Statement of Accounting Policies Revaluation Flood protection and controlled works 25 - 100 years 1 - 4% Land and buildings and infrastructural assets are revalued with sufficient (Pump stations and dams) regularity that the carrying amount does not differ materially from that which Roads and footpaths 4 – 110 years 0.9 – 25% would be determined using fair values at balance date, generally every year. Sewerage oxidation ponds Not depreciated Revaluation increments and decrements are credited or debited to the asset Sewerage treatment 10 - 100 years 1 – 10% revaluation reserve for that class of asset. Where this results in a debit balance Stormwater drainage schemes 25 - 100 years 1 – 4% in the asset revaluation reserve this balance is expensed in the Statement of Water supply schemes - other 20 -100 years 1 – 5% Comprehensive Revenue and Expense. Any subsequent increase on Water treatment and facilities 20-100 years 1 - 5% revaluation that offsets a previous decrease in value recognised in the Statement of Comprehensive Revenue and Expense will be recognised first in the Statement of Comprehensive Revenue and Expense up to the amount Operational assets previously expensed, and then credited to the revaluation reserve for that class Work in progress Not depreciated of asset. Buildings 30 - 100 years 1 – 3.33% Additions Forest crops Not depreciated Additions between valuations are recorded at cost, except for vested assets. Land Not depreciated Cost represents the value of the consideration given to acquire the assets and Landfill 6.9 - 40 2.5 to 14.5% the value of other directly attributable costs that have been incurred in bringing Library books 13.33 years 7.50% the assets to the location and condition necessary for their intended use. Other structures and improvements Certain infrastructural assets and land have been vested in Council as part of 10 – 100 years 1 -10% the subdivisional consent process. The vested reserve land has been initially Office equipment, furniture and fittings 5 – 13.33 years 7.5 – 20% recognised at the most recent appropriately certified government valuation Plant, machinery and equipment 5 - 20 years 5 - 20% which is their deemed cost. Vested infrastructural assets are initially valued based on the actual quantities of infrastructural components vested and the current “in the ground” cost of providing identical services and this is their Restricted assets deemed cost. Buildings 30 - 100 years 1 – 3.33% Land Not depreciated Depreciation Depreciation is provided on a straight line basis on all property, plant and Disposals equipment other than land, at rates which will write off the cost (or valuation) of On the sale or retirement of a revalued asset, the attributable revaluation profit the assets to their estimated residual values over their useful lives. remaining, net of any related deferredtaxes, in the revaluation reserve is Depreciation of these assets commences when the assets are ready for their transferred directly to accumulated funds. intended use. Depreciation on revalued assets is charged to the Statement of Comprehensive Revenue and Expense. The gain or loss arising on the disposal or retirement of an asset is determined The useful lives and associated depreciation rates of major classes of assets as the difference between the sales proceeds and the carrying amount of the asset and is recognised in the surplus or deficit. have been estimated as follows: (xii) Intangible Assets - Software Infrastructural assets Life Rate Acquired computer software licences are capitalised on the basis of the costs Work in progress Not depreciated incurred to acquire and bring to use the specific software. Infrastructure land Not depreciated Land under roads Not depreciated Costs associated with maintaining computer software are recognised as an expense when incurred. Costs that are directly associated with the 2018-2028 Long Term Plan Page 244