6.0 - Equipment Loan

SUBJECT:

SOURCE:

ORIGINAL DATE

OF ISSUE:

DATE OF

LAST REVISION:

CSOP NO:

RATIONALE:

CSOP:

Initiation of the Equipment Loan/Return document is required when capital equipment is borrowed from Indiana University for more than thirty days and the equipment resides at a faculty or staff's personal residence. The loan document must be completed before the equipment is removed from the campus.

In accordance with IU policy, equipment may be loaned for a period of two years or less, and the loan document must be completed before equipment is removed from the university. If the equipment is not returned at the end of two years, a new Equipment Loan/Return Document must be processed to extend the loan.

Equipment residing at an off-campus/off site, institutional location does not require an Equipment Loan/Return document. An off-campus/off-site institutional location refers to any school or institution associated with Indiana University, i.e., equipment located at the Bloomington Hospital. Equipment residing at a research location affiliated with Indiana University is also considered off-campus/off site. The off-campus/off-site address must be entered in the Asset Location tab of the asset in KFS.

The Equipment Loan/Return document allows organizations to issue loan documents for non-capital assets. However, this requires that the organization has created the non-capital asset within the Capital Asset Management System.

Initiating the Equipment Loan

Renewing the Equipment Loan

Returning the Equipment

Approvals

Responsibilities

Insurance Coverage

Initiating the Equipment Loan

1) the asset must be created in KFS,

2) the IU tag must be attached to the equipment, and

3) the tag number field for the asset must be populated in KFS.

To initiate the Equipment Loan/Return document, lookup the asset to be loaned and click on the loan hyperlink.  The Equipment Loan/Return document requires the following:

Borrower ID

The borrower id is the username of the person responsible for the equipment (borrower).  This will be the faculty or staff member in possession of the equipment. 

Expected return date

Enter the date the asset is expected to return
to the university.  The expected return date must not exceed two years.

Borrower's address 

The system will require the user to enter the borrower’s address (personal residence).  If the equipment is not located at the borrower’s personal residence, then the second address (stored at address) should also be completed. 

Renewing the Equipment Loan

To renew a loan, lookup the loaned asset to be renewed and click on the renew hyperlink.  Notice that the borrower ID and borrower’s address is retrieved.  Verify this information is still correct and enter the new expected return date.

Returning the Equipment

To return the equipment in KFS, lookup the asset and click on the return hyperlink.  The loan return date is automatically populated with today’s date; however, enter the actual date the asset returned to the university, if different. 

Approvals

If support staff initiates the Equipment Loan/Return document, the document will route first to the fiscal officer of the asset owner’s account for approval.  The document will then route to the borrower’s action list for approval even if they are not an active KFS user.  Non-KFS users may view their action list without authenticating (Duo token).  Since faculty may not actively check their action list, we recommend sending the borrower an email alerting them that a loan/return/renew document is in their action list and requires their attention.

Responsibilities

Responsibilities of loaner:

• Tag the equipment before it leaves the premises.
• Initiate the Equipment Loan/Return document to loan/renew/return asset.
• Perform physical inventory on the equipment.
• Keep accurate inventory records of equipment on loan for a period less than thirty-one (31) days.

Responsibilities of borrower:

• Obtain proper approval to borrow equipment. If the borrower takes the equipment without proper authorization and there is a loss, the borrower will be personally responsible for replacement of the equipment.
• Return of equipment to organization upon request for inventory or audit purposes or upon completion of loan.

Insurance Coverage

University equipment is covered by the Office of Insurance, Loss Control and Claims (INLOCC) with a $1,000 deductible.  This includes equipment off campus.  Any concerns regarding insurance should be directed to INLOCC.

DEFINITIONS:

Capital equipment- must have an acquisition value of at least $5,000 and a useful life expectancy of one year or more.

Equipment- The term “equipment” includes delivery equipment, office equipment, machinery, furniture and fixtures, factory equipment and similar fixed assets.

Off Campus - An off-campus/off-site institutional location refers to any school or institution associated with Indiana University, i.e., equipment located at the Bloomington Hospital. Equipment residing at a research location affiliated with Indiana University is also considered off-campus/off site.

CROSS

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RESPONSIBLE

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