GASB 39 Update

For the year ending June 30, 2004, public colleges and universities will issue annual financial statements that include financial information about their related foundations.  This will happen as a result of standards issued by the Governmental Accounting Standards Board (GASB).

GASB Statement No. 39 allows discrete display of non-profit foundations on a separate page (FASB format) for financial reporting.  Alternatively, public institutions can present the financial statements of their foundations side-by-side with those of the institution.  Public institutions (or systems) that are component units of their state will need to consider CAFR requirements for a discretely presented component unit column.  Whether for a single column side-by-side stand alone financial statement display or a discretely combined component unit presentation in the CAFR, public institutions need to understand how to adapt the FASB reporting format of their affiliated organizations into a GASB reporting format.

This program explores the rationale behind the standard, its implications for institutions and foundations, strategies for complying with its requirements, and will cover in detail how to convert affiliated organizations’ FASB reporting classifications to a GASB compliant display.