Distribution of the Report of Survey Form After Final Action The original report with all attachments is retained at the activity if copies are not required by higher authority. A duplicate is returned to the appropriate property officer to replace the quadruplicate copy, which may then be destroyed if not required by higher authority. The triplicate copy is destroyed if pecuniary liability is not assessed. If pecuniary liability is assessed, send a copy to the disbursing officer. INVENTORIES Inventories should be conducted at regular intervals, following prescribed procedures. Controlled Equipage Inventory All items of controlled equipage are inventoried on an annual basis during the period 15 February to 15 March. At least 1 month before 15 February, the supply officer prepares an official notice advising all department heads of procedural details to be followed when conducting their annual inventories of controlled equipage. The notice is signed by the commanding officer or by an officer with delegated authority. Heads  of  departments  are  responsible  for conducting the inventory of items for which they have  custody.  The  file  of  duplicate  NAVSUP Forms 306, as well as subcustody records, can be used as a basis for conducting and recording physical inventories of controlled equipage. All items are sighted and inspected for service- ability by the officer conducting the inventory. Binoculars, small arms, and other equipment identified by serial numbers are checked by those numbers during the inventory. As each item is inventoried, the inventorying officer enters the date and quantity and signs the reverse side of the department copy of the custody card. As the inventory progresses or immediately after  completion, the  inventory  record  is transcribed  to  the  original  card  held  by  the supply officer. When the inventoried quantity of an item differs from the verified custody record balance, a recount or an investigative research or both is required. After  the  above  procedures  have  been accomplished, the following additional actions are required: 1. 2. 3. 4. Shortages  and  unserviceable  items  dis- covered incident to inventory are promptly surveyed. Inventory adjustments are posted to the custody card. Issue requests are prepared and submitted to the supply officer for procurement of any replacement items required. A report of inventory completion is sub- mitted to the commanding officer. Upon  completion  of  a  controlled  equipage inventory, each department head submits a letter report to the commanding officer, with a copy to the supply officer. When controlled equipage is inventoried incident to a change of department head, the letter report is signed by both the relieved and relieving department heads. Letter reports should include a list of excess controlled equipage items. This list should include justifica- tion or authority for any excess items you want to retain. Letter reports should include 1. 2. 3. 4. Other completion  of  the  controlled  equipage inventory, submission of shortages and unserviceable items, replenishment of shortages and unservice- able items, and justification or authority for any excess items to be retained. Inventories Physical inventories of stores in the technical custody of the supply department but in the physical custody of other departments are taken at the end of each quarter or when prescribed by the  supply  officer.  The  inventory  is  checked against the stock record cards, signed by the custodian department head, and submitted to the supply officer. The following are examples of how you should prepare the space for inventory: 1. 2. 3. Ensure the stowage is orderly and follows a prearranged stowage plan. Ensure unopened boxes and other containers are stowed with labels and other identifying information  facing  outward. Ensure loose items are repackaged in standard bulk lots when practical. 4-22