Inventory Control and Disposal of Furniture and Equipment
Inventory Control and Disposal of Furniture and Equipment
Effective as of: 07.10.2024
American University of Armenia

Policy for Publication

Policy Number: FINA20060001

There is a standing committee in the university for furniture and equipment disposal. It normally bases its decisions upon inventory checking committee’s records/recommendations.

During the periods of inventory checking department heads of the university may apply to the committee to inform about the availability of outdated equipment in the department.

The committee will first evaluate the status of equipment and its possible usefulness for other departments and, in case of rejecting that possibility, will decide on disposal of worn out and useless equipment.  The committee will invite a company for valuation of  its market value and make a recommendation to the Administration to organize a sale, an auction, or make a donation.

If the equipment was bought through funds received from USAID or other grantors, then it can be disposed only if there are no restrictions for it by the grantor.

There is a special form “Act for equipment disposal” (form HM-8) (see Appendix 1.1) which is used to document sale, donation and all other types of equipment disposal.

The director of the university administration approves the act for disposal of the equipment. The original act is submitted to the Accounting office and a copy of it remains with the person responsible for the equipment. This act is also considered as basis for registering the useful spare parts, materials and scrap metal emerged after the disposal of the equipment in the warehouse. The reason for disposing, technical condition of the equipment and the conclusion of the equipment inspection are filled in the act for disposal. Also, the description of the expenses connected with the disposal of equipment, the expense category and the amount are filled in the act of disposal.