitions

Custodial agency means the department or other agency designated as having control and

management of the real property asset by executive order or statutes. This includes the issuance of

leases, easements, licenses, revocable permits, concessions, or rights of entry covering the land

for such use as may be consistent to the purpose for which the land was set aside.

Executive order means an written order by the Governor, under the authority of section 171-11,

HRS, setting aside public land to any department or agency of the State, the city and county,

county, or other political subdivisions of the State for public use or purpose.

Expending agency means DAGS, Public Works Division or an agency responsible for the purchase

or construction of a real property asset, including the management, completion, and payment for a

real property project.

Real Property includes Land and Interest in Land, Land Improvements, Buildings, and Building

Improvements.

Accountability of Real Property

Land and Interest in Land - The Department of Land and Natural Resources is responsible for

the accountability and reporting of all public lands, except for agencies that are granted exemption

by statutes. DLNR shall approve disposal of state-owned Land and Interest in Land.

Land Improvements - The agency acquiring the funds through budget process to construct or

purchase the improvement shall be responsible for its accountability.

Buildings - State-owned buildings shall be reported by the custodial agency. Exceptions,

buildings within the State Capitol District and other Civic Area Complexes on Oahu shall be

reported by the Central Service Division of the Department of Accounting and General Services.

State-owned buildings within the Civic Area Complexes on the islands of Maui, Hawaii, Kauai,

Molokai and Lanai shall be reported by the respective district engineers of the Department of

Accounting and General Services.

The custodial agency may, by a Letter of Understanding, assign the control and management

responsibilities of a building to another state agency, however the recording responsibility of the

building shall remain with the custodial agency.

Building Improvements - The agency acquiring the funds through budget process to construct or

purchase the improvement shall be responsible for its accountability

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July 2021

Chapter 5 PROPERTY REPORTING

Responsibilities - Real Property

The Public Works Division of the Department of Accounting and General Services or other

expending agency shall be responsible to provide the following to the Custodial Agency:

Constructed Asset

1. Monthly MCD Report 300 showing total expenditures for the construction and improvement of the

facilities to the printout date

2. At the time the building or improvement is turned over to the custodial agency:

• Contract Completion Notice;

• Final Monthly Estimate/Invoice (itemized construction cost);

• Project Acceptance Notice;

• Description of the building or improvement, if applicable: type of construction, number of floors

and rooms, square footage and tax map key;

• Description & cost of equipment purchased using the project funds

Purchased Real Property Asset

3. At the time the Real Property Asset is turned over to the custodial agency:

• Total cost of the real property asset;

• Description of the real property asset including, if applicable: type of construction, number of

floors & rooms; square footage or ac

res; executive order & tax map key numbers

The expending agency shall provide SPO Inventory Mgmt Office the above 2 & 3 documents.

The Custodial Agency shall be responsible to ensure:

1. All documents and invoices pertaining to the real property asset is kept in a hold file to determine

the cost of the asset. These documents should also be kept as permanent records for future

audits: Monthly MCD Report 300; Contract Completion Notice; Final Monthly Estimate/Invoice;

Project Acceptance Notice; and other documents or invoices.

2. Real property asset is recorded in the DAGS, Fixed Asset and Inventory System (FAIS) at the

time the asset is accepted or received by the agency. Agencies that are exempt by statutes shall

record the asset in their respective inventory system.

Upon occupancy or acceptance of the asset, the expending agency will provide the custodial

agency the Project Acceptance Notice. The asset shall now be recorded in the FAIS, using

the latest MCD Report 300 to determine the cost of the asset.

⇒

3. Real property asset is recorded in the FAIS with the following information: Description of the real

property asset shall include, if applicable: type of construction, number of floors & rooms, square

footage or acres, executive order number & tax map key; Acquisition Cost; and Other FAIS

requirements.

4. The asset acquisition cost is updated to reflect additional expenses and final cost of the asset.

To determine the final cost of the project, use the MCD Report 300 after Public Works

Division or expending agency publish the Notice of Final Settlement, which notifies all parties

that all work is completed and the contract is settled. Also, if the project stops appearing in

the monthly MCD Report 300 this may indicate the final settlement of the project.

Page 5-8

Inventory System User Manual

July 2021

hapter 5 PROPERTY REPORTING

Financial Reporting

The property information in the DAGS, Fixed Inventory System provides information for an

organization's financial statement. Accordingly, the State Comptroller has established the

statewide policy for financial reporting and depreciation of assets, which is presented in the table

below:

NOTE: The information in this table applies only for financial reporting purposes. It does

not apply to the “Reportable State Property “ requirements on the first page of this chapter,

which is necessary for property accountability purposes.

Prop

erty

Depreciate Useful Life Salvage

Asset Type

Code

Item

Class

Codes

Series

Amount

Yes or No

Governme

ntal

Propri

etary

Value

Land 1

1000,

1100, &

1200

All No N/A N/A N/A

Land

Improvements

Not Depreciated

1 1300

Greater than

$100,000

No N/A N/A N/A

Land

Improvements

Depreciated

1500 &

1600

Greater than

$100,000

Yes 15 years

5-100

years

None

Buildings &

Building

Improvements

2 2000

Greater than

$100,000

Yes 30 years

5-100

years

None

Motorized

Vehicles

3 ALL

Greater than

$5,000

Yes 5 years

5-10

years

None

Equipment ,

Furnishings &

Weapons

4 & 6 ALL

Greater than

$5,000

Yes 7 years

1-25

years

None

Works of Art,

Historical

Treasures

7 7000

Greater than

$5,000

No N/A N/A N/A

Infrastructure 8 8000

Greater than

$100,000

No or Yes N/A N/A N/A

Page 5-9

Inventory System User Manual

July 2021

Chapter 6 PROPERTY ACQUISITONS

The objectives of this chapter are to ensure that agencies record all property acquisitions at the

proper value and recorded at the proper time.

There are various methods by which properties may be acquired. The method of acquisition

should provide the department with the basis for determining the value of the property. This

section presents the following topics related to property acquisitions:

• Acquisition Value of State Property

• Valuation Methods

• Timing of Recordation

• New Acquisitions

Acquisition Value of State Property

State property should be recorded at cost or at estimated cost if actual cost cannot be determined.

This section presents the method to be used to determine state property value for items acquired

by the following:

• Purchased Property - All expenditures incurred should be included to determine the basis of

the item. Such charges typically include: invoice or contract price; freight and/or transportation

charges; installation costs; legal costs directly attributable to the item; taxes; professional fees

(including title and survey cost); site preparation costs; and cost of necessary easements and

right-of ways.

• Donations or Payment of a Nominal Sum (which is not reflective of the property's true

value) - Shall be valued at their fair market value or estimated fair market value at the time of

acquisition plus all other cost incurred to place the asset in its intended location and condition

for use.

• Fabricated or Constructed Property - All cost incurred while the item was being constructed

should be recorded including but not limited to the following: insurance premiums; interest

expense; engineering, architectural & other fees; project management cost; in-house

supervision & overhead expense; & component equipment cost.

• Trade-in - Property acquired with trade-in of another property, shall be valued at the purchased

price and all expenditures incurred, not including the trade-in credit.

• Forfeiture or Condemnation - Property acquired in this manner should be valued at the lessor

of 1) the items' fair value at the date of forfeiture or, 2) the amount owned by the borrower plus

cost incurred by the State to obtain the forfeiture and to put the item into service.

• Capital Lease - Property acquired in this manner shall be valued at an amount that is equal to

the present value at the beginning of the lease term of the minimum lease payments (excluding

costs to execute the lease and interest payments).

• Transferred Property - Property transferred from other state agency shall be recorded at the

value at which the item was recorded by the losing agency.

Page 6-1

Inventory System User Manual

July 2021

Chapter 6 PROPERTY ACQUISITIONS

Valuation Methods

The most desirable method of valuation is original (historical) cost. This data can be found by

retrieving original invoices, purchase orders, check copies, contracts, minutes, or auditors work

papers. However, if the agency is unable to establish original cost after a reasonable

expenditure of effort, the agency can rely on estimated original cost data. Methods available for

estimating original cost are:

• engineering studies; catalogue prices; vendor price list;

• internal appraisal; external appraisal;

• comparing with similar assets for which the cost is known; or

• Calculating the current replacement cost of a similar property and deflating this cost through

the use of price-level indexes to the acquisition year (or estimated acquisition year if the actual

year is unknown).

Donation or payment of a nominal amount should be based on either:

• Fair market value, which is the amount the property could be exchanged in a current

transaction between willing parties, other than in a forced or liquidation sale; or

• Estimated fair market value, which may be calculated from manufacturers' catalogs or price

quotes in periodicals, recent sales of comparable assets, or other reliable information.

These sources of information on different methods of valuing property are not designed to be all-

inclusive but to provide the agency with some acceptable methods of ascertaining the value of

acquired items. The agency should maintain all documentation used to determine the value

of the property for audit purposes.

Timing of Recordation

Newly acquired property shall be recorded in the Fixed Asset Inventory System (FAIS) in the

quarter of the fiscal year the agency receives the property or when the agency assumes

responsibility for maintaining the property. This applies to new purchases, capital lease, donated

or transferred property. Supplies shall be recorded in the agency's internal control listing.

Constructed assets shall be transferred from Construction in Progress account to the related

Building, Building Improvement, Land, Land Improvement, Infrastructure, or Equipment account

when they become operational and shall be recorded in the FAIS in the quarter of the fiscal

year is operational. Constructed buildings, for example, may be assumed to be operational

when an authorization to occupy the building is issued regardless of whether final payments are

made (adjustments will be required to record actual cost).

When recording the property in the FAIS, the property's acquisition date is based on the

State's Fiscal Year (July 1 through June 30).

Page 6-2

Inventory System User Manual

July 2021

Chapter 6 PROPERTY ACQUISITIONS

New Acquisitions

New property acquisitions should be recorded in the Fixed Asset Inventory System (FAIS) if the

item meets the inventory-reporting threshold, is theft sensitive, or if the designated property

custodian determines it is a controlled item. Upon notification of receipt, property management

personnel will inspect the item, record the item's physical condition and other characteristics, and

tag the item with a unique inventory decal number, decals are not required for controlled items.

Receiving and inspection activities are the responsibility of the receiving agency.

All property inventory information is recorded on the Detail Inventory of Property SPO Form

17A and is forwarded through the department's fiscal or administrative office to the DAGS,

SPO, Inventory Management Office for review and subsequent entry into the Fixed Asset

Inventory System.

Departments must be certain that the acquisition value reported on the SPO Form 17A does not

represent a partial payment only. All payments associated with the acquisition of the property

should be recorded in the FAIS.

Donated property is not reported in FAMIS and therefore, will not appear on the FAMIS financial

reports. Departments will need to develop their own internal policies and procedures to ensure

that donated items are identified and properly recorded in the Fixed Asset Inventory System.

Page 6-3

Inventory System User Manual

July 2021

Chapter 7 TRANSFER OF PROPERTY

Departments and agencies should be concerned about saving public monies. This can be

accomplished by transferring usable property that is excess to their needs to other state agencies.

This chapter provides the guidelines and is presented as follows:

• Excess State Property

• SPO, Excess State Property List and SPO Form 19

• Transfer of Property SPO Form 26 - purpose

• Transfer of Property SPO Form 26 - instructions

Excess State Property

Excess State Property means any property owned by the State of Hawaii that has a remaining

useful life but is no longer required by the custodial department or agency.

Responsibilities of Departments or Agencies - Section 3-130-10, HAR

• To obtain maximum utilization and to minimize the procurement of new items, department and

agency shall be responsible for making excess state property available to other

departments/agencies.

• Each department or agency shall to the maximum extent practicable, fulfill its requirements for

property by obtaining excess property from other departments or agencies instead of initiating

a new procurement.

Procedures:

1. Transfer the property to other activities within your Division and Department.

2. Transfer to other Departments or Agencies.

State Procurement Office (SPO), Excess State Property List

Agencies may list their excess property on this listing, which is a consolidation of property

submitted by state agencies on the SPO Form 19, Excess State Property. Inventory

Management Office distributes this listing monthly to all State Departments.

This list is also available on the SPO web page at spo.hawaii.gov; for state & county personnel;

programs for state & county personnel; inventory management & excess property.

The listed properties are available to any State agency on a first come basis. Any state agency

interested in a listed item should call the contact person and arrange to see the item. If the agency

accepts the item, the custodial agency will initiate the Transfer of Property, SPO Form 26.

Transporting the item is the responsibility of the gaining agency.

This excess property list will be active until the ending date. For any item that has not been

transferred by the ending date, the custodial agency shall follow the process for disposal of surplus

state property.

The Excess State Property Form is available in the SPO website under forms.

Page 7-1

Inventory System User Manual

July 2021

Chapter 7 TRANSFER OF PROPERTY

Page 1-2

STATE

OF HAWAII

EXCESS STATE PROPERTY

This form is to be used for property that has a remaining useful life but is no longer required by the

custodial agency and is available for transfer to other State department or agency. The item(s) will be

consolidated into the SPO, Excess State Property List, which is listed on the SPO web page on the 20th of

each month. This list will

be active for 30 days, if no takers, the custodial agency shall follow the sequence for

disposal of surplus state property. Please submit this form by the 15th to be included in that months' listing.

Submit electronically to [email protected]

(May be emailed directly to IMO in Excel format. Check with your FO/ASO)

DEPARTMENT: DATE:

DIVISION / AGENCY:

CONTACT PERSON: PHONE NO.:

DESCRIPTION OF PROPERTY ACQ ACQ

( NOUN / MAKE / MODEL / SERIAL NUMBER ) DATE COST

SPO Form-19 (Rev.03/14)

Y ISLAND

Page 7-2

Inventory System User Manual

July 2021

Chapter 7 TRANSFER OF PROPERTY

Transfer of Property SPO Form 26

This form is used to record all state property that is transferred from one account (Org Code) to

another. The account transferring the property will assign the transfer document (TD) number and

a document date to the form. The TD number must appear at the end of each item’s description

of the transferring agency’s SPO Form 17-A, in order to remove the item from their inventory

record and to establish

audit trails.

Accountability of property listed on the SPO Form 26 remains with the losing property custodian

until receipt of a signed copy, acknowledging receipt from the gaining property custodian. Upon

receipt of such signed copy, the losing custodian will immediately drop accountability of the items

as transfers-out to another Org Code account on the current quarter SPO Form 17-A

(attached a copy of the SPO Form 26). Conversely, the gaining property custodian will

immediately pickup accountability of the items as transfers-in form another Org Code account on

the current quarter SPO Form 17-A (attached a copy of the SPO Form 26).

The gaining property custodian should approve the SPO Form 26 prior to receiving the

item(s). To confirm physical receipt of the item(s), the SPO Form 26 should be signed by

the receiving person during pick-up or delivery of the item(s).

The SPO Form 18, Transfer of Property is available in the SPO website under forms.

Instructions Transfer of Property SPO Form 26 - sample on Page 7-4

Losing Property Custodian to Fill-in 1 to 8

1. Transfer Document Number – For filing & referencing (FY03 = TD03-1, TD03-2, etc.)

2. Date Document was Prepared and Page number of pages.

3. Name of Department, Division and Branch.

4. Dept., Div., Sub-Div., Island, and Fund Codes of the losing agency.

5. Signature and date of losing property custodian.

6. Type name and position of losing property custodian.

7. Columns 1 to 7 – Location, Maint. Control No., Qty., Fiscal Year, Cost, & Decal No., for each

item as recorded on your current printout.

8. Name of gaining Department, Division and Branch.

9. Number of copies and distribution.

Gaining Property Custodian to Fill-in 10 to 14

10. Dept., Div., Sub-Div., Island, and Fund Codes of the gaining agency.

11. Signature and date of gaining property custodian.

12. Type name and position of gaining property custodian.

13. Location, Item Class Codes and Decal Number.

14. Signature, Print Name, Phone Number of person picking up item(s); Date picked up.

15. Distribution after signed by gaining property custodian

Page 7-3

Inventory System User Manual

July 2021

STATE OF HAWAII

SPO-026 (Rev. 03/14)

TRANSFER OF PROPERTY

PAGE 1 OF

TRANSFER DOCUMENT NO.:

DATE DOCUMENT PREPARED

( Losing Property Custodian assigns Transfer Document No. )

FROM:

LOSING DEPARTMENT / DIVISION / BRANCH / JURISDICTION

TO:

GAINING DEPARTMENT/ DIVISION / BRANCH / JURISDICTION

Codes: Dept. Div. Sub-div. Island Fund Codes: Dept. Div. Sub-div. Island Fund

I certify that all property listed hereunder and I acknowledge receipt of & assume accountability for

attachments has been transferred to the Gaining all property listed hereunder and attachments.

