1. Asset Management, GASB 34, and the Local Entity Perspective
- Author
-
Chris Yarnell
- Subjects
Statement (computer science) ,business.industry ,Strategy and Management ,Perspective (graphical) ,Locality ,Deferred maintenance ,Management Science and Operations Research ,Financial management ,Risk analysis (engineering) ,Local government ,Economics ,Asset management ,Operations management ,business ,Maintenance management ,Civil and Structural Engineering - Abstract
The paper presents a view of the benefits and drawbacks of applying GASB Statement No. 34 in a small municipal entity. Cole County, Missouri, is taking the requirement and using it to improve the long-term operations of the county to the benefit of the taxpayers. The county chose to use GASB 34’s modified reporting method, which, despite the effort required to maintain a database on the condition of the county’s infrastructure, can be used to justify maintenance costs. This is a cost-effective way to maintain a locality’s assets. If the infrastructure assets can be maintained in a predetermined condition, the need for deferred maintenance will decrease, and thus the life-cycle cost for the whole network will decrease.
- Published
- 2004
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