Government of the Northwest Territories

Manuel sur l’administration financière

515.01 - IB Controllable and Intangible Assets General

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Effective: January 29, 2018
Applicable FAM Policies: 515 - Controllable Assets and Intangible Assets
Applicability: GNWT Departments and Public Agencies

INTERPRETATION

It is important to have information about the total stock of property (tangible and intangible) for which the Government and public agencies has stewardship responsibility. For example, the Government uses the System for Accountability and Management (SAM) (or a respective system for a Public Agency) as an electronic solution to the management of government-owned tangible capital assets and controllable assets.

Controllable Assets

Controllable tangible assets (CTA) are public property, similar to TCA’s except that they are valued less than $50,000. The threshold floor for controllable tangible assets is $500. This property includes moveable assets with life expectancies of more than one year that are attractive targets for theft and/or are readily convertible to cash. It also includes improvements to real property that typically is not readily moveable, valued under $50,000 and above $500.

Departments and Public Agencies are to assign custodians to all controllable assets and ensure an independent employee performs an annual review of controllable assets.

Intangible Assets

The FAA requires the Comptroller General to control all public property (see FAA section 16). Public property includes, "all personal and real property that belongs to the Government, not including public money." Personal property is defined as, "any asset, whether tangible or intangible, that is not real estate." Thus, the Comptroller General is required by the FAA to control personal property, which includes intangible assets. Intangible assets are assets such as databases, franchises, concessions, licenses, patents, trade-marks, copyright, and research (see Appendix A for a more exhaustive list).

Departments and Public Agencies are required to;

  • Record all attractive or insurable controllable assets and intangible assets, regardless of their condition.
  • Record sufficient information as required for any insurance requirements,
  • Record the subsequent write-off or disposal of the asset.
  • Consult with Risk Management, Department of Finance prior to loaning or leasing any government equipment to a 3rd party.
  • Perform an annual confirmation of the controllable and intangible assets under their control.
  • Ensure controllable assets are properly authorized and expensed to the proper accounting coding.

Equipment on Loan

An expenditure authority must approve the loan of any GNWT equipment.

GNWT equipment shall not be loaned for personal reasons. Loan permission shall only be granted in order to conduct GNWT business. Loan approval is only to be granted if the proper expenditure authority is convinced that the removal of such equipment will not:

  • interfere with the normal operation of the department;
  • cause unreasonable wear and tear on the equipment;
  • cause expense to be incurred by the department; and
  • provide for profit-making activities.

There should be signed consent stating that the lessee has read and understood that they will be responsible for theft or other cause and/or any damage to the equipment. The responsible party will provide due care and security for the loaned equipment until it is returned to the owner department or agency. The physical location of equipment on loan shall not be altered without written notification and agreement of the owner department or agency.

Appendix A – Intangible Assets

The following may be considered an exhaustive listing of intangible assets:

Marketing

Corporate name and logo; marketing umbrella and brand name; sub-brand names and trade dress; worldwide trademark registrations; copyrights; secondary trademarks; consumer advertising; package design and copyrights; marketing strategy; product warranties; graphics; promotion concepts; worldwide public relations effort; ad and graphics review; and labeling design and copyrights.

Knowledge/Skills

Non-compete clauses; mailing lists; sales knowledge; proprietary MIS; databases; customer lists; sales leads; customer relations; office management; manuals; instructions; codes; purchasing systems; employee education; on-site training; processing methods; exchange of technical ideas; quality control standards; marketing/training; trade relationship; pricing policies, fee structures; asset management processes; regulatory department filings and approvals; security systems and processes; record-keeping systems; business licenses and charters; and customer surveys.

Electronic

Domain names; web sites; links to other web sites; retail kiosk; credit systems; traffic controls; and banner ads.

Technical

Trade secrets; formulae; packaging technology and sources; shapes and sizes; proprietary processes; key patents; process technology; environmental manufacturing techniques; design technology; and technical training.

Appendix B – Insurable Assets Less Than $50,000*

Keyword Definition Example or "Type"
Mobile Equipment

All conveyances, primarily used on land or not, self-propelled or not, designed to carry passengers, cargo, equipment, etc. (Ferries are not included in this description; they have their own code)

Traditional Insurance Definition:

Vehicles "designed for travel on public roads are 'autos'. Vehicles designed for use principally off public roads are 'mobile equipment'."

Aircraft Fork/Pallet Lift Snowmobiles
Ambulances Fuel Delivery Vehicles Sewage Trucks
Asphalt Equipment Graders/Plows Stake/Flatbed Truck
Bear Traps Granular Screeners Sweepers
Boats/Canoes Ice Spray Pump Trailers
Bulldozers Line Markers Tractors (Farm)
Back Hoes Loaders Tractors (Highway)
Buses Outboard Motors All Terrain Vehicles
Cars (Sedan) Packers Utility Truck
Dump Trucks Pick-up Trucks Vans
Vehicle Attachments Equipment, tools or extensions designed to be affixed to a vehicles to be of service. Snow Wings Wing Graders Sanders
Blades Sweepsters Spreaders
Buckets Forks Snow Drag
Plow Attachments Mower Attachment  
Vehicle Equipment Equipment and tools transported by, used in conjunction with, but not dependent on, a vehicle Brush Cutter Compressors Portable Heaters
Pumps Ice Pumps Road Magnets
Generator Dye Markers Spray Patch Machines
Power Plants Line Painters Drags
Slip in Tanks Plate Compactors Tar Kettles
Asphalt Storage Tanks Plate Tampers Tire Drag
Water Trucks    
Heritage Assets Artistics productions/reproductions of a tangible nature Artifacts Etchings Paintings
Pictures Tapestries (cloth, wood, fur) Sculptures (carvings, etc.)
Minor Buildings Small buildings and structures Sheds, Huts, Registration Booths Hose Drying Racks, Campsite Shelters  

*list of examples is not exhaustive