Blount County

Tennessee

Property Management
Policies & Procedures
Manual
Sixth Edition
 Blount County, Tennessee

Property Management
Policies & Procedures Manual

Sixth Edition
August 21st, 2014
 Table of Contents Page

Introduction and Summary of Instructions 5

Administrative Policies and Procedures

Departmental Property Coordinator 8

Periodic Review 8
Annual Physical Inventory 9
Assets Purchased From Multiple Funding Sources 9
Independent Random Checks 9
Filing Acquisition/Disposition Records 9

Accounting Policies
Capitalization Policy 9
Classes of Capital Property 10
Real Property 10
Divisions of Personal Property 10
Fixed Assets 10
Controllable Assets 11
Infrastructure 11
Intangibles 11

Accounting Procedures
Real Property 12
Personal Property 12
Fixed Assets:
Acquired by Purchase 12
Acquired by Donation or Gift 13
Transferred Between Departments 13
Declared Surplus 14
Stolen 15
Lost 15

Controllable Assets:
Acquired by Purchase 15
Acquired by Other than Purchase 16

Annual Inventory
 Table of Contents Page

Fixed Assets 17
Motor Vehicles 17
Controllable Asset 18
Placement of ID Numbers 18

Sale of Fixed Assets

Sale of Personal Property Surplus 19
Sale of Motor Vehicle Surplus 19
Sale of Real Property Surplus 19

Appendices

Appendix A-General Information

Capital Outlay Object Codes
Condition Codes

Appendix B-Forms
Notice of Designated Property Coordinator
Personal Property Acquisition/Disposition Record
Example
Controllable Assets Inventory List
Personal Property Declared "Scrap"
Instructions
Motor Vehicle Acquisition/Disposition Record
Example
Real Property Acquisition/Disposition Record
Example
 BLOUNT COUNTY, TENNESSEE

PROPERTY MANAGEMENT
POLICIES AND PROCEDURES MANUAL

Sixth Edition

INTRODUCTION
The Blount County Budget Committee approved the establishment of a formal Fixed Asset
System for Blount County on April 6, 1992.

A Fixed Asset System can be defined as a system of property management designed for the
collection of all the relevant information on all the assets owned, including the procedures
used to report the data, the defined responsibilities of those participating in administering
the system, and the paper work and forms used in reporting the additions, deletions,
transfers and changes.

Establishing and maintaining a fixed asset system for Blount County can help achieve the
following goals:

 Unqualified auditor's opinion relative to fixed assets

 Possible lower interest rates on security offerings

 Stronger stewardship of assets purchased with public funds

 Accountability for ALL assets, including unrecorded fixed assets such as lease

purchases Stronger maintenance management of buildings, furniture and equipment

 Stronger risk management relative to adequate insurance coverage, but not over

insured More control over duplication of purchases

 Reduction in potential for loss of government funds due to violations of grant

requirements Stronger control over disposal of surplus property

 To comply with GASB34, which requires fund accounting to convert to accrual

accounting for fixed assets, where Fixed Assets are Assets at cost – Accumulated

Depreciation = Net Book Value.

This manual outlines and defines the plan for future fixed asset purchases and
accounting and administrative procedures proposed for establishing and maintaining a
workable fixed asset system in order to achieve these goals.

5
Instructions for Fixed Assets:
Currently, fixed assets/controllables are budgeted in operating and capital line items (300-
500/700 lines) in various cost centers. They should now be budgeted as follows:
All controllable assets (capital items $500-$4,999) should go in the following a/c’s:
Fund - Individual cc - 5007__ (700 line per COA) – project
 Ex: Acct purchase of a $500 fax machine would go into 101-052100-500719-
0
 Exception: Any item that is ARRA grant related must be in a 58___ cc as
shown in the COA.

All fixed assets (individual capital item > $5,000) should go in the following a/c’s:
Fund – Capital cc per COA – 5007__ (700 line per COA) – project
 Construction in fund 189 (school QCAB expenditures in fund 177), all other
FA in regular fund
 In fund 101, cc 91190, we will no longer use the current system but will use
projects (project # to follow the cc)
o Ex: Acct purchase of a $5K computer currently would go into 101-
091190-521000-0…new way is 101-091190-500709-52100.
 Exception: Any item that is ARRA grant related must be in a 58___ cc as
shown in the COA.

