801.6 - Inventory and Fixed Assets

 

 

 

For insurance purposes, an inventory of the furniture, equipment, and other non-consumable items other than real property of the school district shall be conducted annually under the supervision of the superintendent [or designee]. This report shall be filed with the board secretary.

In addition, a separate fixed asset listing will be maintained for all governmental funds, in accordance with GASB 34. All fixed assets, both tangible and intangible, shall be accounted for at cost, or if cost is not determinable at estimated cost. Donated fixed assets shall be recorded at estimated fair market value at the time received. Tangible fixed assets will include buildings, land, land improvements, artwork, construction in progress, and machinery and equipment. Machinery and equipment with a historical cost equal to or greater than $2,500, will be capitalized. All listed fixed assets will be depreciated over the useful life of each fixed asset per the schedule listed below.

Class Description

Useful Life

Buildings

50 years

Site Improvements

20 years

Outdoor Equipment

20 years

Roof Replacements

20 years

Audiovisual Equipment

10 years

Machinery and Tools

15 years

Computers

5 years

Communications Equipment

10 years

Furniture and Accessories

20 years

Licensed Vehicles

8 years

Athletic Equipment

10 years

Custodial Equipment and Appliances

15 years

Musical Instruments

10 years

Intangible fixed assets shall be defined as assets that are identifiable, lack a physical substance, have an initial useful life extending beyond a single reporting period, and cost more than $175,000. Examples include easements, patents, trademarks, copyrights, and computer software that is purchased, licensed, or internally generated.  If the asset is generated internally, cost shall include efforts of staff members or independent contractors to plan, develop, and implement the asset. Intangible fixed assets will be considered capital assets for financial reporting purposes and depreciated over the estimated useful life of the asset using the straight-line method.

All equipment used by employees or students to meet the educational mission of the district must be tagged in a manner to identify them as permanent property of the Linn-Mar Community School District.

Nutrition fund fixed assets with a historical cost equal to or greater than $500 will be capitalized and depreciated over 12 years. Computer and technology assets purchased by the nutrition fund will be depreciated over five years. A straight-line depreciation method will be used, and assets will be depreciated for a full year in the year of acquisition. An annual inventory shall be maintained on consumable property within the Nutrition Services program.

It is the responsibility of the superintendent [or designee] to develop a process for implementation of this policy.


Adopted: 7/03
Reviewed: 7/10; 5/15; 12/18
Revised: 10/12; 12/13; 12/19
Legal Reference (Code of Iowa): 7A.30