FIXED ASSETS

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FIXED ASSETS
A/O OCT 2008
2
INSTRUCTOR CLASS SCHEDULE Class
begins at 830 am Class ends at 400 p.m.
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OBJECTIVE

• The objective of this course is to provide an
  overview of the Financial Management System (FMS)
  Fixed Asset Subsystem (FAP) including policy,
  reports and general ledger issues. Instructor
  illustrates fixed asset transactions and
  associated FMS table updates.

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After completion of this course the student will
be able to

• Describe Fixed Asset policy to include
  capitalization of assets
• Identify the Fixed Asset Subsystem (FAP)
• Identify Subsystem Documents
• Review FMS tables for research
• Describe Subsystem transactions and their effect
  on the general ledger
• Describe what to do with excess equipment
• Review RSD reports available for research
• Reconcile the Fixed Asset Subsystem to the
  Standard General Ledger
• Federal Entity Transfers and Station
  Integration

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FIXED ASSETS OVERVIEW

• Policy
• Subsystem (FAP)
• Subsystem Documents
• FMS Tables

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FIXED ASSETS OVERVIEW

• General Ledger Transactions
• Excess Equipment
• RSD Reports
• Reconciliation

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WEB SITES

• http//www.va.gov/publ/direc/finance/finance.htm
• VA Directives, Handbooks, Bulletins
• http//www.fsc.va.gov/fsc.index.htm
• FSC homepage
• http//vaww1.fsc.va.gov/fmshome
• Under FMS User Guide, FMS guides can be
  accessed
• http//vaww.fscdirect.fsc.va.gov
• FMS GL and Proforma and Training
• http//vaww.fscdirect.fsc.va.gov/newsflash
• News Flash location
• http//vaww.frs.austin.aac.va.gov/logon.asp
• FRS
• http//vaww.aac.va.gov/ssw

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FIXED ASSETS

• PROPERTY, PLANT EQUIPMENT POLICY

1-1
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Property, Plant and Equipment Policy

• What is a Fixed Asset?
• Property, Plant, and Equipment are called Fixed
  Assets.

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Property, Plant and Equipment Policy

• Real Property
• 1711 Land
• 1712 Improvements to Land
• 1730 Buildings
• 1740 Other Structures
• 1812 Buildings under Capital Lease
• 1820 Leasehold Improvements

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Property, Plant and Equipment Policy

• Personal Property
• 1750 Non-Expendable Equipment
• 1751 ADP Non-Expendable Equipment
• 1811 Equipment under Capital Lease
• 1830 Information Technology Software
• 1832 Software Development

12
Property, Plant and Equipment Policy

• Capital Leases
• Transfer of ownership by end of lease term
• Bargain purchase option
• Lease term is equal to or greater than 75 of
  economic life of the property
• Present value or rental is equal to or greater
  than 90 of the fair value of the property
• Operating Leases
• Leases that do not satisfy one of the above
  criteria. These are expensed.

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Property, Plant and Equipment Policy

• General Definitions
• Capitalize To set up expenditures as business
  assets in the books of account instead of
  treating as an expense
• Expense Outflows or the using up of assets as a
  result of the major or central operations of a
  business also, the incurrence of liabilities may
  result as an alternative to outflows of assets.

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Property, Plant and Equipment Policy

• Expense Policy
• Real Property/Personal Property
• cost is less than 100,000
• useful life is less than 2 years
• costs that do not satisfy the Departments
  capitalization criteria
• Exception
• Projects that restore damaged properties to
  original state will be expensed
• Asbestos removal costs will always be expensed

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Property, Plant and Equipment Policy

• Capitalization
• Real Property/Personal Property
• cost is greater than 100,000
• for all obligations using BOC Series 32(Real
  Property)
• for all obligations using BOC Series 31(Personal
  Property)
• useful life is greater than 2 years
• Accountability for assets remains at 5,000
• Exception Land will be capitalized regardless
  of cost

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Property, Plant and Equipment Policy

• Policy Contact
• In Outlook
• VHA Accounting Policy (173A)

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Property, Plant and Equipment Policy

