Not the same, besides their law allows for this.
One of the key “rules” of financial accounting is the accrual principle, which states that income and expenses should be allocated to the periods in which they occur.
So, if these operating expenses contribute benefits over an extended period, it accords with that principle to allocate them over an extended period—i.e., capitalize them initially, and claim them as expenses for a defined period. An example of that in real estate accounting would be that acquisition costs are generally rolled into the capital price of the property and depreciated slowly over time.
However, it’s not generally considered legit to take ongoing annual expenses—operating expenses—and not deduct them in the year in which they occur if they have no such long-term benefits.
The reason for this is that for a non-governmental entity, such accounting makes profits look better than they really are, for a while, and is therefore misleading to investors.
Now, government makes its own rules, so this may be legal for them to do. But it is fudging the books, IMHO.
PS I’m not an accountant, standard Holiday Inn disclaimer, but I’ve been in business, and read a lot of financial statements in the course of investing.