12.4.7 Dispose of Equipment with a Nominal Value
Policy Statement
The University of Illinois System (University) has the right to remove equipment from inventory with a nominal value per Sec 5010.311 of the IL Administrative Code and the Illinois State Property Control Act (30 ILCS 605). Nominal value means the depreciated value of the equipment is less than $2,500. The University must first obtain approval from the Department of Central Management Services (CMS) to remove items from inventory. University Accounting and Financial Reporting and Property Accounting will assist in determining the depreciated value of non-capitalized equipment records and will obtain CMS pre-approval.
At the direction of the University Controller, an initial disposal of equipment records has been scheduled for February 2021 with the need for subsequent disposal requests to be evaluated on an annual basis.
Procedure
- Property Accounting will review all non-capitalized equipment records to determine which items have depreciated below $2,500.
- Property Accounting will obtain CMS pre-approval.
- Property Accounting will send the lists of the items to be removed to each unit for review and feedback.
- Property Accounting and AITS will process the disposals for all equipment determined to have a depreciated value of below $2,500.
Sec 5010.311 of the IL Administrative Code
Illinois State Property Control Act (30 ILCS 605)
Equipment Threshold Changes
First Published: June 2011 | Last Updated: March 2023 | Last Reviewed: March 2023