Property Custodian shown in the adjoining box.

Losing Property Custodian Signature Date Gaining Property Custodian Signature Date

Type Name and Title of Property Custodian Type Name and Title of Property Custodian

(1) (2) (3) (4) (5) (6) (7) (8) (9) (10)

LOSING FIS. ORIGINAL LOSING GAIN. GAINING GAINING

CUST MAINT QTY DESCRIPTION OF PROPERTY YEAR COST CUSTODIAN CUST. CUST. CUSTODIAN

LOC. CONTROL ACQU OF DECAL LOC. ITEM DECAL

CODE NUMBER IRED PROPERTY NUMBER CODE CLASS NUMBER

TOTAL

0.00

THE ABOVE ITEM(S) WERE INSPECTED & RECEIVED BY:

DATE:

Signature Print Name Phone No.

Distribution - LOSING CUSTODIAN

( Original & 3 Copies ) Distribution - GAINING CUSTODIAN ( Sign & Complete )

Original + 2 Copies - To Gaining Custodian for Signature. One Completed Copy - To SPO, Inventory Mgmt. Office.*

One Copy - For Losing Custodian's Suspense File. One Completed Copy - To Losing Custodian.

Completed Original - For Gaining Custodian's File.

* May be emailed directly to [email protected] in PDF format (check with your FO/ASO).

LOSING CUSTODIAN MUST FOLLOW-UP INSURING DOCUMENT IS COMPLETED BEFORE REMOVAL FROM INVENTORY LIST.

Page 7-4

Inventory System User Manual

July 2021

Chapter 8 PROPERTY DISPOSITION

The objectives of this chapter are to ensure that state property is disposed in a manner that is

approved by the Hawaii Administrative Rules. The chapter is presented as follows:

• The Disposal methods of Surplus State Property

• Exceptions to Chapter 3-130, HAR; Disposal Application Approval Authority

• Disposal Application Rules & Procedures; Certificate of Disposal

• Disposal Application format for discarding, trade-in, sale & donation; Samples

• Rules for Lost , Stolen or Damaged State Property; Format and Sample

THE DISPOSAL METHODS OF SURPLUS STATE PROPERTY

Surplus State Property means any property has no use to the State. Usable property must go

through the excess state property process before this disposal process.

NOTE: All methods require an approved Disposal Application before the action.

1. Trade-in for new replacement item.

The Head of the Department shall approve the trade-in based on the urgency of need by other

state governmental units, or whether the trade-in value is expected to exceed the value realized

through the sale of the property.

2. Disposal of Property to State Surplus Property Office, which may accept or refuse the property.

3. Sale through Competitive Sealed Bids, Public Auctions, Established Markets, or Posted Prices.

(Refer to HAR chapter 3-130-10(a)(2)(C) for procedures)

• No weapon shall be sold or given to any individual. Any weapon, if not transferred to

another statutorily authorized state agency, shall be traded or sold to a federally licensed

firearm dealer or donated to the local police department. Supporting documents shall be

attached to the disposal application or certificate of disposal.

4. Sale in accordance to HAR chapter 3-130-10(a)(2)(C) or Dispose to dealers for recycling,

salvaging or scrap. Provide the recycling company/event information.

5. Donation to City or County within the State or to nonprofit tax-exempt charitable organization for

poor or needy. Provide written justification on how the donation would be advantageous to the

State. (Refer to HAR chapter 3-130-10(a)(2)(E) for more detailed information)

6. Cannibalize usable parts and/or Destruction, Disposal in Trash bin, Incinerator or Landfill.

If the parts were to be cannibalized by the State agency, provide a list of usable parts that were

kept and the method of disposal for each unusable parts.

For Disposal in Trash bin, Incinerator or Landfill, provide the exact location and/or address.

All State of Hawaii decals or markings shall be removed.

Exceptions to Chapter 3-130, Hawaii Administrative Rules

If any requirement of Chapter 3-130, HAR on Inventory Management results in undue hardship for

the agency, the head of the department may grant, in writing an exception to that requirement if

the head of the department determines such action to be in the best interest of the State. Each

exception granted by the head of the department shall be by written determination approved by the

administrator of the state procurement office.

Page 8-1

Inventory System User Manual

July 2021

Disposal Authority

he d

ng agen

cy s

ll c

onta

t the Su

ope

Office to offe

the

tate p

ope

to p

epa

ng a

Dis

App

lic

on fo

app

. In the e

ent that Surplus Property Office

ept

the offe

, the d

ng agen

cy s

epa

e the

Dis

App

lic

) wi

"Dis

ed to Su

ope

Office" a

the p

opo

ethod of d

he d

agen

cy s

hall a

ssi

gn a d

r (

date of the app

lic

be u

)

and

is r

equ

nta

of a

app

hene

gnated p

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y c

tod

an de

sir

to d

e or remove an

y s

tate p

ope

the

ir i

ento

ry r

, othe

than t

to another state agen

re a

sal

may

esi

d p

y c

tod

a wri

nDA

to the

ivi

dua

ng to the fo

equ

ent

Autho

sal

epa

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ead

not be de

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one e

)

Sub

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tten d

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the fo

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tate p

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t of $1,000 o

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Befo

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of d

app

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Land and Inte

n Land,

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t be obta

ned f

the

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ent of Land and

atu

, un

the agen

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. Lo

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epa

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than $500.

Chapter 8 PROPERTY DISPOSITION

Page 8-2

he d

app

lic

hou

d be

simil

to the

tted to the

epa

ent

ead.

he fo

ng f

t p

a gene

ne fo

the d

Inventory System User Manual

July 2021

Chapter 8 PROPERTY DISPOSITION

Page 8-3

NTA

RD:

he d

ng agen

nta

n a

d that

the

A ha

been

offe

ed to Surplus Property Office fo

aud

t pu

ude at a

1) Date property was offered to Surplus Property Office;

2) Name of Surplus Property Office personnel who was contacted;

3) Result of the offer; and

4) Name with signature of the disposing agency personnel who contacted

Surplus Property Office making the offer.

In order to make it easier for the department or agency to keep track and properly

manage disposal records, this information may be integrated in

the DA package by

submitting all required documentation, as stated on the Surplus FAQs (https://

spo.hawaii.gov/faqs/).

For state property with a unit cost of $1,000 or more, and weapons, works of art, historical

treasures, land, interest in land, and lost, stolen or damaged state property having a unit

cost of $500 or more, proper records include attaching and submitting the following

documents:

1) A copy of approved DA, including Surplus Property Office information;

2) The completed Certificate of Disposal (SPO-034); and

3) The detailed inventory property form (SPO-017A) for the disposing agency quarterly

update.

OVERSIGHT OF COMPLIANCE

Pursuant to HRS §103D-1204, the head of the department, or the head of any board,

commission, agency, bureau, or office of the State shall be res

ponsible for the

accountability, protection, maintenance, and proper use of all state property pertaining to

their office or department. Thus, the Department Heads shall be responsible to ensure

the conformity and compliance of their departmental inventory management and

procedures with HRS §103D and HAR §3-130, including but not limited to ensuring that

all state property is disposed in the approved methods and manners.

• The law imposes fine or imprisonment penalties to any officer, member of a public

board,assessor, or other person who fails to perform any of the duties imposed upon

the person.

Inventory System User Manual

July 2021

Chapter 8 PROPERTY DISPOSITION

Disposal Application - Rules and Procedures

1. Lost, stolen, or damaged items shall not be reported on the same disposal application with

regular disposal.

2. Upon receipt of the disposal application, the Department Head or Department Designee shall

do one or more of the following:

• Evaluate the application and may request for further information;

• Grant or refuse the permission requested;

• Direct disposition in such other manner as determined to be in the best interest of the

State.

3. Upon completion of transaction or destruction, the applying agency shall complete the

Certificate of Disposal, except for lost or stolen items, and may forward one copy to the

Agency's Fiscal Office.

4. The applying agency shall attach the approved lost, stolen or damaged disposal application,

and its completed certificate of disposal, to its SPO-017A in order to update the applying

agency's inventory listing. The Surplus Property Office information is required for damaged

items.

5. Records of disposal applications and actions taken shall be kept at the applying agency and

the applying department's fiscal office. Records are subject to Audit.

Certificate of Disposal SPO Form 34

This form is used to certify that the items were disposed in the manner specified on the approved

disposal application. A person not involved with the accountability of the property shall witness the

disposition.

Page 8-4

Inventory System User Manual

July 2021

SPO Form 34 (Rev. 11/14)

Dept Application No.

Department

Division/Agency/Activity

Date:

SignatureofDisinterestedParticipant/Witness

TypeNameandTitle

Note:

Date:

SignatureofPropertyCustodian

TypeNameandTitle

Distribution:

One completed copy - The head of the department

One completed copy - Applying Agency’s Administrative Services or Fiscal Office

Original Copy - Applying Agency

A disinterested participant or witness is a person other than the Head of the

Department/Agency; Custodian of the Property; Personnel engaged in the

maintenance of accountable records for the custodian; or Person by virtue of

his/her position supervises or is responsible for the proper operation of the activity

in which the custodian or property is located.

I certify that, as the property custodian of the above Department/Agency/Activity, I have personal

knowledge that the property involved has been disposed in the approved manner, and that such property

has not been diverted or converted to use other than in the manner approved.

To remove the item(s) from the State inventory system, a completed copy must be attached with a copy of

its approved disposal application when submitting the quarterly detail inventory of property (SPO-017A) to

SPO, Inventory Management Office.

CERTIFICATE OF DISPOSAL

I certify that I have participated in or witnessed the disposal, trade-in or sale of all items as approved

on the above-referenced application and acknowledge that any mark or decal indicating State of Hawaii

ownership has been removed or eradicated.

Page 8-5

Inventory System User Manual

July 2021

Chapter 8 PROPERTY DISPOSITION

Disposal Application - Format for Discard, Trade-in, Sale & Donation

(Your Department Letter Head)

DATE:

TO:

, Department Head,

Department Name

SUBJECT: DISPOSAL OF STATE PROPERTY

Statement:

"Application is hereby made for the disposal of government property under my

custody and control. Pursuant to Chapter 3-130, HAR, I do solemnly swear and affirm the

accuracy of this application."

1. Property Custodian's signature, official position, phone no. & location of property.

2. Property Information: Complete description as shown on the current inventory printout;

3. Present condition and estimated value of the property;

4. Reason for requesting to delete or dispose of the property;

5. Proposed method of disposal;

a. If an item is to be “Traded-in” for new equipment, provide the following information: vendor’s

name, total cost of the new item, & trade-in allowance.

b. If an item is to be “Sold”, per HAR§3-130-10(a)(2)(C), provide the following information: list

of names & offers from interested parties; the party purchasing the property & amount; & if

applicable, a copy of the advertisement. If the information is unavailable when submitting

the disposal application, it shall be provided with submission of the Certificate of Disposal,

SPO Form 34.

c. If an item is to be “Donated”, per HAR§3-130-10(a)(2)(E), provide the following information:

written justification on how the donation would be advantageous to the State, and the

organization to receive the donation: (i) City or County agency within the State; or (ii)

nonprofit tax-exempt charitable activity for poor or needy.

d. If an item is to be “Sold in accordance to §3-130-10(a)(2)(C) or Disposed for Recycling,

Salvaging or Scrap”, provide the following information: name of the party purchasing or

disposing the property & the amount offered for the property.

e. If an item is to be “Discarded”, state the means of disposal, e.g. "To be cannibalized for

usable parts or destroyed and disposed in trash bin, or sent to the local incinerator or

landfill." If the parts were to be cannibalized by the State agency, provide a list of usable

parts that were kept and the method of disposal for each unusable parts.

For Disposal in Trash bin, Incinerator or Landfill, provide the exact location and/or address.

Page 8-6

Inventory System User Manual

July 2021

Chapter 8 PROPERTY DISPOSITION

Disposal Application - Sample for Discard and Recycling

STATE OF HAWAII

DEPARTMENT OF HUMAN SERVICES

Honolulu, Hawaii

August 15, 2002

DISPOSAL APPROVED

Date:

August 23, 2002

Director

Department Head, Department of Human Services

Application No.

0083

Date:

August 21, 2002

To: <Director>, Department Head

Department of Human Services

Subject: DISPOSAL OF STATE PROPERTY

Application is hereby made for the disposal of government property under my custody and control.

Pursuant to Chapter 3-130, HAR, I do solemnly swear and affirm the accuracy of this application.

1. John A. Doe .

John A. Doe, Supervisor, Phone 595-6756

Human Services Division

Location of Property: 123 Kapiolani Blvd, Honolulu, HI. 96819

2. Description of the Property

: ORG CODE: 35 - 301

Loc Cntl No Item Cl Qty Description FY Acq Val Decal

a. 4 001 3000120 3224 1 DESK EXEC WOOD 88 1,532.25 K40001

b. 4 001 3000230 3375 1 CPU IBM PS2-386 13424 92 1,275.00 K40555

c. 4 001 3000240 3313 1

CPU IBM PS2-386 13423 92 1,295.00 K40651

TOTAL: 3 TOTAL: 4,102.25

3. Present condition and estimated value of the property;

a. Desk is termite eaten - no value.

b. IBM computer is broken and beyond economical repair - no value.

c. IBM computer is working - no value.

4. Reason for wishing to delete or dispose of the property;

a. Desk is termite eaten and beyond economical repair.

b. IBM computer is broken and beyond economical repair.

c. IBM computer is obsolete and will not handle our program needs. It was listed on the

SPO, Excess State Property List dated May 20, 2002, with no interested agency.

5. What is the proposed method of disposal?

a. Desk will be taken to the County Landfill for disposal – all decals will be removed.

b. & c. Computers will be sent to Island Recycling Inc for recycling – all decals will be

removed.

Page 8-7

Inventory System User Manual

July 2021

Chapter 8 PROPERTY DISPOSITION

Disposal Application - Sample for Trade-in

DISPOSAL APPROVED

Date:

August 23, 2002

Director

Department Head, Department of Health

Application No.

0093

Date:

August 22, 2002

STATE OF HAWAII

DEPARTMENT OF

HEALTH

Honolulu, Hawaii

August 16, 2002

To:

<Director>, Department Head

Department of Health

Subject: DISPOSAL OF STATE PROPERTY

Application is hereby made for the disposal of government property under my custody and control.

Pursuant to Chapter 3-130, HAR, I do solemnly swear and affirm the accuracy of this application.

1. John A. Adams .

John A. Adams, Supervisor, Phone 581-6756

Health Office, Oahu Division

Location of Property: 729 Oahu Street, Honolulu, HI. 96719

2. Description of the Property

: ORG CODE: 15 - 501

Loc Cntl No Itm Cls Qty Description FY Acq Val Decal

4 002 3000230 3205 1 COPIER XEROX 820 #498 95 1,535.25 H4000551

3. Present condition and estimated value of the property;

Broken, repair estimate $1,100. Estimated value is $200.00 trade-in offer.

4. Reason for wishing to delete or dispose of the property;

The copier is broken and beyond economical repair.

5. Propose method of disposal: Trade-in for new equipment - Xerox Corporation

Cost of new Xerox Mdl 250 copier: $2,425.00

Trade-in offer: 200.00

2,225.00

Tax: 89.00

Net Cost: $2,314.00

Page 8-8

Inventory System User Manual

July 2021

Chapter 8 PROPERTY DISPOSITION

Lost, Stolen or Damaged State Property

Provisions of Section 3-130-8, Hawaii Administrative Rules

1. The theft or vandalized of state property shall be immediately reported to the local police

department or if appropriate the State Attorney General, Investigation Division.

