Accounting for Construction and Renovation Projects

Accounting for Construction and Renovation Projects

All projects require a unique project/grant to track associated transactions. AEC will request the appropriate project/grant and handle all accounting transactions for the projects they manage.

For projects managed by departments a new project/grant should be requested through the eform process available on the Shared Services Center website.

Expenditures for capital projects must be recorded in one of the university capital funds:

  • 80000 - Construction Campus
  • 80500 - Construction Hospital

Expenditures must be correctly identified by the use of account codes to indicate whether or not the expense can be capitalized or considered an asset. A capital expenditure is incurred when money is spent either to buy or fix assets or to add value of an existing asset. A noncapital expense would be considered an expense necessary to complete the project but does not increase the value of an asset.

A limited number of capital and noncapital expenditure accounts are available for use. The following accounts are most commonly used:

Capital   Noncapital
610000 (Bldgs - General Contracts)   610775 (Plant Noncapital Items)
610450 (Bldgs - Fees)   610875 (Furniture - Noncapital)
610600 (Bldgs - Umtel Charges)   610885 (Noncapital ITCom Charges)
621450 (Rebilled - Natural Gas)   610890 (Noncapital Fees)
621540 (Rebilled - Water & Sewer)   614000 (Equipment)
621630 (Rebilled - Electricity)   614210 (Equip - Upgrade Existing Equip)
622230 (CPP - Steam Distribution)   614390 (Computers - Under $5,000)
622290 (CPP - Electric Distribution)    
622320 (N Campus - Electric Dist)    

A complete list of valid accounts is available in the Resources section of this page.