Acquisitions

Creating Acquisition Transactions:

• How do I add an acquisition with a prior year date to an existing item?

  • If an acquisition needs to be added to an existing item, click on 'create' on the Transactions>Acquisitions grid to add the acquisition. The date must be in an open period. If the item is currently capitalized, check the error correction box in order to include the acquisition amount to the adjustments column instead of the acquisition column on the GAAP schedule of change reports.

  • Why would I need to check the error adjustment?

    • If the acquisition is for a capitalized assets and was supposed to be created in a prior year (and the prior year is archived or you prefer not to re-open it), you can add the acquisition in the current year and by checking the error adjustment, the acquisition amount of the asset will included in the adjustment column on the GAAP Schedule of Change reports.

Editing Acquisition Transactions

• Why can't I edit the fund, function or asset class on an existing acquisition transaction.

  • Those fields are coming from the item record and cannot be modified on the acquisition transaction.  If on GAAP and you need to change the fund, function or asset class, you must create a transfer transaction. 

• Can I edit an acquisition with an acquisition date in a closed period.

  • If in an archived period or prefer not to re-open a closed period, you can't edit the acquisition. 

Deleting Acquisition Transactions

• Can I delete an acquisition I created in the same period?

  • Yes, if the period is open and current, you can delete the acquisition.  Otherwise, you are restricted in closed or archived periods. NOTE: If an acquisition is deleted and the existing Item is still on file, capitalized assets without a corresponding acquisition will fall under the "Acquisitions Prior to System Startup" on the GAAP Schedule by Source. Posting historical acquisitions for these items will put them into the correct source fund.

Items

Creating Item Transactions

• How would I add a new item that was acquired by the district in a prior fiscal year?

  • You have a couple of options: 

    • If the period can be re-opened and you would prefer to re-open the period, once it's open, you would add the item using Transactions>Items

    • If the period is archived or you would prefer not to re-open the period, the item would be added in an open period, as usual through the Transactions>Items grid, using the 'create' option. A date in the open period must be entered in the acquisition window but after you click 'continue to item', you can enter the true acquisition date in the items window. If depreciation is to be calculated, you will want to enter the true acquisition date as the beginning depreciation date.  If the item is capitalized, after the item has been added, access Transactions>Acquisitions, query the newly created acquisition against this item and check the error correction box in order to include the item's amount to the adjustments column instead of the acquisition column on the GAAP schedule of change reports.

• How do I add an item that has been received as a donation?

  • An item would be added as usual through the Transactions>Items grid using the 'create' option. A date in the current processing year and an acquisition amount must be entered in the acquisition window but otherwise, the rest of the information in the acquisition window is not required  After you click 'continue to item', please enter the rest of the necessary information for this asset ensuring the acquisition method be set to "D" for donated. NOTE: Donated items should be entered with an original cost equal to the current market value. Items purchased with a trade-in should also be added to the system with an original cost equal to the full purchase price

• If I decide to track textbooks/library books as an asset on the system, how would I go about doing that.

  • Due to the numerous acquisitions and dispositions that can be associated with keeping textbooks and library books on the inventory system the following procedure has been suggested to simplify the matter. This suggestion is accepted by the State Auditor's Office as long as the district keeps an auxiliary list of the actual books and their original cost

    • All textbooks or library books can be entered into the system under one tag number with the original cost set equal to the combined total of all the books. The "No. of Items:" field on the ITMSCN should be set to "1."

    • As new books are added, acquisition transaction records should be added for this tag number using the cost of the additions. Likewise, when books are disposed of, acquisition transactions should be added using a negative dollar amount to reflect the original cost of the books that are being disposed of. When adding these acquisition transactions,  "Update original cost ?" should be checked. Checking this will cause the original cost on the item to reflect the original cost of all the current books.

• I have items such as textbooks and desks on the system as capitalized lots.  If I breakdown a lot, each individual item would fall under the threshold amount.  GASB34 states lots can be excluded on GAAP schedules as long as they do not exceed 20% of your total capital assets. How can I keep them on file as a lot but off of my GAAP Schedules?

  • Bulk items can be kept off of the GAAP schedules by making use of the Entity ID on the item record. Enter an entity id such as NOGAAP for these items.  Then when running the GAAP reports you have the option to exclude specified entity ID’s.  For example, choosing to exclude the entity NOGAAP will not include the lot amounts on your GAAP schedules.

Editing Item Transactions

• Can I change a tag number?  What if I need to retag it due to the original tag no longer be on the physical asset.

  • Tag numbers can be modified at any time.  If the tag number is modified, a note should be added on the item referencing the old number (it can be entered in the accessories, part of the description or user information information).  

• I need to edit an item?  If my GAAP flag is checked, are there specific fields I cannot change?

