Placement: Resolutions
Action Requested: Motion / Vote
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Resolution 25-R56, Approve a Resolution to Amend, Re-Number, and Adopt City Council Directed Policy #25-02ccd - Capital Asset Policy.
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Submitted By: Charlie Proulx, Deputy Finance Director, Finance
Strategic Plan Link: The City's Mission to utilize fiscal responsibility.
Executive Summary (General Business): The City's Capital Asset Policy, last adopted in October 2022, has been rewritten for clarity with no major changes. The only update is increasing the Machinery and Equipment threshold from $5,000 to $10,000, aligning with federal and state guidelines.
Presentation Information: A short presentation by Charlie Proulx will be available, upon request.
Staff Recommendation: Move that the Council approve Resolution 25-R56.
Alternate Recommendations:
1. Move that the Council amend the recommendation and Resolution 25-R56.
2. Move that the Council provide staff direction.
Background: In alignment with Governmental Accounting Standards Board (GASB) best practices, the policy has been reviewed and updated to ensure clarity and consistency. The revised policy improves language to make it easier for departments and Finance staff to understand, implement, and uphold. The only substantive change is increasing the Machinery and Equipment capitalization threshold from $5,000 to $10,000. This adjustment aligns the City with federal and state guidelines, specifically the Code of Federal Regulations (2 CFR 200.1), which sets a $10,000 threshold for tracking state and federally funded equipment. Matching these standards ensures the City remains compliant when managing grant-funded purchases and promotes consistency across all capital asset reporting. No other thresholds or procedures were changed.
Issues/Analysis: N/A
Financial Information: N/A
Special Consideration: N/A
Location of Project: N/A
Business Impact Statement: N/A
Attachments:
1. Resolution 22-R111
2. Capital Asset Policy 22-02...
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