From Chart of Accounts (COA) on our website:

Cost centers for capital:
Highway fund 131:
68000 Capital Outlay
Schools fund 14__:
76000 Capital Outlay ------------------------------------------------------ Description Account
76100 Regular Capital Outlay

All other funds:

90000 Capital Projects ------------------------------------------------------ Control Account
91110 General Administration Projects
91120 Administration of Justice Projects
91130 Public Safety Projects
91140 Public Health and Welfare Projects
91150 Social, Cultural, and Recreation Projects
91160 Agriculture and Natural Resources Projects
91170 Public Utility Projects
91190 Other General Government Projects
91200 Highway and Street Capital Projects
91300 Education Capital Projects

Line items for capital:

CAPITAL OUTLAY
701 Administration Equipment
702 Airport Improvement
703 Asphalt Plant Equipment
704 Attendance Equipment
705 Bridge Construction
706 Building Construction
707 Building Improvements
708 Communication Equipment
709 Data Processing Equipment
710 Food Service Equipment
711 Furniture and Fixtures
712 Heating and Air Conditioning Equipment
713 Highway Construction
6
714 Highway Equipment
715 Land
716 Law Enforcement Equipment
717 Maintenance Equipment
718 Motor Vehicles
719 Office Equipment
720 Plant Operation Equipment
721 Quarry Equipment
722 Regular Instruction Equipment
723 Right-of-Way
724 Site Development
725 Special Education Equipment
726 State Aid Projects
727 Surplus Equipment
728 Traffic Control Equipment
729 Transportation Equipment
730 Vocational Instruction Equipment
731 Voting Machines
732 Building Purchases
733 Solid Waste Equipment
734 Disabilities Act Improvements
735 Health Equipment
790 Other Equipment
791 Other Construction
799 Other Capital Outlay
ARRA cost centers:
58801 ARRA Grant # 1
58802 ARRA Grant # 2
58803 ARRA Grant # 3
58804 ARRA Grant # 4
58805 ARRA Grant # 5
58806 ARRA Grant # 6
58807 ARRA Grant # 7
58808 ARRA Grant # 8
58809 ARRA Grant # 9
58810 ARRA Grant # 10
58811 ARRA Grant A
58812 ARRA Grant B
58813 ARRA Grant C
58814 ARRA Grant D
58815 ARRA Grant E
58816 ARRA Grant F
58817 ARRA Grant G
58818 ARRA Grant H
58819 ARRA Grant I
58820 ARRA Grant J
Note: When purchase orders are requisitioned, you will need to provide detailed information
to Purchasing for all controllable/fixed asset purchases.

7
ADMINISTRATIVE POLICIES AND PROCEDURES

Administrative policies and procedures are outlined below:

Departmental Property Coordinator

The person responsible for the custody and control of departmental property will be formally
designated by the department head as the Departmental Property Coordinator by filing a
"Department Notice of Property Coordinator" form with the fund accountant at the beginning
of each fiscal year.

The responsibilities of the Departmental Property Coordinator include:

Coordinating and implementing the annual inventory for fixed assets.

Reconciling and reporting differences between the annual inventory and the fixed asset
listing per departmental records.

Receiving, tagging and recording all purchases of fixed assets.

Reporting and recording all fixed asset transfers and retirements.

Reporting and recording all fixed assets declared surplus.

Reporting and recording all fixed assets declared scrap.

Report and record theft, and other unexplained losses.

In the case of theft, the Departmental Property Coordinator will also be responsible
for notifying the police and forwarding a copy of the police report to the fund
accountant.

Working closely with the fund accountant to make sure the department fixed asset
records agree with accounting records.

In the event the Departmental Property Coordinator is replaced for any reason, the
following procedure should be followed:

The departing departmental property coordinator and the newly appointed property
coordinator will conduct a joint inventory.

The completed, verified joint inventory listing will be forwarded to Account

Personnel

A new "Department Notice of Property Coordinator" designation form will be

attached to the joint inventory listing.

This new asset inventory listing will supersede all prior listings.

Periodic Review

A listing of the fixed asset file will be provided periodically to the DEPARTMENTAL
PROPERTY COORDINATOR. This listing will include all the property for which the
department is responsible.

8
 The DEPARTMENTAL PROPERTY COORDINATOR will verify the listing; reconcile any
discrepancies; sign, date and return the original copies to the fund accountant.

Annual Physical Inventory

A comprehensive inventory will be held annually at a designated time. The

DEPARTMENTAL PROPERTY COORDINATOR will be furnished with a current property
listing to be used in conducting the annual physical inventory at the designated time.

Assets Purchased from Multiple Funding Sources

Assets purchased from multiple funding sources for funds for which Blount County is the
fiscal agent are the responsibility of the County. The property coordinators for these funds
are subject to policies and procedures set forth in this manual.

Independent Random Checks

During each fiscal year a person from Central Accounting WILL RANDOMLY CHECK
SOME LOCATIONS. Over a 3 year period, ALL locations will be RANDOMLY CHECKED by
an employee from Central Accounting. These visits will be unannounced and the purpose
will be to provide independent verification that property coordinators are adhering to
procedures set forth in this manual. If there are any findings, a follow-up check will be done
to prove that the issue has been resolved.

IN ADDITION, DURING EACH FISCAL YEAR EVERY LOCATION IS SUBJECT TO A

RANDOM UNANNOUNCED CHECK BY OUR INDEPENDENT AUDITORS. THE
AUDITORS WILL NOT CHECK ALL LOCATIONS IN ANY ONE-YEAR.

Filing Acquisition/Disposition Records

Acquisition/Disposition records should be filed together in a central place at each

accountable location.

