Note 22. Stewardship Property, Plant, and Equipment

This note provides information on certain resources entrusted to the Department and certain stewardship responsibilities assumed by the Department. The physical properties of stewardship property, plant, and equipment (Stewardship PP&E) resemble those of the General PP&E that is traditionally capitalized in the financial statements of federal entities. Due to the nature of these assets, however, valuation would be difficult and matching costs with specific periods would not be meaningful. Therefore, federal accounting standards require the disclosure of the nature and quantity of these assets. NOAA is the only entity within the Department that has Stewardship PP&E.

Stewardship Marine Sanctuaries, National Marine Monument, and Conservation Area:

NOAA maintains the following Stewardship PP&E, which are similar in nature to stewardship land:

National Marine Sanctuaries: These protected waters provide a secure habitat for species close to extinction, and also protect historically significant shipwrecks and prehistoric artifacts. Each of the 13 individual sanctuary sites, which include near-shore coral reefs and open ocean, conducts research and monitoring activities to characterize existing resources and document changes.

Northwestern Hawaiian Islands (NWHI) National Marine Monument: The majority of all coral reef habitats located in U.S. waters surround NWHI. The NWHI Marine National Monument, located off the coast of NWHI, encompasses nearly 140,000 square miles of U.S. waters, including 4,500 square miles of relatively undisturbed coral reef habitat that is home to more than 7,000 species. The Monument will be managed by NOAA, with the Department of the Interior and the State of Hawaii.

Aleutian Islands Habitat Conservation Area: This conservation area in Alaska may harbor among the highest diversity of deep-water corals in the world, and protects habitat for deep water corals and other sensitive features that are slow to recover once disturbed by fishing gear or other activities.

Additional information on the above Stewardship PP&E is presented in the Required Supplementary Information section. Written policies to guide the acquisition, maintenance, use, and disposal of the above stewardship responsibilities are currently being developed.

Heritage Assets:

Heritage assets are unique for their historical or natural significance, for their cultural, educational, or artistic importance, or for their significant architectural characteristics. The Department generally expects that these assets will be preserved indefinitely.

In cases where a heritage asset also has a practical and predominant use for general government operations, the asset is considered a multi-use heritage asset. The cost of a multi-use heritage asset is capitalized as General PP&E and is depreciated over the useful life of the asset.

Historical artifacts are designated heritage assets if they help illustrate the social, educational, and cultural heritage of NOAA and its predecessor agencies (U. S. Coast and Geodetic Survey, U.S. Fish Commission, the Weather Bureau, the Institutes for Environmental Research, the Environmental Science Services Administration, etc.). These include, but are not limited to, bells, gyro compasses, brass citations, flags, pennants, chronometers, ship’s seals, clocks, compasses, shipbuilders’ contracts, personal equipment, clothing, medals and insignia, barometers, rain gauges, and any items which represent the uniqueness of the mission of NOAA and its predecessor agencies.

NOAA has established policies for heritage assets to ensure the proper care and handling of these assets under its control or jurisdiction. The Deputy Under Secretary of NOAA has established the Heritage Assets Working Committee to administer NOAA’s stewardship policies and procedures. In carrying out these policies and procedures, the NOAA Heritage Assets Working Committee:

• Maintains a nationwide inventory of heritage assets, ensuring that they are identified and recorded in the Personal Property Heritage Asset Accountability System
• Establishes nationwide NOAA policies, procedures, and standards for the preservation, security, handling, storage, and display of NOAA heritage assets
• Tracks and updates each loan of NOAA heritage assets, including assigning current values and inventory numbers, and reporting the current condition of heritage assets
• Determines the feasibility of new asset loans, such as meters, standard tide gauges, portraits, and books for exhibit loans
• Collects heritage assets and properties of historic, cultural, artistic, or educational significance to NOAA

NOAA maintains the following heritage assets:

Galveston Laboratory: Galveston Laboratory is comprised of seven buildings that were originally part of Fort Crockett, an Army coastal defense facility built shortly after 1900. These buildings are eligible for placement on the National Register. Due to their historic significance, exterior architectural features, and predominant use in government operations, the Galveston Laboratory is considered a multi-use heritage asset. This facility is undergoing a renovation in three phases. Phases I and II are complete. Phase III commenced in October 2004, and is subdivided into three different projects. Phase III-A, renovation of Building 306 and mechanical/electrical site work, was completed in January 2006. Phase III-B, renovation of Buildings 301, 305, and 307, was awarded in September 2005 and is ongoing with an expected completion date of November 2006. Phase III-C, renovation of Building 303 and site work, was awarded in August 2006 and is ongoing with an expected completion date of March 2007. The overall renovation for the Galveston Laboratory is 75 percent complete as of September 30, 2006.

National Marine Fisheries Service (NMFS) Aquarium: In Woods Hole, MA, this aquarium was established in 1885 by Spencer Baird, the originator of NMFS. In addition to being part of the first laboratory of today’s NMFS, this aquarium is the oldest marine research display aquarium in the world. It is used to educate the public, raise public awareness of NMFS activities, and accommodate in-house research for the Northeast Fisheries Science Center, part of NOAA’s mission. The aquarium houses 16 permanent exhibition tanks and approximately one dozen free standing aquaria and touch tanks holding more than 140 species of fish and invertebrates. The tanks range in size from 75 to 2,800 gallons. A 10,000 gallon outdoor habitat holds resident harbor seals. The general condition of the aquarium is good. The NMFS Aquarium is considered a multi-use heritage asset because it is also used for NOAA’s scientific research, which is part of its mission.

Office of Atmospheric Research (OAR) Great Lakes Environmental Research Laboratory (GLERL): In Muskegon, MI, the GLERL main building, constructed in 1904 by the U.S. Life Saving Service, is eligible for National Register designation and has been recognized by state and local historical societies for its maritime significance. With the creation of the U.S. Coast Guard in 1915, the facility was transferred and served as a base for search and rescue operations for 75 years. In 2004, a renovation project was completed that restored the exterior to its original architecture and color scheme — a style that is considered rare. Today, the GLERL carries out research and provides scientific products, expertise, and services required for effective management and protection of Great Lakes and coastal ecosystems. The GLERL includes three buildings and a research vessel dockage. The function of the field station is to provide a base of operations for GLERL’s primary research vessel, which is presently the Research Vessel Shenehon, and to provide a focal point for GLERL’s research on Lake Michigan. Due to its historic significance, exterior architectural features, and predominant use in government operations, the GLERL is considered a multi-use heritage asset.

Collection-type Heritage Assets: The NOAA’s collection-type heritage assets are comprised primarily of books, publications, manuscripts, records, and nautical chart plates. More information regarding NOAA’s collection-type heritage assets is presented in the Required Supplementary Information section.