Purpose
Fixed assets are tangible assets that last more than one year. Capital assets are not expensed in year of purchase, but are capitalized and depreciated over multiple years.
Responsibility
The Project Manager is responsible for determining the primary fixed asset type for each project.
Timeframe
The Project Manager should determine the Fixed Asset Type when requesting a Project set up in e-Builder (see Section 5.01.2)
Process
The following are Fixed Asset Type descriptions:
Buildings - Permanent structures normally used to house people or property. Fixtures attached to and forming a permanent part of a building should be included in the cost. When constructing a new building on land owned by OSU, the cost of demolishing existing buildings is included in the cost of the new building. The value of land associated with buildings should be reported separately as land.
Improvements Other than Buildings (IOTBs) - Capitalized improvements that are not part of land or buildings. Examples include fountains, bleachers, dugouts, goal posts, and scoreboards.
Infrastructure - Long-lived capital assets that normally are stationary in nature and normally can be preserved for a significantly greater number of years than most capital assets. Examples include roads, bridges, tunnels, drainage systems, water and sewer systems, sidewalks, alleyways, street lighting systems, traffic lights/signs, fire hydrant, gas/electric/fiber optic distribution systems, dams, wells and septic systems.
Infrastructure could be confused with land improvements. Distinction is generallythe magnitude of the project. Infrastructure tends to pertain to large parts of campus rather than to a specific building or specific piece of land.
Land Improvements - Depreciable - Permanent improvements, other than buildings, that ready land for its intended use and that deteriorate with us e or the passage of time. Examples include parking lots, yard lighting, fencing and gates, paths, telephone and power lines, retaining walls, railroads, tennis courts, athletic fields, golf course, landscaping and septic system.
Land - Reflects the carrying value of land owned by the State. If land is purchased, this account includes the purchase price and costs incurred to get the land in condition for its intended use such as legal fees, title fees, surveying costs, appraisal and negotiation charges, site preparation and excavation costs (clearing, filling, and leveling) and similar costs. If land is purchased as a building site (not previously owned by OUS), demolition costs to remove existing buildings are added to the cost of the land. Land purchased for resale is accounted for as inventory. Land acquired by donation is valued at fair market value at the time of donation. Land is not depreciated.