ACCOUNTING POLICIES

Accounting policies address the capitalization policy, classes of property, and divisions of
personal property.

Capitalization Policy

1. To be classified as a Fixed Asset, the item must have (1) a useful life of more than one
year and (2) a historical cost of $5,000 or more. Historical cost includes installation,
freight and all other costs incurred to make the asset operable. In the case of
construction, cost such as studies, design, engineering, project management, etc. are
to be including in the Capital Cost Structure.
2. If additional expenditures are intended to repair and maintain the original life
expectancy, then the expenditures are maintenance cost. If the expenditures are
intended to refurbish and extend the useful life and/or change its purpose for an
extended useful life, then the expenditures should be capitalized and depreciated over
the remaining years in the new expected useful life.
3. This forms the basis for the Capital Plan, which will be subject to additional County
Commission Approval

9
Classes of Capital Property

1) Real Property
a) Land
b) Land Improvements
c) Buildings
d) Construction in Progress
2) Infrastructure
a) Roads
b) Bridges
c) Traffic Lights
d) Rights of Way
3) Motor Vehicles
a) Cars
b) Trucks
c) Vans, etc.
4) Personal Property
a) Building services equipment
b) Departmental fixed assets
c) Equipment
d) Capitalized leases
5) Intangibles
a) Intellectual Property (Licenses, Trademarks, etc.)

Real Property

1. All property should be accounted for at historical cost.

2. Construction in progress (CIP) should be accounted for in appropriate fund. For
example, General County shall be in fund 189, QSAB (schools) shall be in fund 177,
and Highway shall be in fund 176

Divisions of Personal Property

Personal property is divided into two categories: Fixed Assets and Controllable Assets.

Fixed Assets

1. Fixed assets are those personal property items, which fall within the scope of the
capitalization policy defined as those acquisitions that have (1) a useful life of more
than one year AND (2) a historical cost for a single item of $5,000.00 or more.
Purchases, which fall within these guidelines, require a "Numbered Property of
Blount County" tag. Exception: live animals are NOT considered
capitalized/depreciable property.

2. These assets will be handled as a perpetual inventory. That is, all additions, deletions,
transfers, etc., will be tracked from the date of the acquisition through authorized
disposition. These procedures are outlined in detail under Accounting
Procedures.

3. Fixed assets are recorded in 700 line items of the capital cost center in each fund.

10
 Controllable Assets

1. Controllable Assets are ALL County purchased property with an estimated life of 1
year or more which do NOT meet the criteria for a fixed asset, but which should be
included in the property inventory for control purposes.

2. A single item with a cost of $500 to $4,999.99 will be considered a Controllable Asset.

3. Controllable Assets will be accounted for annually at the time of the annual physical
inventory. Procedures for this reconciliation are outlined in detail under Annual
Inventory.

4. No property tag ID number will be attached to these items. However, they should
be clearly marked with a blank "Property of Blount County" asset tag.

5. Controllable items should be accounted for in 700 line items of each individual
department’s cost center.

6. All controllable assets are the responsibility of the individual dept. Each dept. must
keep a current listing of controllables.

7. There shall be no audit of these assets, but the list will need to be provided during the
random audit of fixed assets.

Infrastructure

1. Infrastructure should be accounted for at historical cost if available. If not, the Highway
Dept. will provide a reasonable estimate. Such estimate will be reviewed for
reasonableness every 2 years.
2. Bridges will be accounted for at total gross cost, including any state aid
reimbursements. The auditors will record a donated asset for their purposes for any
state monies received.

Intangibles

GASB 51 defines intangible assets as:

 Lacking physical substance,

 Nonfinancial in nature, and
 With an initial useful life extending beyond one fiscal year

If a single item meets the above criteria as well as the monetary threshold of a fixed asset, it will
be reported on the books at historical cost. If a perpetual (indefinite) life is apparent, those
items will be reviewed on a case by case basis and if capitalized, we will use a default 10 year
term.

11
ACCOUNTING PROCEDURES

Accounting Procedures outline the guidelines for acquisition and disposition of the four five
classes of property.

Real Property

1. Real Property Acquisition/Disposition Record

a. Upon acquisition of Real Property, the Property Coordinator will file a Real
Property Acquisition/Disposition Record with the fund accountant.

b. Major changes to real property must be reported to the fund

accountant as soon as possible after the change occurs.

Major changes include sale or lease, change in insurance level, change in

name, additions and renovations.

c. Construction-in-progress at the end of each fiscal year should be evaluated

and reported to the fund accountant as soon after June 30 as possible.

Personal Property

Fixed Assets Often surplus property is available which could be adequate for many of
your needs. Therefore, we urge you to investigate the possibility of surplus property
before requisitioning new purchases.

Fixed Assets Acquired by Purchase:

1. Capital Outlay Request Form

a. This form is completed each year during the budget process and approved by
the Budget Committee and the Blount County Commission.

b. Use of the capital outlay appropriation for a purchase from a line item different
from the line item which was approved at the beginning of the fiscal year
would require prior approval of (1) a budget transfer to the appropriate line
item and (2) a revised Capital Outlay Request Form.

