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ORANGE COUNTY <br />BOARD OF COMMISSIONERS <br />ACTION AGENDA ITEM ABSTRACT <br />Meeting Date: May 18, 2010 <br />Action Agenda <br />Item No. ¢ - n <br />SUBJECT: Close Completed County Capital Projects <br />DEPARTMENT: Financial Services <br />PUBLIC HEARING: (Y/N) No <br />ATTACHMENT(S): <br />Attachment 1: Schedule of Projects to be <br />Closed <br />INFORMATION CONTACT: <br />Clarence Grier, (919) 245-2453 <br />Michael Talbert, (919) 245-2153 <br />PURPOSE: To close completed County Capital Projects. <br />BACKGROUND: As of June 30, 2009, the Comprehensive Annual Financial Report for Orange <br />County had 84 active capital projects in the County Capital Project Fund. Over the past eight <br />years, few if any capital projects were closed even though many have been completed for <br />several years. The purpose of a Capital Project Ordinance is to fund the acquisition or <br />construction of a capital asset. <br />A Capital Asset is defined by Governmental Accounting, Auditing, and Financial Reporting <br />(GAAFR) as: land, improvements to land, easements, work of art, and historical treasures, <br />infrastructure and all other tangible or intangible assets that are used in the operations and that <br />have initial useful lives extending beyond a single reporting period. <br />As stated in General Statute 159-13.2 (c) Project Ordinances, "A project ordinance shall clearly <br />identify the project and authorize its undertaking, identify the revenues that will finance the <br />project, and make the appropriations necessary to complete the project." <br />CURRENT SITUTATION: Orange County has established projects in the County Capital <br />Projects Fund to construct or acquire a capital asset. Over the past few years these projects <br />have rarely been closed even after the scope of the original project is complete. <br />Attachment 1 lists twenty-six County Capital projects that are still active even though they have <br />either been substantially completed or never had any activity. Closing these projects would <br />provide $245,560 in capital resources that can be used for other capital priorities. <br />The Board of Commissioners previously discussed this item at its May 11, 2010 work session. <br />FINANCIAL IMPACT: The closing of 26 projects will provide $245,560 for future County <br />Capital Needs. <br />RECOMMENDATION(S): The Manager recommends the Board approve the closing of 26 <br />completed projects listed on Attachment 1. <br />