• See the Fixed Asset Manual pages 1-6 through 1-15

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Estimated Useful Lives of Land Improvements, Buildings, and Fixed Equipment Estimated Useful Lives of Land Improvements, Buildings, and Fixed Equipment Estimated Useful Lives of Land Improvements, Buildings, and Fixed Equipment Estimated Useful Lives of Land Improvements, Buildings, and Fixed Equipment
Item Year Item Year
1. Architectural
Automatic Door 10 ICU-CC counters 15
Bench, bin, cabinet Interior finish 15
Counter, shelving built-in 20 Lockers, built-in 20
Cabinet, biological safety 15 Mailboxes built-in 20
Canopies 15 Millwork 20
Carpentry work 20 Nurses counter 20
Ceiling finishes 12 Overhead door 10
Ceramic tile 20 Painting, new construction 10
Cubicle track 20 Partitions, interior 20
Designation signs 10 Pass-through boxes 20
Drapery track 10 Patients wardrobes and
Drilled piers 40 Vanities 20
Floor finishes 10 Sink and drain board 20
Folding partitions 10 Storefront construction 20
Hood, fume 18 Toilet partitions 20
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Estimated Useful Lives of Land Improvements, Buildings, and Fixed Equipment Estimated Useful Lives of Land Improvements, Buildings, and Fixed Equipment Estimated Useful Lives of Land Improvements, Buildings, and Fixed Equipment Estimated Useful Lives of Land Improvements, Buildings, and Fixed Equipment
Item Year Item Year
2. Electrical
Clock System, central 15 Passenger, other 20
Conveying system 15 Emergency light system 15
Doctors in/out register 20 Escalator 20
Electric lighting and power Fire alarm system 20
Conduit and wiring 20 Door closing devices 15
Feed wiring 20 Generator set 20
Fixtures 10 Intercom system 15
Switch gear 20 Magnetic door holders 10
Transformer 20 Nurse call system 15
Elevator Paging system 15
Dumbwaiter 20 Telephone system 10
Freight 20 Television antenna system 10
Passenger, high-speed Yard lighting 15
automatic 20
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Estimated Useful Lives of Land Improvements, Buildings, and Fixed Equipment Estimated Useful Lives of Land Improvements, Buildings, and Fixed Equipment Estimated Useful Lives of Land Improvements, Buildings, and Fixed Equipment Estimated Useful Lives of Land Improvements, Buildings, and Fixed Equipment
Item Year Item Year
3. Heating and Air Conditioning
Boiler smokestack, metal 15 Cooling tower,
Clean air equipment 15 metal/wood 15
Duck work 20 large over 20 tons 15
Fan, air handling vent 15 medium 5-15 tons 10
Furnace, domestic type 15 small, under 5 tons 05
Heating, ventilating air conditioning system 20 Incinerator, indoor 10
Heat air conditioning system, all equipment units Oil storage tank 20
Boiler 20 Piping 25
Compressor, air 15 Precipitator 15
Condense tank 10 Pump 15
Condenser 15 Radiator, cast iron 18
Controls 15 Radiator, finned tube 18
Cooler/humidifier 10 Solar heat equipment 10
Unit heater 10
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Estimated Useful Lives of Land Improvements, Buildings, and Fixed Equipment Estimated Useful Lives of Land Improvements, Buildings, and Fixed Equipment Estimated Useful Lives of Land Improvements, Buildings, and Fixed Equipment Estimated Useful Lives of Land Improvements, Buildings, and Fixed Equipment
Item Year Item Year
4. Plumbing
Fire protection in hoods 10 Smoke heat detectors 15
Laboratory plumbing, piping 20 Sprinkler system 25
Oxygen, gas, air, piping 20 Tank and tower 25
Oxygen storage tanks 20 Sterilize, built-in 20
Plumbing-fixture 20 Sump pump sewage
Plumbing-piping 25 Piping 20
Plumbing-pump 15 Ejector 10
Pneumatic tube system 15 Vacuum cleaning system 15
Sewerage, composite 25 Water heater, commercial 15
Sprinkler fire Water storage tank 20
Fire pump 20 Water wells 25
Protection system 25
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Estimated Useful Lives of Land Improvements, Buildings, and Fixed Equipment Estimated Useful Lives of Land Improvements, Buildings, and Fixed Equipment Estimated Useful Lives of Land Improvements, Buildings, and Fixed Equipment Estimated Useful Lives of Land Improvements, Buildings, and Fixed Equipment
Item Year Item Year
5. Site work
Bumpers 05 Paving (including roadways,
Culverts 18 walks and parking)
Fencing-brick or stone 25 Asphalt 12
Fencing-chain link 15 Concrete 15
Fencing-wire 05 Gravel 05
Fencing-wood 08 Retaining wall 20
Flagpole 20 Shrubs, lawns, trees 10
Heated pavement 15 Sign 12
Lawn sprinkler system 15 Snow melting system 10
Parking lot gate 05 Turf, artificial 05
Parking lot, open walls 20 Underground sewer and water lines 25
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Estimated Useful Lives of Land Improvements, Buildings, and Fixed Equipment Estimated Useful Lives of Land Improvements, Buildings, and Fixed Equipment Estimated Useful Lives of Land Improvements, Buildings, and Fixed Equipment Estimated Useful Lives of Land Improvements, Buildings, and Fixed Equipment
Item Year Item Year
6. Structural
Bridges 30 Reinforced concrete, commercial design 40
Computer flooring 15 Roof covering 10
Loading docks 15 Sewage treatment plant 20
Masonry Structure, masonry or wood 25
Reinforced concrete frame 40 Water treatment plant 30
Steel frame, fireproofed 40
Steel frame not fireproofed 30
This list is not all-inclusive and the
estimated useful life for items, which are not
specifically listed, should be determined with
assistance from Engineering Service.
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FIXED ASSETS

