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<DIV><FONT face=Arial color=#0000ff size=2><SPAN class=265315014-18032008>Hi
Russell,</SPAN></FONT></DIV>
<DIV><FONT face=Arial color=#0000ff size=2><SPAN
class=265315014-18032008> The City of Surrey is (or has) built
their TCAR, and trees are not included in the registry.
</SPAN></FONT></DIV>
<DIV><FONT face=Arial color=#0000ff size=2><SPAN
class=265315014-18032008></SPAN></FONT> </DIV>
<DIV><FONT face=Arial color=#0000ff size=2><SPAN
class=265315014-18032008> Our Parks Division rep to the
initiative made such a case to include trees, however, it was deemed that trees
do not fit the accounting criteria at this time. See the attached for some
background, or google 'capital asset inventory trees' and there is explanation
from the Municipal Finance Officer's Association of Canada in a
newsletter.</SPAN></FONT></DIV>
<DIV><FONT face=Arial color=#0000ff size=2><SPAN
class=265315014-18032008></SPAN></FONT> </DIV>
<DIV><FONT face=Arial color=#0000ff size=2><SPAN
class=265315014-18032008> Interestingly, in the newsletter
they do state that where trees are planted as a barrier, to serve a
similar benefit or service as a masonry wall or fence, that they would
aggregately be considered a capital asset. The discussion in the
newsletter also seems to reveal there is room for discussion on the point
of including or excluding trees. It seems that the decision-makers,
accountants, don't fully understand the services and benefits that individual
trees provide. </SPAN></FONT></DIV>
<DIV><FONT face=Arial color=#0000ff size=2><SPAN
class=265315014-18032008></SPAN></FONT> </DIV>
<DIV><FONT face=Arial color=#0000ff size=2><SPAN
class=265315014-18032008> I think that if it is important to
have trees included (perhaps a question that first needs addressing) there needs
to be collaborative advocacy from urban foresters. Perhaps a resolution at
the upcoming Canadian Urban Forest conference would be
appropriate?</SPAN></FONT></DIV>
<DIV><FONT face=Arial color=#0000ff size=2><SPAN
class=265315014-18032008> </SPAN></FONT></DIV>
<DIV><FONT face=Arial color=#0000ff size=2><SPAN
class=265315014-18032008></SPAN></FONT> </DIV>
<DIV><FONT face=Arial color=#0000ff size=2><SPAN class=265315014-18032008><FONT
face=Arial size=2>Greg Ward</FONT> <BR><FONT face=Arial size=2>Manager, Urban
Forestry and Environmental Programs</FONT> <BR><FONT face=Arial size=2>City of
Surrey, B.C.</FONT> <BR><FONT face=Arial size=2>604 501 5170</FONT> </DIV>
<DIV>
<P><I><FONT face=Arial size=2>'Nature matters,</FONT></I> <BR><I><FONT
face=Arial size=2>protect, enhance, enjoy'</FONT></I> </P></SPAN></FONT></DIV>
<BLOCKQUOTE dir=ltr style="MARGIN-RIGHT: 0px">
<DIV class=OutlookMessageHeader dir=ltr align=left><FONT face=Tahoma
size=2>-----Original Message-----<BR><B>From:</B>
canufnet-bounces@list.web.net [mailto:canufnet-bounces@list.web.net]<B>On
Behalf Of </B>Friesen, Russell<BR><B>Sent:</B> March 14, 2008 3:41
PM<BR><B>To:</B> Canadian Urban Forest Network<BR><B>Subject:</B> [CANUFNET]
Tangible Capital Asset Registry - Reporting Trees andUrban Forest
Assets<BR><BR></FONT></DIV>
<DIV dir=ltr align=left><FONT size=2><FONT face=Arial><SPAN
class=523531820-14032008>Tangible Capital Asset Registries are topic that
has great implications for municipal forestry operations across the country,
but I am pretty sure most CANUFNET subscribers have probably
never even heard of it. Around 2005, t</SPAN><SPAN
class=523531820-14032008>he Public Sector Accounting Board
(PSAB) recommended that governments including municipalities report
"Tangible Capital Assets" (TCA) on their balance sheets. </SPAN><SPAN
class=523531820-14032008>In Alberta, this recommendation became law and is now
a legislative requirement commencing Jan. 1 2009. The Province of
Ontario also appears to have similar requirements, and many
municipalities in that jurisdiction are well on their way to reporting TCA.
