802.4FC - Inventory and Fixed Assets

For insurance purposes, a perpetual inventory of the furniture, equipment, and other non-consumable items other than real property of the school district will be maintained under the supervision of the superintendent [or designee].

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, are accounted for at cost, or if cost is not determinable at estimated cost. Donated fixed assets are recorded at estimated fair market value at the time received. Tangible fixed assets 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 $5,000, 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

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 Forest City 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 will 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.

Legal Reference:

Iowa Code §§ 257.31(4); 279.8; 297.22-.25; 298A.

 

Cross Reference:

709 Insurance Program

701.3 Financial Records

802.4 Capital Assets

 

Approved: 7-11-22  

Reviewed: 

Revised: