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UNDP has changed its asset capitalization threshold from US $1,500 to US $5,000. This policy change will significantly reduce the volume (i.e. quantity) of assets in the asset register thereby allowing UNDP to focus attention on higher value items. The change in policy should also result in a more effective verification and certification process. UNDP has updated the following policies to reflect the changed asset capitalization threshold: 1.Furniture and Equipment: Disposal and Write-Off The following clause has been amended accordingly: 40 Additionally, the Asset Disposal Authority has inc ...
UNDP has changed its asset capitalization threshold from US $1,500 to US $5,000. This policy change will significantly reduce the volume (i.e. quantity) of assets in the asset register thereby allowing UNDP to focus attention on higher value items. The change in policy should also result in a more effective verification and certification process.
UNDP has updated the following policies to reflect the changed asset capitalization threshold:
1.Furniture and Equipment: Disposal and Write-Off
The following clause has been amended accordingly:
40
Additionally, the Asset Disposal Authority has increased from US $2,500 to US $5,000. Clauses 2, 4, 5, 15, 17, 19 and 22 of the policy have been updated accordingly.
2.Furniture and Equipment: Acquisition and Maintenance
The following clauses have been amended accordingly:
3, 5-7; 14; 35-37; 41, 43, 46, 48; 73 and 83.
3.Plant and Property: Acquisition and Maintenance
The following clauses have been amended accordingly:
1, 3, 5 and 21
4.Plant and Property: Disposal and Write-Off
The Asset Disposal Authority has increased from US $2,500 to US $5,000. Clause 4 has been updated accordingly.
5.Furniture and Equipment: Property, Plant and Equipment (PPandE)
The following clauses have been amended accordingly:
1, 4, and 5
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To adjust the changes on Furniture and Equipment: Acquisition and Maintenance policy which were made in Feb 2017 based on the audit recommendation, the following descriptions on Assets and closure of projects were added for clarification purpose.Assets and closure of projectsNo asset should be left in the closed project. Project cannot be closed if it has not completed disposal or transfer of its assets. Well in advance of the project closure, project management should identify assets disposal methods taking into consideration respective provisions of the project document, UNDP Policy as ... To adjust the changes on Furniture and Equipment: Acquisition and Maintenance policy which were made in Feb 2017 based on the audit recommendation, the following descriptions on Assets and closure of projects were added for clarification purpose. Assets and closure of projects
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The asset capitalization threshold has increased from $500 to $1500 for UNDP and from $500 to $2500 for UNCDF. Additionally, the required number of years an asset should be depreciated (accounting useful life) has been updated and replacement useful life introduced.
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The threshold on the corporate purchasing card has been increased from $2500 to $5000, excluding expenditures for PPE. Regarding furniture and equipment, UNDSS assets are no longer recorded as UNDP Assets and only UNDP’s share of assets purchased under common service arrangements will be recorded in UNDP’s books. The procurement catalogue provides guidance to ensure appropriate recording. |
Assets Management section of Administrative Support Services chapter has been updated with the Project Assets Management. The process establishes procedures and systems to ensure compliance with the UNDP Financial Rules and Regulations and to ensure accurate reporting of all non-expendable (fixed) project assets. As stated in the UNDP Financial Regulations and Rules, the management of fixed assets includes all actions necessary for the acquisition and receipt, custody, maintenance and disposal of non-expendable assets which are controlled and safeguarded by UNDP. This includes the timely ... Assets Management section of Administrative Support Services chapter has been updated with the Project Assets Management. The process establishes procedures and systems to ensure compliance with the UNDP Financial Rules and Regulations and to ensure accurate reporting of all non-expendable (fixed) project assets. As stated in the UNDP Financial Regulations and Rules, the management of fixed assets includes all actions necessary for the acquisition and receipt, custody, maintenance and disposal of non-expendable assets which are controlled and safeguarded by UNDP. This includes the timely and proper location, tracking and record-keeping of all related transactions. The compliance with the procedures is an auditable requirement. EXPAND
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