Section 80.32(b) of Education Department General Administrative Regulations (EDGAR) requires that Arkansas school districts use, manage, and dispose of equipment acquired by federal funds in accordance with state laws and procedures.
Federal regulations indicate that the procedures require that each district conduct an annual physical inventory of equipment purchased with Title I funds. The district must reconcile this annual inventory to the equipment recorded in the district’s inventory system.
The district must maintain adequate controls to account for the procurement, location, custody, and security of equipment purchased with Title I funds.
Documentation of the annual physical inventory and reconciliation to the equipment recorded in the inventory system must be maintained in the district’s annual audit file.
Districts must also account for the transfer and/or disposal of equipment purchased with Title I funds. Transfers and/or disposals must be recorded in the district’s inventory system.