• SUBSYSTEM
• (FAP)

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FIXED ASSETS SUBSYSTEM(FAP)

• Supports the accounting management of real and
  personal property items.
• Maintains original subsequent value of assets
  and works with other FMS Sub-systems to support
  fiscal risk management as well as standard
  reporting.

26
FIXED ASSETS SUBSYSTEM (FAP)

• Contains Capitalized Real and Personal Property.
• Real Property entered directly by Fiscal.
• Capitalized Personal Property entered via the
  AEMS/MERS Fixed Assets Interface.

27
FIXED ASSETS SUBSYSTEM (FAP)

• Allows asset depreciation to be computed manually
  or automatically via an off-line program.
• VA uses the straight line method.
• Passes accumulated depreciation monthly to the
  FMS general ledger.

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FIXED ASSETS SUBSYSTEM(FAP)

• See the Fixed Asset Manual pages 2-4 through 2-6
• 
  

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FIXED ASSETS

• SUBSYSTEM
• TABLES

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FIXED ASSETS SUBSYSTEMTABLES

• Reference Tables
• Fixed Asset Accounting Codes Table (FAAC)
• Fixed Asset Acquisition/Disposition Table (FADM)
• Fixed Asset Type Table (FATY)
• Fixed Asset Group Table (FAGP)
• Fixed Asset Location Table (FLOC)
• 
  

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FIXED ASSETS SUBSYSTEMTABLES

• Inquiry Tables
• Manual Depreciation Input Screen (MDEP)
• Fixed Asset Summary Tables (FAS1, FAS2)
• Fixed Asset Betterment Tables (FBT1, FBT2)

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FIXED ASSETS

• SUBSYSTEM
• DOCUMENTS

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FIXED ASSETS SUBSYSTEM DOCUMENTS

• - FA - Acquisition
• To establish assets in FAP.
• Data is sent via AEMS/MERS interface to generate
  FA for Personal Property.
• FA is manually input in FMS for Real Property.
• FMS general ledger is not affected.

42
FIXED ASSETS SUBSYSTEM DOCUMENTS

• - FB - Betterment
• To add a betterment to an asset.
• Asset must already be in FAP (FA document).
• Value of betterment is added to original asset.
• FMS general ledger is not affected.

43
FIXED ASSETS SUBSYSTEMDOCUMENTS

• - FC - Modification
• To change data sent on a FA or FB document.
• Not used to change accounting information.
• Post a revised value or useful life to the FA
  document.
• FMS general ledger is not affected.
• Note If the selling price is changed, general
  ledger is affected.

44
FIXED ASSETS SUBSYSTEMDOCUMENTS

• - FR - Transfer
• To change data sent on a FA document.
• Not really a Transfer.
• Changes accounting data BOC, FUND, COST CENTER,
  ACC, STATION NUMBER, LOCATION AND AO.
• FMS general ledger is not affected.

45
FIXED ASSETS SUBSYSTEMDOCUMENTS

• - FD - Disposition
• To dispose of an asset.
• Asset must already be in FAP.
• FD Document removes the asset from FAP.
• FMS general ledger is affected.

46
Equity Accounts

• The equity of an asset may be divided into as
  many as eight different equity accounts on the
  Fixed Asset Acquisition (FA) document, the Fixed
  Asset Betterment (FB) document and the Fixed
  Asset Modification (FC) document within FAP. 
  Currently FAP uses only one equity account on
  each document.  The correct equity account is
  determined by administration office.