2. The state governmental unit shall report all lost, stolen, or damaged equipment within ten

days after discovery of the loss to the designated property custodian.

3. The designated property custodian shall conduct an investigation of the incident and

initiate the appropriate action to prevent future loss.

4. The property custodian shall submit a disposal application to the Department Head in

accordance with section 3-130-11(c).

5. Any such equipment deleted from the inventory that is subsequently located shall be

added to the inventory.

⇒ For property with a unit cost of less than $500 (exc

ept Weapons, Works of Art,

Historical Treasures, Land, and Interest in Land), the disposal application may be

submitted to the Department Head or Department Designee.

Page 8-9

For Damaged State Property, the method of disposal of the damaged item shall be

included on the submitted Damaged State P

roperty disposal application package.

Inventory System User Manual

July 2021

Chapter 8 PROPERTY DISPOSITION

Disposal Application - Format Lost, Stolen or Damaged State Property

(Your Department Letter Head)

DATE:

TO:

,Department Head

Department Name

SUBJECT: DISPOSAL OF STATE PROPERTY

Statement:

"Application is hereby made for the disposal of government property under my

custody and control. Pursuant to Chapter 3-130, HAR, I do solemnly swear and affirm the

accuracy of this application."

1. Property Custodian's signature, official position, phone no.& location of property.

2. Property Information: Complete description as shown on the current inventory printout;

3. Condition and estimated value of the property before the loss;

4. Reason for requesting to delete or dispose of the property;

5. Date & explanation of the circumstances surrounding the loss, theft or damage;

6. Describe what internal controls and security measures in effect prior to the loss, theft or

damage;

7. Explain your opinion as to the cause which led to the loss, theft or damage;

8. Description of internal controls and security improvements to be implemented to prevent or

minimize future losses;

9. Indicate whether police or Attorney General's office was notified, and if so attach any

supporting documents.

The justification or statement of the circumstances surrounding the loss and

description of internal controls and security improvements to be implemented must be

sufficient to satisfy future audits and inspection.

⇒

Page 8-10

Inventory System User Manual

July 2021

Chapter 8 PROPERTY DISPOSITION

Disposal Application - Sample Lost State Property

STATE OF HAWAII

DEPARTMENT OF _________

WAILUKU, MAUI, HAWAII 94793

April 24, 2002

TO:

<Director>, Department Head

Department of_____________

SUBJECT: DISPOSAL OF STATE PROPERTY

DISPOSAL APPROVED

Date

May 5, 2002

Director

Department Head, Department of

Application No.

1182

Date:

May 4, 2002

Application is hereby made for the disposal of government property under my custody and control.

Pursuant to Chapter 3-130, HAR, I do solemnly swear and affirm the accuracy of this application.

1. John B. Doe

John Doe, Maui , Office Manager Phone (808) 235-5678

Property location: State Office Building Wailuku, Maui

2. Description of the Property: Organization Code: 15-003

LOC

Code

Maint.

Control No.

Item

Class

DESCRIPTION

Fisc

Year

Original

Cost

Decal

Number

001 4 2015400 3225 1 CABINET FILE LATERAL 6 DR LGL 89 589.00 K4019577

001 4 2015480 3375 1 CPU IBM 286 SN 23426 W/MON/KB 90 1,858.50 K4019589

001 4 2015540 3221 1 CHAIR EXEC WOOD 86 520.50 K4000251

001 4 2015590 3223 1 DESK EXEC WOOD 86 780.50 K4000252

001 4 2016080 3350 1 METER MINI DIGITAL PH59999 82 685.25 K4000012

TOTAL 5 TOTAL 4,433.75

3. Condition and estimated value of the property prior to the loss; Unknown

4. Reason for requesting to delete or dispose of the property: Unable to Locate

5. Date and explanation of the circumstances surrounding the loss:

The losses were discovered in March 2002, when the new Account Clerk III took the annual

physical inventory for fiscal year 2002.

6. Internal controls and security measures in effect prior to the loss:

Departmental inventory policies & procedures which were not adhered to.

7. Conclusion or opinion as to the cause which led to the loss:

After searching the different offices, questioning personnel, and searching old inventory

records dating back to 1992. It was concluded that these old items were either discarded or

transferred to other state agencies without proper documentation.

Page 8-11

Inventory System User Manual

July 2021

Chapter 8 PROPERTY DISPOSITION

Disposal Application - Sample Lost State Property (Continued)

<Director>, Department Head

April 24, 2002

Page 2

8. Internal controls & security improvements to be implemented to prevent or minimize future

losses: In March 2002, after discovery of heavy losses, the following new internal controls were

implemented to prevent future losses.

a. An inventory position was assigned to each location, responsibility includes: Accountability

of the equipment in their location; Assuring procedures are being followed; Ensuring the

office is locked when unoccupied & after hours.

b. Implementation of a log book to control the movement of equipment. This book contains

the description of the equipment; date it was moved & where it was moved to: & the

responsible inventory person in the new location.

c. Implementation of a transfer log book. All transfers from the different programs are to be

documented in this book and approved by the custodian. Transfers to another state agency

will be documented on SPO Form 18.

d. A better method of handling the decal numbers was also implemented. The Account Clerk

III will give out all decals & keep a log containing decal assignment; the description of the

equipment and cost. The programs were instructed that with the decals, a label must also

be placed on the equipment with the same information that is in the decal book. This is

done to ensure some kind of identification in case the decal comes off the equipment.

e. A memo was sent to all supervisors and employees advising of the new inventory

procedures and reminding them that no equipment is to be transferred or discarded without

proper documentation including the names of the person handling the equipment inventory

control.

9. Statement whether the police or attorney general's office was notified, and if so attach any

supporting documents to the application:

The police and/or attorney general report is attached.

Page 8-12

Inventory System User Manual

July 2021

Chapter 9 INVENTORY UPDATE PROCESS

This chapter defines the process to update an agency’s inventory account, which is stored in the

DAGS Fixed Asset Inventory System (FAIS). An agency inventory account is identified by the five

digit Organization Code (ORG Code), consisting of the Department (DEP), Division (DIV), Sub-

division (S/D), and Island (ISL) Codes, which is found on each recorded item of the agency’s

Annual Inventory Report of Property, MDB Report 020 printout.

The agency’s designated property custodian submits their SPO Form 17-A (Detail Inventory of

Property) to their department fiscal or administrative office, who forwards the form to the SPO

Inventory Management Office (IMO), reporting all property acquisition and changes to their master

inventory balances. IMO audits the transactions for legality and coding accuracy, makes

corrections, and forward the form to DAGS, ICS Division for keypunching and subsequence

updating of the property file at the end of each quarter. IMO, in turn, provides the designated

property custodian with an Inventory Transaction Register (MDB Report 012), which serves as the

official posting record and is to be retained by the designated property custodian as its source

document for audit purposes.

FLOWCHART

SPO Form 17-A

Inventory Transaction Register MDB Report 012

Submitting

Agency

SPO 17-A

Department Fiscal or

mini

ffi

SPO – Inventory

ffi

DAGS, ICSD

DATA En

Submitting

Agency

Department Fiscal or

mini

ffi

SPO – Inventory

ffi

Inventory Transaction

Update

Inv

Fil

This chapter is presented as follows:

• SPO FORM 17-A, DETAIL INVENTORY OF PROPERTY

• Description; Frequency; Special Instructions Page 9-2

• SPO Form 17-A , Instructions Page 9-3 to 9-10

• Island Codes and Fund Codes Page 9-5

• Maintenance Control No. – Instructions Assignment Page 9-6

• Disposal Codes Page 9-8; Acquisition Codes Page 9-10

• Property and Item Class Codes Pages 9-11 to 9-14

•

SPO Form 17-A , Samples

• ORG & Location Code Header Title Page 9-15

• Adding Property: Purchases, Donation, Transfer-in, Phy. Inv.–Gains Page 9-16

• Disposals Page 9-17, Transfer-out, Duplicate Items, Declass to Supplies Page 9-18

• Location Change Page 9-19

• Assembly & Disassembly of Components Page 9-20 & Page 9-21

• Organization Code, Property Code, & Maint. Control No. Corrections Page 9-22

• Correction to: Fund Code, Item Class Code, Quantity, Fiscal Year, Acquisition Carrying

Value and Decal No. Pages 9-23 to 25

• MDB REPORT 012 INVENTORY TRANSACTION REGISTER

• Description; Frequency; Distribution; Instructions Page 9-26

• MDB REPORT 012 – INSTRUCTIONS Pages 9-27 & 9-28

• MDB REPORT 012 – ERROR CODES Page 9-29

Page 9-1

Inventory System User Manual

July 2021

Chapter 9 INVENTORY UPDATE PROCESS

SPO FORM 17-A, DETAIL INVENTORY OF PROPERTY

Description

The SPO Form 17-A is used to report all transactions (additions, deletions, removals, transfers,

losses, and changes) during the 1st, 2nd, 3rd and 4th quarters. To spread the keypuncher

workload, it is requested that agencies submit their SPO Form 17A during the quarter and do

not wait until the end of the quarter.

One SPO Form 17-A may be prepared for multiple ORG Code (5-digit) accounts as long as they

are managed by the same property custodian. When submitting the SPO Form 17-A, the agency

needs to attach all applicable transfer documents (form SPO-026), any applicable approved

disposal applications with completed certificate of disposals (form SPO-034) for a unit cost above

$1,000, and any applicable approved lost, stolen or damaged disposal applications for a unit cost

below and above $500.

Frequency: Quarterly.

1st Quarter - July, August and September. Submit to IMO by October 15th. (One copy only)

2nd Quarter - October, November and December. Submit to IMO by Jan 15th. (One copy only)

3rd Quarter - January, February and March. Submit to IMO by April 15th. (One copy only)

4th Quarter - April, May and June. Submit to IMO by July 15th. (One copy only)

Special Instructions

Samples of typical transaction processed by the inventory personnel are shown on Pages 9-15

through 9-25 of this chapter. If a unique situation occurs where the transaction are not covered in

the samples provided or when correct treatment or coding of certain transactions are in doubt or

questionable, it is recommended that this matter be discussed with SPO, Inventory Mgmt. Office at

[email protected] or 586-0574, for resolution before processing the

transaction to prevent possible rejection or subsequent need to correct the posted record.

When processing inventory transactions on the SPO Form 17-A, all data fields must be completed,

including the item classification through the decal number fields. This will allow the transaction to

be recorded completely on the Inventory Transaction Register (MDB 012) and eliminate the need

to refer back to the Annual Inventory Report of Property (MDB 020) listing.

Op/Rec Code D3 transactions will be processed only when corrections to ORG Codes, Property

Codes, Location Codes, or Maintenance Control Numbers are required. In this connection, when

these D3 transactions are processed, the companion Op/Rec Codes A3 pickup transactions

reflecting the gaining ORG Codes, Property Codes, Location Codes or Maintenance Control

Numbers, will be listed logically on the next available line, below the D3 transactions, of the SPO

Form 17-A to simplify review and reduce confusion.

For ready reference and information for personnel other than the present individual preparing the

SPO Form 17-A, every effort should be made to group similar types of transaction together on the

form and include a explanatory caption above the first transaction, as depicted on the transaction

samples shown on pages 9-15 through 9-25. This will also simplify and reduce keypunching errors

by the Data Entry personnel. In the case of Accounting-Gains and Losses, however, a short

explanatory reason will be included in parenthesis after the caption.

Page 9-2

Inventory System User Manual

July 2021

Chapter 9 INVENTORY UPDATE PROCESS

SPO FORM 17A DETAIL INVENTORY OF PROPERTY - INSTRUCTIONS

OP CODES

A - Add

C - Change

STATE

HAWAII

Date Prepared

D - Delete REC CODES

X - Removal 1 - Org/Loc Header Title

3 - Detail Inventory

Classification of Propert

Quarter Ended

PAGE

____

DEPARTMENT / DIV./ SUB- PROPERTY CUSTODIAN PREPARED BY = NAME, PHONE PURCHASED FROM=APRN SYMBOL A CARRYING VALUE D VALUE OF ITEMS

DIV

BRANCH

ISLAND

ITEMS

HAND

REMOVED

Q AND ACQUIRED S FROM INVENTORY

SINCE

JULY

DURING

FISCAL

D LAST YEAR B

C YEAR B

FISCA

Donations

sical Dis

osals

DECAL

Transfers-In

Transfers-Out

Inv Ad

-Gains

Inv Ad

-Losses

NUMBER

LOC MAINTENANCE ITEM QTY L 2

Pro

Code Chan

e Gains

Pro

Code Chan

e Losses

CODE CONTROL CLASS

D P

Purchases

Declass to M&S-Losses

NUMBER

Limited to 39 characters includin

Blank S

aces

S I P

Accountin

-Gains

Accountin

-Losses

Font Size 11 or 12

T G

Location Chan

e-Gains

Location Chan

e-Losses

Price Chn

-Incr C3

Price Chn

-Decr C3

1 2 3-4 5 6 7 8 9 10-12 13-19 20-23 24-28 29 - 67 68-69 70 71 72-82 83 72-82 84-91

Page 9-3

ORG CODE

DESCRIPTION OF PROPERTY

( Actual size is Legal 8-1/2 x 14)

MAKE / MODEL/SERIAL NUMBER

START WITH A NOUN INCLUDE IF APPLICABLE

DEPT. OF ACCOUNTING & GENERAL SERVICES

DETAIL INVENTORY OF PROPERTY

SPO-017A (REV 03/14)

5 6 7 8

10 11

Inventory System User Manual

July 2021

Chapter 9 INVENTORY UPDATE PROCESS

DETAIL INVENTORY OF PROPERTY SPO FORM 17-A - INSTRUCTIONS

Classification of Property - Equipment, Building or Land. Name of Department; Division; Sub-Division; Branch & Island.

Quarter Ended (Date): 1st: 9/30; 2nd; 12/31; 3rd: 3/31; 4th: 6/30 Full name of the Property Custodian & official position.

Date Prepared - Enter the date this document was prepared. PREPARED BY - Enter the full name and phone number.

PAGE: Page no

. of total pages batched by ORG Code.

PURCHASED FROM - Appropriation fund.

This row with column numbers indicates the number of characters allowed in each field including blank spaces.

Example: OP Code (1): 1 character; LOC Code (10-12): 3 characters; Description (29-67): 39 characters; Decal Number (84-91): 8 characters.

OP CODE (Operation Code) (Col. 1) - Enter the code that indicates the type of action you are requesting. Refer to Pages 5 & 6 of this chapter

for detailed explanation of relationship between the Op / Rec Codes & Acquisition / Disposal Codes.

A Addition of Organization or Location Code Header Title; or an inventory item due to the following, Acquisition Codes (col 71):

1. Donation; 2. Transfer-in from another ORG Code; 3. Physical Inventory Adjustments-Gains; 4. Property Code Change-Gains;

5. Purchases; 6. Accounting Adjustments-Gains; 7. Location Changes-Gains ( Between locations in the same ORG Code).

C Change

of an existing record because of a reporting error or corrections to the following fields: Fund Code; Item Class; Quantity;

Description; Fiscal Year; Carrying Value; and Decal Number. Also: Organization or Location Code Header Title.

X Removal of an inventory item through the following, Disposal Codes (col 83): 1. Physical Disposal; 2. Transfer-Out (to another ORG Code);

3. Physical Inventory Adjustment-Losses; 5. Declass to Material & Supplies-Losses; 6. Accounting Adjustment-Losses.

D Deletion of Organization or Location header title; or an inventory item because of an error or correction to the following fields:

ORG Code; Property Code; Location Code; and Maintenance Control Number. Also: To delete qualifying items for group entry.

"D" codes shall be followed by an "A" entry with the new information except for deletion of Org or Loc Codes header titles.

REC CODE

(

Record Code

)

(

Col. 2

)

- Enter one of the followin

codes:

1Or

anization or Location Code Header Title. This entr

will identif

enerate a title or descri

tion for the Or

anization or Location Code.

Entries re

uired: OP Code; REC Code "1"; ORG Code; LOC Code

(

Leave blank if the header title is for the Or

anization Code

)

;

Maintenance Control No.; and Descri

tion - Enter the desired header title for Or

anization Code or Location Code, as a

licable.

