For the purpose of this subchapter, the following definitions shall apply unless the context clearly indicates or requires a different meaning.
CAPITAL ASSETS. The city has various assets. To be a CAPITAL ASSET, three criteria must be met:
(1) A tangible asset owned by the city;
(2) An asset with an initial, individual cost of more than the capital asset threshold (see Capital Asset Threshold Table) for the asset type; and
(3) An asset with an estimated useful life of two or more years.
CAPITAL OUTLAYS. Expenditures that benefit both the current and future fiscal periods are considered capital outlays. This includes costs of acquiring land or structures, construction or improvement of buildings, structures or other fixed assets, and equipment purchases having an appreciable and calculable period of usefulness. These are expenditures resulting in the acquisition of or addition to the government’s general fixed assets.
FIXED ASSETS. Tangible assets of a durable nature employed in the operating activities of the unit and that are relatively permanent are FIXED ASSETS. These assets are not held for sale in the ordinary course of business. This broad group is usually separated into classes according to the physical characteristics of the items (e.g., land, buildings, improvements other than buildings, machinery, equipment, furniture, and fixtures and the like).
TANGIBLE ASSETS. An asset that can be observed by one or more of the physical senses is referred to as a TANGIBLE ASSET.
(Ord. 22-44, passed 10-24-2022)