City of Elgin, IL
Initial Challenge: The 8th largest city in Illinois, with a population of over 110,000, the city of Elgin must comply with statutory requirements for financially managing and reporting on assets. The city’s machinery and equipment, buildings, land, and land improvements represent a significant investment of public funds that need to be properly accounted for and reported.
Elgin’s municipal accounting software struggled with some of the complexities that can arise with compound assets, including financial audits incorrectly flagging depreciated assets. With such a wide array of assets, other aspects of financial reporting proved to be complicated. For example, a parking deck garage may be built, and several years later additional levels may be added on. Or an annex may be attached to it, and all of these depreciate at different rates, even though they are part of the same asset.
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