General Accounting
Locked into a Municipal Chart of Accounts, an Electric Utility Needed Some Changes to Make it Work for Financial Management
Utilities find that the standard chart of accounts for a municipal general fund doesn’t meet their needs. General fund accounting is based on a flow of funds basis, while utilities use the accrual basis of accounting like a private sector business. The general fund chart of accounts is not a good fit.
Here is one utility’s approach to making the municipal chart of accounts string usable to meet the utility’s reporting and management needs.