801.12 - Business Procedure

To improve the school district’s oversight of fixed assets by assigning and recording them to specific facilities and programs and to provide for proof loss of fixed assets for insurance purposes, the school district will establish and maintain a fixed assets management system for reporting capitalized fixed assets owned or under jurisdiction of the school district in its financial reports in accordance with generally accepted accounting principles (GAAP) as required by law.

A separate fixed assets listing is prepared for fixed assets in the general fixed assets account group (GFAAG) and for the fixed assets of each proprietary and fiduciary fund.  “Fixed assets” in the GFAAG will include school district buildings and sites, construction in progress, improvements other than building and sites, capitalized interest, infrastructure, land and machinery, and equipment.  Fixed assets reported in the financial reports will include individual fixed assets with an historical cost equal to or greater than the following amounts:

Land                                                                                                          $  2,000

Buildings                                                                                                  $10,000

Improvements other than buildings                                             $10,000

Furniture and equipment (except nutrition fund)                    $  2,000

Nutrition fund equipment                                                                        $ 500

Fixed assets accounted for and reported in the proprietary funds are depreciated using the straight line method over the useful life of each fixed asset as follows:

50 Years for buildings, 20 years for site improvements and other items such as portable classrooms, HVAC systems, roofing, etc., and 5 years of equipment items.

The fixed assets management system is updated quarterly to account for the addition/acquisition, disposal, relocation/transfers of fixed assets.  It is the responsibility of the superintendent to count and reconcile the fixed assets listing for the general fixed assets account group and for each proprietary and fiduciary fund with the fixed assets management system on June 30 each year.

It is the responsibility of the superintendent to develop administrative regulations implementing this policy.  It will also be the responsibility of the superintendent to educate employees about this policy and its supporting administrative regulations.

 

 

Legal Reference (Code of Iowa):

Cross Reference:

Approved_3/8/2004_       
Reviewed___12/12/16___________           
Revised_6/15/10