Effective Inventory Management Guidelines for Federal Grant Recipients

Inventory of Assets Purchased with Federal Funds April 15, 2025 Oregon Department of Education 1

Agenda for Todays Session Inventory Basics Requirements for Inventory Management Systems Use and Disposition of Inventory Considerations for Private Schools Oregon Department of Education 2

UGG are federal grants management rules that apply to all awards issued by all federal awarding agencies Created and amended by the Office of Management and Budget (OMB) Periodic review is required 2024 Revisions to the UGG are effective for all Federal awards issued on or after October 1, 2024. Updates to Uniform Grant Guidance (UGG) Oregon Department of Education 3

Inventory Basics WHY and WHEN WHY Know what you have Avoid duplication of purchases Ensure compliance with UGG WHEN A physical inventory should be conducted least every two years Oregon Department of Education 4

Inventory Basics - WHAT Equipment having a useful life of more than one year and a per-unit acquisition cost of $10,000 or more Unusedsupplies exceeding $10,000 in aggregate value Computer devices costing less than $10,000 should be included Oregon Department of Education 5

Inventory Management Systems Inventory documentation must include: Description Unit cost and date Serial number or other ID number Location/person assigned to Funding source Percentage of cost paid by program Condition of item Information regarding disposition Oregon Department of Education 6

Questions to consider: Will the item last longer than one year? If damaged, would the item be repaired? Is the item easily lost or stolen? Is the item considered valuable? Labeling purchases Oregon Department of Education 7

How can equipment be used? Equipment must benefit the program which paid for the purchase Shared use is allowed other programs funded by the U.S. Department of Education any other federal programs outside of education non-federal programs Priority for use goes to the program which purchased the equipment Oregon Department of Education 8

Disposition method depends on the value of the item $10,000 or less District discretion More than $10,000 Equipment Contact ODE Supplies Use for other activities or sell* Disposing of Equipment *Federal government is entitled to its share Oregon Department of Education 9

Considerations for Private Schools Materials purchased with the equitable share are the property of the district and should be included in district tracking system Purchased materials can only be used by eligible participants under the approved program Equipment must be removeable, construction or minor remodeling is prohibited Oregon Department of Education 10

Key Takeaways LEAs must have an inventory management system that meets the requirements outlined in UGG While not all items purchased with federal funds must be included in a formal inventory, it is best practice to label items that tend to get lost/stolen Items purchased with the equitable share must be included in inventory documentation and are the property of the district Oregon Department of Education 11

Resources Uniform Grants Guidance (UGG) Oregon Federal Funds Guide Sample Inventory Sheet UPDATED! ESSA Quick Reference Brief Oregon Department of Education 12