Code of Massachusetts Regulations
220 CMR - DEPARTMENT OF PUBLIC UTILITIES
Title 220 CMR 52.00 - Uniform System Of Accounts For Water Companies Contents
BALANCE SHEET
SCHEDULE OF PLANT INVESTMENT AND GENERAL EQUIPMENT ACCOUNTS
Tangible Property
Section 52.103 - Land

Current through Register 1531, September 27, 2024

This account shall include the cost to the utility of all lands used and useful in its water operation. Such a cost includes, when assumed or paid by the purchaser in its own behalf, cost of registration of title, cost of examination of title, conveyancer's and notary's fees; cost of obtaining consents and payments for abutting damages; also the first cost of acquiring leaseholds of land for rights of way with a life of more than one year, but not including the rents paid periodically in consideration of rights obtained under such leases.

This account also includes special assessments levied by public authorities on the basis of benefits for streets and other public improvements, such as new roads, new bridges, new sewers, new pavements, new curbing, etc., but not any taxes levied to provide for maintenance of such improvements.

The cost of buildings and other improvements should not be included in this account. If at the time of acquisition of an interest in lands it extends to buildings or other improvements thereon, which improvements are devoted by the accounting company to its water operations, and the contract of acquisition does not determine the price of such improvements, they should be appraised at their fair cash value for use in such operations, and such appraised value should be charged to the appropriate structures account, and excluded from this account. If such improvements are not devoted to water operations but are devoted to other operations or held as investments, the cost (or appraised value if the cost is not determined in the contract of acquisition) should be charged to the appropriate investment account or capital account for other operation. If the improvements are removed or wrecked, the cost of removing or wrecking them should be charged and the salvage credited to the land account.

This account may be subdivided as follows, and so far as practicable records of the cost of land devoted to water operations should be kept in the detail indicated. Land used both for general office and departmental purposes may be classed as "Miscellaneous."