Building Capitalization Policy Procedure

Procedures

In accordance with statutory provisions and generally accepted accounting principles, the University will capitalize and include in its real property records the following:

  1. The original cost to construct new buildings
  2. The costs related to renovation projects which adds new square footage
  3. The costs for a renovation project which extends the useful life of a component part (i.e. roof, plumbing, electrical, etc.) of the building by two or more years, and meets one or both of the following criteria:
    • The costs are $250,000 or more
    • The costs are 25% or more than the original cost of the building

Note: Total costs include all professional fees, contingencies, materials, etc.  Excluded costs include tangible personal property and asbestos abatement costs

Contacts

Construction Accounting: (352) 392-5778

Directive Statement

Page Contents