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02-07-2022 Council Work Session Packet
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02-07-2022 Council Work Session Packet
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12/12/2022 5:35:34 PM
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2/24/2022 4:10:22 PM
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City Council
Council Document Type
Council Packet
Meeting Date
02/07/2022
Council Meeting Type
Work Session Regular
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This asset class includes vehicles, furnishings, and similar moveable items used for <br />operations for which the benefit extends beyond one year from the date of receipt. <br />Examples of expenditures to be capitalized as machinery and equipment include: <br />• Original contract or invoice price <br />• Freight charges <br />• Handling and storage charges <br />• In -transit insurance charges <br />• Sales, use and other taxes imposed on the acquisition <br />• Installation charges <br />• Charges for testing and preparation for use <br />• Cost of reconditioning used items <br />• Parts and labor associated with the construction of equipment, machinery, or <br />vehicles <br />Note that the cost of extended warranties and/or maintenance agreements, which can be <br />separately identified from the cost of the equipment, machinery, or vehicle, shall not be <br />capitalized. <br />5. Infrastructure <br />Infrastructure assets are long-lived capital assets that normally are stationary in nature and <br />normally can be preserved for a significantly greater number of years than most capital <br />assets (i.e. roads, bridges, tunnels, drainage systems, water and sewer systems, dams, <br />and lighting systems). As a general rule, the cost of buildings associated with infrastructure <br />should be reported separately as buildings rather than as part of the cost of the <br />infrastructure. The exception to this rule is buildings that are purely ancillary to a network or <br />subsystem of infrastructure (e.g., road maintenance structures such as shops and garages <br />associated with a highway system and water pumping stations associated with water <br />systems). <br />Examples of infrastructure assets include: <br />• Roads, streets, curbs, gutters, and sidewalks <br />• Bridges <br />• Water and sanitary sewer systems <br />• Drainage and storm water systems <br />• Street light systems <br />• Signage <br />
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