COMMITTEE SUBSTITUTE FOR RESOLUTION NO. 030119

Directing the City Manager to direct the Director of Public Works and other City departments to utilize both the modified approach and traditional depreciation methodology in the accounting of infrastructure assets.

WHEREAS, the Government Accounting Standards Board has promulgated accounting standards to determine the depreciation value of certain public infrastructure assets and specifically GASB 34; and

WHEREAS, for the purposes of meeting accounting standards GASB 34 established by the Government Accounting Standards Board, the City has the option to utilize either the modified approach or the traditional depreciation methodology to account for street infrastructure assets; and

WHEREAS, it is in the best interests of the City for consistency to utilize the modified approach in lieu of depreciation for pavements, structures and street lighting and to utilize the traditional method of depreciation for guardrails, retaining walls, signage, signals, sidewalks, curbs and gutters consistent with position papers on each of the assets attached hereto and made a part hereof explaining how the appropriate accounting methodology was determined; NOW, THEREFORE,

BE IT RESOLVED BY THE COUNCIL OF KANSAS CITY:

That the Council directs the City Manager to direct the Director of Public Works and such other City departments involved in the accounting of infrastructure assets to utilize both the modified approach and traditional depreciation methodology.

_____________________________________________________________