Note X – Capital Assets

Significant Changes to Note X – Capital Assets

Note X – Capital Assets

Added amortization, right-to-use lease asset, and right to use subscription asset. Instructions to Preparer have been updated for leases.

Note X – Capital Assets

A. Capital Assets – Governmental Activities [1]

Capital assets activity for the year ended December 31, 20__ was as follows:

Governmental Activities Beginning Balance
01/01/20__
Increases Decreases Ending Balance
12/31/20__
Capital assets, not being depreciated:        
Land        
Construction in progress        
Intangible assets [2]        
Total capital assets, not being depreciated        
         
Capital assets, being depreciated/amortized:        
Buildings        
Intangible assets [2]        
Improvements other than buildings        
Machinery and equipment        
Infrastructure        
Right-to-use lease assets [3]        
Right-to use subscription asset        
Total capital assets being depreciated/amortized        
         
Less accumulated depreciation/amortization for:        
Buildings        
Intangible assets        
Improvements other than buildings        
Machinery and equipment        
Infrastructure        
Right-to-use lease assets [3]        
Right-to use subscription asset        
Total accumulated depreciation/amortization        
Total capital assets, being depreciated/amortized, net        
         
Governmental activities capital assets, net        

B. Capital Assets – Business-Type Activities

Business-Type Activities: Beginning Balance
01/01/20__
Increases Decreases Ending Balance
12/31/20__
Capital assets, not being depreciated:        
Land        
Construction in progress        
Intangible assets [2]        
Total capital assets, not being depreciated        
         
Capital assets, being depreciated/amortized:        
Buildings        
Intangible assets [2]        
Improvements other than buildings        
Machinery and equipment        
Infrastructure        
Right-to-use lease assets [3]        
Right-to use subscription asset        
Total capital assets being depreciated/amortized        
         
Less accumulated depreciation/amortization for:        
Buildings        
Intangible assets        
Improvements other than buildings        
Machinery and equipment        
Infrastructure        
Right-to-use lease assets [3]        
Right-to use subscription asset        
Total accumulated depreciation/amortization        
Total capital assets, being depreciated/amortized, net        
         
Business-type activities capital assets, net        

Depreciation/amortization expense was charged to functions/programs [4] of the primary government as follows:

Governmental Activities:
General Government $
Judicial  
Physical Environment  
Economic Environment  
Health and Human Services  
Transportation  
   
Total Depreciation/amortization – Governmental Activities $
Business-Type Activities:
Utilities $
   
Total Depreciation/amortization – Business-Type Activities $

C. Collections not Capitalized [5]

D. Impaired Capital Assets [6]

E. Discretely Presented Component Unit(s) [7]


Instructions to preparer:

[1] Applicable only to entities with governmental activities.

[2] If the types of intangible assets differ in nature and usage, then they should not be reported collectively as a single class of capital assets.

[3] Governments must include at least the total of all right-to-use lease assets in this table. Governments may choose to provide the details by major class of underlying assets (i.e., lease land, lease building, lease equipment, etc.) either in this note or in the Leases (Lessee) note disclosure

[4] Required only for entities with governmental activities. Adjust the functions accordingly.

[5] Describe the collection(s) and reason(s) for not capitalizing collections.

If collections are capitalized, provide same information as for other capital assets (see part A of this note).

[6] If it is not otherwise apparent from the face of the financial statements, the city/county/district should disclose a general description, the amount, and the financial statement classification (e.g., public works, education) of the impairment loss.

If the city/county/district received an insurance recovery related to the impaired asset, its amount and financial statement classification should be disclosed.

The city/county/district needs to disclose the carrying amount of impaired capital assets that are idle at year-end, regardless whether the impairment is considered permanent or temporary.

For more details see the GASB Statement 42, Accounting and Financial Reporting for Impairment of Capital Assets and for Insurance Recoveries.

[7] The decision to disclose should be based on the individual component unit’s significance to the total of all discretely presented component units and that component unit’s relationship with the primary government. It is a matter of professional judgement.