606 Year End Processes for Capitalization
Fiscal Operations Manual
Section 600: Plant Funds and Fixed Assets
Buildings & Grounds - Improvements and Adjustments in Excess of $5,000
The annual capitalization report must be completed and submitted by each institution. The report must include all Plant Construction and Improvement Funds that had expenditures during the current fiscal year (see FWRFAAC) plus any other expenditures for buildings, improvements other than buildings, infrastructure, land or land improvements activity that qualify for capitalization. Transactions through period 14 must be included. Prior year adjustments must be clearly identified. Funds with zero or negative balances must be reported if they had capitalized account codes (4XXXX) transactions during the year. Include an explanation for these transactions. If a CO-355 form has not previously been forwarded to the Controller's Division for new buildings, IOTB, infrastructure, land improvements or land being reported through Period 14, attach the form to the Annual Capitalization Report. The contents of the report will be used to classify YTD expenditures through Period 14 and post them to the appropriate subsidiary file. Amounts reported for unfinished (not completed/not accepted) projects at June 30 must be identified as construction in progress (CIP). These amounts will need to be identified for posting to the appropriate asset in a future year. Amounts reported as non-capital maintenance and repairs will be utilized in the indirect cost computations. Data must be reported as whole dollar amounts for each category of expenditure. OSU Office of Business Affairs prepares the journal vouchers to adjust the appropriate Investment in Plant Fund and Asset Accounts.
- The Institution may report current year Period 14 transactions in the next fiscal year as a prior year adjustment.
- For definitions of capital expenditures, see FASOM Section 02.12 and 14.01 CO2, CO3, and IO2.
- In addition, a report to the Controller's Division is prepared for any changes in:
- Square feet of existing buildings whether by additions, demolitions, or removals of which the Controller's Division has not been advised.
- The functional use of buildings so that usage categories maintained in the building master record may be revised. With regard to the use of buildings, give particular attention to miscellaneous housing properties acquired that may have been converted to offices or similar institutional facilities.
- Changes in ownership/rededications.