(A) All town departments shall henceforth maintain an inventory list in the Clerk Treasurer's office of all equipment with a purchase value of $5,000 or more and/or an anticipated life of three or more years if:
(1) The equipment is an addition to existing equipment; and/or
(2) The equipment is uniquely identifiable in an asset audit (i.e., by serial number or is one of a kind within the department) or is a new replacement for an existing piece of equipment which has been retired from use by trade-in, disposal or sale.
(B) Within three working days of receipt of any "new to the inventory" equipment, the department head shall add the equipment to the department's inventory list in the Clerk Treasurer's office and remove retired equipment from the inventory.
(C) Building and structure improvements, regardless of value, shall be capitalized on the building inventory if the expenditure meets any of the following criteria:
(1) It is an addition to the existing building or structure;
(2) It adds permanent value to the total book value of the department; and/or
(3) It prolongs the useful life of the existing structure, is permanent in nature, and does not require periodic reoccurrence of the expenditure.
(D) Maintenance expenditures required on a periodic basis less than the useful life of the asset will be considered maintenance. If the maintenance expenditure is less than $5,000, the expenditure will be expensed as incurred. If the maintenance expenditure is over $5,000 (i.e., re-roofing), it will be written off over the useful life of the maintenance, but not more than five years.
(Ord. 2022-2, passed 3-1-2022)