THE CORPORATION OF THE CITY OF WINDSOR Notes to Consolidated Financial Statements Year ended December 31, 2019 ($000's)
1. Summary of significant accounting policies and reporting practices (continued)
(iii) Taxes receivable and related revenues
Property tax billings are prepared by the City based on assessment rolls issued by the Municipal Property Assessment Corporation ("MPAC"). Tax rates are established annually by City Council, incorporating amounts to be raised for local services and amounts the City is required to collect on behalf of the Province of Ontario in respect of education taxes. A normal part of the assessment process is the issuance of supplementary assessment rolls, which provide updated information with respect to changes in property assessment. Once a supplementary assessment roll is received, the City determines the taxes applicable and renders supplementary tax billings. Taxation revenues are recorded at the time tax billings are issued. Assessments and the related property taxes are subject to appeal. Tax adjustments as a result of appeals are recorded when the result ofthe appeal process is reasonably certain. The City has established a tax appeals reserve fund to provide funding to help offset the results of any future appeal decisions. The City is entitled to collect interest and penalties on overdue taxes. These revenues are recorded in the period the interest and penalties are levied. Tax revenue is recorded net of reductions. Taxes receivable are reported net of any expense or allowance for doubtful accounts.
(iv) Trade and other receivables
Trade and other receivables are reported net of any allowance for doubtful accounts.
(v) Tangible capital assets
Tangible capital assets are recorded at cost which includes amounts that are directly attributable to acquisition, construction, development or betterment of the asset. The cost, less residual value, of the tangible capital assets, excluding land and landfill sit
| Asset classification and amortization schedule | |
|---|---|
| Classification | Useful Life (Years') |
| Land Infinite | Years |
| Land improvements | 10-75 |
| Buildings and Building Improvements | 10-60 |
| Vehicles, machinery and equipement | 3-35 |
| Water and wastewater infrastructure | 25-100 |
| Roads infrastructire | 25-100 |
| Airport | 6-40 |
The landfill has an estimated service capacity of 8,000,000 tonnes and is being amortized using the units of production method based on capacity used during the year.
Contributed assets
Contributed assets are recognized at their fair market value as of the date of contribution to the City.