Laserfiche WebLink
CITY OF SAN LEANDRO <br />MEMORANDUM ON INTERNAL CONTROL <br />SCHEDULE OF OTHER MATTERS <br />NEW GASB PRONOUNCEMENTS OR PRONOUNCEMENTS NOT YET EFFECTIVE <br />The following comment represents new pronouncements taking effect in the next two years. We have <br />cited them here to keep you abreast of developments: <br />Effective in fiscal year 2017-18: <br />GASB 75 – Accounting and Financial Reporting for Postemployment Benefits Other Than Pensions <br />The primary objective of this Statement is to improve accounting and financial reporting by state and <br />local governments for postemployment benefits other than pensions (other postemployment benefits or <br />OPEB). It also improves information provided by state and local governmental employers about financial <br />support for OPEB that is provided by other entities. This Statement results from a comprehensive review <br />of the effectiveness of existing standards of accounting and financial reporting for all postemployment <br />benefits (pensions and OPEB) with regard to providing decision-useful information, supporting <br />assessments of accountability and inter-period equity, and creating additional transparency. <br />GASB 81 – Irrevocable Split-Interest Agreements <br />This Statement requires that a government that receives resources pursuant to an irrevocable split-interest <br />agreement recognize assets, liabilities, and deferred inflows of resources at the inception of the <br />agreement. Furthermore, this Statement requires that a government recognize assets representing its <br />beneficial interests in irrevocable split-interest agreements that are administered by a third party, if the <br />government controls the present service capacity of the beneficial interests. This Statement requires that a <br />government recognize revenue when the resources become applicable to the reporting period. <br />GASB 85 – Omnibus 2017 <br />The objective of this Statement is to address practice issues that have been identified during <br />implementation and application of certain GASB Statements. This Statement addresses a variety of topics <br />including issues related to blending component units, goodwill, fair value measurement and application, <br />and postemployment benefits (pensions and other postemployment benefits [OPEB]). <br />GASB 86 – Certain Debt Extinguishment Issues <br />The primary objective of this Statement is to improve consistency in accounting and financial reporting <br />for in-substance defeasance of debt by providing guidance for transactions in which cash and other <br />monetary assets acquired with only existing resources—resources other than the proceeds of refunding <br />debt—are placed in an irrevocable trust for the sole purpose of extinguishing debt. This Statement also <br />improves accounting and financial reporting for prepaid insurance on debt that is extinguished and notes <br />to financial statements for debt that is defeased in substance. <br />706