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PLANNING AND FUNDING ASSET REPLACEMENT: ONE AGENCY'S EXPERIENCE

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This paper describes the approach taken by the Orange County Water District, headquartered in Fountain Valley, California, to funding its future infrastructure replacements. The paper presents:



The funding methodology chosen and the tools used.


Issues that arose during implementation.


Guidelines prepared to help staff determine whether expenditures qualify for funding from the Replacement Fund.


Ongoing maintenance of replacement funding policy.


This paper will be of interest to any agency concerned with sound asset management and maintaining the quality and viability of its infrastructure over the long term. The approach described also satisfies substantial portions of the requirements of Governmental Accounting Standards Board Statement 34 (GASB 34), especially that statement's modified approach, and the “Capacity Management, Operations, and Maintenance” (cMOM) regulations proposed as part of NPDES permitting requirements and applying primarily to wastewater agencies.
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Document Type: Research Article

Publication date: 2000-01-01

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