Learn about Equipment Trust Funds (ETF)
Learn the Basics >>
Equipment acquired by the University is generally purchased with funds allocated to the university through the state allocation process. To supplement this process, in 1986 the state created a new source of bonds, the proceeds of which are allocated to higher eduction institutions to purchase equipment.
Equipment purchased with the ETF follow different rules and procedures.
Equipment Trust Funds Rules >>
- ETF equipment must have a cost of $1,000 or more. (Exception: Computers and printers may have a cost of $500 or more.)
- All ETF equipment is recorded in the central inventory records.
Procedures for Stolen/Lost ETF >>
- Lost or stolen ETF items with a depreciated value of $500 or more must be replaced within 90 days of the date they were discovered missing.
- When replacing ETF items:
- Identify on the requisition that this is to replace missing ETF.
- Write the barcode number of the missing item on the requisition form.
Example of a Stolen Equipment Purchased with ETF>>
Equipment purchased with ETF funds one year ago was discovered stolen. The equipment had an original cost of $1,200 and a three-year life. Annual depreciation is $400 (one-third of $1,200). The book value of the equipment at the time of theft is $800 ($1,200 cost less $400 depreciation). Because the depreciated value is more than $500, the item must be replaced with a like item, and the replacement cost charged to the department that had custody at the time of theft.