How to Keep Your Institution’s Asset Management Compliant

March 21, 2022

Capital Asset Management

To keep your institution’s asset management compliant, physical capital asset inventory verification is required every two years per 2 CFR 200 Uniform Guidance (UG). Some state and agency-specific mandates may require inventory verification every year or have different capitalization thresholds or have specific capitalization thresholds that differ peer institutes. It is critical to review agency-specific requirements for assets purchased under sponsored agreements. 

The UG also lists requirements for your property records, in other words, the FIELDS you need to have in your asset system to comply with the regulations. These requirements are meant to ensure that your asset system can demonstrate the ability to account for and track equipment that has been partially or fully acquired with federal funds. 

When examining asset management system requirements, it is important to keep in mind that data validation will assist in compliance and keeping records clean and consistent:

The asset verification process can be streamlined with new mobile verification software or RFID tag scanning. Asset management systems that allow for mobile asset verification via smartphone help reduce hardware costs and easily put the verification process into the hands of your staff. A particularly helpful system allows for verification of the asset without downloading an application onto the user’s phone. Formerly in a decentralized asset verification process, property control staff had to take the word of the end-users of the asset status. Now, these verifications can provide proof that the asset was physically scanned, or a photo was taken.

To learn more about how RFID tag technology can help your institution remain compliant, click here. 

If you need help with keeping your institution’s asset management compliant, our team would love to help! Reach out to us here to start a conversation.