47
FIXED ASSETS SUBSYSTEMDOCUMENTS

• Equity Accounts
• Currently FAP uses only one equity account on
  each document. The correct equity account is
  determined by administration office
• For VBA (AO 20), Cemeteries (AO 40), the Office
  of General Counsel (AO 02), the Office of
  Financial Management (AO 04), and Acquisition
  and Materiel Management (AO 90) use acct. - 3210
  Invested Capital
• For VHA (AO 10) use acct.- 3299 Capital
  Investments Medical
• For Fund 8180S and 8129S use acct. - 3402 Trust
  Property, Plant, and Equipment
• Equity accounts are not General Ledger
  Accounts

48
STEPS TO CORRECT EQUITY ACCOUNT

• Here are the steps to change the equity
  account from 3210 to 3299 Please go to FBT2
  because if an asset had betterments these steps
  will need to be done for each betterment number.
• 1. Screen shot of FBT2 will show Asset value and
  accumulated depreciation amount
• ACTION R TABLEID FBT2 USERID S104
  RMJ                               
•              FIXED ASSET BETTERMENT INQUIRY
  SCREEN 2 OF 2       
• KEY IS FIXED ASSET TYPE, FIXED ASSET NUMBER,
  BETTERMENT NUMBER    
•     
•       FA TYPE B     FA NUMBER 554 
  BANG0160       BETTERMENT NUMBER 00  
•       EQUITY      BETTERMENT          
    ACCUMULATED                     
•     ACCOUNT     VALUE                 
  DEPRECIATION                    
•     -------     -----------------     
  -----------------               
• 1  3210               121,805.77             
  30,738.90           
•                                                   
  
•   TOTALS        121,805.77             
  30,738.90                                         
                                    
•    

49
STEPS TO CORRECT EQUITY ACCOUNT

• 2. FC to change Depreciation method to MC (Manual
  Calculation)
• 3. MDEP Search FA number
• ACTION R TABLEID MDEP USERID S104
  RMJ                 
•  01- MANUAL DEPRECIATION INPUT SCREEN             
          
•                                                   
           
•           FIXED ASSET TYPE B                     
          
•         FIXED ASSET NUMBER 554 
  BANG0160                 
•          BETTERMENT NUMBER 00                    
          
•                                                   
          
•                       ACCUMULATED
  DEPRECIATION            
•                                                   
           
•                 EQUITY 1          
  30,738.90             
•                                          
•                             -----------------     
          
•                    TOTAL           30,738.90 
• Action C  Equity 1 2.00 Total 0.00
• After the change a comment saying a jv needs to
  be done     
• 4. FC to revise asset value 0.00 remember line
  3210 value 0.00
• Once this accepts go back to FBT2 to see that
  3210 and accumulated depreciation are 0.00 for
  both.

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FMSFIXED ASSETS

• GENERAL LEDGER
• TRANSACTIONS

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GENERAL LEDGERTRANSACTIONS
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GENERAL LEDGERTRANSACTIONS
COMMND DOCID FD 10
FSC3N3276 STATUS ACCPT 006-006
OF 001 BATID SUB STN
10/23/08 FIXED
ASSET DISPOSITION INPUT SCREEN

TRANSACTION
DATE ACCOUNTING PERIOD


01- FA FA DISP
TYPE NUMBER
METH DISP DATE SELLING PRICE DISP
AUTH ---- --------------- ----
---------- --------------- ---------------
E FSC 31212594 O 02 01 2008 0.00
00000 ASSET 6525-532140
ACQD 05/01/98 WORTH
117,602.91 TYPE V IN COMMND TO VERIFY
DISPOSAL OF ABOVE ASSET

REPORT NAME-gt
F.RGLDATV.100902 FORM-gt F840 LINES-gt 599203
PAGES-gt 10358
-------------------------------
--------------------------------------------------
-------------------------


10/09/08 FD FSC3N3276 95 AMAFMC 10
1759 61,224.07 1750
117,602.91
7212
60,258.56 6710 3,879.72  


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GENERAL LEDGER TRANSACTIONS
COMMND DOCID FD 10 FSC3N1409
STATUS ACCPT 005-005 OF 001
BATID SUB STN
10/23/08 FIXED ASSET
DISPOSITION INPUT SCREEN