</SPAN></FONT></FONT></DIV>
<DIV dir=ltr align=left><SPAN class=523531820-14032008><FONT face=Arial
size=2> </FONT></SPAN></DIV>
<DIV dir=ltr align=left><SPAN class=523531820-14032008><FONT face=Arial
size=2>Unfortunately, there does not appear to be a standard practice or
consensus on how to report trees. The advice given by the
PSAB isn't specific and opinion from other sources is
contradictory, ranging from don't report the value of trees, to report the
value of trees that were planted with a purpose (like visual screening),
to report the value trees as if they were converted to pulp
wood.</FONT></SPAN></DIV>
<DIV dir=ltr align=left><SPAN class=523531820-14032008><FONT face=Arial
size=2></FONT></SPAN> </DIV>
<DIV dir=ltr align=left><SPAN class=523531820-14032008><FONT face=Arial
size=2>Most municipalities involved in building TCA
registries have hired consultants to aid with the developing
the reporting process. In some cases the same consultants have been hired
by several municipalities, but for ethical reasons the consultants can't share
what one municipality is doing with another municipality. All this
results in a dearth of guidance and information about how to report trees
and the urban forest in a Tangible Capital Asset
Registry. </FONT></SPAN></DIV>
<DIV dir=ltr align=left><SPAN class=523531820-14032008><FONT face=Arial
size=2></FONT></SPAN> </DIV>
<DIV dir=ltr align=left><SPAN class=523531820-14032008><FONT face=Arial
size=2>Therefore, I think that it is important for municipal foresters to
share with each other what they know about TCA registries, what their TCA
will report, how their reporting policy is worded and how they are
going to track, collect and manage their asset reporting in subsequent
years. . </FONT></SPAN></DIV>
<DIV dir=ltr align=left><SPAN class=523531820-14032008><FONT face=Arial
size=2></FONT></SPAN> </DIV>
<DIV dir=ltr align=left><SPAN class=523531820-14032008><FONT face=Arial
size=2>So now for my questions. </FONT></SPAN></DIV>
<DIV dir=ltr align=left><SPAN class=523531820-14032008><FONT face=Arial
size=2></FONT></SPAN> </DIV>
<DIV dir=ltr align=left><SPAN class=523531820-14032008><FONT face=Arial
size=2>Which other municipalities are in the process of building their
TCA?</FONT></SPAN></DIV>
<DIV dir=ltr align=left><SPAN class=523531820-14032008><FONT face=Arial
size=2>How are you planning on reporting
trees? </FONT></SPAN></DIV>
<DIV dir=ltr align=left><SPAN class=523531820-14032008><FONT face=Arial
size=2>Have you tried to make the case that tree appreciate in value rather
than depreciate? ... and how did that go?
</FONT></SPAN></DIV>
<DIV dir=ltr align=left><SPAN class=523531820-14032008><FONT face=Arial
size=2>Are you using historic costs of acquisition (planting) for your
starting point and depreciating from there? </FONT></SPAN></DIV>
<DIV dir=ltr align=left><SPAN class=523531820-14032008><FONT face=Arial
size=2>Are you reporting individual trees or lumping trees into a
general average land improvement value? </FONT></SPAN></DIV>
<DIV dir=ltr align=left><SPAN class=523531820-14032008><FONT face=Arial
size=2>What is your useful lifespan for a tree? </FONT></SPAN></DIV>
<DIV dir=ltr align=left><SPAN class=523531820-14032008><FONT face=Arial
size=2>How are you taking into
account vintages? </FONT></SPAN></DIV>
<DIV dir=ltr align=left><SPAN class=523531820-14032008><FONT face=Arial
size=2>And my final question, does anybody - anywhere, understand this?
</FONT></SPAN></DIV>
<DIV dir=ltr align=left><SPAN class=523531820-14032008><FONT face=Arial
size=2></FONT></SPAN> </DIV>
<DIV dir=ltr align=left><SPAN class=523531820-14032008><FONT face=Arial
size=2>Thank You </FONT></SPAN></DIV>
<DIV dir=ltr align=left><SPAN class=523531820-14032008><FONT face=Arial
size=2>Russell Friesen</FONT></SPAN></DIV>
<DIV dir=ltr align=left><SPAN class=523531820-14032008><FONT face=Arial
size=2>Urban Forestry Coordinator </FONT></SPAN></DIV>
<DIV dir=ltr align=left><SPAN class=523531820-14032008><FONT face=Arial
size=2>City of Calgary Parks </FONT></SPAN></DIV>
<DIV dir=ltr align=left><SPAN class=523531820-14032008><FONT face=Arial
size=2></FONT></SPAN> </DIV>
<DIV dir=ltr align=left><SPAN class=523531820-14032008><FONT
face=Arial></FONT></SPAN> </DIV>
<DIV dir=ltr align=left><SPAN class=523531820-14032008><FONT
face=Arial></FONT> </DIV>
<DIV dir=ltr align=left><FONT face=Arial></FONT> </DIV></SPAN>
<DIV dir=ltr align=left><SPAN class=523531820-14032008><FONT
face=Arial></FONT></SPAN> </DIV>
<DIV dir=ltr align=left><SPAN class=523531820-14032008></SPAN> </DIV>
<P>
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