UNIVERSITY OF VIRGINIA
          FINANCIAL AND ADMINISTRATIVE PROCEDURES MANUAL



TITLE:  PREPARING EQUIPMENT TRUST FUND          PROCEDURE:  10-35
        (ETF) FINANCIAL AGREEMENT                                   
                                                                   
Policy Reference:              X.C.1

Form:                     Equipment Trust Fund Financial Agreement

Obtain Blank Forms From:  Budget Office, Madison Hall,924-3349

Forward Completed Forms To:    Budget Office, Madison Hall,924-3349

Purpose

To make all parties aware of financing arrangements when equipment
is purchased with both Equipment Trust Fund monies and federal
grant funds.

Background

When equipment is split funded between ETF funds and grants from
federal agencies, the title technically belongs to the Virginia
College Building Authority (VCBA), even though the federal agency
may have the right to transfer the equipment.  If the agency
exercises its right, the department that purchased the equipment
with federal grant funds must replace the equipment, so as not to
violate the terms of the VCBA lease agreement.

To ensure all parties are aware of the potential situation and the
related procedure and form, departments must complete an Equipment
Trust Fund Financial Agreement.

Instructions

Self-explanatory.


ISSUED BY:                                                05/16/88 

Budget Office                 10.35.1