3 Detail Inventor

Transaction. Used for all inventor

items. Entries re

uired: OP Code; Rec Code "3"; ORG Code; Pro

ert

Code;

Loc Code; Maintenance Control No.; Item Class; Quantit

; Descri

tion; Fiscal Year Ac

uired; the followin

are a

licable to the transaction

e: Ac

uisition Code / Carr

Value on hand & Dis

osal Code / Value of Items Removed; Decal Number

(

not re

uired for controlled items

)

Page 9-4

Inventory System User Manual

July 2021

Chapter 9 INVENTORY UPDATE PROCESS

SPO FORM 17A DETAIL INVENTORY OF PROPERTY - INSTRUCTIONS (Continue)

OP CODES

A - Add

C - Change Date Prepared

D - Delete REC CODES

X - Removal 1 - Org/Loc Header Title

3 - Detail Inventory

Classification of Propert

Quarter Ended

PAGE

____

DEPARTMENT / DIV./ SUB- PROPERTY CUSTODIAN PREPARED BY = NAME, PHONE PURCHASED FROM=APRN SYMBOL A CARRYING VALUE D VALUE OF ITEMS

DIV

BRANCH

ISLAND

ITEMS

HAND

REMOVED

Q AND ACQUIRED S FROM INVENTORY

SINCE

JULY

DURING

FISCAL

D LAST YEAR B

C YEAR B

FISCA

Donations

sical Dis

osals

DECAL

Transfers-In

Transfers-Out

Inv Ad

-Gains

Inv Ad

-Losses

NUMBER

LOC MAINTENANCE ITEM QTY L 2

Pro

Code Chan

e Gains

Pro

Code Chan

e Losses

CODE CONTROL CLASS

D P

Purchases

Declass to M&S-Losses

NUMBER

Limited to 39 characters includin

Blank S

aces

S I P

Accountin

-Gains

Accountin

-Losses

Font Size 11 or 12

T G

Location Chan

e-Gains

Location Chan

e-Losses

Price Chn

-Incr C3

Price Chn

-Decr C3

1 2 3-4 5 6 7 8 9 10-12 13-19 20-23 24-28 29 - 67 68-69 70 71 72-82 83 72-82 84-91

ORG CODE

(

anization Code

)

(

Cols. 3-7

)

- Enter the five digit account code assigned to your organization.

DEP

(

Cols. 3-4

)

- Enter your TWO digit Department Code, including zero. Example: 01, 04, 10, 15, 22, etc.

(Col. 5) - Enter your Division Code.

S/DI

(Col. 6) - Enter your Sub-Division Code.

ISL

(Col. 7)

Enter your Island Code.

FUND (Col. 8) - Enter the Fund Code of the applicable funds from which the item was purchased. If unknown, leave blank.

PROPERTY CODE

(

Col. 9

)

- Enter one of the followin

Pro

ert

Code: 1 = Land and Im

rovements; 2 = Buildin

s and Im

rovements;

3 = Motorized Vehicles; 4 = Equipment; 5 = Controlled Items; 6 = Weapons; 7 = Works of Art & Historical Treasures; 8 = Infrastructure.

LOC CODE

(Cols. 10-12) - Enter the three digit Location Code assigned by your organization. Include zeros, e.g.: 001, 012, 102, 120, 100, etc.

DESCRIPTION OF PROPERTY

ORG CODE

Page 9-5

START WITH A NOUN INCLUDE IF APPLICABLE

MAKE / MODEL/SERIAL NUMBER

( Actual size is Legal 8-1/2 x 14)

STATE OF HAWAII

DEPT. OF ACCOUNTING & GENERAL SERVICES

DETAIL INVENTORY OF PROPERTY

SPO-017A (REV 03/14)

Code = Island Code = Island Code = Island Code = Island

1 = OAHU 3 = HAWAII 5 = MOLOKAI 7 = KAHOOLAWE

2 = MAUI 4 = KAUAI 6 = LANAI 8 = NIIHAU

CODE = FUND CODE = FUND CODE = FUND C ODE = FUND

1 = GENERAL 3 = BOND 5 = OTHER 7 = LIBRARY SVCS AND

2 = SPECIAL 4 = SCHOOL 6 = FEDERAL CONSTRUCTION ACT

------12------

13 14 15 16 17

Inventory System User Manual

July 2021

Chapter 9 INVENTORY UPDATE PROCESS

SPO FORM 17A DETAIL INVENTORY OF PROPERTY - INSTRUCTIONS (Continue)

MAINTENANCE CONTROL NUMBER (MCN) (Cols. 13-19) - Enter the seven-digit MCN which is unique annually to each

inventory item within each ORG & LOCATION Code. Refer to your most current printout: Annual Inventory Report of Property MDB 020

or Detail Inventory of Property MDB 033). This is the number the computer uses to locate items or records on the Inventory Master File.

a. MCN cannot be used on more than one transaction

uarterl

. If more than one transaction is submitted with the same MCN the

com

uter will

rocess one and re

ect the others. Those re

ected will a

ear on the Inventor

Transaction Re

ister

(

MDB Re

ort 012

)

and identified with a uni

ue Error Code. It will be necessar

to reenter the corrected entr

in the next

uarterl

ort u

date.

b. MCN Changes each Fiscal Year with the Processing of the ANNUAL INVENTORY REPORT OF PROPERTY (MDB REPORT 020).

fter the 4th Qtr Inventor

date Process, the MDB Re

ort 020 is

rocessed

(

ust

)

. The com

uter will resort the Descri

tion field

in its

er al

ha & numerical se

uence. After resortin

the com

uter assi

n a new MCN to each active record b

10 series

(

1000010

)

The first di

it identifies the calendar

ear in which the annual inventor

rintout was

ared.

This new MCN series must be used when

rocessin

transactions for the four

uarters of the new fiscal

ear.

DO NOT refer back to

rior

rintouts for the assi

nment of MCN or correctin

revious fiscal

ear errors.

ASSIGNING MAINTENANCE CONTROL NUMBER

When adding an item into your inventory listing using the OP Code " A ", a new MCN must be assigned to the item.

a. Assign the MCN within the correct Organization and Location Code.

As much as possible, the control number should be assigned so that the item will be within the alphabetic noun of similar items.

EXAMPLE: To add 10 Cabinets to your inventory

1. First 9 CABINETS assign numbers after existing MCN 1000020

2. Remaining Cabinet number after existing MCN 100030 DESK

c. Should you need additional MCN email:

SPO, Inventory Management Office at [email protected]

ITEM CLASS (Cols. 20-23) - Enter the applicable four (4) digit Item Classification Code. Refer to page 9-11 through 9-14 of this section.

Page 9-6

MCN DESCRIPTION

1000020 CABINET FILE (Existing)

1000021 CABINET FILE (New)

1000022 CABINET FILE (New)

1000023 CABINET FILE (New)

1000024 CABINET FILE (New)

1000025 CABINET FILE (New)

1000026 CABINET FILE (New)

1000027 CABINET FILE (New)

1000028 CABINET FILE (New)

1000029 CABINET FILE (New)

1000030 DESK EXEC (Existing)

1000031 CABINET FILE (New)

Inventory System User Manual

July 2021

Chapter 9 INVENTORY UPDATE PROCESS

SPO FORM 17A DETAIL INVENTORY OF PROPERTY - INSTRUCTIONS (Continue)

OP CODES

A - Add

C - Change Date Prepared

D - Delete REC CODES

X - Removal 1 - Org/Loc Header Title

3 - Detail Inventory

Classification of Propert

Quarter Ended

PAGE

____

DEPARTMENT / DIV./ SUB- PROPERTY CUSTODIAN PREPARED BY = NAME, PHONE PURCHASED FROM=APRN SYMBOL A CARRYING VALUE D VALUE OF ITEMS

DIV

BRANCH

ISLAND

ITEMS

HAND

REMOVED

Q AND ACQUIRED S FROM INVENTORY

SINCE

JULY

DURING

FISCAL

D LAST YEAR B

C YEAR B

FISCA

Donations

sical Dis

osals

DECAL

Transfers-In

Transfers-Out

Inv Ad

-Gains

Inv Ad

-Losses

NUMBER

LOC MAINTENANCE ITEM QTY L 2

Pro

Code Chan

e Gains

Pro

Code Chan

e Losses

CODE CONTROL CLASS

D P

Purchases

Declass to M&S-Losses

NUMBER

Limited to 39 characters includin

Blank S

aces

S I P

Accountin

-Gains

Accountin

-Losses

Font Size 11 or 12

T G

Location Chan

e-Gains

Location Chan

e-Losses

Price Chn

-Incr C3

Price Chn

-Decr C3

1 2 3-4 5 6 7 8 9 10-12 13-19 20-23 24-28 29 - 67 68-69 70 71 72-82 83 72-82 84-91

QTY

(

Quantit

(

Cols. 24-28

)

- Enter the

uantit

of the inventor

line item. Enter "1" for all

ert

codes, exce

t controlled items that are

are grouped in Property Code 5. Limited to 5 digits.

DESCRIPTION

(

Cols. 29-67

)

- Enter the description of the item. Start with the noun & follow with adjective, size, color, manufacture, model,

serial number & other information to identify the item. Land & Buildings include area, Tax Map Key No. & if applicable Executive Order No..

No commas or periods should be used and abbreviate words. Each line is limited to thirty-nine (39) typed spaces, including spacing.

Removal Transactions

(

OP Code "X"

)

must have the

ustification after the descri

tion: Pro

ert

Dis

osal A

lication No., e.

. DA1112;

Transfer-Out: Transfer Doc No., e.

. TD01-12; Du

licate Posted Item: Maint Control No. of the du

licated item, e.

. MCN1000020.

Abbreviate or delete words in the existing description to adhere to the 39 spaces.

( Actual size is Legal 8-1/2 x 14)

STATE OF HAWAII

DEPT. OF ACCOUNTING & GENERAL SERVICES

DETAIL INVENTORY OF PROPERTY

SPO-017A (REV 03/14)

ORG CODE

DESCRIPTION OF PROPERTY

Page 9-7

START WITH A NOUN INCLUDE IF APPLICABLE

MAKE / MODEL/SERIAL NUMBER

18 19 20 21 22

Inventory System User Manual

July 2021

Chapter 9 INVENTORY UPDATE PROCESS

SPO FORM 17A DETAIL INVENTORY OF PROPERTY - INSTRUCTIONS (Continue)

FISCAL YEAR

(

Cols. 68-69

)

- Enter the last two di

its of the fiscal

ear in which the item was first ac

uired

(

recei

t date

)

the State.

For controlled items that are grouped, enter the average fiscal year of the total quantities on hand and assign an asterisk ( * ) in Column 70.

APP

(

roximate Year

)

(

Col. 70

)

- Enter an asterisk

(

)

if the re

orted fiscal

ear in columns 68-69 is an a

roximate

ear.

ACQ CD

(

Col. 71

)

- Enter the a

licable Ac

uisition Code listed below, to denote the basis which the item is bein

icked u

or added

to the accountable records or reason for changing the fields of a recorded property. The table below describes each code

and the correlation of its use in con

unction with the a

licable OP/Rec Codes.

CARRYING VALUE

(

Cols. 72-82

)

Enter the value of the

ert

when it was first ac

uired

(

recei

t date

)

. Limit 11-di

its includin

.00

(

cents

)

For definitions refer to Chapter 6 Page 6-1 Acquisition Value of State Property.

Page 9-8

OP REC

ACQ DESCRIPTION

Donations: Free receipts from Federal Government, Counties, Grants, friends, etc.

Transfer- in: Receipts from another State Agency with a different ORG CODE account.

Phy Inv Adj - Gains: Gains from inventory overage.

Prop Code Changes-Gains: Gains from property code change transfers within same Org Code Account.

Purchases: Purchases from vendors, Surplus Property Br., Federal Govt., Counties, etc.

Accounting Adj-Gains:

Gains from reclassification; posting errors such as ORG Code, Maint. Control No., and other

errors. Also,

ains from Assembl

of two or more line items or Disassembl

of a line item.

Location Change-Gains: Gains from another Location Code within the same ORG code account.

Accounting Adj-Gains: Changes to the Fund Code, Item Class Code, Quantity, Description, Fiscal Year or Decal Number.

Price Change Adj-Increase: Increase in Carrying Value due to price change adjustment / correction, or quantity increase.

ACQUISITION CODES AND RELATIONSHIP TO " OP & REC " CODESCODES

Inventory System User Manual

July 2021

Chapter 9 INVENTORY UPDATE PROCESS

SPO FORM 17A DETAIL INVENTORY OF PROPERTY - INSTRUCTIONS (Continue)

OP CODES

Add

C - Change Date Prepared

D - Delete REC CODES

X - Removal 1 - Org/Loc Header Title

3 - Detail Inventory

Classification of Propert

Quarter Ended

PAGE

____

DEPARTMENT / DIV./ SUB- PROPERTY CUSTODIAN PREPARED BY = NAME, PHONE PURCHASED FROM=APRN SYMBOL A CARRYING VALUE D VALUE OF ITEMS

DIV

BRANCH

ISLAND

ITEMS

HAND

REMOVED

Q AND ACQUIRED S FROM INVENTORY

SINCE

JULY

DURING

FISCAL

D LAST YEAR B

C YEAR B

FISCA

Donations

sical Dis

osals

DECAL

Transfers-In

Transfers-Out

Inv Ad

-Gains

Inv Ad

-Losses

NUMBER

LOC MAINTENANCE ITEM QTY L 2

Pro

Code Chan

e Gains

Pro

Code Chan

e Losses

CODE CONTROL CLASS

D P

Purchases

Declass to M&S-Losses

NUMBER

Limited to 39 characters includin

Blank S

aces

S I P

Accountin

-Gains

Accountin

-Losses

Font Size 11 or 12

T G

Location Chan

e-Gains

Location Chan

e-Losses

Price Chn

-Incr C3

Price Chn

-Decr C3

1 2 3-4 5 6 7 8 9 10-12 13-19 20-23 24-28 29 - 67 68-69 70 71 72-82 83 72-82 84-91

( Actual size is Legal 8-1/2 x 14)

STATE OF HAWAII

DEPT. OF ACCOUNTING & GENERAL SERVICES

DETAIL INVENTORY OF PROPERTY

SPO-017A (REV 03/14)

ORG CODE

DESCRIPTION OF PROPERTY

Page 9-9

START WITH A NOUN INCLUDE IF APPLICABLE

MAKE / MODEL/SERIAL NUMBER

24 2523

Inventory System User Manual

July 2021

Chapter 9 INVENTORY UPDATE PROCESS

SPO FORM 17A DETAIL INVENTORY OF PROPERTY - INSTRUCTIONS (Continue)

DISP CD

(

Col. 84

)

- Enter the a

licable Dis

osal Code listed below, to indicate the reason for removal or deletion of the item from the accountable

records. The table below describes each code and the correlation of its use in con

unction with the a

licable OP/Rec Codes.

The assi

nment of

er dis

osal code to the transaction sim

lifies reviewin

of the Quarterl

Transaction Re

ister.

VALUE OF ITEMS REMOVED (Cols. 72-82) - Enter the value of the item removed as it appears on your inventory printout.

DECAL NUMBER

(

Cols. 84-91

)

- Enter the

ert

identification control or decal number assi

ned to the item. Limited to 8 di

its includin

blanks. Controlled items that are

rou

ed do not re

uire decal numbers.

Page 9-10

OP REC

DISP DESCRIPTION

Physical Disposals: Through Trade-in, Sale, Donation, Discard, Incinerator & Surplus Property Office, Counties, etc. (DA#)

Transfers-Out: Transfer to another State agency with different inventory ORG code. (Transfer Doc. No. required)

Physical Inv Adj-Losses: Removal due to missing, theft, fire, major disaster, etc. (Disposal Application No. required)

Prop Code Change-Losses: Losses from property code change transfers within the same Org code account.

Declass to M&S-Losses: Losses due to declassification to Supplies (value below the inventory reporting threshold).

Accounting Adj-Losses: Removal due to duplicate posting and other posting errors (include duplicated item MCN).

