A. Capital Assets Recording System
The superintendent, and/or other designated staff, shall:
- Enter the necessary data into the capital assets management system and compile the appropriate reports;
- Develop forms and procedures for maintaining the integrity of the capital assets management system; and
- Maintain responsibility for an accurate capital assets recording system.
B. Determining historical cost
- The historical cost of a capital asset is based on the actual costs expended in making the capital assets serviceable.
- Gifts of capital assets are valued at the estimated fair market value at the addition/acquisition date.
- Capital assets purchased under a capital lease are valued at historical cost of their net present value of the minimum lease payments on the addition/acquisition date.
- The historical cost of capital assets must include capitalized interest.
C. Addition/acquisition of capital assets
- The school district's purchasing policy and administrative regulations must be followed when acquiring capital assets. The school district's policy and administrative regulations must be followed for receiving a gift of capital assets.
- The capital assets addition/acquisition documentation must be completed for each additional capital assets with an addition/acquisition cost of equal to or greater than $2,500. The following information should be collected, if applicable:\
- Name of location-building;
- Balance sheet accounting/class code;
- Addition/acquisition date;
- Serial/model number;
- Purchase price;
- Fair market value on acquisition date (donated assets only);
- Estimated useful life;
- Vendor;
- Purchasing fund and function;
- Description of capital asset;
- Department/person charged with custody,
- Quantity;
- Replacement cost;
- Function for depreciation.
3. The actual costs of construction in progress, other than infrastructure, is entered into the capital assets recording system in the year in which costs are incurred until the total cost of addition/acquisition is entered. Upon completion of construction, the total costs accumulated over the period of construction are reclassified to buildings.
D. Relocation/transfer of machinery and equipment capital assets
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A capital assets relocation/transfer documentation must be completed prior to removing machinery and equipment capital assets from their current location. The following information must be collected:
- Relocation/transfer date;
- Quantity;
- Bar code identification number;
- Current location-building;
- New location-building;
- Date placed at new location-building;
- Department/person charged with custody; and
- Relocation/transfer authorization.
2. Capital assets acquired will be entered into the capital assets recording system annually.
E. Disposal of capital assets
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When disposing of Capital Assets that are real property, the following information must be collected:
- Disposal date;
- Quantity;
- Legal description,
- Location/Address;
- Purchaser;
- Disposal methods for real property trade, sale, stolen, etc.; and,
- Disposal authorization.
2. Capital assets disposed of must be entered into the capital assets recording system in annually.
3. When assets are sold or disposed of, it is necessary to calculate and report a gain or loss in the statement of activities. The gain/loss is calculated by subtracting the net book value (historical cost less any accumulated amortization) from the net amount realized on the sale or disposal.
Lost, damaged or stolen capital assets.
1. When there is a lost, damaged or stolen capital asset, the following information must be collected:
- Date of loss, damage or theft;
- Employee/person discovering;
- Quantity;
- Description of capital asset;
- Location-building;
- Description of loss, damage, etc.;
- Filing of police report-yes or no;
- Filing of insurance report-yes or no;
- Date returned to location-building;
- Department/person charged with custody; and,
- Authorization.
2. Capital assets damaged, lost or stolen must be entered into the capital assets recording system annually.
G. Capital assets reports
1. Annual reports for June 30 each year.
- Capital assets listing including the following items:
- Balance sheet accounting/class code;
- Purchasing fund, function and depreciation function;
- Description of the capital asset;
- Historical cost or other;
- Location;
- Current year depreciation/expense; and,
- Accumulated depreciation/amortization.
- Capital assets listing by location/building;
Approved: 10/13/25 Reviewed: Revised: 10/13/25