  • Yes, most fields can be edited however, the fund, function, asset class and original cost may not be changed on an existing item.  Also the status cannot be changed to disposed of. 

    • If you need to change the fund, function or asset class, create a transfer transaction.

    • If you need to change the original cost, create an additional acquisition against the item.  If the original cost should be lowered, enter a negative acquisition amount.  If the original cost should be higher, enter a positive acquisition amount.  Ensure the 'update original cost' is checked to update the item's original cost by the amount entered on the acquisition.  If the item is capitalized and acquired in a prior year, please ensure the 'error correction' is checked as well so the amount of the acquisition will be included on the adjustment column on the change schedules.

    • If you want to dispose of the asset, you must enter a disposition transaction for it.  This will then update the item's status to "D" for disposed of.

• I need to update a field on several of my existing items.  Is there a way to mass-update? 

  • Yes, using the recommended spreadsheet format outlined in the SYSTEM>Import chapter, you can use Item Import type to update information on a existing field. 

    • NOTE: GAAP fields such a fund, function and asset class can be updated as long as the 'create transfers' box is checked.  This will update the fund, function or asset class on the item record and also create associated transfer transactions. 

    • NOTE: If you want to update the original cost, you must use the (acquisition import type), making sure the update records box IS NOT checked.  This will create additional acquisitions against the item and also update the associated item's original cost.

    • NOTE: If you want to update the status of the item to disposed of, you must use the disposition import type to create mass dispositions.  This will also update the associated item's status to 'disposed of'.

• My auditor has requested the existing LTD be changed on several items.  How do I go about doing this?  

  • You have a couple of options:

    • If the LTD needs to be recalculated, you can check the specific items on the grid and click 'depreciate'.  We strongly recommend running a projection only to generate a projection report to review the newly recalculated LTD figure to ensure the correct figures are listed.  If so, uncheck projection only and generate an actual run to update the LTD figures.

    • If the existing LTD amount must be adjusted to a specific figure, edit the item and create a depreciation transaction in an open period to adjust the existing LTD figure.  The amount entered will be added (or subtracted if entering a negative adjustment) to the existing LTD amount.  

Deleting Transactions

• Can I delete an item?

  • Deleting an item will remove the item (and its associated acquisitions, possible transfers or dispositions) from the system so it is no longer on the system.  

    • You may delete an active capitalized asset with an acquisition date in an open and current period. Otherwise, you have to create a disposition transaction (closed or archived period).  When posting the disposition transaction, the related item will remain on the system but the status will change to 'disposed of'. 

    • You may delete an active or disposed of non-capitalized asset regardless if the acquisition date is in an open, closed, current or archived period. 

    • You cannot delete a disposed of capitalized asset with an acquisition date in a closed or archived period.

• What if I added the same item twice (two different tag #) in the same fiscal year?  Can I delete the duplicate?

  • If capitalized, you may delete the duplicate item if the acquisition date is in an open and current period. Non-capitalized assets may be deleted regardless of the acquisition date.

• What if I entered an item twice, but were entered in different open periods.  Can I delete the duplicate?

  • Once you determine which item is the duplicate, if capitalized, you may delete the duplicate item if the acquisition date is in an open and current period.  If the capitalized duplicate item's acquisition date is not in an open and current period or you prefer not to re-open the period, you cannot delete the item.  Instead, you must post a disposition via Transactions>Dispositions.  Since it's capitalized, ensure the 'error adjustment' flag is checked so that the amount is included on the adjustment column (and not the disposition column) of the GAAP Schedule of Changes reports.   

  • If the item is non-capitalized, it may be deleted regardless of the acquisition date.

• If I entered an asset in an open year by mistake, can I delete it or must I create a disposition transaction.

  • Yes, if the item was added in a period that is open and current, you can simply delete it in Transactions>Items.  This will also automatically delete the associated acquisition transaction.  

• How do I delete an item that was entered in a prior period?

  • If the item is non-capitalized, you may delete it regardless of the acquisition date.

  • If the item is capitalized and entered in a prior year and you are not able to open and make it that period current or you prefer not to re-open the period, you must post a disposition transaction.  Since it's capitalized, ensure the 'error adjustment' flag is checked so that the amount is included on the adjustment column (and not the disposition column) of the GAAP Schedule of Changes reports. 

Dispositions

• I disposed of an item that is still considered active.  Can I delete the disposition?

  • If the disposition date is in an open and current period, you can delete the disposition.  This will update the item record back to an 'active' status.

  • If the disposition date is in an archived period or you prefer not to re-open the period, you must re-create the item.

• Why would I need to check the error adjustment?

  • If the disposition is for a capitalized assets and was supposed to be created in a prior year (and the prior year is archived or you prefer not to re-open it), you can add the disposition in the current year and by checking the error adjustment, the original cost of the asset will included in the adjustment column on the GAAP Schedule of Change reports.

