What defines "capital property" in relation to Coast Guard assets?

Capital property, particularly in the context of Coast Guard assets, is characterized by its significant value and longevity. This type of property is typically defined as having a value that exceeds a specified threshold, and it is expected to have a useful life of more than two years. The definition emphasizes both the monetary aspect and the expected utility of the property over a prolonged period, differentiating it from items that may be consumed or used up quickly.

This classification is crucial for financial reporting and asset management within the Coast Guard, as it helps in tracking and managing long-term investments effectively. Capital property consists of assets that contribute to the operational capabilities and infrastructure of the Coast Guard, which is essential for maintaining readiness and efficiency.

In contrast, other classifications, such as surplus or leased property, focus on different aspects—like ownership status or the temporary use of assets—rather than the inherent long-term value and utility of capital property. Understanding this distinction helps in proper asset management practices within the Coast Guard.