TRANSACTION
DATE ACCOUNTING PERIOD


01- FA FA DISP
TYPE NUMBER
METH DISP DATE SELLING PRICE DISP
AUTH ---- --------------- ----
---------- --------------- ---------------
E FSC 147229 T 10 21 2008
350000.00 00000 ASSET
6525-439454 ACQD 06/01/03 WORTH
948,189.25 TYPE V IN COMMND TO
VERIFY DISPOSAL OF ABOVE ASSET


REPORT NAME-gt
F.RGLDATV.102202 FORM-gt F840 LINES-gt 489863
PAGES-gt 8467 10/22/08 FD FSC3N1409 95 AMAFMC
10 1759 505,176.26 1750
948,189.25
3310 350,000.00

6710
5,452.09
7212
87,560.90
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GENERAL LEDGERTRANSACTIONS
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GENERAL LEDGERTRANSACTIONS

• CAPITAL LEASE
• Equipment under Capital Lease
• FA Document to record receipt of Equipment in
  FAP.
• SV 9B to record receipt of Equipment (G/L 1811)
  and establish liability.
• CT 04 to record Principal Payments and reduce
  liability.

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GENERAL LEDGERTRANSACTIONS

• CAPITAL LEASE
• Building under Capital Lease
• FA Document to record receipt of Building in FAP.
• SV 9C to record receipt of Building (G/L 1812)
  and establish liability.
• CT 04 to record Principal Payments and reduce
  liability.

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GENERAL LEDGERTRANSACTIONS

• Assets in the following appropriations will be
  moved nightly through an
• automated process from the acquiring
  appropriation to the AMAF fund for
• Real Property. All Personal Property will move
  to unique AMAF funds as
• listed below

Treasury Symbol AMAF FUND For Real Property AMAF FUNDS For Personal Property Other Appropriations
0129 AMAF AMAFNC National Cemetery Administration
0151 AMAF AMAFGE General Operating Expense
0152 AMAF AMAFMA Medical Administration
0160 AMAF AMAFMC Medical Services
0161 AMAF AMAFRE Medical Prosthetic Research
0162 AMAF AMAFMF Medical Facilities
0167 AMAF AMAFIT Information Technology
0170 AMAF AMAFIG Inspector General
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GENERAL LEDGERTRANSACTIONS

• Fixed Asset Transfer Program
• (GN-068)
• Daily Report of items transferred (RGLATRV)
  Standard Voucher Transfer Report (F871).

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GENERAL LEDGER TRANSACTIONS

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GENERAL LEDGER TRANSACTIONS

• Assets in the following funds will NOT be moved
  to AMAF

Note Amounts in construction appropriations
0110 and 0111 and Parking Garage ( real property
only) must be Manually moved to AMAF when the
asset is placed in service.
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GENERAL LEDGERTRANSACTIONS

• Work in Process (WIP) (F876) (SGL 1720)
• Transfer costs to the proper Fixed Asset general
  ledger account.
• For Construction (0110 and 0111)
• Manually transfer to AMAF.

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GENERAL LEDGERTRANSACTIONS
FSC NEWS FLASH FY 2006 Issue 53 Austin,
Texas June 7, 2006 Clearing the F876 Report

• The following information should be used as a
  guide for clearing the F876 report.
• General Information
• This report identifies the Department of Veterans
  Affairs (VAs) real property Work in Process
  (WIP).
• Effective June 1, 2002, the threshold for
  recording VAs capitalized real property assets
  was increased to 100,000.00.
• The Standard General Ledger (SGL) and Budget
  Object Codes (BOC) used on this report are
• GL 1720 (Work in Process)
• BOC 3215 (Improvements to Land)
• 3220 (Buildings and Improvements)
• 3221 (Site Prep for Info Sys Tech)
• 3225 (Telecommunication Equipment)
• 3230 (Leasehold Improvements)
• 3240 (Other Structures and Facilities)
• Therefore, only transactions with these
  identifiers will appear on the F876. This report
  should be reviewed at least monthly and cleared
  in a timely manner to ensure a smooth annual
  closeout.
• Transaction Codes (TC) and Transaction Types (TT)
• There are several TC and TT to be used to clear
  the report depending on the scenario.
• SV 20/28/29/30 After Real Property meeting the
  100,000.00 minimum threshold is placed in
  service, a SV transaction must be processed to
  transfer to the appropriate Asset GL. The SV
  selected is based on the BOC. The asset will then
  be moved automatically through the GN-68 process
  to AMAF fund. This procedure takes the
  transaction off the report.
• SV 20 (I) Debits 1712 Credits 1720
• SV 28 (I) Debits 1740 Credits 1720

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GENERAL LEDGERTRANSACTIONS
NewsFlash cont.

