Correct a Prior Year Asset​

​State Agencies: Contact the State Controller’s Office

Prior year assets are those with an In Service Date (INSRV DATE) prior to the current fiscal year. Agencies can change or update informational elements on the FAS Property Maintenance/Inquiry screen (S040).  However, the prior year asset correction process must be followed if an agency needs to change the following elements:

 

  • Property Number

  • Component Number

  • Ownership Code – statewide reportable to non-reportable or vice versus.

  • Capitalization Indicator – reportable ownership codes must have an S capitalization

  • Any amount field with the exception of the salvage or replacement value.

  • Class code – one asset type to another.

  • In-service date

Prior Year Asset Correction Process

For prior year asset corrections, agencies must either e-mail the State Controller’s Office (SCO) Division of Statewide Accounting, Bureau of Accounting Operations. Agencies must provide SCO with the Property Number and Component Number of the asset that needs to be corrected and the reason for the correction.

 

A prior year asset that needs to be corrected cannot be deleted. The SCO will inactivate the asset using transaction codes RP1 - RP4 (depending on the asset class). Inactivate means that the asset is adjusted to a zero balance and any previous depreciation has also been adjusted to zero. The agency can then, if necessary, add the correct asset record to FAS. The corrected asset can use the same Property Number, but must have a different Component Number.

 

Transaction codes RP2 - RP4 transaction codes create several system generated transaction codes in both FAS and STARS to remove any prior and any current year accumulated depreciation.

 

Agencies are responsible for retaining the proper documentation explaining why an asset has been corrected. This documentation will be used for the Annual​ Comprehensive Financial Report (ACFR) closing packages and follow-up.

 

The following steps will be performed by the State Controller’s Office (SCO) Division of Statewide Accounting.

SCO: Correct a Prior Year Asset

  1. Type 35 at the FAS Main Menu and press ENTER.

  2. Type an A in the FUNCTION field.

  3. Type the Property Number and Component Number in the PROP NO and COMP NO fields, respectively.

  4. Type the sequence number in the SEQ NO fields

  5. Type the appropriate transaction code (RP1- RP4) based on the class of the asset in the FAS TC field: RP1 – Land; RP2 – Buildings; RP3 – Improvements Other Than Buildings; RP4 – Machinery and Equipment.

  6. Type a D in the STATUS field.

  7. Type an I in the disposition method indicator (DSP MTH) field.

  8. Type the original amount of the asset in the ADT AMT field.

    1. If the asset has been partially disposed, type the remaining amount in the ADT AMT field. The remaining amount would be the Original Amount times the remaining disposition percentage.

  9. Type 100 in the DISP % field.

    1. If the asset has been partially disposed, type the remaining percentage in the DISP % field (100 – the disposition percentage as recorded on the Property Record Maintenance screen S040.

  10. Type the current date in the ADT DATE field

  11. Release the transaction.

System Generated Transaction Codes Requiring SCO Data Entry

  1. Transaction codes (TCs) RP1 - RP4 generate a STARS transaction code 8GM or 8FM for capitalized (over $5,000) reportable assets. These STARS transaction codes remove the asset and the fund balance associated with the asset.

  2. The RP2 - RP4 transaction codes also generate FAS transaction codes RB2 - RB4 to remove the prior year accumulated depreciation posted to the asset. (The RP1 transaction code does not generate an RB1 transaction code because there is no depreciation on land.)

  3. The RB2 – RB4 transaction codes remove any current year accumulated depreciation and generate FAS transaction codes RQ2 – RQ4 and also generate a STARS transaction code 8FI or 8GI. The STARS transaction codes remove the prior year depreciation from the accumulated depreciation GL.

  4. The RQ2 – RQ4 transaction codes remove current year depreciation and generate a STARS transaction code 8FN or 8GN. The 8FN or 8GN TCs will error in STARS and require an expenditure subobject to be entered. Depending on the GL in those STARS transactions, SCO will enter one of the following expenditure subobjects:

 

GL

Expenditure Subobject

1720

6240

1735

6185

1760

6880

 

5. The RB2 – RB4 transactions will error in the FAS Hold File. The error message on the transactions will be “AF11- ADT Amount Incorrect”.  Using the FAS S035 Direct Entry screen, the ADT amount must be changed to the same amount shown in the ST DEPR field.  If the ST DEPR field is blank, the transaction will be deleted from the FAS Hold file.

The State Controller’s Office will monitor, change, and release the RB2 - RB4 transactions.

State Agencies: Add the Corrected Asset

The following steps will be performed by the agency.

 

  1. Enter the asset using the FAS Direct Data Entry S035 screen.

  2. In the FAS TC field type a transaction code AT1 - AT4 (depending on the asset class): AT1 – Land; AT2 – Buildings; AT3 – Improvements Other Than Buildings; AT4 – Machinery and Equipment. These transaction codes generate a STARS transaction code 8GA or 8FA to post to the respective GL.

  3. To add the asset back into FAS with the same Property Number, enter a different Component Number in the COMP NO field. 

  4. Type the current month’s date in the ADT DATE field.

  5. Type the in-service date (the actual date that the asset started being used) in the INSRV DATE field.

  6. Enter all other necessary information required by the transaction code.

  7. Release the transaction. If no one in the agency has release authority (level 3), e-mail the State Controller’s Office (SCO) Division of Statewide Accounting, Bureau of Accounting Operations to ask them to release the transaction.