Accounting Adj-Losses: Losses due to posting error to ORG code & Maint. Control No.; also adjustment from assembly or

disassembly of item(s) (Shall be followed with an "Add" transaction correcting the error)

Location Change-Losses: Losses to another location code within the same ORG code account.

(Shall be followed with an "Add" transaction with the corrected location code)

Price Change Adj-Decr: Decrease in carrying value due to price adjustment / correction or decrease in quantity.

(Enter the revised value in Carry Value of Items on Hand Column)

DISPOSAL CODES AND RELATIONSHIP TO " OP & REC " CODESCODES

Inventory System User Manual

July 2021

Chapter 9 INVENTORY UPDATE PROCESS

SPO FORM 17A DETAIL INVENTORY OF PROPERTY - PROPERTY AND ITEM CLASSIFICATION CODES

Prop-

erty

Code

Descriptive Title

Item

Class

Prop-

erty

Code

Descriptive Title

Item

Class

1 Land and Improvements 2 Buildin

and Improvements

Land Areas

1000

Buildin

s - Concrete

2100

Improved Ocean Areas

1100

Buildin

s - Reinforced Concrete

2150

Easements, Ri

hts-of-Wa

1200

Buildin

s - Frame

2200

Buildin

s - Reinforced Frame

2250

1 Land Improvements - Not depreciated

Buildin

s - Steel

2300

Site Improvements-excavation, fill, &

radin

1300

Buildin

s - Others

2400

Removal, relocation, or reconstruction of propert

1310

Note: Use the last two di

its for number of floors.

others such as structures; telephone & power lines.

Landscapin

1320

Buildin

Improvements

2600

Other Not Depreciated Land Improvements

1390

Leasehold Buildin

Improvements

2700

1 Land Improvements - Depreciated

Runwa

s, Taxiwa

s, Aprons, Ramps

1510

Roadwa

s, Walkwa

s, Parkin

Areas

1520 3 Motorized Vehicles

Fencin

and Retainin

walls

1530

Passen

er Cars

3110

Water and Draina

e S

stems

1540

Trucks, Trailers & Tractors

3120

Field Li

htin

stems

1550

Motorc

cles

3130

Power Suppl

stems

1560

Other Motor Vehicles

3140

Piers and Wharves

1570

Other Depreciated Land Improvements

1590

Leasehold Land Improvements

1600

PURPOSE: The primary purpose of the Property and Item Classification Codes is to allow the building of a capability within the computerized DAGS Fixed

Asset Inventory System to provide special printout listings of property records selective by either codes when need by users or authorized requestors for

special projects or for financial reporting. While it is not the intent to assign a unique code to every commodity classification of inventories in the system, the

codes should be sufficient in scope to serve the above function. It is imperative that the proper Property and Item Classification Code be assigned to each

transaction entered on the SPO Form 17-A by inventory personnel.

Page 9-11

Inventory System User Manual

July 2021

Chapter 9 INVENTORY UPDATE PROCESS

SPO FORM 17A DETAIL INVENTORY OF PROPERTY - PROPERTY AND ITEM CLASSIFICATION CODES

Prop-

erty

Code

Descriptive Title

Item

Class

Prop-

erty

Code

Descriptive Title

Item

Class

4 or 5 Office Equipment

Adding Machines

3201

Calculators

3203

Copy Machines

3205 4 or 5 Photographic, Projecting and Optical Equipment

Bookkeeping Machines

3207

Cameras & Accessories

3311

Typewriters - Manual

3208

Microscopes

3312

Typewriters - Electric

3210

Projectors & Accessories

3313

Typewriters - Electric Memory

3212

TV/Video & Related Products

3314

Other Office Equipment

3219

Other Photographic, Projecting and Optical Equipment

3319

4 or 5 Office Furnishing 4 or 5 Acoustic and Communication Equipment

Chairs, Steel

3221

Radios

3321

Chairs, Wood

3222

Recorders

3322

Desks, Steel

3223

Amplifiers

3323

Desks, Wood

3224

Speakers

3324

Files & Cabinets, Steel

3225

Public Address Equipment

3325

Files & Cabinets, Wood

3226

Telephones and Systems

3326

Tables, Steel

3227

Broadcast Transmission Equipment

3327

Tables, Wood

3228

Cellular Phones and Accessories

3328

Other Office Furnishings

3239

Other Acoustic or Communication Equipment

3329

Page 9-12

4 or 5 Books, Reference (Not Library ) 3250

4 or 5 Library Books 3330

Inventory System User Manual

July 2021

Chapter 9 INVENTORY UPDATE PROCESS

SPO FORM 17A DETAIL INVENTORY OF PROPERTY - PROPERTY AND ITEM CLASSIFICATION CODES

Prop-

erty

Code

Descriptive Title

Item

Class

Prop-

erty

Code

Descriptive Title

Item

Class

4 or 5 Educational Equipment for Instructional Purposes

Adding Machines

3341

Calculators

3343

Copy Machines

3345

Typewriters

3347

Other Educational Equipment

3340

4 or 5 Information Technology (IT) Equipment & Software

Main Frame Computer Systems

3371

Peripheral for Main Frame Computer Systems

3372

Software-Main Frame, Minicomputer, Microcomputer

3373

Data Entry and other Off-line Equipment

3374

Micro(PC), Mini Computers & Related Accessories

3375

Word Processing Equipt and Related Accessories

3376

Portable PC (Laptop, Notebook & Accessories)

3378

Data Communication Equipment

(Multiplexors, Modems, Routers, Hubs, & Switches)

3379

4 or 5 3930

Printers, Laser, Impact and Others

3380

Input/Output & Storage Devices (Tape, Disk & Others)

3381

Other IT Equipment and Components

3377

3700

Furniture, Furnishing & Fixture

(Exclude Office, Hospital or Institution)

4 or 53360Recreational Equipment4 or 5

Page 9-13

4 or 5 Scientific Equipment 3350 4 or 5 Hospital & Institutional Equipt & Furnishing 3600

4 or 5 Engineering Instrument & Equipt 3800

4 or 5 Livestock 3410

4 or 5

Vessel & Marine Equipment4 or 5 3420

Construction & Repair Equipment 3500

4 or 5 Other Equipment 3900

4 or 5 Airport Equipment 3910

4 or 5 Crash-Fire Equipment 3920

4 or 5 Assistive Technology Devices & Accessories 3940

Security Equipment

(Protective, Restraining & Others)

Inventory System User Manual

July 2021

Chapter 9 INVENTORY UPDATE PROCESS

SPO FORM 17A DETAIL INVENTORY OF PROPERTY - PROPERTY AND ITEM CLASSIFICATION CODES

Prop-

erty

Code

Descriptive Title

Item

Class

Prop-

erty

Code

Descriptive Title

Item

Class

6 Weapons, Firearms, Ammunition & Explosive Equipment 7 Works of Art, Historical Treasures & Intangibles(cont)

Firearms

6010

Special Book Collections (Archives)

7300

Chemical Weapons

6020

Other Historical Works

7400

Weapons, Miscellaneous

6090

Historical Buildings

7500

(Grenade Launchers, Signal Guns, etc.) (Not include buildings used for State Business)

Ammunition Reloading and Gunsmithing Equipment

6100

Inventions, Patents and Copy Rights

7800

Other Explosive Devices

6190

Other Intangibles

7890

7 Works of Art, Historical Treasures & Intangibles 8 Infrastructure

Paintings

7010 Roadway System - Network

Drawings

7020

State Highways - Subsystem

8010

Prints

7030

Other Roads - Subsystem

8011

Photographs

7040

Tunnels and Bridges - Subsystem

8012

Textiles

7050

Other Roadway Subsystem

8020

Ceramics

7060 Utility System - Network

Sculptures

7070

Electrical Distribution System - Subsystem

8110

Collage/Mixed Media

7080

Fiber Optic System - Subsystem

8120

Other Works of Art

7090

Sanitary Sewer System - Subsystem

8130

Government Records (Archives)

7100

Water Distribution System - Subsystem

8140

Non-Government Records (Archives)

7110

Other Utility Subsystem

8150

Microfilms (Archives)

7120 Other Infrastructure Assets 8500

Historical Artifacts

7200 Non-depreciated Infrastructure Assets 8600

Page 9-14

Inventory System User Manual

July 2021

Page 1 OF 11 .

Chapter 9 INVENTORY UPDATE PROCESS -- SPO FORM 17-A -- SAMPLE TRANSACTIONS

OP CODES

A - Add

C - Change

Date Pre

ared

D - Delete REC CODES

X - Removal 1-Org/Loc Header Title Equipment

3-Detail Inventory

Classification of Property Quarter Ended

DEPARTMENT / DIV./ SUB- PROPERTY CUSTODIAN PREPARED BY PURCHASED FROM

CARRYING VALUE

DIV

BRANCH

ISLAND

ame

one

)

prn.

OF ITEMS ON HAND

DAGS

SPO

AND ACQUIRED

Inventor

t. Office

61-G-84-013 M131

SINCE JULY 1st

Oahu

John Doe Jane Doe

Phone: 123-5678

LAST YEAR BY

Donations

sical Dis

osal

DECAL

Transfers-In

Transfers-Out

Inv Ad

-Gain

Inv Ad

-Losse

NUMBER

LOC MAINTENANCE ITEM QTY L 2

Pro

Code Chan

e Gain

Pro

Code Chan

e Losse

CODE CONTROL CLASS

D P

Purchases

Declass to M&S-Losses

NUMBER S I P

ccountin

-Gains

ccountin

-Losses

T G

Location Chan

e-Gain

Location Chan

e-Losse

Price Chn

-Incr C3

Price Chn

-Decr C3

1 2 3-4 5 6 7 8 9 10-12 13-19 20-23 24-28 68-69 70 71 72-82 83 84-91

ADD NEW ORG CODE HEADER TITLE

A 1 04 3 1 1 2001001

PURCHASING & SUPPLY DIVISION

CHANGE EXISTING ORG CODE HEADER TITLE

04 3 1 1

2001001

STATE PROCUREMENT OFFICE

DELETE EXISTING ORG CODE HEADER TITLE

04 3 1 1

2001001

STATE PROCUREMENT OFFICE

ADD NEW LOCATION CODE HEADER TITLE

04 3 1 1

001 2001002

INVENTORY MGMT BR. 729 KAKOI ST.

CHANGE EXISTING LOCATION CODE HEADER TITLE

04 3 1 1

001 2001002

INVENTORY MGMT OFFICE 729 KAKOI ST.

DELETE EXISTING LOCATION CODE HEADER TITLE

04 3 1 1

001 2001002

INVENTORY MGMT OFFICE 729 KAKOI ST.

Limited to 39 Characters Includin

Blank S

aces

Font Size 11 or 12

FISCAL

72-82

ORG CODE

December 31, 2002

MAKE / MODEL/SERIAL NUMBE

DESCRIPTION OF PROPERTY

December 16

2002

VALUE OF ITEMS

REMOVED

FROM INVENTORY

DURING FISCAL

YEAR BY

START WITH A NOUN INCLUDE IF APPLICABLE

( Actual Size is Legal 8-1/2 x 14)

STATE OF HAWAII

DEPT. OF ACCOUNTING & GENERAL SERVICES

DETAIL INVENTORY OF PROPERTY

SPO-017A (REV 03/14)

Page 9-15

( MCN )

29 - 67

Rec Code "1" for all Headers

C & D Trans - Use Applicable MCN

A Trans - Assign New MCN

Location Code

Inventory System User Manual

July 2021

Page 2 OF 11 .

Chapter 9 INVENTORY UPDATE PROCESS -- SPO FORM 17-A -- SAMPLE TRANSACTIONS

OP CODES

A - Add

C - Change

Date Pre

ared

D - Delete REC CODES

X - Removal 1-Org/Loc Header Title Equipment

3-Detail Inventory

Classification of Property Quarter Ended

DEPARTMENT / DIV./ SUB- PROPERTY CUSTODIAN PREPARED BY PURCHASED FROM

CARRYING VALUE

DIV

BRANCH

ISLAND

ame

one

)

prn.

OF ITEMS ON HAND

DAGS

SPO

AND ACQUIRED

Inventor

t. Office

61-G-84-013 M131

SINCE JULY 1st

Oahu

John Doe Jane Doe

Phone: 123-5678

LAST YEAR BY

Donations

sical Dis

osal

DECAL

Transfers-In

Transfers-Out

Inv Ad

-Gain

Inv Ad

-Losse

NUMBER

LOC MAINTENANCE ITEM QTY L 2

Pro

Code Chan

e Gain

Pro

Code Chan

e Losse

CODE CONTROL CLASS

D P

Purchases

Declass to M&S-Losses

NUMBER S I P

ccountin

-Gains

ccountin

-Losses

T G

Location Chan

e-Gain

Location Chan

e-Losse

Price Chn

-Incr C3

Price Chn

-Decr C3

1 2 3-4 5 6 7 8 9 10-12 13-19 20-23 24-28 68-69 70 71 72-82 83 84-91

Limited to 39 Characters Includin

Blank S

aces

Font Size 11 or 12

FISCAL

72-82

ORG CODE

December 31, 2002

MAKE / MODEL/SERIAL NUMBE

DESCRIPTION OF PROPERTY

December 16

2002

VALUE OF ITEMS

REMOVED

FROM INVENTORY

DURING FISCAL

YEAR BY

START WITH A NOUN INCLUDE IF APPLICABLE

( Actual Size is Legal 8-1/2 x 14)

STATE OF HAWAII

DEPT. OF ACCOUNTING & GENERAL SERVICES

DETAIL INVENTORY OF PROPERTY

SPO-017A (REV 03/14)

( MCN )

29 - 67

PURCHASE

04 3 1 1 1

001

2001101

3225 1 CABINET FILE LATERAL 4DRW TAN CRAIG 02

2,501.65 M4008770

PURCHASE CONTROLLED ITEMS (Grouped)

3043111

001 2001581 3373 6 SOFTWARE MS OFFICE 2001 02

3,652.90

DONATION

3 04 3 1 1 1 4 001 2001361 3228 1 TABLE CONFERENCE 60X220 WALNUT 01

1,360.53 M4008780

TRANSFER-IN (From another ORG Code)

3 04 3 1 1 1 4 001 2001121 3375 1

CPU DELL GX1 SN18620 W/MON/KB TD02-10 98

1,875.23 M4008790

PHYSICAL INVENTORY - GAINS

3 04 3 1 1 1 4 001 2001111 3221 1 CHAIR EXEC SWIVEL W/ARM FLEWLLING 90

1,260.50 M4008800

Page 9-16

Rec Code "3" Identifies Inventory Items

A (Add ) transactions always assign new MCN

Use appropriate Acquisition Code

Inventory System User Manual

July 2021

Page 3 OF 11 .

Chapter 9 INVENTORY UPDATE PROCESS -- SPO FORM 17-A -- SAMPLE TRANSACTIONS

OP CODES

A - Add

C - Change

Date Pre

ared

D - Delete REC CODES

X - Removal 1-Org/Loc Header Title Equipment

3-Detail Inventory

Classification of Property Quarter Ended

DEPARTMENT / DIV./ SUB- PROPERTY CUSTODIAN PREPARED BY PURCHASED FROM

CARRYING VALUE

DIV

BRANCH

ISLAND

ame

one

)

prn.

