diff --git a/Makefile.am b/Makefile.am
index 0c26a6f..7e1cccb 100644
--- a/Makefile.am
+++ b/Makefile.am
@@ -26,6 +26,7 @@
 	fan_pwm.cpp \
 	timer.cpp \
 	hwmon.cpp \
-	hwmonio.cpp
+	hwmonio.cpp \
+	sensor.cpp
 
 SUBDIRS = . msl test tools
diff --git a/hwmon.hpp b/hwmon.hpp
index 5319b69..5a7a90f 100644
--- a/hwmon.hpp
+++ b/hwmon.hpp
@@ -13,11 +13,13 @@
 static constexpr auto clabel = "label";
 static constexpr auto ctarget = "target";
 static constexpr auto cenable = "enable";
+static constexpr auto cfault = "fault";
 
 static const std::string input = cinput;
 static const std::string label = clabel;
 static const std::string target = ctarget;
 static const std::string enable = cenable;
+static const std::string fault = cfault;
 }
 
 namespace type
diff --git a/interface.hpp b/interface.hpp
index da939c2..a2fa21f 100644
--- a/interface.hpp
+++ b/interface.hpp
@@ -5,6 +5,7 @@
 #include "xyz/openbmc_project/Sensor/Threshold/Critical/server.hpp"
 #include "xyz/openbmc_project/Control/FanSpeed/server.hpp"
 #include "xyz/openbmc_project/Control/FanPwm/server.hpp"
+#include "xyz/openbmc_project/State/Decorator/OperationalStatus/server.hpp"
 #include <sdbusplus/server.hpp>
 
 template <typename... T>
@@ -24,6 +25,9 @@
 using FanPwmInterface =
     sdbusplus::xyz::openbmc_project::Control::server::FanPwm;
 using FanPwmObject = ServerObject<FanPwmInterface>;
+using StatusInterface =
+    sdbusplus::xyz::openbmc_project::State::Decorator::server::OperationalStatus;
+using StatusObject = ServerObject<StatusInterface>;
 
 enum class InterfaceType
 {
@@ -32,6 +36,7 @@
     CRIT,
     FAN_SPEED,
     FAN_PWM,
+    STATUS,
 };
 
 // vim: tabstop=8 expandtab shiftwidth=4 softtabstop=4
diff --git a/mainloop.cpp b/mainloop.cpp
index c18ae7f..a9898b7 100644
--- a/mainloop.cpp
+++ b/mainloop.cpp
@@ -33,6 +33,7 @@
 #include "mainloop.hpp"
 #include "targets.hpp"
 #include "thresholds.hpp"
+#include "sensor.hpp"
 
 #include <xyz/openbmc_project/Sensor/Device/error.hpp>
 
@@ -357,6 +358,9 @@
     }
     addTarget<hwmon::FanPwm>(sensor.first, ioAccess, _devPath, info);
 
+    // Add status interface based on _fault file being present
+    sensor::addStatus(sensor.first, ioAccess, _devPath, info);
+
     // All the interfaces have been created.  Go ahead
     // and emit InterfacesAdded.
     valueInterface->emit_object_added();
diff --git a/sensor.cpp b/sensor.cpp
new file mode 100644
index 0000000..cbcbfeb
--- /dev/null
+++ b/sensor.cpp
@@ -0,0 +1,83 @@
+#include <experimental/filesystem>
+
+#include <phosphor-logging/elog-errors.hpp>
+#include <xyz/openbmc_project/Sensor/Device/error.hpp>
+
+#include "sensor.hpp"
+#include "sensorset.hpp"
+#include "hwmon.hpp"
+#include "sysfs.hpp"
+
+namespace sensor
+{
+
+std::shared_ptr<StatusObject> addStatus(
+        const SensorSet::key_type& sensor,
+        const hwmonio::HwmonIO& ioAccess,
+        const std::string& devPath,
+        ObjectInfo& info)
+{
+    namespace fs = std::experimental::filesystem;
+
+    std::shared_ptr<StatusObject> iface = nullptr;
+    static constexpr bool deferSignals = true;
+    auto& bus = *std::get<sdbusplus::bus::bus*>(info);
+    auto& objPath = std::get<std::string>(info);
+    auto& obj = std::get<Object>(info);
+
+    // Check if fault sysfs file exists
+    std::string faultName = sensor.first;
+    std::string faultID = sensor.second;
+    std::string entry = hwmon::entry::fault;
+
+    auto sysfsFullPath = sysfs::make_sysfs_path(ioAccess.path(),
+                                                faultName,
+                                                faultID,
+                                                entry);
+    if (fs::exists(sysfsFullPath))
+    {
+        bool functional = true;
+        uint32_t fault = 0;
+        try
+        {
+            fault = ioAccess.read(faultName,
+                                  faultID,
+                                  entry,
+                                  hwmonio::retries,
+                                  hwmonio::delay);
+            if (fault != 0)
+            {
+                functional = false;
+            }
+        }
+        catch (const std::system_error& e)
+        {
+            using namespace phosphor::logging;
+            using namespace sdbusplus::xyz::openbmc_project::
+                Sensor::Device::Error;
+            using metadata = xyz::openbmc_project::Sensor::
+                Device::ReadFailure;
+
+            report<ReadFailure>(
+                    metadata::CALLOUT_ERRNO(e.code().value()),
+                    metadata::CALLOUT_DEVICE_PATH(devPath.c_str()));
+
+            log<level::INFO>("Logging failing sysfs file",
+                    phosphor::logging::entry(
+                            "FILE=%s", sysfsFullPath.c_str()));
+        }
+
+        iface = std::make_shared<StatusObject>(
+                bus,
+                objPath.c_str(),
+                deferSignals);
+        // Set functional property
+        iface->functional(functional);
+
+        obj[InterfaceType::STATUS] = iface;
+    }
+
+    return iface;
+}
+
+} // namespace sensor
diff --git a/sensor.hpp b/sensor.hpp
new file mode 100644
index 0000000..e22af0b
--- /dev/null
+++ b/sensor.hpp
@@ -0,0 +1,28 @@
+#pragma once
+
+#include "sensorset.hpp"
+#include "mainloop.hpp"
+
+namespace sensor
+{
+
+/**
+ * @brief Add status interface and functional property for sensor
+ * @details When a sensor has an associated fault file, the OperationalStatus
+ * interface is added along with setting the Functional property to the
+ * corresponding value found in the fault file.
+ *
+ * @param[in] sensor - Sensor identification data
+ * @param[in] ioAccess - I/O access to sysfs
+ * @param[in] devPath - Device path
+ * @param[in] info - Sensor object information
+ *
+ * @return - Shared pointer to the status object
+ */
+std::shared_ptr<StatusObject> addStatus(
+        const SensorSet::key_type& sensor,
+        const hwmonio::HwmonIO& ioAccess,
+        const std::string& devPath,
+        ObjectInfo& info);
+
+} // namespace sensor