United States

GASB proposal addresses certain practice issues

FINANCIAL REPORTING INSIGHTS  | 

The Governmental Accounting Standards Board (GASB) recently issued an Exposure Draft, Omnibus 201X, to address practice issues identified during the implementation and application of certain GASB Statements. Specifically, the Exposure Draft addresses the following topics:

  • Blending a component unit in circumstances in which the primary government is a business-type activity that reports a single column for financial statement presentation
  • Amounts reported as goodwill and “negative” goodwill
  • How to classify real estate held for both operations and investment purposes by insurance entities
  • Measuring certain money market investments and participating interest-earning investment contracts at amortized cost
  • Timing of the measurement of pension and other postemployment benefits (OPEB) liabilities and related expenditures recognized in financial statements prepared using the current financial resources measurement focus
  • Recognition of on-behalf payments for pensions or OPEB in employer financial statements
  • Presentation of payroll-related measures in required supplementary information for purposes of reporting by OPEB plans and employers that provide OPEB
  • Classification of employer-paid member contributions for OPEB
  • Simplifications related to the alternative measurement method for OPEB
  • Accounting and financial reporting for OPEB provided through certain multiple-employer defined benefit OPEB plans

If finalized, the proposed requirements would be effective for reporting periods beginning after June 15, 2017. The Exposure Draft is available for comment until November 23, 2016.