What is "asset management"?   Simply put, asset management is a way of managing infrastructure capital assets that minimizes the cost of owning and operating those assets and maximizes their performance over time. 

How can I get help for my community?
MCET has devloped software to help communities implement asset
management at their wastewater facilities.
For more information about MCET’s Asset Management Software Program please call Walter Graf at 301-934-7501
or to receive a copy of the software request it here. One of the main drivers behind asset management is the proposed set of changes to EPA’s NPDES permitting regulations which will require sewer agencies to prepare “capacity, management, operation and maintenance” (CMOM) plans for their wastewater systems. These plans will likely include condition assessments of the system’s major assets, as well as long-range asset replacement and refurbishment components. More than likely, these changes will directly affect – if they haven’t already – your day-to-day operations.

Another major driver is the phased implementation of the General Accounting Standards Board Statement 34 (GASB 34). This new asset reporting method requires that all public agencies (except federal) report depreciation on all infrastructure assets or alternatively, implement asset management systems and report the actual cost of maintaining the condition of their infrastructure systems. These reporting standards will be effective for public agencies with revenues of less than $10 million beginning in fiscal year 2003-04 (or the period beginning after June 15, 2003). If your revenues are greater than $10 million, your effective date is even sooner.

What are the real benefits to the utility?
Facilities who choose to implement asset management will not only be ahead of the curve when it comes to compliance with CMOM and GASB 34, but they will realize the benefits in their day-to-day management of their facility. Because asset management is a way of looking at increasing system demands and aging infrastructure in an organized fashion, it allows utility managers and local officials to make the best decisions about how, when, and where to expend valuable, and often limited, resources.

What are the true costs of designing and implementing an asset management system?
The actual monetary costs of designing and implementing an asset management system (assuming you do it by yourself) are probably not significant; however, because asset management affects virtually everything about the way you do business, the cost in terms of time, effort, personnel resources, etc., are likely to be significant. The thing to keep in mind is that the payback on that investment – particularly over the long term – is substantial.