2. Requisitions for Purchase

a. The acquiring department files a Requisition for Purchase with the Purchasing
Agent with the proper account charged.

3. Purchase Order

a. Purchase orders will be issued by the County Purchasing Agent.

4. Personal Property Acquisition/Disposition Record

a. The Purchasing Agent will attach a copy of the Personal Property

Acquisition/Disposition Record form to the receiving copy of the purchase
order at the time the purchase order is issued.

b. As soon as the property has been received in good condition and the invoices
are ready for payment, the receiving department will obtain a property
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 tag number from Purchasing or the fund accountant (or assign a number
already in custody) and complete the Personal Property
Acquisition/Disposition Record. Also at this time, the property taq should be
placed on the item in a visible place.

A completed Acquisition/Disposition Record is REQUIRED FOR EACH

CAPITAL PURCHASE that falls within the scope of the capitalization
policy defined in Accounting Policies.

c. Retain the original Acquisition/Disposition Record for your PERMANENT

RECORD. Ideally this permanent record should be kept in a central location. For
example, ALL original Acquisition/Disposition records for a school would logically
be retained in the school office.

d. When request is made for payment, return a copy of the completed

Property Acquisition/Disposition Record to the fund accountant along with
the receiving copy of your purchase order and invoice from the vendor.

e. The accounting staff member will review the Acquisition/Disposition Record

and if the form has been properly completed, approval will be given to process
the invoices for payment.

f. THE ACCOUNTING STAFF MEMBER WILL NOT BE ALLOWED TO

PROCESS PAYMENT OF INVOICES FOR FIXED ASSETS, WHICH DO
NOT HAVE A COPY OF THE PROPERTY ACQUISITION/DISPOSITION
RECORD ON FILE IN CENTRAL ACCOUNTING.

Fixed Assets Acquired by Donation or Gift:

1. Obtain a property ID from the accounting staff member or Purchasing and attach it in the
prescribed manner.

2. Complete a Personal Property Acquisition/Disposition Record:

a. Retain the original.
b. Send a copy of the completed original to the fund accountant.

Fixed Assets Transferred Between Departments:

1. Officials/department heads/school principals will agree on the transfer.

2. Departmental property coordinator for the originating

department/school (the department accountable for the asset
before the transfer) will:

a. Complete the four-part Transfer Form or complete the bottom portion of the
original Acquisition/Disposition form.

b. Secure the required signatures. Signature of the Purchasing Agent is not required on
personal property transferred between departments within the same fund.
13
 c. Give the Transfer Form with the original Acquisition/Disposition form
attached to the fund accountant.

d. An accounting department employee will transfer accountability for the asset from
the originating department to the receiving department.

e. The receiving department will then be accountable for the property until it is
declared surplus or disposed of by other approved methods.

Fixed Assets Declared Surplus:

Any asset deemed unsafe for use by controlling department won’t be transferred unless solely

for the use of parts.

1. Real Property

a. In order to declare property surplus, the Acquisition/Disposition form must be

completed by the appropriate Elected Official/Department Head.

b. The Purchasing Agent will submit resolution to the County Legislative Body for
approval to declare the real property surplus.

c. The Purchasing Department will perform the due diligence to prepare for the
sale of the real property. The sale will be as outlined in the procedures for
Sale of Real Property Surplus.

2. Real Property Acquired by Tax Sale

a. The mayor shall be responsible for any lands acquired during delinquent tax
sales. The county legislative body shall appoint a four member commission
that shall be responsible for the sale of all lands that are not redeemed. The
commission is responsible for determining an appropriate value and what will
constitute a fair bid.
b. This is accordance with TCA 67-5-2507, which can be seen in Apendix?

3. Personal Property

a. In order to declare property surplus, the Acquisition/Disposition form must be

completed by the appropriate Elected Official/Department Head.

b. The Purchasing Department’s property coordinator will determine if the item

has a useful life. If so, every attempt will be made to transfer the item to a
department in need. The transfer will be facilitated through the Purchasing
Department’s property coordinator.

c. If the Purchasing Department’s property coordinator determines there is no

immediate need but the item may be used in the future, it will be stored in the
surplus area.

d. The Purchasing Department’s property coordinator will determine when an item

stored in the surplus area is obsolete and it will then be sold at auction
following the procedures for Sale of Personal Property Surplus.

14
 4. Motor Vehicles

a. After a vehicle has been declared surplus by Elected Official/ Department Head
and the Purchasing Agent, the department’s property coordinator will complete
the original Acquisition/Disposition form and submit it to the Purchasing
Department’s property coordinator.

b. If the Purchasing Department determines that a motor vehicle has a useful life,
it will be distributed to a department in need of a vehicle. The priority of need
will be determined by the Mayor. The transfer will be facilitated through the
Purchasing Department

c. If the vehicle is not fit for use as determined by the Purchasing Department,
follow the procedures for Sale of Personal Property Surplus.

