U.S. Department of State Fiscal Year 2020 Agency Financial Report

NOTE 6: Property and Equipment, Net (continued) Stewardship Property and Equipment – Heritage Assets HERITAGE ASSETS For the Years Ended September 30, 2019 and 2020 Diplomatic Reception Rooms Collection Art Bank Program Art in Embassies Program Cultural Heritage Collection Library Rare & Special Book Collection Description Collectibles – Art and furnishings from the period 1750 to 1825 Collection of American works of art on paper Collectibles – American works of art Collections include fine and decorative arts and other cultural objects Collectibles–Rare books and other publications of historic value Acquisition and Withdrawal Acquired through donation or purchase using donated funds. Excess items are sold. Acquired through purchase. Excess items are transferred. Acquired through purchase or donation. Excess items are sold. The program provides assessment, preservation, and restoration as needed. Acquired through donation. Condition Good to excellent Poor to excellent Good to excellent Good to excellent Poor to good Number of Assets – 9/30/2018 1,820 2,620 1,208 18,594 1,282 Acquisitions 6 27 40 95 61 Adjustments 1 15 600 Disposals 6 702 1 Number of Assets – 9/30/2019 1,821 2,647 1,263 18,587 1,342 Acquisitions 8 13 6 93 34 Adjustments 1 565 Disposals 5 220 5 Number of Assets – 9/30/2020 1,825 2,660 1,269 19,025 1,371 (continued on next page) The Department maintains collections of art, furnishings and real property (Culturally Significant Property) that are held for public exhibition, education and official functions for visiting chiefs of State, heads of government, foreign ministers and other distinguished foreign and American guests. As the lead institution conducting American diplomacy, the Department uses this property to promote national pride and the distinct cultural diversity of American artists, as well as to recognize the historical, architectural and cultural significance of America’s holdings overseas. There are nine separate collections of art and furnishings: the Diplomatic Reception Rooms Collection, the Art Bank Program, the Art in Embassies Program, the Cultural Heritage Collection, the Library Rare and Special Book Collection, the Secretary of State’s Register of Culturally Significant Property, the National Museum of American Diplomacy, the Blair House, and the International Boundary and Water Commission. The collections, activity of which is shown in the following table and described more fully in the Required Supplementary Information and Other Information sections of this report, consist of items that were donated or purchased using donated or appropriated funds. The Department provides protection and preservation services to maintain all Heritage Assets in the best possible condition as part of America’s history. The Department’s deferred maintenance policy within the RSI includes analysis of Heritage Assets on the Secretary of State’s Register of Culturally Significant Property list. The following table contains unaudited data as discussed in the Independent Auditor’s Report. 82 | U ni ted S tates D epartment of S tate 2020 A gency F inanci al R eport FINANCIAL SECTION | NOTES TO THE PRINCIPAL FINANCIAL STATEMENTS