PURPOSE: This rule defines terms and definitions of those terms, as used in the rules under this chapter for the Capital Improvement and Maintenance Budget.

1. (1) Capital Improvement and Maintenance Budget. The Capital Improvement and Maintenance Budget for a department is the total of all capital improvement and maintenance/repair/renovation requirements as determined by the Office of Administration’s, Division of Facilities Management, Design and Construction Division. The budget request includes the documentation to support the request for funding of the proposed budget.
2. (2) Categories. There are two (2) categories (capital improvement and maintenance/repair/renovation) established for the Capital Improvement and Maintenance Program. The budget submissions will be prepared in these two (2) categories, separately defined in (2)

3. (A) and (B) to permit consideration in separate appropriation bills.

   1. (A) Capital Improvement. A Capital Improvement is defined as work which substantially improves, increases value or capacity or extends useful life of the asset to the extent that the depreciation schedule of the facility would be adjusted. An improvement is considered as capital improvement if the footprint of the building is enlarged or the cost of the work exceeds twenty-five percent (25%) of the replacement value of the asset.
   2. (B) Maintenance/Repair/Renovation. Maintenance/repair/renovation is defined as work which is necessary to preserve or reestablish the condition of an asset or element. Maintenance/repair/renovation work does not increase value or capacity of an asset.
4. (3) Complex. A complex is a group of two (2) or more sites. A complex may include individual sites which are joined by major roads or other non-contiguous property under control of the same agencies or owners.
5. (4) Asset. An asset is any permanent physical structure with a condition that can be assessed (for example, buildings, real property, security elements, utility infrastructure, and roadways).
6. (5) Asset Assessment Report. The Asset Assessment Report is required for compliance with the appropriate sections of the Revised Statutes of Missouri. This annual report indicates the condition of an asset, its major components or systems and the requirements for maintenance/repair/renovation. The director, Division of Facilities Management, Design and Construction has designated the Assessment Program as the format for this annual report.
7. (6) Operating Budget. The operating budget is that portion of a department’s annual budget which requests funding for personal property, operating expenses, personnel and other costs not included in the Capital Improvement and Maintenance Budget.
8. (7) Priorities. Priorities are assigned to budget items to demonstrate the order of importance or need.
9. (8) Real Property. Real property includes any interest of the state in land, buildings, structures, roads or other improvements.
10. (9) Requirement. A requirement is an asset need or a deficient condition that should be addressed, including deferred maintenance, code issues, functional requirements, and capital improvements.
11. (10) Site. A site is a single parcel of real property bounded on all sides by property under the control of others. A site will include all assets within the boundaries of that site.
12. (11) This rule will be used to supplement annual budget instructions. This rule becomes effective with the budget submission for the upcoming fiscal year.

AUTHORITY: sections 8.320, 8.360, and 33.220, RSMo 2000.* Original rule filed July 9, 1981, effective Feb. 15, 1982. Emergency amendment filed June 14, 1985, effective July 1, 1985, expired Oct. 29, 1985. Amended: Filed June 14, 1985, effective Aug. 26, 1985. Rescinded and readopted: Filed Nov. 5, 2007, effective June 30, 2008. 1 CSR 30-2

*Original authority: 8.320, RSMo 1958, amended 1965; 8.360, RSMo 1958, amended 1965; and 33.220, RSMo 1939, amended 1945, 1971.