• Can I mass dispose of existing items?

  • Yes, using the recommended spreadsheet format outlined in the SYSTEM>Import chapter, you can use Disposition Import type to create mass disposition records for existing items.  This will also update the associated item's status to 'disposed of'.

Pending Items

• We just migrated to Inventory and I need to create my pending file.  What date should I use on the 'pull from USAS' option.  That depends:

  • Are invoiced PO items processed in USAS-R being are being marked for inventory?  Part of the USAS-R post-import steps is to install the EIS Classic Migration Module and set up the EIS Classic Integration Configuration. Once set up, when posting an AP invoice in USAS-R, any PO items that meet the pending threshold will be marked (behind the scenes) for inventory. NOTE: If using a third-party application to post invoices, please check with your third party to see if there is additional setup needed to flag invoiced items for inventory in their software. 

    • If invoiced items are being marked for inventory and your district migrated to USAS-R before Inventory, was the Inventory Pending Extract report generated periodically and imported into Classic's EIS pending file via the EISIMPR program? Were those pending items then converted into tags via EISSCN>ITMSCN?

      • If you have kept up with extracting from USAS-R, importing into the pending file in Classic and creating tags in EIS, use your current Classic EIS501 report as a reference when re-creating the pending file in Redesign using the earliest invoice date on the EIS501 as a starting date on the "pull from USAS" option. It's very likely there will be more items pulled in than what is on your existing EIS501 because Redesign doesn't know if some of those items marked for inventory have since turned into a tag in EIS. You can delete any items on the pending items grid that were already turned into an inventory tag in EIS or you don't plan on creating a tag for in Redesign.

      • If you have not been extracting from USAS-R and importing into EIS via EISIMPR since starting in USAS-R, and not keeping up with their pending file in Classic EIS, we advise using your USAS-R import date as the starting date on the "pull from USAS" option. This will pull any USAS-R invoiced items marked for inventory since you began processing in USAS-R.  You can delete any items on the pending items grid you don't plan on creating a tag for in Redesign.

• I pulled my PO items into the pending file and then deleted some of them by mistake on the grid.  Can I re-pull?

  • Yes.  When items are deleted from the pending items grid, a message is sent back to USAS-R stating the item was rejected.  Pull from USAS will not include marked for inventory items with a status of 'rejected' by default.  However, if the item needs to be pulled into Inventory again, check the "includes rejected' box to include rejected items inclusive of the starting date.

• How does USAS and Inventory talk?

  • In USAS-R, when an invoiced item meets the pending threshold, it's marked for inventory with a 'pending' status. 

  • In Inventory, when selecting 'pull from USAS', those items that are inclusive of the starting date entered will be pulled into the pending file grid and the USAS-R status will be updated from 'pending' to 'sent' 

  • When a pending item is turned into a tag, it is removed from the pending grid and the USAS-R status will be updated from 'sent' to 'posted' to indicate it's been turned into a tag.

  • If a pending item is deleted (in the pending item grid), it is removed from the pending grid and the USAS-R status will be updated from 'sent' to 'rejected'.

• Do I need to 'Pull from USAS' periodically?

  • Yes, you will need to be performed periodically to pull in newly invoiced items into the pending file.  Because Inventory keeps USAS updated on the inventory status of the pending item, 'Pull from USAS" will not re-pull items that have a 'sent' or 'posted' inventory status.  It will not re-pull items that have a 'rejected' status either unless you check the 'include rejected' box.

• I need to reduce the original cost of an item.  I can't modify the original cost on the item so how do I go about doing this?  

  • In order to modify the original cost of an item, you need to create an additional acquisition via Transactions>Acquisitions against the existing item.  Enter a negative value for the amount you want to reduce the original cost by.  The acquisition date must be in an open period.  Please ensure the 'update original cost' box is checked.  After posting the acquisition, please review the related item record to ensure the original cost has been decreased by the amount of your negative acquisition.

Reports

• My prior year's Book Value Total Depreciation amount no longer matches my current year's LTD depreciation amount.  The Total Depreciation column on the book value is LTD + FTD so once I close the year, the new year's LTD depreciation should equal the prior year's Total depreciation.  Why doesn't it balance?

  • There could several reasons why these totals may no longer agree

    • First, ensure the prior year's fiscal year has been closed.  LTD depreciation does not get updated until a fiscal year is closed.

    • If the prior year has been closed or you are comparing the current year report to a Classic generated EIS305,

      • if any non-cap items were deleted (removed) from Inventory, those items will no longer be included in the current year Book Value 

      • making changes to any fields that are involved in the LTD depreciation calculation and then running the 'depreciate' option.  These would include depreciation method, beginning date, salvage value, life expectancy and updates made to original cost.

