blog posts Equipment Reporting Threshold Increased Mar 24, 2023 2:00 pmAccounting and BudgetingBuying and ContractsEquipment ManagementFY 23Paying PeopleUniversity of Illinois System Offices have successfully pursued legislative relief, and as a result, we are pleased to announce that the State of Illinois has increased the reporting threshold for inventoried equipment from $1,000 to $2,500. The Business and Financial Policies and Procedures Manual has been updated to reflect this change. References to the updated reporting requirement are found in:Section 7 Purchasing: 7.3Section 12 Property Accounting: 12.1.2, 12.1.6, 12.1.7, 12.1.8, 12.4.7Section 16 Grants and Research Contract: 16 Treatment of Select Items of CostIn addition to policy and procedure changes, the Equipment Management website and related training materials have been updated to reflect the new reporting threshold. The university and units will be implementing the threshold change in two phases.April 1, 2023 - Phase 1 begins and impacts unit purchasers and FABweb Unit Reps.Close attention to the cost of the equipment purchased and the account used to purchase equipment items and records submitted in FABweb will help reduce unnecessary rework by the unit and UPAR. April 13, 2023 - Phase 2 will impact Biennial Inventory Contacts.AITS and UPAR will dispose all equipment records less than $2,500 from Banner. Lists of unit equipment disposed in Banner will be sent through email to the unit’s assigned FABweb Unit Rep and Biennial Unit Contact after the record disposal on April 13.For more detailed guidance for units, visit:Equipment Threshold Change Equipment Threshold FAQBanner Account CodesUniversity Accounting and Financial Reporting has updated Banner account codes to indicate when equipment reporting is required.127* - $2,500 - $4,999.99 - inventoried but not capitalized equipment.163* - $5,000 and greater – inventoried and capitalized equipment.121*, 122*, 124* and 126* - account codes DO NOT generate equipment inventory records.Additional InformationState of Illinois regulations and U of I System policy over data elimination for electronics is unchanged. All electronics with writable memory, regardless of cost or inventory status, must be data-wiped prior to any physical transfer of equipment between individuals, units, or transfer to university surplus. All university surplus and scrap equipment must be disposed of in a timely manner and sent to the appropriate university surplus warehouse regardless of inventory status. Units processing scrap/surplus requests in FABweb must continue to identify Banner PTag numbers for inventoried equipment and include the item description and serial number for items not inventoried in Banner.ContactFor questions about the new equipment reporting threshold, please contact University Property Accounting and Reporting (UPAR).For questions about the OBFS Policies and Procedures Manual, please contact OBFS Policies.