§  32.2111   Land.

   (a) This account shall include the original cost of all land held in
   fee and of easements, and similar rights in land having a term of more
   than one year used for purposes other than the location of outside
   plant (see Accounts 2411 through 2441) or externally mounted central
   office equipment (see Accounts 2211 and 2212). It shall also include
   special assessments upon land for the construction of public
   improvements.

   (b) When land, together with buildings thereon, is acquired, the
   original cost shall be fairly apportioned between the land and the
   buildings and accounted for accordingly. If the plan of acquisition
   contemplates the removal of buildings, the total cost of the land and
   buildings shall be accounted for as the cost of the land, and the
   salvage value of the buildings when disposed of shall be deducted from
   the cost of the land so determined.

   (c) Annual or more frequent payments for use of land shall be recorded
   in the rent subsidiary record category for Account 6121, Land and
   Building Expense.

   (d) When land is acquired for which there is not a definite plan for
   its use in telecommunications service, its costs shall be included in
   Account 2006, Nonoperating Plant.

   (e) When land is acquired in excess of that required for
   telecommunications purposes, the cost of such excess land shall be
   included in Account 2006.

   (f) Installments of assessments for public improvement, including
   interest, if any, which are deferred without option to the company
   shall be included in this account only as they become due and payable.
   Interest on assessments which are not paid when due shall be included
   in Account 7500, Interest and related items.

   (g) When land is purchased for immediate use in a construction project,
   its cost shall be included in Account 2003, Telecommunications plant
   under construction, until such time as the project involved is
   completed and ready for service.

   (h) The original cost of leaseholds, easements, rights of way, and
   similar rights in land having a term of more than one year and not
   includable in Account 2111 shall be included in the accounts for
   outside plant or externally mounted central office equipment in
   connection with which the rights were acquired.

   [ 51 FR 43499 , Dec. 2, 1986, as amended at  67 FR 5686 , Feb. 6, 2002]