• (Make sure when processing the construction
  standard voucher to use the same BFYS, FUND, and
  project from the WIP report.)
• GL 1712 (Improvements to Land)
• SV 76 (I) Debits 3310 Credits
  1712 Construction Appropriation
• Debits 9936 Credits 9935
• SV E2 (I) Debits 1712 Credits 3310 AMAF
• Debits 9935 Credits 9936
• GL 1730 (Buildings and Improvements)
• SV 71 (I) Debits 3310 Credits
  1730 Construction Appropriation
• Debits 9936 Credits 9935
• SV D4 (I) Debits 1730 Credits 3310 AMAF
• Debits 9935 Credits 9936
• GL 1820 (Leasehold Improvements)
• SV 73 (I) Debits 3310 Credits
  1820 Construction Appropriation
• Debits 9936 Credits 9935
• SV E9 (I) Debits 1820 Credits 3310 AMAF
• Debits 9935 Credits 9936
• GL 1740 (Other Structures and Facilities)
• SV 72 (I) Debits 3310 Credits
  1740 Construction Appropriation

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GENERAL LEDGERTRANSACTIONS
NewsFlash cont.

• Closing year During annual close each year,
  each appropriation which has been expired for 5
  years is closed. If a station does not clear the
  F876 for the closing year, FSC will process a two
  line SV 70. Line 001 the accounting
  information off the F876 report will be used with
  an I indicator. Line 002 - AMAF fund with BFY
  95 and a D indicator will be used.
• Fund 8180S/4537 Use an SV 49 to clean up the
  F876 following the process described in the SV 70
  paragraph above.
• References
• The above information is used as a guide for
  clearing the report. Specific information
  relating to this particular subject can be found
  on the following websites
• http//vaww1.va.gov/fmshome - Procedures Guide to
  Field Stations Guide to Fixed Assets
• http//www.va.gov/publ/direc/finance/ - OF
  Bulletins 02GA1.07, 02GA1.08 and VA Handbook
  4511
• If you have questions concerning this News Flash,
  please contact Cheryl Holman at [phone] or
  Rosa Jimenez at [phone].

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GENERAL LEDGERTRANSACTIONS
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GENERAL LEDGERTRANSACTIONS

• Work in Process (WIP) (F762) (SGL 1832)
• Transfer costs to the proper Fixed Asset general
  ledger account.
• Manually transfer to AMAF (SGL 1830).

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GENERAL LEDGERTRANSACTIONS
FSC NEWS FLASH FY 2006 Issue 50
Austin, Texas May 18, 2006 Clearing the
F762 Report

• The following information should be used as a
  guide for clearing the F762 report.
• General Information
• This report identifies the Department of Veterans
  Affairs (VAs) internal use software Work in
  Process (WIP).
• Effective October 1, 2001, VA began capturing and
  capitalizing the costs of software developed for
  use by VA. This applies to Commercial off-the-
  shelf (COTS) software, internally developed
  software with or without a contractors
  assistance, and contractor-developed software,
  only during the development phase of a software
  project. The only costs that should show up on
  the F762 are those meeting the software
  capitalization requirements. The Standard
  General Ledger (SGL) and Budget Object Code (BOC)
  used for Internal Use Software Capitalization
  are
• GL 1832 (Internal Use Software in Development)
  
• BOC 3124 (Internal Use Software Capitalized)
• Therefore, only transactions with these
  identifiers will appear on the F762.
• This report should be reviewed at least monthly
  and cleared in a timely manner.
• Transaction Codes (TC) and Transaction Types (TT)
• There are several TC and TT to be used to clear
  the report depending on the scenario.
• SV 3A Upon completion of the development phase,
  a project with a minimum cumulative total cost of
  100,000 in SGL account 1832 will be transferred
  to SGL 1830 using an SV 3A transaction. The
  asset will then be moved automatically through
  the GN-68 process to the related AMAF_ _ fund in
  the case of Appropriated Funds. This procedure
  takes the transaction off the report. The SV 3A
  (I) posts an 1830 debit and 1832 credit.

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GENERAL LEDGERTRANSACTIONS
NewsFlash cont.