OF ITEMS ON HAND

DAGS

SPO

AND ACQUIRED

Inventor

t. Office

61-G-84-013 M131

SINCE JULY 1st

Oahu

John Doe Jane Doe

Phone: 123-5678

LAST YEAR BY

Donations

sical Dis

osal

DECAL

Transfers-In

Transfers-Out

Inv Ad

-Gain

Inv Ad

-Losse

NUMBER

LOC MAINTENANCE ITEM QTY L 2

Pro

Code Chan

e Gain

Pro

Code Chan

e Losse

CODE CONTROL CLASS

D P

Purchases

Declass to M&S-Losses

NUMBER S I P

ccountin

-Gains

ccountin

-Losses

T G

Location Chan

e-Gain

Location Chan

e-Losse

Price Chn

-Incr C3

Price Chn

-Decr C3

1 2 3-4 5 6 7 8 9 10-12 13-19 20-23 24-28 68-69 70 71 72-82 83 84-91

Limited to 39 Characters Includin

Blank S

aces

Font Size 11 or 12

FISCAL

72-82

ORG CODE

December 31, 2002

MAKE / MODEL/SERIAL NUMBE

DESCRIPTION OF PROPERTY

December 16

2002

VALUE OF ITEMS

REMOVED

FROM INVENTORY

DURING FISCAL

YEAR BY

START WITH A NOUN INCLUDE IF APPLICABLE

( Actual Size is Legal 8-1/2 x 14)

STATE OF HAWAII

DEPT. OF ACCOUNTING & GENERAL SERVICES

DETAIL INVENTORY OF PROPERTY

SPO-017A (REV 03/14)

( MCN )

29 - 67

PHYSICAL DISPOSAL

3 04 3 1 1 1 4 002 2002100 3375 1

CPU IBM PS2-80 SN12111345 DA1112

M4000520

PHYSICAL DISPOSAL CONTROLLED ITEMS

3043111

003 2003500 3221

6 CHAIR SIDE ORANGE GI DA02-05

91 *

PHYSICAL INVENTORY ADJUSTMENT - LOSS

3 04 3 1 1 1 4 002 2002120 3210 1

TYPEWRITER ELEC IBM DA1152

M4002770

5,278.50

1,150.00

600.00

Page 9-17

Insert Approved Disposal Application No.

X Trans = Use All Applicable MCN From Your Printout

Insert Assigned Disposal Application No.

The computer will subtract quantities and dollar amounts only if the transaction op code is an X (remove) and the property code

is a 5 (controlled items). Above sample will reduce the item existing balances by 6 (qty) and the carrying value by $600.00.

Disposal Code 3

Disposal Code 1

X & D Transactions - Value in Removal Column

Inventory System User Manual

July 2021

Page 4 OF 11 .

Chapter 9 INVENTORY UPDATE PROCESS -- SPO FORM 17-A -- SAMPLE TRANSACTIONS

OP CODES

A - Add

C - Change

Date Pre

ared

D - Delete REC CODES

X - Removal 1-Org/Loc Header Title Equipment

3-Detail Inventory

Classification of Property Quarter Ended

DEPARTMENT / DIV./ SUB- PROPERTY CUSTODIAN PREPARED BY PURCHASED FROM

CARRYING VALUE

DIV

BRANCH

ISLAND

ame

one

)

prn.

OF ITEMS ON HAND

DAGS

SPO

AND ACQUIRED

Inventor

t. Office

61-G-84-013 M131

SINCE JULY 1st

Oahu

John Doe Jane Doe

Phone: 123-5678

LAST YEAR BY

Donations

sical Dis

osal

DECAL

Transfers-In

Transfers-Out

Inv Ad

-Gain

Inv Ad

-Losse

NUMBER

LOC MAINTENANCE ITEM QTY L 2

Pro

Code Chan

e Gain

Pro

Code Chan

e Losse

CODE CONTROL CLASS

D P

Purchases

Declass to M&S-Losses

NUMBER S I P

ccountin

-Gains

ccountin

-Losses

T G

Location Chan

e-Gain

Location Chan

e-Losse

Price Chn

-Incr C3

Price Chn

-Decr C3

1 2 3-4 5 6 7 8 9 10-12 13-19 20-23 24-28 68-69 70 71 72-82 83 84-91

Limited to 39 Characters Includin

Blank S

aces

Font Size 11 or 12

FISCAL

72-82

ORG CODE

December 31, 2002

MAKE / MODEL/SERIAL NUMBE

DESCRIPTION OF PROPERTY

December 16

2002

VALUE OF ITEMS

REMOVED

FROM INVENTORY

DURING FISCAL

YEAR BY

START WITH A NOUN INCLUDE IF APPLICABLE

( Actual Size is Legal 8-1/2 x 14)

STATE OF HAWAII

DEPT. OF ACCOUNTING & GENERAL SERVICES

DETAIL INVENTORY OF PROPERTY

SPO-017A (REV 03/14)

( MCN )

29 - 67

TRANSFER-OUT to another ORG Code

3 04 3 1 1 1 4 001 2001110 3221 1

CHAIR EXEC GRN/GRAY FRM TD02-11

M4002230

TRANSFER-OUT CONTROLLED ITEMS

3043111

002 2002540 3221

4 CHAIR SIDE BACK W/ARMS GI TD02-12

ACCOUNTING ADJ - LOSSES - Duplicate Item

3 04 3 1 1 1 4 001 2001100 3226 1

CABINET FILE LATERAL MCN1000710

M4009000

DECLASS to SUPPLIES (less than $1,000 each)

3 04 3 1 1 1 4 001 2001220 3223 1 DESK EXEC STEEL WALNUT 97

M4001510

DECLASS to SUPPLIES Controlled Items

3043111

001 2001500 3221 6 CHAIR SEC SWIVEL GI 96

810.55

1,200.00

1,310.00

Page 9-18

1,110.20

480.00

Completed Transfer Document No.

Identical to Disposal Transaction Property Code 5, the above sample will reduce the item existing balances by 4 (qty) and the carrying value by $480.00.

Insert Maint Control No. of the Duplicated Item

X Trans = Use All Applicable MCN From Your Printout

Use Appropriate Disposal Code

Inventory System User Manual

July 2021

Page 5 OF 11 .

Chapter 9 INVENTORY UPDATE PROCESS -- SPO FORM 17-A -- SAMPLE TRANSACTIONS

OP CODES

A - Add

C - Change

Date Pre

ared

D - Delete REC CODES

X - Removal 1-Org/Loc Header Title Equipment

3-Detail Inventory

Classification of Property Quarter Ended

DEPARTMENT / DIV./ SUB- PROPERTY CUSTODIAN PREPARED BY PURCHASED FROM

CARRYING VALUE

DIV

BRANCH

ISLAND

ame

one

)

prn.

OF ITEMS ON HAND

DAGS

SPO

AND ACQUIRED

Inventor

t. Office

61-G-84-013 M131

SINCE JULY 1st

Oahu

John Doe Jane Doe

Phone: 123-5678

LAST YEAR BY

Donations

sical Dis

osal

DECAL

Transfers-In

Transfers-Out

Inv Ad

-Gain

Inv Ad

-Losse

NUMBER

LOC MAINTENANCE ITEM QTY L 2

Pro

Code Chan

e Gain

Pro

Code Chan

e Losse

CODE CONTROL CLASS

D P

Purchases

Declass to M&S-Losses

NUMBER S I P

ccountin

-Gains

ccountin

-Losses

T G

Location Chan

e-Gain

Location Chan

e-Losse

Price Chn

-Incr C3

Price Chn

-Decr C3

1 2 3-4 5 6 7 8 9 10-12 13-19 20-23 24-28 68-69 70 71 72-82 83 84-91

Limited to 39 Characters Includin

Blank S

aces

Font Size 11 or 12

FISCAL

72-82

ORG CODE

December 31, 2002

MAKE / MODEL/SERIAL NUMBE

DESCRIPTION OF PROPERTY

December 16

2002

VALUE OF ITEMS

REMOVED

FROM INVENTORY

DURING FISCAL

YEAR BY

START WITH A NOUN INCLUDE IF APPLICABLE

( Actual Size is Legal 8-1/2 x 14)

STATE OF HAWAII

DEPT. OF ACCOUNTING & GENERAL SERVICES

DETAIL INVENTORY OF PROPERTY

SPO-017A (REV 03/14)

( MCN )

29 - 67

LOCATION CHANGE OR CORRECTION- Same ORG Code

3043111 4

001 2001210

3224 1 DESK EXEC DBL PED BEIGE AURORA 00

M4005550

3043111 4

002 2002151

3224 1 DESK EXEC DBL PED BEIGE AURORA 00

1,090.50 M4005550

LOCATION CHANGE - Controlled Items (PARTIAL)

3043111

5 001 2001570

3227

TABLES WORK STEEL 30X54 GI 00 1,200.00

3043111

5 002 2002591

3227

TABLES WORK STEEL 30X54 GI 00

800.00

LOCATION CHANGE - Controlled Items (ALL)

3043111

001 2001570 3227 10 TABLES WORK STEEL 30X54 GI 00

3043111

002 2002591 3227 10 TABLES WORK STEEL 30X54 GI 00

2,000.00

1,090.50

Page 9-19

C (Change) Transactions - Use Applicable MCN

D (Delete) Transactions Use All Applicable MCN

A (Add) transaction - assign new MCN (All data fields should be identical except for OP, Location & Acquisition Codes)

Acquisition & Disposal Code 7

Changing the original Qty (10) & Carrying Value $2,000) to reflect the movement of 4 tables to a new location.

Inventory System User Manual

July 2021

Page 6 OF 11 .

Chapter 9 INVENTORY UPDATE PROCESS -- SPO FORM 17-A -- SAMPLE TRANSACTIONS

OP CODES

A - Add

C - Change

Date Pre

ared

D - Delete REC CODES

X - Removal 1-Org/Loc Header Title Equipment

3-Detail Inventory

Classification of Property Quarter Ended

DEPARTMENT / DIV./ SUB- PROPERTY CUSTODIAN PREPARED BY PURCHASED FROM

CARRYING VALUE

DIV

BRANCH

ISLAND

ame

one

)

prn.

OF ITEMS ON HAND

DAGS

SPO

AND ACQUIRED

Inventor

t. Office

61-G-84-013 M131

SINCE JULY 1st

Oahu

John Doe Jane Doe

Phone: 123-5678

LAST YEAR BY

Donations

sical Dis

osal

DECAL

Transfers-In

Transfers-Out

Inv Ad

-Gain

Inv Ad

-Losse

NUMBER

LOC MAINTENANCE ITEM QTY L 2

Pro

Code Chan

e Gain

Pro

Code Chan

e Losse

CODE CONTROL CLASS

D P

Purchases

Declass to M&S-Losses

NUMBER S I P

ccountin

-Gains

ccountin

-Losses

T G

Location Chan

e-Gain

Location Chan

e-Losse

Price Chn

-Incr C3

Price Chn

-Decr C3

1 2 3-4 5 6 7 8 9 10-12 13-19 20-23 24-28 68-69 70 71 72-82 83 84-91

Limited to 39 Characters Includin

Blank S

aces

Font Size 11 or 12

FISCAL

72-82

ORG CODE

December 31, 2002

MAKE / MODEL/SERIAL NUMBE

DESCRIPTION OF PROPERTY

December 16

2002

VALUE OF ITEMS

REMOVED

FROM INVENTORY

DURING FISCAL

YEAR BY

START WITH A NOUN INCLUDE IF APPLICABLE

( Actual Size is Legal 8-1/2 x 14)

STATE OF HAWAII

DEPT. OF ACCOUNTING & GENERAL SERVICES

DETAIL INVENTORY OF PROPERTY

SPO-017A (REV 03/14)

( MCN )

29 - 67

ASSEMBLY OF COMPONENTS/ACCESSORIES

3 04 3 1 1 1 4 003

2003330

3380 1 PRINTER IBM LaserJet 700 SN1100068 00

M4001230

3 04 3 1 1 1 4 003

2003410

3380 1 SORTER IBM PRINTER LSRJT 700 #100235 00

M4001240

3 04 3 1 1 1 4 003

2003331

3380 1 PRINTER IBM LSRJT 700 /SORTER #1100068 00

6 2,600.75

M4001230

DISASSEMBLY OF COMPONENTS/ACCESSORIES

3 04 3 1 1 1 4 003

2003331

3380 1 PRINTER IBM LSRJT 700 /SORTER #1100068 00

M4001230

3 04 3 1 1 1 4 003

2003332

3380 1 PRINTER IBM LASERJET 700 SN1100068 00

6 1,550.50

M4001230

3 04 3 1 1 1 4 003

2003411

3380 1 SORTER IBM PRINTER LSRJT 700 #100235 00

6 1,050.25

M4001250

QTY ADJMT TO COMBINE QTY (Control Items)

3043111

001 2001540 3311

CAMERA MINOLTA XE #1034 98

M4005540

3043111

001 2001550 3311

CAMERA MINOLTA XE #1256 98

M4005541

3043111

001 2001551 3311

CAMERA MINOLTA XE #1034/1256 98

6 510.50

M5540-41

1,050.25

1,550.50

2,600.75

255.25

Page 9-20

D (Delete) transaction - Use Applicable MCN

Acquisition & Disposal Code 6

Add Value(s) equals Delete Value(s)

Property Code 5 Controlled Items

Inventory System User Manual

July 2021

Page 7 OF 11 .

Chapter 9 INVENTORY UPDATE PROCESS -- SPO FORM 17-A -- SAMPLE TRANSACTIONS

OP CODES

A - Add

C - Change

Date Pre

ared

D - Delete REC CODES

X - Removal 1-Org/Loc Header Title Equipment

3-Detail Inventory

Classification of Property Quarter Ended

DEPARTMENT / DIV./ SUB- PROPERTY CUSTODIAN PREPARED BY PURCHASED FROM

CARRYING VALUE

DIV

BRANCH

ISLAND

ame

one

)

prn.

OF ITEMS ON HAND

DAGS

SPO

AND ACQUIRED

Inventor

t. Office

61-G-84-013 M131

SINCE JULY 1st

Oahu

John Doe Jane Doe

Phone: 123-5678

LAST YEAR BY

Donations

sical Dis

osal

DECAL

Transfers-In

Transfers-Out

Inv Ad

-Gain

Inv Ad

-Losse

NUMBER

LOC MAINTENANCE ITEM QTY L 2

Pro

Code Chan

e Gain

Pro

Code Chan

e Losse

CODE CONTROL CLASS

D P

Purchases

Declass to M&S-Losses

NUMBER S I P

ccountin

-Gains

ccountin

-Losses

T G

Location Chan

e-Gain

Location Chan

e-Losse

Price Chn

-Incr C3

Price Chn

-Decr C3

1 2 3-4 5 6 7 8 9 10-12 13-19 20-23 24-28 68-69 70 71 72-82 83 84-91

Limited to 39 Characters Includin

Blank S

aces

Font Size 11 or 12

FISCAL

72-82

ORG CODE

December 31, 2002

MAKE / MODEL/SERIAL NUMBE

DESCRIPTION OF PROPERTY

December 16

2002

VALUE OF ITEMS

REMOVED

FROM INVENTORY

DURING FISCAL

YEAR BY

START WITH A NOUN INCLUDE IF APPLICABLE

( Actual Size is Legal 8-1/2 x 14)

STATE OF HAWAII

DEPT. OF ACCOUNTING & GENERAL SERVICES

DETAIL INVENTORY OF PROPERTY

SPO-017A (REV 03/14)

( MCN )

29 - 67

QTY & COST ADJUST TO INDIVIDUAL ITEMS

3 04 3 1 1 1 4 004 2004440 3378

PC COMPAC LAPTOP 510 01

3 04 3 1 1 1 4 004 2004441 3378 1 PC COMPAC LAPTOP 510 SN245368 01 6 1,090.25 M4007541

3 04 3 1 1 1 4 004 2004442 3378 1 PC COMPAC LAPTOP 510 SN245455 01 6 1,090.25 M4007542

CREATE CONTROLLED GROUP ITEMS FROM

INDIVIDUAL ITEMS (Property Code Change)

3043111

001

2001150

3311

CAMERA CANON AE1 #1234 00

M4005560

3043111

001

2001160

3311

CAMERA CANON AE1 #5213 01

M4005561

3043111

001

2001171

3311

CAMERA CANON AE #1234/5213 01

1,135.00 M5560-61

ADD TO EXISTING GROUP ITEM

3 04 3 1 1 1 5 001

2001180

3227 8 TABLES WORK 36X60 GI 99 *

8 4,402.00

585.00

2,180.50

550.00

Page 9-21

D (Delete) transactions - use applicable MCN

Asterisk Col. 70 Indicates average or estimated Fiscal Year

A (Add) transaction - property code 5 and assign new MCN

C (Change) transaction - use applicable MCN

Input new Quantity, Dollar Value , and Acquisition Code 8 (Price change-increase)

Acquisition & Disposal Code 4

Inventory System User Manual

July 2021

Page 8 OF 11 .

