CONTROLLED EQUIPAGE Controlled equipage consists of items that require special management control because they are essential for the protection of life or are relatively valuable and easily converted to personal use. Items classified as controlled equipage are listed in appendix 11 of NAVSUP P-485. The list includes only those items selected (or approved) by the fleet commanders in chief to be included in this category. Proper inventory management of controlled equipage issued for end use requires the maintenance of separate custody records for individual items; physical inventories; surveys of lost, missing, or Unserviceable items; and periodic reports of consumption, deficiencies, and excesses to the cognizant TYCOM. Controlled equipage is in the custody and inventory control of cognizant department heads. All Controlled equipage is inventoried biennially, in each odd-numbered year, during the period between 15 February and 15 March. Additional inventories, which must be completed within 30 days after the commencement date, are required in the following cases: upon commissioning, inactivation, or reactivation of an activity; upon relief of a department head for those items in the custody of the department concerned; and upon change of command at the discretion of the relieving commanding officer. When a shipwide inventory of controlled equipage has been taken during the six-month period preceding 15 February, the biennial inventory requirement for the current year is considered to be satisfied. Inventory taken incident to the relief of department head must be conducted jointly by the relieved and relieving department heads. This joint inventory must be completed (including surveys) before the detachment of the relieved department head. The Controlled Equipage Custody Record, NAVSUP Form 306, is used as a custody record and inventory control document for controlled equipage. The originals of the NAVSUP Form 306 are maintained by the supply officer and, when not in use, are kept in a locked file. All entries concerning receipts, expenditures, and inventories are posted to the NAVSUP Form 306. When a new NAVSUP Form 306 is required, information from the old custody record is copied and the balance carried forward to the new card. The old NAVSUP Form 306 is retained for 36 months from the date of the last inventory entry in the inventory record section. When the inventoried quantity of a controlled equipage item does not agree with the custody record balance, a receipt or expenditure entry (as appropriate) is required to adjust the custody record balance. Such adjustments may be made only after recount, investigation, and research have been unable to reconcile the difference. When the gain difference cannot be reconciled, a GBI is posted to the Transaction Record column, and for a signature-required item, the responsible department head’s signature is required to acknowledge custody of the increased quantity. When the loss difference cannot be reconciled, the expenditure of the deficient quantity must be documented on a DD Form 200. Surveys are also required for any unserviceable items discovered during the inventory. When the survey is for an item suspected of being stolen, its loss must be reported to the Naval Criminal Investigative Service Headquarters (NCISH), 2461 Eisenhower Avenue, Alexandria, VA 22314. Additional guidance for reporting theft can be found in SECNAV Instruction 5500.4. The term loss by inventory or LB I is not an authorized entry in controlled equipage records. 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 on change of department head, the letter report must be signed by both the relieved and relieving department heads. Letter reports include the following information: . Controlled equipage inventory has been completed . Surveys applicable to shortages and unserviceable items have been submitted (or reasons why they have not been submitted) l Issue requests applicable to shortages and unserviceable items requiring replenishment have been submitted to the supply officer (or reasons why they have not been submitted) l List of excess controlled equipage items, including justification or authority for any excess items desired to be retained Detailed procedures for the physical inventory of controlled equipage and entries required on the NAVSUP Form 306 can be found in NAVSUP P-567 and NAVSUP P-485. 5-20