Lost/Stolen Fixed Assets:

1. For stolen property, file a stolen property report with the appropriate law enforcement
agency and provide the accounting department with a copy
2. Complete the "Disposition" portion of the ORIGINAL Acquisition/Disposition Record and
send a copy to the fund accountant.
3. Remove the item from your inventory records, but RETAIN THE ORIGINAL
ACQUISITION/DISPOSITION RECORD in your property file.

Department of Education Surplus

1. Fixed assets declared scrap which are being accounted for by the Department of
Education, would be disposed of in accordance with T.C.A. 49-6-2007. Form
entitled "Personal Property Declared Scrap" will be processed in accordance with
instructions on the back of the form. A copy of this form and instructions for
processing it are included in Appendix B.

Seized or Confiscated Motor Vehicle Policy

1. The Sheriff’s Department and the 5th Judicial Drug Task Force should make every effort
to sell seized/confiscated vehicles at least twice during the fiscal year through auction.
The vehicles will be sold by the Purchasing Department by internet auction after
obtaining the court order giving permission to sale.

Controllable Assets

Controllable Assets Acquired by Purchase:

1. Issue purchase requisition and obtain purchase order in the usual manner.

2. When item has been received and paid for, add the item to your Controllable Assets
listing.

15
Controllable Assets Acquired by Means other than Purchase:

When Controllable Assets are acquired by any means other than by purchase, simply
add the item to your Controllable Assets listing.

16
Infrastructure

1. A listing of County roads and bridges will be provided to the Accounting

Department by Highways/Public Works.

1. Documentation relative to the County Sewer System will be provided to the fund
accountant by Highways/Public Works.

ANNUAL INVENTORY

An annual inventory will be conducted during a designated period each year. A computer printout
of the updated "fixed assets" and a COPY of the "controllable assets" list for the previous year will be
provided at that time.

Fixed Assets

1. The DEPARTMENTAL PROPERTY COORDINATOR will:

a. Compare the printout of the updated fixed asset listing provided by Central
Accounting to actual fixed assets now in departmental custody.

b. Evaluate and update the condition code. Condition codes are listed and defined
in Appendix A.

c. Verify matches.

d. Reconcile differences.

e. Resolve discrepancies.

f. Return the fixed asset listing, SIGNED BY THE DEPARTMENTAL PROPERTY

COORDINATOR AND THE DEPARTMENT HEAD, to the fund accountant on or
before the last day designated for the annual physical inventory.

2. The new fixed asset inventory listing will be used by the fund accountant to verify,
reconcile differences, and agree department totals with Central Accounting Property
records to establish the new fixed asset inventory.

Motor Vehicles

Procedure is identical to that for Fixed Assets.

17
Controllable Assets

1. Compare the controllable asset listing to the actual controllable assets now in custody:

a. Delete items no longer in your possession and note the reason for the deletion.

b. Add items acquired since the last annual inventory, which may not have been
added at the time of acquisition.

c. Obtain signatures of the department/school coordinator and the

official/department head/principal.

2. Return the revised controllable asset listing, SIGNED BY THE DEPARTMENTAL

PROPERTY COORDINATOR AND THE DEPARTMENT HEAD, to the fund
accountant on or before the last day designated for the annual physical inventory.

Placement of ID Numbers

1. The fixed asset ID numbers should be physically attached to the property whenever
possible.

2. For fixed assets on which the County ID number will not physically adhere, such as bullet-
proof vests, requisition an indelible ink stamp, stamp the item in a conspicuous space, and
write the ID number on the blank line with an indelible ink pen.

3. Assets, such as guns, pistols, etc., which have identifying serial numbers but on
which neither of the above options are feasible, assign an ID number which can be
affixed to the permanent Acquisition/Disposition record which is kept in the
department files.

4. Assets on which enhancements are added will be assigned the same ID number as
is attached to the asset, which is being enhanced. The cost of the enhancement will be
added to the cost of the original item.

Examples of the above are: (1) A computer-enhancing motherboard or (2)

Manufacturer's installed software, etc.

Physically attach a County ID number or identification tag in a visible place AT ALL

TIMES if at all possible.

18
SALE OF FIXED ASSETS

Sale of Personal Property Surplus

1. Sale

a. All sales of county-owned personal property declared surplus shall be made by public auction or
sealed bid in the discretion of the Purchasing Agent in accordance with T.C.A. §5-14-108.
“Public auction” includes sale by internet auction.

b. The Purchasing Department’s property coordinator will submit the completed

Acquisition/Disposition form to the fund accountant.

c. All monies received by the sale of surplus items (less any applicable auction fees) will be
deposited into the fund account where it was originally purchased.

d. After two failed attempts to sell the surplus item by auction, it will be properly disposed of in a
practical manner such as regular trash, dumpster, or County landfill. County employees may not
take a surplus item for personal use or non-County use.

