2017-06-06 Services & Organisation Committee Agenda

SERVICES & ORGANISATION COMMITTEE MEETING AGENDA                                                        6 JUNE 2017



6                        NON-CURRENT ASSET ACCOUNTING POLICY UPDATE
DOCUMENT INFORM AT ION




Author                              Financial Accountant, Angelique Boog
                                    Corporate Services Department

Index                               ECM / Subject / Council Policies

Attachments                         1.   Non-Current Asset Accounting Policy


EXECUTIVE SUMMARY
Not applicable.

RECOMMENDATION
That Council note the report by the Financial Accountant to the Services & Organisation
Committee Meeting dated 6 June 2017 and:
A.                       Adopt the updated Non-Current Asset Accounting Policy provided as Attachment 1 to the
                         report; and
B.                       Note that for asset accounting purposes, this policy is to be applied from 1 July 2016.



REPORT
Council’s Non-Current Asset Accounting Policy provides a framework for the capture, recognition
and control of Council’s non-current assets based on legislative requirements and in support of
Council asset management practices. Included in the policy are minimum threshold amounts per
asset class whereby expenditure can be capitalised and depreciated / amortised.

The policy has implications for Council’s annual budget in particular operating expenditure and also
the capital program.

An annual review of the policy has now been undertaken and a minor change has been
identified. Within the Plant & Equipment class, ICT assets will now have a minimum capitalisation
threshold of $1,000 compared to the $5,000 threshold applicable to all other Plant & Equipment
assets.


Previous Council Consideration

Special Meeting, 29 June 2016, Item 2, Page 2
That Council:
1.     …
2.     Adopt the Non-Current Asset Accounting Policy, which is provided as Attachment 3.
3 – 22 …..




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