Chapter 9 INVENTORY UPDATE PROCESS -- SPO FORM 17-A -- SAMPLE TRANSACTIONS

OP CODES

A - Add

C - Change

Date Pre

ared

D - Delete REC CODES

X - Removal 1-Org/Loc Header Title Equipment

3-Detail Inventory

Classification of Property Quarter Ended

DEPARTMENT / DIV./ SUB- PROPERTY CUSTODIAN PREPARED BY PURCHASED FROM

CARRYING VALUE

DIV

BRANCH

ISLAND

ame

one

)

prn.

OF ITEMS ON HAND

DAGS

SPO

AND ACQUIRED

Inventor

t. Office

61-G-84-013 M131

SINCE JULY 1st

Oahu

John Doe Jane Doe

Phone: 123-5678

LAST YEAR BY

Donations

sical Dis

osal

DECAL

Transfers-In

Transfers-Out

Inv Ad

-Gain

Inv Ad

-Losse

NUMBER

LOC MAINTENANCE ITEM QTY L 2

Pro

Code Chan

e Gain

Pro

Code Chan

e Losse

CODE CONTROL CLASS

D P

Purchases

Declass to M&S-Losses

NUMBER S I P

ccountin

-Gains

ccountin

-Losses

T G

Location Chan

e-Gain

Location Chan

e-Losse

Price Chn

-Incr C3

Price Chn

-Decr C3

1 2 3-4 5 6 7 8 9 10-12 13-19 20-23 24-28 68-69 70 71 72-82 83 84-91

Limited to 39 Characters Includin

Blank S

aces

Font Size 11 or 12

FISCAL

72-82

ORG CODE

December 31, 2002

MAKE / MODEL/SERIAL NUMBE

DESCRIPTION OF PROPERTY

December 16

2002

VALUE OF ITEMS

REMOVED

FROM INVENTORY

DURING FISCAL

YEAR BY

START WITH A NOUN INCLUDE IF APPLICABLE

( Actual Size is Legal 8-1/2 x 14)

STATE OF HAWAII

DEPT. OF ACCOUNTING & GENERAL SERVICES

DETAIL INVENTORY OF PROPERTY

SPO-017A (REV 03/14)

( MCN )

29 - 67

ORGANIZATION CODE CORRECTION

304

1 1 1 4 001 2000810 3375 1 PRINTER HP LASER JET SN 123456 00

M4009123

304

1 1 4 001 2000142 3375 1 PRINTER HP LASER JET SN 123456 00

1,530.25 M4009123

PROPERTY CODE CORRECTION

3043111

001 2000210 3375 1 PRINTER HP LASER JET 5 SN 234890 99

M4009015

3043111

001 2000141 3375 1 PRINTER HP LASER JET 5 SN 234890 99

940.10 M4009015

MAINTENANCE CONTROL NUMBER CORRECTION

3 04 3 1 1 1 4 001

5001141

3375 1 PC IBM 750 W/MON 8980 #7132351 02

M4000010

3 04 3 1 1 1 4 001

2001141

3375 1 PC IBM 750 W/MON 8980 #7132351 02

3,234.40 M4000010

1,530.25

3,234.40

940.10

Page 9-22

Add Transaction assign new MCN; All data fields should be identical except for OP Code & ORG Code

Add Transaction assign new MCN; All data fields should be identical except for OP Code & Property Code

Add Transaction use correct or assign new MCN; All data fields should be identical except for OP Code & MCN

"D" Delete Transactions use Applicable MCN

Use appropriate Acquisition & Disposal Code

Inventory System User Manual

July 2021

Page 9 OF 11 .

Chapter 9 INVENTORY UPDATE PROCESS -- SPO FORM 17-A -- SAMPLE TRANSACTIONS

OP CODES

A - Add

C - Change

Date Pre

ared

D - Delete REC CODES

X - Removal 1-Org/Loc Header Title Equipment

3-Detail Inventory

Classification of Property Quarter Ended

DEPARTMENT / DIV./ SUB- PROPERTY CUSTODIAN PREPARED BY PURCHASED FROM

CARRYING VALUE

DIV

BRANCH

ISLAND

ame

one

)

prn.

OF ITEMS ON HAND

DAGS

SPO

AND ACQUIRED

Inventor

t. Office

61-G-84-013 M131

SINCE JULY 1st

Oahu

John Doe Jane Doe

Phone: 123-5678

LAST YEAR BY

Donations

sical Dis

osal

DECAL

Transfers-In

Transfers-Out

Inv Ad

-Gain

Inv Ad

-Losse

NUMBER

LOC MAINTENANCE ITEM QTY L 2

Pro

Code Chan

e Gain

Pro

Code Chan

e Losse

CODE CONTROL CLASS

D P

Purchases

Declass to M&S-Losses

NUMBER S I P

ccountin

-Gains

ccountin

-Losses

T G

Location Chan

e-Gain

Location Chan

e-Losse

Price Chn

-Incr C3

Price Chn

-Decr C3

1 2 3-4 5 6 7 8 9 10-12 13-19 20-23 24-28 68-69 70 71 72-82 83 84-91

Limited to 39 Characters Includin

Blank S

aces

Font Size 11 or 12

FISCAL

72-82

ORG CODE

December 31, 2002

MAKE / MODEL/SERIAL NUMBE

DESCRIPTION OF PROPERTY

December 16

2002

VALUE OF ITEMS

REMOVED

FROM INVENTORY

DURING FISCAL

YEAR BY

START WITH A NOUN INCLUDE IF APPLICABLE

( Actual Size is Legal 8-1/2 x 14)

STATE OF HAWAII

DEPT. OF ACCOUNTING & GENERAL SERVICES

DETAIL INVENTORY OF PROPERTY

SPO-017A (REV 03/14)

( MCN )

29 - 67

CORRECTION - FUND CODE

304311

4 001 2001440 3210 1 TYPEWRITER IBM MEMORY S/N13245677 98

1,100.35 M4002121

CORRECTION - ITEM CLASS

3 04 3 1 1 2 4 002 2002210

3375

1 PC DELL OPTI GX1 W/MON SN1223432 99

1,975.25 M4003231

Page 9-23

Data Fields: Fund Code; Item Class; Quantity; Description; Fiscal Year; Acquisition

Code; Carrying Value; Decal Number.

To correct the fund code 2 (Special Fund) to 1 (General Fund)

To correct the Item Class which as reported as a mainframe computer 3371

"C" Change Transactions use Applicable MCN

Use Acquisition Code 6 (Accounting Adjustment - Gains)

Inventory System User Manual

July 2021

Corrections or revisions to the data fields, listed below, are to be accomplished by processing a single transaction. When processing C/3

transactions, data fields that do not require changes must be repeated and entered in their applicable fields, otherwise will be replaced with

blanks. You may change two or more data fields in a single transaction.

Page 10 OF 11 .

Chapter 9 INVENTORY UPDATE PROCESS -- SPO FORM 17-A -- SAMPLE TRANSACTIONS

OP CODES

A - Add

C - Change

Date Pre

ared

D - Delete REC CODES

X - Removal 1-Org/Loc Header Title Equipment

3-Detail Inventory

Classification of Property Quarter Ended

DEPARTMENT / DIV./ SUB- PROPERTY CUSTODIAN PREPARED BY PURCHASED FROM

CARRYING VALUE

DIV

BRANCH

ISLAND

ame

one

)

prn.

OF ITEMS ON HAND

DAGS

SPO

AND ACQUIRED

Inventor

t. Office

61-G-84-013 M131

SINCE JULY 1st

Oahu

John Doe Jane Doe

Phone: 123-5678

LAST YEAR BY

Donations

sical Dis

osal

DECAL

Transfers-In

Transfers-Out

Inv Ad

-Gain

Inv Ad

-Losse

NUMBER

LOC MAINTENANCE ITEM QTY L 2

Pro

Code Chan

e Gain

Pro

Code Chan

e Losse

CODE CONTROL CLASS

D P

Purchases

Declass to M&S-Losses

NUMBER S I P

ccountin

-Gains

ccountin

-Losses

T G

Location Chan

e-Gain

Location Chan

e-Losse

Price Chn

-Incr C3

Price Chn

-Decr C3

1 2 3-4 5 6 7 8 9 10-12 13-19 20-23 24-28 68-69 70 71 72-82 83 84-91

Limited to 39 Characters Includin

Blank S

aces

Font Size 11 or 12

FISCAL

72-82

ORG CODE

December 31, 2002

MAKE / MODEL/SERIAL NUMBE

DESCRIPTION OF PROPERTY

December 16

2002

VALUE OF ITEMS

REMOVED

FROM INVENTORY

DURING FISCAL

YEAR BY

START WITH A NOUN INCLUDE IF APPLICABLE

( Actual Size is Legal 8-1/2 x 14)

STATE OF HAWAII

DEPT. OF ACCOUNTING & GENERAL SERVICES

DETAIL INVENTORY OF PROPERTY

SPO-017A (REV 03/14)

( MCN )

29 - 67

CORRECTION - QTY & DESCRIPTION

3 04 3 1 1 2 4 003 2003310 3375

1 PC IBM 350 W/MON 8514 SN24HZM441

1,425.75 M4003055

CORRECTION - FISCAL YEAR

3 04 3 1 1 2 4 003 2003010 3205 1 COPIER XEROX WKCNTR PRO SN 31245

01 6

2,625.25 M4004122

CORRECTION - Decal Number

3 04 3 1 1 2 4 003 2003120 3219 1 FAX XEROX WKCTR PRO755 #6JT-499941 01

1,075.25

M4004123

Page 9-24

To correct the Qty and Description which was previously incorrectly posted

To correct the Decal Number or add Decal Number

To correct the original Fiscal Year data which represents the FY item was received

Inventory System User Manual

July 2021

Page 11 OF 11 .

Chapter 9 INVENTORY UPDATE PROCESS -- SPO FORM 17-A -- SAMPLE TRANSACTIONS

OP CODES

A - Add

C - Change

Date Pre

ared

D - Delete REC CODES

X - Removal 1-Org/Loc Header Title Equipment

3-Detail Inventory

Classification of Property Quarter Ended

DEPARTMENT / DIV./ SUB- PROPERTY CUSTODIAN PREPARED BY PURCHASED FROM

CARRYING VALUE

DIV

BRANCH

ISLAND

ame

one

)

prn.

OF ITEMS ON HAND

DAGS

SPO

AND ACQUIRED

Inventor

t. Office

61-G-84-013 M131

SINCE JULY 1st

Oahu

John Doe Jane Doe

Phone: 123-5678

LAST YEAR BY

Donations

sical Dis

osal

DECAL

Transfers-In

Transfers-Out

Inv Ad

-Gain

Inv Ad

-Losse

NUMBER

LOC MAINTENANCE ITEM QTY L 2

Pro

Code Chan

e Gain

Pro

Code Chan

e Losse

CODE CONTROL CLASS

D P

Purchases

Declass to M&S-Losses

NUMBER S I P

ccountin

-Gains

ccountin

-Losses

T G

Location Chan

e-Gain

Location Chan

e-Losse

Price Chn

-Incr C3

Price Chn

-Decr C3

1 2 3-4 5 6 7 8 9 10-12 13-19 20-23 24-28 68-69 70 71 72-82 83 84-91

Limited to 39 Characters Includin

Blank S

aces

Font Size 11 or 12

FISCAL

72-82

ORG CODE

December 31, 2002

MAKE / MODEL/SERIAL NUMBE

DESCRIPTION OF PROPERTY

December 16

2002

VALUE OF ITEMS

REMOVED

FROM INVENTORY

DURING FISCAL

YEAR BY

START WITH A NOUN INCLUDE IF APPLICABLE

( Actual Size is Legal 8-1/2 x 14)

STATE OF HAWAII

DEPT. OF ACCOUNTING & GENERAL SERVICES

DETAIL INVENTORY OF PROPERTY

SPO-017A (REV 03/14)

( MCN )

29 - 67

CORRECTION - CARRYING VALUE INCREASE

3 04 3 1 1 2 4 005 2005120 3375 1 PC DELL OPTI GX3 W/MON SN321567 02

8 1,875.00

M4005057

CORRECTION-CARRYING VALUE DECREASE

3 04 3 1 1 2 4 005 2005150 3380 1 PRINTER HP LaserJet 8000 SN821342 02

1,258.50 8

M4005058

CORRECTION-DESCRIPTION & CARRY VALUE INCR

3 04 3 1 1 2 4 005 2005160 3313 1

PROJECTOR BH920 SN921 W/ZOOM LENS

8 1,325.25

M4005059

Page 9-25

To Increase the original Carrying Value from 1,575.00 to 1,875.00

To Decrease the original Carrying Value from 1,458.50 to 1,258.50

To Correcting Description - Zoom Lens & Increase Carrying Value from 1,100.00 to 1,325.25

To correct or revise the Carrying Value of an existing inventory record, if the value has increased, enter Acq Code 8 in Col. 71. If decreased,

enter Disp. Code 8 in column 83. Enter the revised value in Carrying Value on Hand Cols. 72-82. In cases where other data fields are being

corrected along with the Carrying Value, same transaction codes (C 3 8) may be used. See samples below.

Inventory System User Manual

July 2021

Chapter 9 INVENTORY UPDATE PROCESS

MDB REPORT 012 INVENTORY TRANSACTION REGISTER

This report is a computer printout that lists the results of all transactions that were submitted by the inventory personnel

each quarter to update their Inventory Master File. It also serves as the formal transaction register for audit purposes. Any

entry that was rejected by the computer will appear with an Error Code in the far right column.

Frequency:

Sent to Departments or Agencies after their inventory transactions have been processed by ICSD.

Instructions:

Upon receipt of this listing, responsibility of the inventory personnel is to reconcile the transactions submitted on their

SPO Form 17A against those appearing on the Inventory Transaction Register to ensure proper posting and updating of

their inventory records. The following instructions will help in identifying transaction errors and rejections:

Transactions rejected by the computer will appear with an error code in the last column of the transaction register.

Rejected transactions were not posted therefore must be re-entered. Refer to Page 9-29 of this chapter to determine the

nature of the error and corrective actions to re-enter the rejected transaction. Deletion of the reject transaction

is not necessary.

Identify posting errors by comparing the transactions submitted on your SPO Form 17A against those appearing on the

Transaction Register. Transactions with OP Codes C, D, and X are paired with the inventory master file record that the

transaction is changing, deleting, or removing. You must ensure that the correct master inventory record is adjusted

properly.

Transactions that were rejected by the computer or posted with errors are to be corrected and re-entered during

the next Quarterly Inventory Transaction Update Process.

Description:

Distribution:

Page 9-26

Quarterly - to accounts that submitted transactions on the SPO Form 17A.

Inventory System User Manual

July 2021

Chapter 9 INVENTORY UPDATE PROCESS

MDB REPORT 012 INVENTORY TRANSACTION REGISTER - INSTRUCTIONS

STATE OF HAWAII RUN DATE 04/20/02 PAGE 20

MDB REPORT 012 INVENTORY TRANSACTION REGISTE

DEPARTMENT ACCOUNTING & GENERAL SVCS AS OF 3RD QUARTER

O R D D S I F P MAINT ACQUIRED D ERROR

P E E I / S N R LOC CONTROL ITEM QTY D E S C R I P T I O N COST I DECAL CODE

C P V D L D O NO CLASS FY * C S

3 04 3 1 1 1 4 001 2001101 3225 1 CABINET FILE LATERAL 4DW TAN CRAI

02 5 2,501.65 M4008770

3 04 3 1 1 1 4 001 2001110 3224 1 DESK EXEC DBL PED BEIGE AUROR

00 5 1,090.50 M4005550

D 3 04 3 1 1 1 4 001 2001110 3224 1 DESK EXEC DBL PED BEIGE AUROR

00 1,090.50 7 M4005550

3 04 3 1 1 1 4 001 2001150 3329 1 FACSIMILE XEROX MDL 200 SN 2435676 90 5 950.00 M4001234

X 3 04 3 1 1 1 4 001 2001150 3329 1 FACSIMILE XEROX SN2435676 DA11032 90 950.00 1 M4001234

3 04 3 1 1 1 4 001 2011190 3375 1 PC DELL GX3 W/MON SN321567 02 5 1,075.23 M4008789

C 3 04 3 1 1 1 4 001 2011190 3375 1 PC DELL GX3 W/MON/CD SN321567 02 8 1,875.23 M4008789

3 04 3 1 1 1 4 001 2011280 3380 1 PRINTER HP LZRJT 2500 SN192765 90 5 1,100.00 M4008690

X 3 04 3 1 1 1 4 001 2011280 3375 1 PC DELL GX W/MON SN12345 TD02-2 87 1,652.24 2 M4007781

CONTROL TOTA

.00

INPUT TRANSACTION 8,069.62

- - - - - - - - - - -

DIFFERENCE 8,069.62 -

***

3 04 3 1 1 1 5 001 2001541 3380 1 PRINTER HP LZRJT 2200 #1100068 02 * 5 950.25 M4001230

3 04 3 1 1 1 5 001 2001580 3373 6 SOFTWARE MS OFFICE 2000 02 5 3,652.90 DB001

CONTROL TOTA

.00

INPUT TRANSACTION 4,603.15

- - - - - - - - - - -

DIFFERENCE 4,603.15 -

***

Page 9-27

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------------------------------------------------------------------

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Inventory System User Manual

July 2021

Chapter 9 INVENTORY UPDATE PROCESS

MDB REPORT 012 INVENTORY TRANSACTION REGISTER - INSTRUCTIONS

Report No.& Department Title of Report & Quarter Ending Report Print Date & Page No.

