CAPITAL PROJECTS

Atlanta Public Schools maintains fixed assets in the Lawson Asset Mangement system.

Infromation maintained:

• Description of the property
• Acquisition cost and date
• Location
• Depreciation amount
• Serial number
• Identification number (tag number)

Fixed assets are divided into two groups:

• Capitalized (Posting)
• Non-Capitalized (Trackable)

Capitalized (Posting) fixed assets are those with an individual unit cost of $50,000 or more with a useful life of more than one year.  These assets are capitalized and depreciated in the Lawson Asset Management (AM) system along with land.  Land, which is not depreciated, is always capitalized regardless of cost.

Non-Capitalized (Trackable) fixed assets are those with an individual unit cost between $5,000 and $49,999 with a useful life of more than a year.  This group conissit of assets that do not meet the established dollar amount to be capitalized.  Trackable  assets are bar coded.

Capital assets purchased, including any capital outlay costs or ancillary charges, are recorded as expenditures in the fund financial statements at the time of purchase.  On the District-wide financial statements, all purhcased capital assets are valued at cost, or historical cost based on appraisals, or deflated current replacement cost where no historical records exist.  Donated capital assets are recorded at estimated fair market value as of the date donated.  Disposals are deleted at net book value.  Normal maintenance and repair costs (painting and other cosmetic changes)  that do not add to the value of assets or materially extend the useful lives of the assets are not capitalized.  Depreciation is computed using the straight-line full month method.  Life expectancy differs according to the capital asset group.  The School District does not capitalize book collections or works of art.