2. Exceptions to Sale

a. Books, recordings, or other material previously in general circulation at the County public library
may be sold in a public sale at the library in accordance with T.C.A. §5-14-108(o)(3).

b. Upon request of the County Mayor, the Purchasing Agent may sell in the open market or gift,
trade, or barter surplus items with an accumulative estimated value of less than $1,000.00 to a
nonprofit or charitable organization properly incorporated in Tennessee, in accordance with
T.C.A. §5-14-108(o)(4).

Sale of Motor Vehicles Surplus

1. Same procedures as Sale of Personal Property Surplus, item 1 a-c.

2. If a vehicle is only fit for scrap metal as determined by the Purchasing Department property coordinator,
that asset can then be sold to the local scrap yard for current metal pricing.
a. The monies made from the scrap metal shall be deposited to the Trustee’s Office along with a
copy of the receipt.
b. Copies of the deposit and receipt shall be submitted to the Purchasing Department to file with
the scrap form.

Sale of Real Property Surplus

1. Same procedures as Sale of Personal Property Surplus, item 1 a-c.

19
 APPENDIX A

GENERAL INFORMATION

20
 BLOUNT COUNTY, TENNESSEE

CAPITAL OUTLAY OBJECT CODES

Per County Uniform Chart Of Accounts

Revised July 2010
701 Administration Equipment
702 Airport Improvement
703 Asphalt Plant Equipment
704 Attendance Equipment
705 Bridge Construction
706 Building Construction
707 Building Improvements
708 Communication Equipment
709 Data Processing Equipment
710 Food Service Equipment
711 Furniture and Fixtures
712 Heating and Air Conditioning Equipment
713 Highway Construction
714 Highway Equipment
715 Land
716 Law Enforcement Equipment
717 Maintenance Equipment
718 Motor Vehicles
719 Office Equipment
720 Plant Operation Equipment
721 Quarry Equipment
722 Regular Instruction Equipment
723 Right-of-Way
724 Site Development
725 Special Education Equipment
726 State Aid Projects
727 Surplus Equipment
728 Traffic Control Equipment
729 Transportation Equipment
730 Vocational Instruction
731 Voting Machines
732 Building Purchases
733 Solid Waste Equipment
734 Disabilities Act Improvements
735 Health Equipment
790 Other Equipment
791 Other Construction
799 Other Capital Outlay
 CONDITION CODES

Personal Property and Motor Vehicles on the fixed assets list are to be kept current by amending the
Condition Code annually when the physical inventory is taken.

Code

N-1 New or unused property in excellent condition, interchangeable with new

items.

N-2 New or unused property in good condition. Property may be slightly shopworn, soiled, but utility
is not impaired.

N-3 New or unused property in fair condition. Soiled, shopworn, rusted, deteriorated, or
damaged to the extent that utility is slightly impaired.

U-1 Used property, in good condition which has been repaired or renovated.

U-2 Used property which has been repaired or renovated in the past, but has deteriorated to the
extent that utility is impaired.

U-3 Used property in good condition with no repairs required.

U-4 Used property in fair condition, but somewhat deteriorated and worn.

U-5 Used property deteriorated to the extent that utility is impaired.

U-6 Used property requiring minor repairs.

U-7 Used property requiring major repairs.

U-8 Used property so badly damaged that repair would cost more than its utility value after
repair.

S-1 Salvage. 'Property with some value in excess of its basic material content in that parts could be
utilized to repair other units.

S-2 Scrap. Property that has no value except for its basic material content.
APPENDIX B

FORMS
 NOTICE OF DESIGNATED PROPERTY COORDINATOR
2014-2015

has been designated as Departmental Property

Name of Designee

Coordinator for
Department / Cost Center Name

Fund No. Cost Center No. Phone Number / Extension

Signature Date

The responsibilities of the Departmental Property Coordinator include:

 Coordinating and implementing the annual inventory for fixed assets

 Reconciling and reporting differences between the annual inventory and the
fixed asset listing per department records
 Receiving, tagging, and recording all purchases of fixed asset
purchases Reporting and recording all fixed asset transfers and
retirements
 Reporting and recording all fixed assets declared surplus
 Reporting and recording all fixed assets declared scrap
 Reporting and recording theft and other losses, which cannot be explained. In the
case of theft, the Departmental Property Coordinator will also be responsible for
notifying the police and forwarding a copy of the police report to the fund
accountant.
 Working closely with the fund accountant to make sure the department fixed asset
records agree with accounting records
 BLOUNT COUNTY, TENNESSEE

PERSONAL PROPERTY ACQUISITION/DISPOSITION RECORD

REVISED 9/01/00
LOCATION/SCHOOL _________________________________________ TAG # __________

CLASS CODE ______________ ACCOUNT CODE _________________________________

ITEM DESCRIPTION _________________________________________________________

VENDOR __________________________________________________________________

MAKE/MODEL _________________________________ SERIAL # ____________________

PURCHASE PRICE $ OR APPRAISED VALUE $ _________________________

ACQUISITION

DATE RECEIVED________________________ PURCHASE ORDER NO. _______________

RECEIVED BY _____________________________________________ COND. CODE _____

TRANSFERRED FROM ______________________________________ . STAT. CODE _____

DONATED BY ________________________________________________________

DISPOSITION

TRANSFER _________ STOLEN/LOST ___________ SURPLUS _________ SCRAP

OTHER

TRANSFERRED TO

I certify the above described equipment has been transferred, stolen/lost, declared surplus,

scrapped or disposed of by other means as indicated above. If the item was declared surplus, it

is available for use by other County Offices / schools or can be sold in the prescribed manner as

surplus. If stolen, a stolen property report has been filed with the Police Department.