      • posting depreciation adjustments for existing items 

• Why is the Audit Report showing No Data Returned? 

  • The Audit Report runs based on the system dates (timestamp), not transaction dates. If there was no activity that occurred within the start/stop dates entered the report will show No Data Returned. 

  • This report will only show activity that happened in Redesign, not Classic. If the date range is prior to the district migration to the Redesign Inventory the report will show No Data Returned.

Transfers 

• Why would I need to check the error adjustment?

  • If the transfer is for a capitalized assets and was supposed to be created in a prior year (and the prior year is archived or you prefer not to re-open it), you can add the transfer in the current year and by checking the error adjustment, the original cost of the asset will included in the adjustment column on the GAAP Schedule of Change reports.

Miscellaneous

• What makes an item capitalized in inventory?

  • It must meet the capitalization criteria stored in Core>Fiscal Years.  If you only have a dollar limit, the item's original cost must meet or exceed the dollar limit.  If you only have a life limit, the item's life expectancy must meet or exceed the life limit.  If you have both a dollar and life limit, the item's original cost AND life expectancy must be met in order for the item to be capitalized.

• How do I change the capitalization criteria if my GAAP flag is checked?

  • Users with INV_STANDARD and INV_GROUP_MANAGER roles are able to run this option. Under the System menu, the Capitalization Criteria option is used to change the capitalization criteria, dollar amount and/or life limit, for districts that have their GAAP flag checked.  Once completed, the capitalization criteria stored under Core>Fiscal Years for that fiscal year will be updated to reflect the new dollar amount and/or life limit. A detailed report, sorted by tag number, will be generated including the fund, function and asset class, capitalization status and the old and new balance amounts for each item that was changed.  A summary recap, subtotaled by asset class, function and fund total groups is included as the end of the report. 

  • By changing the dollar capitalization threshold, items that were capitalized at the beginning of the year may no longer be capitalized; or, items that were not, may now be capitalized. 

    • If increasing the cap threshold, the ENTIRE org cost of an item that is no longer capitalized will appear as a negative adjustment on the GAAP change schedules.  Beginning Balance doesn’t get affected

    • If decreasing the cap threshold, the ENTIRE org cost of an item that is now considered capitalized will appear as a positive adjustment on the GAAP change schedules.  Beginning Balance doesn’t get affected.

    • The detail option of the GAAP change schedules (Schedule of Change in Fixed Assets and Schedule of Change in Depreciation) will include the tags that were affected from the cap threshold changes.

• Where do the amounts included in the 'adjustment' column of the GAAP Schedule of Change reports come from?

  •  These items can appear in this column for the following reasons:

    • The "error adjustment" flag on some corresponding transaction (acquisition, disposition, transfer) record has been checked.

    • If an existing item had additional an acquisition(s) entered during the year changing it from non-cap to capitalized, the additional acquisition(s) amount will appear in the acquisition column and the rest of the org cost of the item will appear as a positive amount under the adjustment column.  The beg balance should not be affected.

    • If an existing item had additional negative acquisition(s) entered, changing it from capitalized to non-capitalized, the item’s entire original cost will display as a negative adjustment in the adjustment column to negate the item and essentially remove the item from the GAAP schedule since it is no longer capitalized.

    • An asset that has been entered as a lot (more than one item) and is capitalized at the beginning of the year may have been split into more than one lot during the year. If the original cost of one (or more) of the sublots no longer meets the capitalization threshold the amount(s) will show as a negative amount in the adjustment column.

• What happens on the system if I re-open a closed period?

  • The system will allow you to post transactions (items, acquisition, dispositions and transfer transactions) using dates within the open period.  Please note, when re-closing the period, a new zipped report bundle for that year will be created.  Depending if transactions were entered during the re-opened year, the newly generated report bundle reports will no longer match the prior report bundle due to the new transactions posted in the re-opened year.  LTD figures will be recalculated and the new year beginning balances adjusted based on any changes made in the re-opened period that could affect those figures. 

• How do I record Assets that are Construction-In-Progress like a building project?   

  • For those assets that are related to a building project currently in progress, the district does have the option of entering these into the inventory system using a construction in progress (CIP) asset class of 0800.  CIP tags should have their depreciation method set to "NONE" so that depreciation is not tracked until after the construction is complete and the assets are in use.  Once the building project is complete, the district can create transfer transactions to change the asset class from 0800 CIP to the asset class it is now associated with and possibly the function code if the asset is marked as 5500 (building acquisition & construction services) to the function code the asset is now being used for.  Any capitalized assets that have transfer transactions will be reflected on the GAAP reports.  For example, on the Schedule of Change in Fixed Assets report (sorted by asset class), if transferring several items from 0800 to 0200 asset class, the transfer-out amount will be reflected under the 0800 asset class and the transfer-in will be on the 0200 asset class.