Government of Nova Scotianovascotia.ca
gov.ns.caGovernment of Nova Scotia Nova Scotia, Canada
 
Municipal Affairs
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Indicator Definitions

Each indicator has a technical definition that describes how it was calculated. The definition explains the meaning of key terminology and what the indicator is measuring. It provides information to consider when interpreting the indicator results and other indicators that measure similar aspects of a municipality's performance.

Select an indicator to display the technical definition:

 

Undepreciated Assets (%)

Threshold

60% or more

Formula

Total net book value of capital assets ÷ Total gross cost of capital assets

Technical Definition

Total net book value of capital assets: Estimated useful life remaining in the municipality’s capital assets, expressed in dollars

• For March 31, 2012 year: Tangible Capital Assets note in financial statements

• For March 31, 2013 and 2014 years: FIR Schedule I - Line 2055000 minus Line 2055010

• For March 31, 2015 and forward: FIR Schedule I - Line 2055000 and 2055015 minus Line 2055010

Total gross cost of capital assets: The original cost to purchase all of the capital assets of the municipality

• For March 31, 2012 year: Tangible Capital Assets note in financial statements

• For March 31, 2013 and 2014 years: FIR Schedule I - Line 2055000

• For March 31, 2015 and forward: FIR Schedule I - Line 2055000 and 2055015

Rationale

This indicator provides an estimate of the useful life left in the municipality’s capital assets. Municipalities across Canada are facing significant infrastructure challenges. Therefore, it is important to keep informed of the age and condition of its capital assets to ensure they are making timely and appropriate investments.

Interpretations

A lower percentage indicates older infrastructure.

A higher percentage indicates newer infrastructure.

Caution should be used when interpreting this indicator: Data includes all capital assets of the municipality; therefore, new purchases that expand services can mask highly depreciated assets in other areas. Additionally, the indicator provides an accounting estimate only, and not an assessment of the condition of the assets. Greater analysis of the condition of assets and replacement plans is needed to draw conclusions regarding a municipality’s asset management planning.

Data Source(s)

  • Municipal Financial Information Return (FIR) - General Capital Fund (non-consolidated)

Related Indicator(s)

  • Residential Tax Effort
  • Debt Service
  • Outstanding Debt
  • Total Capital From Operating
  • 5-year Capital Purchases
  • 5-year Contributions to Capital Reserves