Signature Department Head/Date Signature purchasing Agent/Date

 EXAMPLE

PERSONAL PROPERTY ACQUISITION/DISPOSITION RECORD

LOCATION/SCHOOL: County Clerk/Heritage TAG #: 01195

CLASS CODE: 92421 ACCOUNT CODE: 101-052100-500711-0

ITEM DESCRIPTION: Desk, secretarial, left

(noun first) File, 4-drawer w/lock, brown

VENDOR: Staples, Alcoa, TN

MAKE/MODEL: Hon M100 SERIAL #: .A696P07005 Model

CP2500

PURCHASE PRICE: $695.00 OR APPRAISED VALUE: If acquisition is by means other than by purchase
or transfer, fill in "appraised value" with your BEST EDUCATED ESTIMATE. Fill in only one blank.

ACQUISITION:

DATE RECEIVED: June 1, 2013 PURCHASE ORDER NO. 910092

RECEIVED BY: John Doe Smith COND. CODE: N-1

TRANSFERRED FROM: County Buildings 101-051800-500711-0 STAT. CODE: U (U=IN

USE; R=HELD IN RESERVE; S=IN STORAGE) DONATED BY: John D. Rockefeller

DISPOSITION:

METHOD OF DISPOSAL: Check the method used to dispose of property

OTHER: Required if disposition is by means other than transfer, stolen, lost, surplus or scrap.

TRANSFERRED TO: Enter name and account code of receiving unit.

CERTIFICATION SIGNATURES AND DATES AS REQUIRED. (Signature of Purchasing

Agent is not required on transfers within the same fund)

PPACQDSP.EXP Form No.PPACQDSP92.4a

 Blount County Government
Listing of Controllable Assets Tagged "Property of Blount County"
(Assets which fall below the capitalization level and require no property tag number.)

Fund Name_______________________________ Date

Serial Date Reason Date

Number
of Items Description . Make/Model Number Of Cost Person Responsible For Of
Acquisition Disposition Disposed
 BLOUNT COUNTY, TENNESSEE

DEPARTMENT OF EDUCATION

PERSONAL PROPERTY DECLARED "SCRAP"

New Form 8/21/14

SCHOOL___________________________________________________ TAG #

CLASS CODE _____________________________ Account Code _________________________

ITEM DESCRIPTION

The personal property described above has been judged to have no monetary or useful value and will be
disposed of as follows:

Principal of School Date

Director of Schools Date

Chairman of Board of Education Date

TCA 49-6-.2007.
"Surplus personal property in local school systems which has no value or has a value less than two hundred
fifty dollars ($250) may be disposed of without the necessity of bids as required by this section." (d-1)

"In order for such disposal without bids, the principal of the school with the surplus personal property, the
superintendent of the local school system, and the chairman of the local board of, education must agree in
written form that the property is of no value or is of a value less than two hundred fifty dollars ($250). (d-2)
 Instructions for "Scrap" Forms

1. Obtain the required signatures on the Personal Property Declared "Scrap" Form.

2. Process the applicable Acquisition/Disposition Form:

(a.) Check the word "Scrap" in the Disposition Section
(b.) Obtain signature of Official/department head/principal of School
(c.) Obtain signature of purchasing agent

3. Attach a COPY of the processed Personal Property Declared "Scrap" Form to a COPY of the
processed Acquisition/Disposition Form and retain for your files.

4. Attach the completed ORIGINAL Personal Property Declared "Scrap" Form to the completed
ORIGINAL Acquisition/Disposition Form and submit the ORIGINALS to the fund accountant.
 BLOUNT COUNTY, TENNESSEE

MOTOR VEHICLE ACQUISITION/DISPOSITION RECORD

VEHICLE IDENTIFICATION NUMBER (VIN) ____________________________________________

ACCOUNT CODE _________________________________________________________________

VEHICLE DESCRIPTION ___________________________________________________________

MAKE & MODEL OF VEHICLE

LICENSE PLATE NUMBER

VEHICLE UNIT NUMBER ___________________________________________________________

LOCATION

PURCHASE PRICE APPRAISED VALUE

ACQUISITION

Date received

Purchased from

Received by ______________________________________________________________________

Donated by ______________________________________________________________________

Other

DISPOSITION
Transfer______Trade-In________Stolen________Surplus___________

Transferred to ________________________________________ Exchange Price _______________

Traded to _____________________________________ Trade-in Allowance

I certify the above described motor vehicle has been transferred or disposed of in accordance with guidelines of the
Purchasing Agent. If it is declared surplus, it is available for use by other offices or can be sold as surplus. If stolen,
a stolen property report has been filed with the Police Department.

