Laserfiche WebLink
• Professional fees, including title searches, architect, legal, engineering, appraisal, <br />surveying, environmental assessments, etc. <br />• Land excavation, fill, grading, and drainage <br />• Demolition of existing buildings and improvements (less salvage value) <br />• Removal, relocation, or reconstruction of property owned by others such as power, <br />telephone, and railroad lines <br />• Interest on mortgages accrued at the date of purchase <br />• Accrued and unpaid taxes at the date of purchase <br />• Other costs incurred in acquiring the land <br />• Water wells, including initial cost for drilling, the pump, and its casing <br />• Permanent right-of-way <br />2. Buildings and Building Improvements <br />Buildings. All permanent structures that are attached to land, have a roof, are partially or <br />completely enclosed by walls, and are not intended to be transportable or moveable are <br />included in this asset class. The City can elect to report major components of buildings as <br />separate capital assets in their own right, when these components have a significantly <br />shorter estimated useful life than the structure to which they relate (e.g., HVAC). Examples <br />of items to be capitalized as buildings include: <br />Purchased Buildings <br />• Original purchase price <br />• Expenses for remodeling, reconditioning, or altering a purchased building to make it <br />ready for its intended purpose <br />• Environmental compliance, i.e., asbestos abatement <br />• Professional fees, includes architectural, engineering, management fees for design <br />and supervision, and legal fees <br />• Cancellation or buyout of existing leases <br />• Other costs required to place or render the asset into operation <br />Constructed Buildings <br />• Completed project costs <br />• Cost of excavation, grading, or filling of land for a specific building <br />• Expenses incurred for the preparation of plans, specifications, and blueprints <br />• Building permits <br />• Costs of temporary buildings used during construction <br />• Additions to buildings, i.e., expansions, extensions, or enlargements <br />Building Improvements. Building improvements include capitalized costs that materially <br />extend the useful life of a building, increase the value of a building, or both. Building <br />improvements should not include maintenance and repairs done in the normal course of <br />