In order to minimize confusion, remain consistent and take advantage of this opportunity to relieve administrative burden, UW Medical Center and Harborview Medical Center have decided to migrate at the same time as the University.

After July 1st, departments will no longer be required to physically inventory equipment under $5,000 and EIO will not be tracking new equipment purchases under $5,000 (with the exception of sensitive items, such as weapons and art collections).  Asset information for purchases prior to July 1st, will be available through the OASIS ad hoc reporting function. 

The equipment assets under $5,000 acquired prior to July 1, 2016 will remain active in the OASIS fixed asset system, until they are fully depreciated.  These assets will have a new title and the asset information will continue to be available to departments through the OASIS ad hoc reporting function.  After July 1st, these items will no longer be included in the physical inventory process. 

This change will not affect the University’s capital construction threshold, but may affect the overall construction project budget.  After the change, equipment purchases between $2,000 and $4,999 that were previously budgeted as capital purchases, will become operating expenditures.

Equipment purchases from $2000 to $4,999 will now be included as operating expenses rather than depreciable assets.

Effective 7/1/2016 the UW will no longer be required to inventory items with a previously acquired value under $5,000 that are still depreciating.

For non-sponsored budgets, the requisition must be fully executed  (BPO or EI number assigned) before June 30, 2016 for the $2,000 threshold to apply.  All fully executed purchase orders  (BPO or EI number assigned) after July 1, 2016 would use the new $5,000 threshold. 

Beginning 7/1/2016, two new object codes “05-47 non-capitalized equipment ($2,000 - $4,999) – grandfathered awards” and “05-48 non-capitalized equipment M&E tax exempt ($2,000 - $4,999) – grandfathered awards” will be available for equipment purchases of $2,000 - $4,999 for grandfathered award budgets.  These new object codes will replace the existing “06” object codes for specific equipment purchases with a cost of $2,000 - $4,999.  (See the grandfathered award object code chart below)  

Beginning 7/1/2016, object codes “05-40 non-capitalized equipment (less than $5,000)” and “05-41 non-capitalized equipment - M&E tax exempt ($200 - $4,999)” will replace the existing “06” object codes for specific equipment purchases with a cost of $2,000 - $4,999.  (See the non-sponsored budgets and non-grandfathered award object code chart below)  

For Non-Sponsored and State Budgets

The purchase order date will determine which threshold will apply. The $2,000 threshold will apply in cases where a purchase order has been fully executed (EI or BPO number issued) prior to July 1, 2016, with the equipment object code “06” regardless of when the equipment is paid for and/or received.  We will continue to depreciate these items until they are fully depreciated or disposed of (asset retirement), then remove them from the inventory system.