Capital Assets

The district will maintain a comprehensive capital assets record-keeping system. The goal of the capital assets program is to protect the district against losses that would significantly affect the district’s students, staff, property, budget or the ability of the district to continue to fulfill its stewardship responsibilities.

For purpose of this policy, “capital assets” will mean land, improvements to land, easements, building improvements, vehicles, machinery, equipment, works of art and historical treasures, infrastructure and all other tangible and intangible assets that are used in operations and that have initial useful lives extending beyond a single reporting period which:

A.   Retains its shape and appearance with use;

B.   Is nonexpendable, meaning if the item is damaged or some of its parts are lost or worn out, it may be more feasible to repair it than to replace it with an entirely new item;

C.   It does not lose its identity when incorporated into a more complex unit;

D.   Is valued no less than $5,000; and

E.   Has a life expectancy of at least one year.

Federal law requires a physical inventory of federally-funded assets at least once every two years. Reconciled inventory reports will be provided to the board. Such report will identify lost, damaged or stolen capital assets. Missing capital assets will be removed from district property records by resolution.

No equipment will be removed for personal or non-school use.

Small and Attractive Items

For purposes of this policy, “Small & Attractive Items” are those items identified by the district as most subject to loss. A list of theft-sensitive assets shall be maintained by the district. The district should establish procedures for internal controls and conduct an annual inventory of small and attractive items.

The board will be provided a report identifying assets not accounted for in the annual inventory. These assets will be removed from the district property records through school board action annually.

The superintendent will develop procedures to implement this policy, including maintenance requirements and sales procedures to ensure the highest possible return.

Legal Reference:
Conveyance and acquisition of property — Management — Appraisal - RCW 28A.335.090
Agriculture - 7 CFR § 3015, 3016
Uniform Administrative requirements for grants and cooperative agreements to state and local governments – Equipment - 34 CFR § 80.32
Health and Human Services - 45 CFR § 92.32
Office of Management and Budget (OMB) Circular A-87, Cost Principles for State, Local, and Indian Tribal Governments, Attachment B(19)

Highline School District 401
Adopted by the Board: 07.13
Classification: Essential