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Ordinance 2008-19

A ORDINANCE TO ESTABLISH CRITERIA BY WHICH PROPERTY
ACQUIRED BY THE CITY OF JOHNSON, ARKANSAS, SHALL BE
CLASSIFIED AS A FIXED ASSET OR EQUIPMENT.
WHEREAS, Arkansas Code Annotated §14-59-107 required municipalities to establish
and maintain records of fixed assets and equipment owned by the municipality, and,
WHEREAS, the Recorder-Treasurer for the City of Johnson, Arkansas, has been advised
by a Deputy Legislative Auditor to obtain City Council guidance on how to determine what
items of property and equipment are to be recognized as fixed assets and equipment:
BE IT ORDIAINED BY THE CITY COUNCIL OF THE CITY OF JOHNSON:
Section 1: That all items, equipment, property, and things hereafter purchased or
acquired by the City of Johnson, Arkansas, shall be evaluated by the Mayor, Recorder-Treasurer
and Chief of Police, using the criteria hereinafter laid out and described to determine which
items, equipment, property and things should be listed/identified as "fixed assets or equipment5'
and accounted for as provided in Arkansas Code Annotated §14-59-107.
Section 2: The criteria to be used in making the determination as to whether an item,
piece of equipment, item of property or other thing acquired by the City of Johnson is a "fixed
asset or equipment" shall be as follows:
a) the cost or acquisition value exceeds $999.99;
b) the anticipated useful life of the item, equipment, property, or thing, and;
c) other relevant City, County, State or Federal laws or regulations in effect.
Section 3: Once a determination is made by two or more of the responsible officials
of the City that the item, property or thing is a "fixed asset or equipment" then the Recorder-
Municipal/coj property Ord.
Treasurer shall properly account for same in accordance with Arkansas code Annotated §14-59-
107.
Section 4: It is hereby determined that certain types of equipment, property, items
and things shall, irregardless of cost or acquisition value, because of their nature, use, content or
potential for harm or damage if not properly controlled and accounted for, be recognized as fixed
assets and regularly accounted for; therefore those types of equipment, property', items and things
as guns, weapons, computers and information systems which contain sensitive information are
determined to be fixed assets of the City of Johnson and listed/identified as required by AC A
§14-59-107.