Transcript GASB #34 – Annual Financial Report

The Intermediate Unit GASB
#34 Annual Financial Report
Presented by:
Mary Kay Beer, Chief
LECS Comptroller’s Office
School Accounting Section
[email protected]
(717) 783-9001
FYI
There were 27 IUs using the GASB 34
compliant AFR package in fiscal year
2002-03.
Of these 27, only 3 had filed by the
October 1 due date
What to send
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A complete AFR submission consists of:
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Renamed database file, there is a button on the
Main Menu to assist with this process
Send to: [email protected]
Signed cover sheet with original signatures and
the printed financial statements
Notes to the Financial Statements –sent to the
same address and this can be filed at a later date.
Problems reported
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Access 2003 incompatibility – get the run
time version
Rename and zip function – this function was
not overwriting the original file for revisions.
Downloading issues – check with your in
school technical support on security
limitations, some schools were only
downloading partial files due to in house
imposed restrictions
Transmitting problems – file size issues
imposed in house
A Look at the Statements
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Two Government Wide Statements
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Statement of Net Assets
(Government Wide) – problems with Capital Asset
inventory
Statement of Activities
(Government Wide) – problems with how to
categorize revenues
Report financial data using the full Accrual
basis of Accounting
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Fund Financial Statements
Similar to traditional statements
Reported using the modified accrual basis
Presented using the Major and Non Major fund
criteria – General and Special Revenue funds 23-26
are always Major
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Reconciliation Statements (2)
Provide a link from Fund Financial Statements to
Government Wide Statements
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Old and New (continued)
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Budget and Actual Statement – additional
column that reports final budget – variance
is reported between final and actual data
Statement of Net Assets – Proprietary Funds
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Enterprise funds – reported using the full accrual
basis of accounting and the Major and Non Major
criteria, Food Service always major
Internal Service fund presented separately
Old and New (continued)
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Statement of Revenues, Expenses and
Changes in Fund Balance – reported using
the Major and Non Major criteria
Statement of Cash Flows – reported using the
Major and Non Major fund criteria
Presented data uses the accrual basis of
accounting
Internal Service fund reported as a separate
column
More Statements
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Statement of Net Assets – Fiduciary Funds
all fund types reported – problems with
reporting Activity funds as agency by those
entities that did not realize we had
reclassified these funds
Statement of Changes in Net Assets –
Fiduciary Funds – problems with entities
trying to provide a reconciliation for Agency
funds when there should be no balance
Important Information
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LEAs must report non current assets and
liabilities on the government wide statements.
A validation has been built into the database
to check for accurate reporting.
The Reconciliation Statements must be
completed accurately. A brief description
detailing the impact and the Statements
involved must be entered on the
Reconciliation Statements.
But my auditor says you’re
wrong
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Recording accruals and deferrals – it’s owed
to me, so it’s mine. Although it may appear
that you are entitled to additional revenue
due to an audit, both the measurable and
available criteria must be met in order to
recognize this revenue.
Recording revenues and expenditures –
where do I get the backup?
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Payment and deduction letters are sent via
Penn Link when the payment is made
FAI payment system
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Internal balances – these do not represent
intergovernmental funds transactions but
represent monies due to and from
governmental and business type activities
Reconciliation Statements – but that’s the
number that makes the validation go away
Explain the differences between your
information presented using the modified
accrual accounting method for fund reporting
versus the full accrual for the government
wide statements
Lessons Learned
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Fiduciary funds reporting – just trying to be
consistent, this year we will have the
Fiduciary funds available in a drop down box
format
Activity funds will still be presented separately
Rounding errors – we will establish a variance
to avoid unnecessary validations
New for 03-04
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Validations to check:
Act 89 revenue verifications on the Act 89
Reconciliation Schedule
Additional schedule to collect Title V, part A
revenue (Innovative programs). A validation
has been added to check for completion of
this schedule.
If you are entering data that refers to a
component unit (CU), you will be asked to
identify that CU
03-04 Changes
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Additional collection of certain objects for
consistency
Reporting of termination benefits on the
Restricted Indirect Cost Schedule
Delete the Other Fiduciary funds column
Add object code 780 for reporting
infrastructure assets
Add revenue code 7291
Additional information
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There will be an automatic reply when your
message is received in our office informing
you that your message was received
Problems with attachments will receive a
reply indicating the problem
We are requesting the Notes submission as a
Word document, sent to the
[email protected] address
Where can I get help?
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The Comptroller’s website:
www.pde.state.pa.us/school_acct
The GASB website: www.gasb.org
The PASBO website: www.pasbo.org
Various reference books including the GAAFR,
and the Manual of Accounting and Financial
Reporting for PA Public Schools (available on
the Comptroller’s web site).