Equipment Leasing Policy
|Date Approved||11 September 2005|
Rationale and Objective(s):
This policy: (i) specifies those items of University equipment that are to be leased and (ii) identifies the particular provider of leasing services to the University.
This policy refers to all areas of the University.
3. Policy Provisions
i. In financing the purchase of its various equipment needs, the University may consider a number of potential options, the most common of which include outright purchase and/or lease financing.
ii. The decision to designate leasing as the preferred financing mechanism for certain types of equipment does not diminish in any way the responsibility of University officers to exercise due economy in relation to their day to day purchasing decisions.
iii. In this respect, delegations pertaining to the commitment or incurrence of expenditures, as well as use of contracted suppliers remain operative.
3.1.1. Authority to Lease
This policy provides the requisite authority to University staff to lease those equipment items nominated at Section 3.1.2 below, where the base purchase price of such equipment does not otherwise exceed that staff member’s respective financial delegation to commit or incur such expenditure.
This policy should be read in conjunction with delegation CG14 which limits the approval to lease equipment not otherwise specified herein to Bands 1,2,3 or 4 - subject to advice from the Executive Director Business Services or Manager Financial Operations.
3.1.2. Equipment to be Leased
University staff are required to lease the following items of equipment:
■ Standard IT equipment
o Desktop PC’s
In the case where such equipment is funded from competitive (external) research grants, the option of outright purchase will remain.
3.1.3. Other Equipment
The most appropriate financing mechanism for the following equipment items will continue to be assessed on a case by case basis:
■ non-standard IT equipment (including servers and specialised high end computer equipment)
■ IT peripherals (such as printers, photocopiers, and MFDs), and
■ non-IT related equipment (including research related and specialised equipment).
3.1.4. Requests for completion of financing assessments relating to equipment items other than those identified at Section 3.1.3 should be referred to the Contract Management Officewithin Financial Services so that the following aspects can be considered:
■ quantitative/financial factors (eg net present value and effective rates of interest) and
■ qualitative/non-financial factors (eg ability to return the equipment on time, ability to return the equipment in a reasonable state of repair)
3.1.5. Leasing Provider
The University currently maintains a Master Leasing Facility (refer Attachment 1). Under no circumstances are University staff permitted to negotiate the lease of any form of equipment with a provider other than the provider identified in the Master Leasing Facility. All discussions with the provider regarding the existing lease facility should be directed through the University’s Contract Management Officein the first instance.
2.1.5. Return of Equipment
Faculties and Divisions are to ensure that all equipment is ready and available for return prior to the designated lease expiry date in line with directions received by Financial Services (Contract Management Office).
2.1.6. Care of Equipment and Asset Management
All leased equipment must be maintained in good working order and not modified without the permission of IT Services and Financial Services. All leased equipment will be asset managed through the Macquarie Bank Online system. Faculties and Divisions are to ensure that Procurement are notified prior to any leased IT equipment being relocated or otherwise transferred within the University or to other staff.
Full details of the processes and procedures pertaining to leasing are available from the Contract Management Office
3. Essential Supporting Documents:
|Date Approved||11 September 2005|
|Date for Review||11 September 2008|
|Policy Sponsor||Deputy Vice-Chancellor (Services)|
|Policy Owner||Director, Corporate Services|
|Policy Contact||Associate Director, Commercial Services|
Amended Policy Owner 24 March 2010
Amended Policy Contact 19 August 2010