2011/2012 Annual Plan - Waikato District Council

Roads
Land and formation
Pavement (sealed) (2)
Pavement (unsealed) (2)
Surfacing (2)
Footpaths
Kerb and Channel
Drainage
Bridges and Culverts
Stormwater Systems
Pipes
Manholes, Cesspits
Flood Control systems
Not depreciated
30 to 50 years
30 years
8 to 12 years
100 years
60 years
60 years
65 to 100 years
80 years
50 to 80 years
25 to 100 years
Notes: (1) Life depends on material type of pipe; (2) Life depends on road type and traffic volumes.
Revaluation
Land and buildings (operational and restricted), and infrastructural assets (except land under roads) are
revalued on a regular basis to ensure that their carrying amount does not differ materially from fair value, and
at least every three years. All other asset classes are stated at depreciated historical cost.
Assets transferred from the north Waikato region (ex-Franklin) for the following asset classes are revalued
annually: Roading, Water Supply, Wastewater and Stormwater. Restricted Assets are valued at least every
three years. All other classes are stated at depreciated historical cost.
Council assesses the carrying values of its revalued assets at each balance sheet date to ensure that they do
not differ materially from the assets’ fair value. If there is a material difference, the off-cycle asset classes are
revalued.
Council accounts for revaluations of property, plant and equipment on a class of asset basis.
The results of revaluing are credited or debited to an asset revaluation reserve for that class of asset. Where
this results in a debit balance in the asset revaluation reserve, this balance is expensed in the statement of
comprehensive income. Any subsequent increase on revaluation that offsets a previous decrease in value
recognised in the statement of comprehensive income will be recognised first in the statement of
comprehensive income up to the amount previously expensed, and then credited to the revaluation reserve
for that class of asset.
Operational and restricted land and buildings
Land and buildings and properties valued by their components have been valued at fair value as determined
from market-based evidence by an independent valuer. The most recent valuation was performed by Geoff
Guyett of Valuation and Management Services Limited, and the valuation is effective as at 1 July 2009.
Restricted assets – north Waikato region (ex-Franklin District Council)
Land, Buildings and Community Facility (Restricted) Fixed Assets were valued by Kerry Stewart of Darroch
Valuations Limited, independent registered valuers as at 30 June 2010. The valuation was based on
depreciated replacement cost. The valuation methodology is consistent with NZ IAS16 (Property Plant &
Equipment) (IAS16) and with New Zealand Local Authority Asset Management Practice, New Zealand
Infrastructure Asset Management Manual and Valuations/Depreciation guidelines.
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