Capital projects are budgeted for in separate submissions than operating budget submissions. A five digit code is used to represent each capital project which consists of some valuable lasting item such as a building or road.
The acquisition or construction of major facilities, e.g., land, improvement, improvements to land, easements, building, or building improvements.
a project that is exclusively based on facility development as opposed to revenue generation
A project that involves expenditures and funding for the construction, renovation, improvement, or acquisition of infrastructure assets or equipment that have a long useful life. States definitions of the value and the life span of a capital project vary.
the construction of a new processing unit (or the significant expansion of an existing unit). Capital projects are undertaken based on expected economic return or to comply with regulations. Compare turnaround.
A new structure or facility or a major improvement to an existing structure or facility, which significantly increases the value of the structure or facility. Land acquisition is also included in the definition of Capital Projects.
a number of related activities intended to maintain, improve, develop or acquire a discrete capital asset, including land and betterments, buildings and highways, bridges and other long term assets. 5.2
Purchase or construction of an item or system that generally has a value of at least $100,000 and has a useful life of 10 years, or purchase of an information technology system enhancement with a value of at least $25,000.
A large effort resulting in a major asset such as construction of a building or purchase of a building is a capital project. The resulting asset will have a life of longer than a year and entail a major expenditure.
A construction or renovation project with total project labor costs greater than $25,000.