OP - Operation Code (Transaction Type) REC - Record Code: 1 = ORG or LOC Header Title or 3 = Detail Inventory Record

ORGANIZATION CODE: DEP = Department Code; DIV = Division Code; S/D = Sub-Division Code; ISL = Island Code.

LOC - Location Code (Physical location) MAINT CONTROL NO. (Unique number assigned to each record annually)

ITEM CLASS - Item Classification Code (Number assigned to each item to classify it into a prescribed inventory class)

QTY - Quantity (Item count) DESCRIPTION (Description of the item)

ACQUIRED - FY = Fiscal Year the item was acquired (receipt date). (*) Asterisk if an approximate or average Fiscal Year.

C - Acquisition Code (How the item was acquired) COST - Item's Original Value. If disposal the Value of Item Removed

DIS - Disposal Code (Identifies reason for removal)

DECAL (Number assigned to the item for control & property ownership)

ERROR CODE - A code that is generated by the computer program to describe the reason for transaction rejection.

CONTROL TOTAL (Optional request) =Total of all values (carrying value, value removed & value changed)

TOTALS: INPUT TRANSACTION = Accumulated total of carrying value, value removed, value changed, including error transactions.

DIFFERENCE = Difference between the Control Total and Input Transaction amounts.

Posting Error - Wrong item removed. The Maint Control No. is assigned to another item. Printer has to be added back to inventory.

Error code - Transaction rejected by the computer because the Maint Control Number is assigned to another inventory item.

Page 9-28

PRO - Property Code: 1 = Land & Improvements; 2 = Buildings & Improvements; 3 = Vehicles;

4 = Equipment; 5 = Controlled Items; 6 = Weapons;

7 = Works of Art & Historical Treasures; 8 = Infrastructure.

FND - Fund Code

2 3

4 5

9 10

15 16

Inventory System User Manual

July 2021

Chapter 9 INVENTORY UPDATE PROCESS

MDB REPORT 012 INVENTORY TRANSACTION REGISTER - ERROR CODES

Error Codes appear in the last right column of the Transaction Register and is generated by the Computer to describe the nature of each

transaction error or rejection. The following error code & description will enable you the identify the error & make the necessary correction.

CODE

DB001

ADDITION TRANSACTION ( A1 / A3 ) WITH MATCHING OR DUPLICATED MAINT CONTROL NUMBER.

This means the control number is a duplicate of either a number previously assigned by you or the computer.

DB003 CHANGE TRANSACTION ( C1 / C3 ) WITH NO MATCHING RECORD. The computer could not match your transaction to its records

because of error with either the ORG Code, Property Code, Location Code, or Maint Control Number.

DB004 REMOVAL TRANSACTION ( X3 ) WITH NO MATCHING RECORD. The computer could not match your transaction to its records

because of error with either the Record Code, ORG Code, Property Code, Location Code, or Maint Control Number.

DB005

DELETE TRANSACTION ( D1 / D3 ) WITH NO MATCHING RECORD. This is similar to Error Code DBOO4.

DB006

INVALID OR BLANK PROPERTY CODE. Transaction with either erroneous or no property code.

DB007

INVALID OR BLANK OPERATION CODE. Transaction with either erroneous or no OP Code.

DB008

INVALID OR BLANK RECORD CODE OR DUPLICATION OF A MAINT CONTROL NUMBER.

DB009

BLANK MAINTENANCE CONTROL NUMBER. This means you failed to assign a Maint Control Number to your transaction.

DB010

INVALID HEADER TRANSACTION ( Record Code " 1 " ) WITH INFORMATION IN A FIELD THAT SHOULD BE BLANK.

DB016

MISSING QUANTITY, FISCAL YEAR, OR CARRYING VALUE ON " A3 " TRANSACTION.

DB017

REMOVAL TRANSACTION ( X3 ) WITH INVALID DISPOSAL CODE OR WRONG VALUE REMOVED.

Should any of the above Error Code appear on the Transaction Register, you will have to reprocess (re-enter) the transaction with the

correct information. Deletion of the incorrect transaction is not necessary.

Note: If more than one transaction (entry) with the same ORG Code, Location Code & Maint Control No. is submitted in the same

quarterly report, the computer will process one & reject the others. Some transactions require two quarters to complete.

Example: Attempting to change the item description & transferring the item during the same reporting quarter.

Page 9-29

DESCRIPTION

Inventory System User Manual

July 2021

Chapter 10 ANNUAL INVENTORY REPORTING

This chapter defines the Annual Inventory Reporting requirements for the State and is presented

with the following information:

• Responsibility

• Penalties for Non-compliance

• Annual Filing requirements

• SPO Form 17-B Annual Summaries of Inventories – Instructions Page 10-2 to 10-5

• SPO Form 17-B – Filing Samples Page 10-6 to 10-8

Responsibilities

Section 103D-1206, Hawaii Revised Statutes states that the chief procurement officers for their

respective jurisdictions, the administrative heads of the executive departments, and all other

persons, offices, and boards of a public character which are not by law under the control and

direction of any of the officers specifically named in this section, before September 16 of each

year, shall prepare and file with the administrator of the state procurement office an annual

inventory return of state property in the possession, custody, control, or use of the officer making

the return, or of the department or office of the government over which the officer presides. Any

officer, agent, or employee serving in a department or under a returning officer shall file an annual

inventory return to the department head or the returning officer. The officer making the return shall

similarly file a copy with the administrator of the state procurement office.

Penalties for Non-compliance

Section 103D-1209, Hawaii Revised Statutes authorizes the administrator of the state procurement

office to withhold the salary of any designated property custodian for non-compliance to the annual

inventory reporting requirements. Section 103D-1210, HRS imposes further penalties.

Annual Filing Requirements

After the fourth quarter, before September 16 of each year, each designated property

custodian must submit to the SPO, Inventory Management Office an Annual Inventory Report

submission package containing the following:

1. One completed copy of the SPO Form 17-B, Annual Summary of Inventories Report with

execution of the Certificate of Custodian by the Property Custodian, attesting to the accuracy of

the items and dollar value being reported as of June 30th or end of the fiscal year. Also, one

completed copy of the SPO form 17-BTrans, Property Custodian Delegation of Authority.

This transmittal form allows the department head to authorize an individual to be the Property

Custodian for the State organization and location code(s). The transmittal form is not

necessary if the department head does not delegate the authority.

2. Agencies with inventory records maintained by the DAGS, Fixed Asset Inventory System. One

copy of the total page(s), MDB Report 020, which contains the year-end dollar values,

entered on the SPO Form 17-B.

Exception: Exempt agencies that maintain their own inventory recording system. A complete

set of their inventory by detailed item description and carrying value of non expendable state

property on hand, acquired & disposed as of July 1 of the year for which such return is made.

3. Only if adjustments are made to the totals on the SPO Form 17-B attach a copy of the SPO

Form 17-A with the adjustment transactions. Adjustments on this form are limited to

fourth quarter error or rejected transactions that is $5,000 or greater. Agency must

submit another separate copy of the same SPO 17-A to update its inventory listing.

Page 10-1

Inventory System User Manual

July 2021

Chapter 10 ANNUAL INVENTORY REPORTING

SPO FORM 17B ANNUAL SUMMARY OF INVENTORIES REPORT - INSTRUCTIONS

STATE OF HAWAII

(

Actual Form Size is Le

al 8-1/2 x 14

)

DEPT. OF ACCOUNTING & GENERAL SERVICES

ANNUAL SUMMARY OF INVENTORIES REPORT (SPO FORM 17B)

DEPARTMENT

(

DIV., SUB-DIV.,BR., ISLE.

)

PROPERTY CUSTODIAN PREPARED BY DATE PREPARED FISCAL YEAR ENDED

(

Full name

)

(

Phone

)

ORG. CODE

R E C A P I T U L A T I O N O F I N V E N T O R I E S

D D S I LOC. L

E I / S CODE I

P V D L N CARRYING VALUE CARRYING VALUE CARRYING VALUE CARRYING VALUE CARRYING VALUE CARRYING VALUE

T I E ON HAND REMOVED ON HAND REMOVED ON HAND REMOVED

Rejected/Posting Errors

4th Qtr - ADDTIONS From

Not Applicable Not Applicable Not Applicable

Attached SPO Form 17-A

jected/Posting Errors

4th Qtr - DELETIONS From

Attached SPO Form 17-A

Total - Fiscal Year-End

June 30, 19___

Net Total Net Total Net Total

(

a + b - c = d

)

(

a + c = d

)

(

a + b - c = d

)

(

a + c = d

)

(

a + b - c = d

)

(

a + c = d

)

SUMMARY OF INVENTORIES

LINE

CLASSIFICATION NET TOTAL

CERTIFICATION OF PROPERTY CUSTODIAN

Carr

Value of Pro

ert

Carr

Value Removed

Vehicles

ment

Works of Art

Historical Treasures

(Property Codes 3,4,5,6, & 7)

Buildin

s and Buildin

rovements

I,................................. , hereby swear and certify that I am the Property

Custodian responsible for creating the inventory attached hereto, that I

know the contents thereof, that the same is full, true and complete,

and the items enumerated therein are at present under my control and

the value set opposite the various items is true and correct, to the best

of my knowledge and belief. I am also swear and certify that I am

responsible for the care, custody, or control (including but not limited to

sign for: disposal applications, annual physical inventory certifications

and transfer of properties) of all state property pertaining to the stated

organization and location code(s).

roper

Land

Land Im

rovements & Infrastructures

Property Custodian Signature Date

(Property Code 1& 8)

TOTALS

SPO FORM 17-B (Rev 07/13)

Page 10-2

Org. Code Total from Annual

MDB 020 Computer Printout

( as of end of

4th Qtr )

Carrying Values are from Line d

VEHICLES, EQUIPT, ARTS, HISTORICAL BUILDINGS AND IMPROVEMENTS

Property Code 2

LAND & IMPMTS & INFRASTRUCTURE

Property Codes 1 & 8Property Codes 3,4,5,6 & 7

1 2 3 4

----- 6 -----

12 13 14

1817

Inventory System User Manual

July 2021

Chapter 10 ANNUAL INVENTORY REPORTING

SPO FORM 17B ANNUAL SUMMARY OF INVENTORIES REPORT - INSTRUCTIONS

DEPARTMENT - Enter the applicable Department, Division, Sub-Division, Branch & Island.

PROPERTY CUSTODIAN - Enter the name of the property custodian of the account.

PREPARED BY - Enter the full name and phone number of the person preparing the report.

DATE PREPARED - Enter the date of preparation of the report.

FISCAL YEAR ENDED - Enter the applicable fiscal year-end date of the report.

ORG CODE - Enter the Organization Code of the reporting account. Prepare a separate report for each ORG CODE

LOC CODE - Enter " ALL " if the Report applies to all locations of the ORG Code or selected locations.

Line a - (As of end of 4th Qtr)

Line "a" are the total dollar values for the ORG Code or Location Code(s) taken from

the last page of the MDB Report 020 Annual Inventory Report of Property. If no value enter "None".

Combine ORG TOTALS for "VEHICLE, EQUIP, CONTROL, WEAPONS & ART/HIST" from " Original Cost of Property " column.

Combine ORG TOTALS for "VEHICLE, EQUIP, CONTROL, WEAPONS & ART/HIST" " from " Value of Property Removed " column.

Enter the ORG TOTALS for " BLDG " from " Original Cost of Property " column.

Enter the ORG TOTALS for " BLDG " from " Value of Property Removed " column.

Enter the ORG TOTALS for "LAND and INFRA" from " Original Cost of Property " column.C25

Enter the ORG TOTALS for "LAND and INFRA" from " Value of Property Removed " column.

Line b - ADDITIONS - allows the property custodian to increase (adjust) their Year-end balances - only 4th Qtr Rejected

Transactions or Posting Errors. "None" if it applies. Adjustments require submission of two copies of the SPO Form 17-A

Inventory of Property 17-A with Qtr ending Sept 30. Use Maint Control No. from the new MDB 020 Printout.

Enter total values of the Add or Change-value increase transactions for Property Codes 3, 4, 5, 6 & 7 on the SPO Form 17-A.

Enter total values of the Add or Change-value increase transactions for Property Code 2, on the SPO Form 17-A.

Enter total values of the Add or Change-value increase transactions for Property Code 1 & 8, on the SPO Form 17-A.

Page 10-3

Inventory System User Manual

July 2021

Chapter 10 ANNUAL INVENTORY REPORTING

SPO FORM 17B ANNUAL SUMMARY OF INVENTORIES REPORT - INSTRUCTIONS

STATE OF HAWAII

(

Actual Form Size is Le

al 8-1/2 x 14

)

DEPT. OF ACCOUNTING & GENERAL SERVICES

ANNUAL SUMMARY OF INVENTORIES REPORT (SPO FORM 17B)

DEPARTMENT (DIV., SUB-DIV.,BR., ISLE.) PROPERTY CUSTODIAN PREPARED BY DATE PREPARED FISCAL YEAR ENDED

(

Full name

)

(

Phone

)

ORG. CODE

R E C A P I T U L A T I O N O F I N V E N T O R I E S

D D S I LOC. L

E I / S CODE I

P V D L N CARRYING VALUE CARRYING VALUE CARRYING VALUE CARRYING VALUE CARRYING VALUE CARRYING VALUE

T I E ON HAND REMOVED ON HAND REMOVED ON HAND REMOVED

d/P

rrors

Not Applicable Not Applicable Not Applicable

4th Qtr - ADDTIONS From

Attached SPO Form 17-A

ejec

ed/

tin

Err

4th Qtr - DELETIONS From

Attached SPO Form 17-A

Total - Fiscal Year-End

June 30, 19___

Net Total Net Total Net Total

(

a + b - c = d

)

(

a + c = d

)

(

a + b - c = d

)

(

a + c = d

)

(

a + b - c = d

)

(

a + c = d

)

SUMMARY OF INVENTORIES

LINE

CLASSIFICATION NET TOTAL

Carr

Value of Pro

ert

Carr

Value Removed

Vehicles

ment

Works of Art

Historical Treasures

(Property Codes 3,4,5,6, & 7)

Buildin

s and Buildin

rovements

(Property Code 2)

Land, Land Improvements & Infrastructures

roper

TOTALS

SPO FORM 17-B (Rev 07/13)

Page 10-4

Org. Code Total from Annual

MDB 020 Computer Printout

( as of end of

4th Qtr )

Pro

ert

Codes 1 & 8

Carrying Values are from Line d

LAND & IMPMTS & INFRASTRUCTUREVEHICLES, EQUIPT, ARTS, HISTORICAL BUILDINGS AND IMPROVEMENTS

Pro

ert

Codes 3

6 & 7 Pro

ert

Code 2

26a 27a

28a

29a

21 22 22a21a

20a

24a 25a

26 27 28 29