AWWA JAW59342

When the General Accounting Standards Board issued Statement No. 34 in 1999, many utility managers thought it meant big changes to their water rate-making principles and financial reporting requirements. However, GASB 34 does not change these principles. Although it puts forth new reporting standards and definitions, AWWA Manual M1 remains the preeminent guide for water utility ratemaking, regardless of the accounting rules presented by GASB 34. This article helps eliminate some of the confusion surrounding GASB 34 and its relationship to rate-making. Includes 4 references, figures.