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1 .. .:.........._ .....sue,-•- - ...-.. _.. - ... <br /> Commissioner Gustaveson moved the Board accept the recommendation <br /> of the.�urchasing Agent and award contracts to HealthCo Dental Supply <br /> Company, the low bidder. Commissioner Willhoit seconded the motion. <br /> Vote: ayes, 5; noes, 0. <br /> • <br /> Agenda Item 11 : A New Fixed Asset Policy <br /> • <br /> • <br /> • <br /> • <br /> • <br /> • <br /> ORANGE COUNTY <br /> END ASSET POYICY <br /> A system of recording, tagging and inventorying equipment, furnxtuxe and <br /> • . <br /> •anus is essential in the development of good manag ement procedures and .• <br /> -cal control. Some of the many benefits that can be'realized. from a properly.'"; ' <br /> tamed Fixed Asset System are as follows: <br /> •Control of theft or loss•of valuable County Property <br /> • Identification of.unused property so that it may be moved to other <br /> operations which may have use for them _ ;;:.; <br /> Identification of idle property that could be sold to increase• <br /> County revenues '.:: <br /> Allow for the true value.of•County property-to be reflected in its • <br /> financial statements ti ` <br /> The-Thei-legat:'.requiremenfo maintaining a-Eixe&Asset System can be found. <br /> • 6S159-26/B8 which-states: "Each`local-government or public;aut ority'shall. . ' <br /> stablish and.maintain in its accounting systems such of the following'.funds <br /> - 'ledgers as_are applicable to it . - .A ledger or group of accounts in <br /> ich to record the'details relating to the general fixed assets of the unit: : <br /> r public authority.° . _ <br /> Generally Accepted accounting principles require that'money for equip- • • <br /> sent purchases which have an.acquisition cost over a certain dollar amount. ' <br /> d which have an expected..useful.life of more than a. set period of time be . • <br /> • •geted into'a separate Capital Equipment Line item with different procedures ". <br /> - ssociated with it than one would find with a regular'supplies budget.. The ::; <br /> eason for the different procedural requirements is that large sums of money' <br /> are often placed in these accounts and can have a significant impact on the <br /> budget process and on the overall worth of the organization since the items . <br /> bought out of Capital Equipment Account are not expendable. The procedures <br /> involved with Capital Equipment Account are as follows: <br /> Miring the budget process, the Board of County Commissioners: - <br /> must approve each specific item before that money is allocated <br /> ••to.the Capital Equipment Account• <br /> • If a department-head believes that due to changing circumstances, :j- <br /> _ the money allocated for a particular item may be better used by <br /> ' spending it on different items, he or_ she must request permission <br /> ffom•the Board'of-Commissioners_to 'reallocate the money for that purpose. <br /> All items purchased out of a capital equipment account must be . <br /> entered into the Fixed Asset System (copy of which is attached) <br /> Department head... have custodial responsibility for all fixed'assets <br /> within their department until the-items are either transferred or - <br /> disposed of in the manner required by the Law and the Orange <br /> County Fixed Asset Policy <br /> The County Manager may at his or her discretion, transfer fixed <br /> assets between departments without the permission of respective <br /> .- department heads and without compensation - <br />