Dept. Head:Signature/Date Purchasing Agent:Signature/Date

 EXAMPLE

MOTOR VEHICLE ACQUISITION/DISPOSITION RECORD VEHICLE

IDENTIFICATION NUMBER (VIN): 12345678901234567 ACCOUNT CODE: 101-054110-

500718-0

VEHICLE DESCRIPTION: 4-DOOR, GREEN ON WHITE

MAKE & MODEL OF VEHICLE: GM; CHEVROLET CAPRICE CLASSIC; 1991 LICENSE PLATE

NUMBER: ABC-123

VEHICLE UNIT NUMBER: 58

LOCATION: County Executive Office

PURCHASE PRICE: $13,000.00 OR APPRAISED VALUE: If acquisition is by means other than by

purchase or transfer, fill in this "appraised value" blank with your BEST EDUCATED ESTIMATE.

ACQUISITION:

DATE RECEIVED: June 1, 1990 PURCHASE ORDER NO. 910092

PURCHASED FROM: Smith Chevrolet, Inc.

RECEIVED BY: John Doe Smith

DONATED BY: John D. Rockefeller

OTHER: Acquisition other than by purchase or donation DISPOSITION:

METHOD OF DISPOSAL:, Check the appropriate method.

OTHER: Required if disposition is by means other than transfer, trade-in, stolen, surplus Or scrap.

TRANSFERRED TO: Enter name and account code of receiving department.

EXCHANGE PRICE: Required ONLY IF TRANSFER IS BETWEEN FUNDS. TRADED TO: West

Chevrolet TRADE-IN ALLOWANCE: $2000

CERTIFICATION, SIGNATURES AND DATE OF DISPOSITION ARE REQUIRED.

 BLOUNT COUNTY, TENNESSEE
REAL PROPERTY ACQUISITION/DISPOSITION RECORD

ACQUISITION:

ACCOUNT CODE _________________________ DATE ACQUIRED

Land.

DIST/MAP/GROUP/PARCEL ____________________________ DEED BK/PAGE

DEED RESTRICTIONS ______________________________________________

PROPERTY NAME

PROPERTY ADDRESS

METHOD OF ACQUISITION ________________________ PURCHASE PRICE

FAIR MARKET VALUE _________________________________________ NO. ACRES

NUMBER OF BUILDINGS ON THIS PROPERTY ______________________________

Buildings.

BUILDING of ________ TYPE OF CONST ______________ COST

PURPOSE OF FACILITY INSURED AMT.

SQUARE FOOTAGE NO. FLOORS NO. ROOMS

ADDITIONS AND/OR RENOVATIONS (date, type, dollars):

NAME AND PHONE NO. OF CONTACT PERSON

DISPOSITION:

DATE OF DISPOSITION ___

TYPE OF DISPOSITION

CHANGE IN NAME AND/OR ADDRESS

 EXAMPLE

REAL PROPERTY ACQUISITION/DISPOSITION RECORD

ACQUISITION

ACCOUNT CODE: 101-000000-132000-0 DATE ACQUIRED: 10/01/82

Land.

DIST/MAP/GROUP/PARCEL: 09/058B/A/017 DEED BK/PAGE: 89-366

DEED RESTRICTIONS: EXAMPLE: Reverts to heirs when no longer used for public education in
Blount County

PROPERTY NAME: BLOUNT COUNTY BOARD OF SUPERVISORS

PROPERTY ADDRESS: MORGANTON ROAD

METHOD OF ACQUISITION: PURCHASE PURCHASE PRICE: $100,000

FAIR MARKET VALUE IN 1992: $200,000 NO. OF ACRES: 7 NUMBER OF BUILDINGS ON THIS

PROPERTY: 2

Buildings.

BUILDING: 1 OF 2 TYPE OF CONSTRUCTION: BRICK COST: $450,000

PURPOSE OF FACILITY: SCHOOL ADM OFFICE INSURED ANT: $500,000

SQ. FT.: 5000 SQ. FT. NO. FLOORS: 2 NO.ROOMS: 10

ADDITIONS AND/OR RENOVATIONS (date, type, dollars): 06/01/84-ADDITION OF

STORAGE BLDG.- $ 5,000 11/15/90-RENOVATION OF AUDITORIUM -
$45,000

NAME AND TELEPHONE NUMBER OF CONTACT PERSON: BILL COCHRAN/984-1212 DISPOSITION:

DATE OF DISPOSITION: 03/10/92

TYPE OF DISPOSITION: SALE
CHANGE IN NAME/ADDRESS: (Enter here any change in name and/or address during time of
ownership)

NOTE: Attach additional pages if needed to responsibly fill in all blanks and/or add information to better
describe the property.