• EW 01 Internal use software projects recorded
  in SGL account 1832 not meeting the
  capitalization threshold of 100,000 will be
  expensed through the use of EW 01 transaction if
  the adjustment is made during the same fiscal
  year as the costs were incurred. Internal use
  software not meeting the Departments 100,000
  capitalization threshold will use BOC 3134 ADP
  Software non-capitalized. An EW 01 with an
  increase indicator on line 001 using BOC 3134 and
  a decrease indicator on line 002 using BOC 3124
  should be processed to expense costs previously
  capitalized in 1832.
• SV 50 Internal use software projects recorded
  in SGL account 1832 not meeting the
  capitalization threshold of 100,000 for which
  costs were incurred in a prior year will be
  written off with a SV 50 transaction. This is a
  Financial Policy decision. The SV 50 (I) posts a
  7212 debit and 1832 credit.
• SV 38 This transaction is used to clean line
  items off the F762 report, where lines are debits
  and credit. The SV 38 (I) posts a 3310 debit
  and 1832 credit.
• In all cases reference the same document ID for
  each entry on the F762, use either I or D as
  appropriate to zero out the item. If the F762
  report does not reference a document ID then
  reference the same budget fiscal year, fund and
  project.
• Funds 8180S and 4537B Use an SV 50 to clean up
  the F762 following the process described in the
  SV 38 paragraph above.
• Specific information relating to this particular
  subject can be found on the following Web sites
• http//www.va.gov/publ/direc/finance/ - OF
  Bulletins 02GA1.02 and 02GA1.09
• http//vaww1.va.gov/fmshome - Procedures Guide to
  Field Stations Guide to Fixed Assets
• If you have questions concerning this News Flash,
  please contact Cheryl Holman at [phone] or
  Rosa Jimenez at [phone].

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GENERAL LEDGERTRANSACTIONS
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GENERAL LEDGERTRANSACTIONS

• FA Documents sent in error
• 1. Personal Property (Supply) OAMM must
  immediately notify Fiscal Service of the error.
• 2. Fiscal must check the FAS2 Table for
  accumulated depreciation posting.

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GENERAL LEDGERTRANSACTIONS

• 3. Fiscal must remove any accumulated
  depreciation from the FA (Fixed Asset
  Acquisition) Document.
• A. Process a FC transaction for the Fixed Asset
  to change the depreciation method to MC (Manual
  Depreciation).
• B. Update the MDEP table to 0.00 depreciation
  for the Fixed Asset.

72
GENERAL LEDGERTRANSACTIONS

• 4. Process an FC (Fixed Asset Modification)
  Document to change the value to 0.00.
• 5. Process an FD (Fixed Asset Disposal) Document
  with a 0.00 selling price to delete the
  erroneous FA Document.

73
GENERAL LEDGERTRANSACTIONS

• 6. If accumulated depreciation has posted
  against the general ledger, it must be removed
  using an SV (Standard Voucher) Document.
• Note Following these steps will prevent general
  ledger entries from being made.

74
GENERAL LEDGERTRANSACTIONS
COMMND DOCID FD 10
FSCB0020010 STATUS ACCPT 001-001
OF 001 BATID SUB STN
10/23/08 FIXED
ASSET DISPOSITION INPUT SCREEN

TRANSACTION
DATE ACCOUNTING PERIOD


01- FA FA DISP
TYPE NUMBER
METH DISP DATE SELLING PRICE DISP
AUTH ---- --------------- ----
---------- --------------- ---------------
B FSCB0020010 O 10 11 2002 0.00
FSC-000-02 ASSET FSCC10194
ACQD 08/30/02 WORTH
0.00 TYPE V IN COMMND TO VERIFY DISPOSAL
OF ABOVE ASSET
75
GENERAL LEDGER TRANSACTIONS

• Fixed Asset completely depreciated will be drop
  with a FD document

76
FIXED ASSETS

• EXCESS EQUIPMENT

77
FIXED ASSETSEXCESS EQUIPMENT

• An Asset that is determined to be in excess
  (Property Pending Disposal) must be moved to the
  excess account (1524) general ledger located in
  AEMS/MERS, FAP and the FMS general ledger.
• 1. FD (Fixed Asset Disposition) document for
  disposal of the asset.
• 2. Selling price is book value.

78
FIXED ASSETSEXCESS EQUIPMENT

• 3. FA (Fixed Asset Acquisition) document for
  excess equipment.
• 4. Fiscal must create an SV (Standard Voucher)
  document (7C) to reestablish the asset in the
  general ledger Property Pending Disposal Account
  (1524).

