The option for "Enforce Date Code As A True Date" uses the format of YYYYMMDD (which the program states). The Help system says the system is MM/DD/YYYY, but this is incorrect; all date code-related alerts are keyed to look for YYYYMMDD.

The Expired Items alert requires that "Enforce Date Code As A True Date" is checked Yes in Tools menu, Options.

Is there any way to set up an alert for an item that is near its expiration date?

There is not a way for InventoryControl to check for a date code that is in the future. A workaround would be to enter a date code that is earlier than the actual expiration date. For example, to make InventoryControl give an alert with a week's lead time, set the date code a week before the actual expiration date.

There's not a way to change the Date Code after the inventory has been added. The following article applies (linked below): InventoryControl v7: Changing values in trackby fields, and changing trackby settings