Agenda

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Consent-General Government # 16.

Board of Supervisors

Financial Services

Meeting Date:	09/11/2018
Brief Title: County Fixed Asset Inventory - Deletion of Property from Records
From:	Howard Newens, Chief Financial Officer, Department of Financial Services
Staff Contact:	Josh Iverson, Accounting Manager, Department of Financial Services, x8219
Supervisorial District Impact:

Subject

Approve deletion of requested property from the County's property records for fiscal year ended June 30, 2018. (No general fund impact) (Newens)

Recommended Action

Approve deletion of requested property items from the County's property records for fiscal year ended June 30, 2018.

Strategic Plan Goal(s)

Operational Excellence

Reason for Recommended Action/Background

The County's fixed asset system provides a tool for controlling property acquisition, deletion, and transfers of equipment, structures and improvements as required by Section 24051 of the Government Code. Per County policy, the Chief Financial Officer (in his responsibility as Auditor-Controller) is required to prepare and provide departments a print out of their existing capital asset listing to be certified and returned to the Auditor-Controller by June 30 of the same fiscal year. For accounting purposes, the County uses a $5,000 threshold for equipment and software capital assets . Under the "Accountability for Non-Capitalizable Assets" policy, department heads have the responsibility for assets under the $5,000 threshold.

Fixed asset records for the County, as of March 31, 2018, were provided to department heads to complete and certify their records, and be returned in June 2018. Upon receiving the certifications, there were many requests for deletion from the property records. Policy allows for two ways to achieve the deletion from property records: (1) property was surplussed and sold (or disposed of) through the County Purchasing Manager who provides documentation to the Accounting Division of the Department of Financial Services, or (2) letter to the Board of Supervisors for approval for deletion from property records.

The items in Attachment A, requested for deletion from the fixed asset records, are fully depreciated and have been submitted for deletion by the respective department heads.

The majority of the assets requested for deletion are fully depreciated software or equipment that was not located during the fixed asset inventory. Of note, the 2000 Chevrolet Astro van was owned by the State of California and used under a grant program. It was returned to the state per the grantor's instructions in December 2015 and not removed from County records at that time.

Collaborations (including Board advisory groups and external partner agencies)

The Department of Financial Services collaborated with department heads throughout the County and various financial officers and fiscal staff in order to complete the fixed asset inventory.

Fiscal Impact

Fiscal Impact (Expenditure)
No Fiscal Impact
Total cost of recommended action:		$ 0
Amount budgeted for expenditure:		$ 0
Additional expenditure authority needed:		$ 0
On-going commitment (annual cost):	$

Source of Funds for this Expenditure

Explanation (Expenditure and/or Revenue)

Further explanation as needed:

The fiscal impact of the discharge of assets that are unaccounted for in the fixed asset inventory is the loss of potential proceeds from a surplus sale since these assets may not have been sold through the Purchasing Division. The proceeds of asset sales generally accrue to the general fund unless a restricted funding source requires other accounting treatment. Due to the nature of the assets requested for discharge of accountability, the fiscal impact is anticipated to be immaterial.

Attachments
Att. A. Fixed Asset Request for Deletion

Form Review

Form Started By: jiverson		Started On: 08/16/2018 08:50 AM
Final Approval Date: 08/29/2018