Survey results indicate one of the underlying reasons city street departments lack effective cost control procedures is that most departments rely on the finance office for accounting tasks. Many share the responsibility. This reliance, although it accommodates accounting requirements (like paying people), it fails to provide "operational" information needed by the department.

Typically, the street department simply forwards payroll information, purchase orders and vouchers to the finance office for action. Without question, the finance office is best prepared and bound by law to maintain fiscal or fund accounting.

But this process handcuffs the superintendent. The objectives of the finance office differ from the operational departments. While most street departments report that their accounting reports were timely and accurate, it became clear that these accounting reports were not providing the management information needed by the department.

The finance office is responsible for fund accounting. The street superintendent is responsible for operations. The objectives are different and today's methods fail to give the superintendent the tools required to effectively manage the operation.

With today's "productivity push", it's time to give the superintendent the ability to take charge. Until cost control systems use the new ABC standard, the superintendent is faced with the daunting task of making costly decisions with inadequate information.