Fixed Assets are defined as tangible items used at the College that are of a permanent or relatively fixed nature with useful lives in excess of one year. These assets are Land, Land Improvements, Building, Building Improvements, Equipment, Furniture, and Vehicles.

Fixed Assets will be tagged or logged numerically and capitalized as an asset for financial statement reporting. Depreciation will also be calculated and recorded in the financial statements. Fixed Assets will be numerically tagged by Campus Services personnel under the direction of the Assistant Controller who coordinates all activities related to these procedures.

The guidelines for tagging or logging, capitalization, and depreciation of Fixed Assets are as follows:

Land - all purchases will be capitalized and will not be depreciated.

Land Improvements - expenditures of $10,000 and above will be capitalized and depreciated over a life of 10 to 20 years.

Buildings - all purchases will be capitalized and depreciated over a 40- to 60-year life.

Building Improvements - expenditures that extend the life of the building with a minimum cost of $50,000 will be capitalized and depreciated over a 40- to 60-year life.

Equipment (not technological in nature), Furniture - expenditures of $10,000 and above will be capitalized and depreciated over a 5- to 10-year life.

Technology equipment - expenditures of $10,000 and above will be capitalized and depreciated over a 3- to 5-year life.

Vehicles - expenditures of $10,000 and above will be capitalized and depreciated over a 3- to 5-year life.

The College may capitalize certain types of assets whose individual acquisition costs are less than the threshold for an individual asset if those assets in the aggregate are significant.