79
FIXED ASSETSEXCESS EQUIPMENT SALES

• Proceeds used to purchase similar equipment.
• 1. Proceeds will be deposited into Fund 3845.
• 2. Proceeds will be available to the VA during
  the Fiscal year of the sale and for one Fiscal
  year thereafter and may only be used to purchase
  similar equipment.

80
FIXED ASSETSEXCESS EQUIPMENT SALES

• If the equipment was originally purchased
  through supply fund resources, the proceeds will
  be returned to Supply Fund (Fund 4537B).
• If neither of the first two alternatives above
  apply, the funds will be deposited into
  Miscellaneous Receipts (Fund 3220), which return
  the proceeds to Treasury.

81
FIXED ASSETS

• RSD
• REPORTS

82
FIXED ASSETSRSDREPORTS

• 1. Standard Voucher Document Transfer -
• (RGLATRV - Form F871). 7-5
• 2. Fixed Assets Summary Depreciation Report -
• (RFASDRVI - Form F058). 7-6

83
FIXED ASSETSRSD REPORTS

• 3. Fixed Assets Summary Detail Listing Report -
• (RFADETLV - Form FA04). 7-7
• 4. Fixed Asset Exception Report -
• (RFAFXCV - Form FFA7). 7-8

84
FIXED ASSETSRSD REPORTS

• 5. General Ledger Reconciliation of FMS and
  Fixed Asset Report -
• (RFAVGLV - Form F852). 7-11
• 6. Document Processing Report -
• Accepted (RGSADLV2 - Form F829) 7-9
• Rejected (RGSGDPV2 - Form F97D)7-10

85
FIXED ASSETSRSD REPORTS

• 7. FMS Inventory Report (RGLLIAV - Form F832)7-12

86
This report provides a list of all standard
voucher documents as well as the related
originating document information, created during
the nightly cycle to move assets to the AMAF
funds. This process only impacts the FMS general
ledger.
87
This report summarizes depreciation expense
(General Ledger Account 6710) by FY, BFY, and
FUND for the current fiscal month.
88
This report lists a detailed listing of all FA
numbers, AO, BOC, Description, Acq. Date, Useful
Life, Rpl Date, General Ledger, Asset, Acc Depr,
and Differences.
89
AAsset amount less than 100,000 BMissing or
wrong BOC LQuestionable useful life
90
This report lists all the successfully processed
transactions.
91
This report lists rejected transactions which did
not process successfully due to errors and are
listed on the FMS Document Suspense File table
(SUSF).
92
This report lists General Ledger totals for the
asset and accumulated deprecation from the FMS
General Ledger and corresponding totals from the
Fixed Assets Subsystem. It also displays any out
of balance conditions between General Ledger and
FAP by General Ledger account and fund.
93
This monthly report lists all inventories
activity during the month by fund, general
ledger, document identification number and amount.
94
This monthly report lists all inventories
activity during the month by fund, general
ledger, document identification number and amount.
95
FIXED ASSETS

• RECONCILIATION

96
FIXED ASSETSRECONCILIATION

• REAL PROPERTY Subsidiary records (FAP) General
  Ledger Trial Balance (FMS).

97
RECONCILIATION

• PERSONAL PROPERTY FMS (GL), AEMS/MERS, FAP

98
FIXED ASSETS RECONCILIATION

• FMS RECONCILIATION TABLES
• FAS2 (Fixed Assets Summary)
• GLTS ( General Ledger Trial Balance)

99
FIXED ASSETSRECONCILIATION

• FMS Reconciliation Reports
• General Ledger Reconciliation of FMS (Daily)and
  Fixed Assets Report RFAVGLV Form F852.
• SV Document Transfer Report (Daily) RGLATRV Form
  F871.

100
FIXED ASSETSRECONCILIATION

• FMS Inventory Report (Monthly) RGLLIAV Form F832.

101
This report lists General Ledger totals for the
asset and accumulated deprecation from the FMS
General Ledger and corresponding totals from the
Fixed Assets Subsystem. It also displays any out
of balance conditions between General Ledger and
FAP by General Ledger account and fund.
102
This report provides a list of all standard
voucher documents as well as the related
originating document information, created during
the nightly cycle to move assets to the AMAF
funds. This process only impacts the FMS general
ledger.
103
This monthly report lists all inventories
activity during the month by fund, general
ledger, document identification number and amount.
104

• PRACTICE EXERCISES