Biennial Inventory

The University of Illinois must biennially conduct a physical inventory of movable equipment (see the list of inventory equipment) in accordance with State regulations and Section 12 Property Accounting of the Business and Financial Policies and Procedures manual.

This exercise reconciles each property record with equipment on hand in the assigned space, verifying the record’s accuracy and assuring that the item is physically present. Approximately one half of the university is scheduled to complete their inventories in even calendar years, the other half in odd years.

Procedure to conduct inventory

Please see the Physical Inventory of Equipment participant guide that outlines the process requirements.

Physical Inventory Check List (MS Word) will help you to conduct physical search.

Your Equipment Inventory list must be accessed and run in EDDIE using the standard report, UR FIFA Fixed Asset by Org report. Detailed instructions to run UR FIFA Fixed Asset by Org report.

Signed Physical Inventory Certification Letter (MS Word) must be sent to University Property Accounting and Reporting (UPAR) no later than 3 months after distribution of the physical inventory notification.

Data Entry of Inventory Results

The Equipment Inventory list of departmental equipment is the primary tool used to conduct the department’s physical inventory. Upon completion of the physical verification process any changes, whether updates or corrections to equipment records, must be recorded using the FABweb system or through completion of the appropriate UPAR forms.

Alternate methods of entering inventory results may be discussed with UPAR. Some departments have begun using barcoding technology to conduct certain aspects of their physical inventory. Please see Barcoding section to learn more about the process. It is crucial to remember that updating equipment locations through bar coding is only a part of the entire physical inventory requirement.

The certification letters must be signed by the Unit Head (or an authorized delegate) and by the person responsible for conducting the inventory.

Deadlines

Initial results of the physical inventory must be updated into Banner Fixed Asset no later than 3 months after distribution of the physical inventory notification. Any discrepancies identified during the physical inventory verification must be reconciled, resolved, and related updates recorded in Banner Fixed Asset no later than 6 months following the physical inventory notification. If a unit fails to comply with this policy, the appropriate Vice President, Vice Chancellor or Provost to whom the unit reports will be notified and asked to assist the unit in resolving the discrepancies.

Training

Property Accounting - Physical Inventory of Equipment covers the process of conducting the inventory and the steps in verifying the biennial inventory. Topics will include accessing and running the inventory lists in EDDIE, UR FIFA Fixed Asset by Organization, inventory policies and procedures and problem-solving.

Questions

Please contact University Property Accounting and Reporting (UPAR) at obfsuafrproperty@uillinois.edu.

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Last Updated: December 14, 2011