News

GASB’s Statement 97 exempts defined contribution benefit plans from financial burden and accountability criteria that would lead to reporting in fiduciary fund financial statements.

In a letter to the Governmental Accounting Standards Board, NACUBO supported GASB’s accounting interpretation of CARES Act relief funds but disagreed with its assertion that a global pandemic is neither an unusual nor infrequent occurrence for financial reporting.

The Department of Education recently published two guidance documents: one addressing questions related to funds provided under the CARES Act, and the other announcing regulatory flexibility with regard to Return to Title IV funds during the COVID-19 pandemic.

The Governmental Accounting Standards Board is accepting comments for two weeks on a proposal that addresses accounting and reporting questions that have surfaced as a result of the pandemic and subsequent legislative relief. Final guidance expected by June 30 would take effect immediately.

President Donald Trump has vetoed Congress’ attempt to overturn controversial changes to borrower defense regulations made by the Department of Education last fall. NACUBO expects the borrower defense rule to take effect on July 1.

FASB officially approved the release of an Accounting Standards Update that postpones implementation dates by one year for leases for all independent institutions and revenue recognition for independent institutions without public or conduit debt.

In response to the pandemic, the Governmental Accounting Standards Board has issued a new statement that extends implementation for most major standards by one year. Recently issued Implementation Guide 2020-1 reinforces delayed effectives dates and provides updated guidance.

In a recent Q&A, ED addresses concerns raised by higher education over lack of clarity in the new financial responsibility rules that take effect July 1.

A new exposure draft would provide implementation relief to governmental entities, including public institutions, by postponing effective dates for most GASB standards. Comments on the proposal are due by April 30.

Due to the impact of COVID 19 and following advocacy from NACUBO, the Financial Accounting Standards Board unanimously voted to provide an optional one-year implementation delay of ASU 2016-02, Leases, for all nonprofit entities. As a result, colleges and universities with conduit or public debt will have until FY21 to implement the lease standard.