Tennessee Code Title 9. Public Finances § 9-3-214

(a) The comptroller of the treasury, in determining whether a utility system is financially distressed, as defined in § 7-82-401(f)(3) and described in § 7-82-703, shall not consider the straight-line depreciation of an asset acquired or completed in the twelve (12) calendar months preceding the audit, so long as the asset's depreciation is calculated in accordance with generally accepted accounting principles.

(b) This section only applies to the determination of whether a utility system is financially distressed as defined in § 7-82-401(f)(3) and described in § 7-82-703.  A utility system's financial statements must still be completed in accordance with generally accepted accounting principles.

(c) For the purposes of this section, “utility system” has the same meaning as in § 7-82-701.

(d) This section only applies if it is approved by a simple majority vote of the governing body of a utility system at a meeting of the governing body.