Texas Government Code Ann. Sec. 403.273 (Vernon Sup. 1993) reads, in part:

"The head of each state agency is responsible for the custody and care of state property in the agency's possession. Furthermore, it is each state employee's responsibility to use state personal property to official purposes only, and to exercise reasonable care for its safekeeping. The term "reasonable care" means that, at a minimum, steps have been taken to maintain the upkeep of any property in an acceptable manner, ensures the security of any asset, ensures that the property can be located at any time requested, and ensures that the person responsible for the asset is known."

Tagging/Labeling of Inventory

The Inventory Section assigns a unique five-digit inventory control number to capital assets and controlled property. If tagging is not feasible, the inventory number is marked on the property with permanent ink. Items that cannot be marked in any way (i.e., art, software, etc.) are assigned an inventory number and included on the department's inventory. The original tag is kept on file in the inventory office, and a copy of the purchase order and assigned tag number is sent to the department for their files. Additionally, all personal property (regardless of value) should have a UTEP label to identify the item as University property. Although these items are not inventoried, they are still considered University property and should be properly used, maintained, and protected.

Departmental Responsibilities

Department heads are responsible for the daily care of property and are accountable for items assigned to their area. The UTEP Office of Auditing and Advisory Services and the Inventory Department will conduct random departmental audits throughout the year that will include the testing of property controls. To facilitate these audits, it is recommended that the departments have the following documentation on file and accessible at all times:

• Copy of the department's most recent physical inventory and exceptions listings
• Missing/Stolen Reports
• Campus Police Incident Reports
• Correspondence to the Inventory Department
• Inventory Transfer Documentation
• Authorizations for Property Removal from Campus
• Documentation for property turned in for repair/trade-in

Additionally, information on preventive maintenance, calibration schedules, warranty information, and service contracts should be maintained. Ideally, departments should maintain inventory records in one location and establish internal procedures and personnel to keep the records updated.

Removal of Equipment from University Premises

University owned property may be removed from the campus and other University facilities to be used in conducting official business of the University. Such property is not for personal use. When an item is taken off campus, the individual assumes financial responsibility for the property. A Removal of Equipment from the University Campus Form must be completed and signed by the chairperson or other authorized official. The completed form is kept in the department files for future reference.

Loan of Equipment

Departments may lend equipment to another department of state agency for official purposes. Both parties should understand that the inventory records are not affected by a loan transaction; the lending department remains responsible for the property. The head of the lending agency should ensure that a responsible official of the borrowing department acknowledges receipt of the item.

Equipment Returned to Manufacturer for Repair or Replacement

When returning equipment to the manufacturer for repair, departments should make note of the inventory and serial number of the property. If there is a possibility that the original item will not be returned, the UTEP inventory tag should be removed and returned to the inventory office. A new number will be assigned to the replacement unit. No property should be returned to the manufacturer with UTEP property tags.

Annual Physical Inventory

The UTEP Inventory Department conducts a "perpetual" inventory of all capitalized and controlled property on campus every fiscal year. The department first conducts a "wall to wall" inventory of all buildings on campus and then returns to each individual department to conduct a follow-up inventory on any remaining missing items.