FASAB News Issue
77 December 2002 - January 2003
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The following
articles provide highlights of the FASAB’s December 11- 12, 2002 Meeting. After
Board approval, detailed minutes of the meeting will be posted to FASAB’s web
page:
www.fasab.gov
National Defense
PP& E – Status of SFFAS 23
As reported in earlier issues of FASAB News, the Board approved
standards that would eliminate the category of property, plant, and equipment
referred to as "National Defense PP& E" in July 2002. The
standards were submitted for the 45 day Congressional review period required
for capital asset accounting standards. The Congressional session ended before
the necessary 45- days of session were attained. Therefore, FASAB plans to
resubmit the standards to a new session of Congress in January 2003. The 45-
day review period should be completed by late April or early May of 2003.
Nothing in the standards that we resubmit to Congress in January 2003 will be
changed, including the effective date (FY2003).
Point of Contact: Rick Wascak, 202- 512- 7363, wascakr@fasab.gov.
Reclassifying
Stewardship Responsibilities and Eliminating the Current Services Assessment
The Board confirmed its previous tentative decisions to: --
eliminate the requirement to present the current services assessment and
classify information about risk assumed as required supplementary information
(RSI), effective immediately; -- classify the Statement of Social Insurance as
an integral part of the basic financial statements, and classify other
information about social insurance as RSI, effective for FY 2005. At its
meeting in February, the Board will consider a pre- ballot draft of a final Statement
of Federal Financial Accounting Standards to accomplish these changes.
Point of Contact: Robert Bramlett, 202- 512- 7355,
bramlettr@fasab.gov.
Board Continues
Discussing Dedicated Collections
The Board tentatively agreed on recognizing dedicated collections
as a segregated portion of net position. The Board also discussed ways in which
the flows (e. g., revenues and expenses) could be segregated on the financial
statements. The Board generally agreed that this category should include funds
that have been designated for a specific purpose by law, including funds classified
as revolving funds, trust funds, and special funds.
Point of contact: Andrea Palmer, 202- 512- 7360,
palmera@fasab.gov.
Exposure Draft Evolving on Fiduciary Activity The Board agreed to
finalize an exposure draft on accounting for fiduciary activities for release
early in 2003. Fiduciary activities include the Thrift Savings Fund, Indian
monies, escrow funds, and other funds. The exposure draft contains a proposed
definition and criteria for differentiating “true” fiduciary activity from
earmarked revenue. This differentiation is necessary due to use of “trust fund”
to track both types of federal activity. The ED would also propose accounting
and reporting requirements for fiduciary activity. The proposed standard would
require a) recognizing certain assets and liabilities in the financial
statements of the Federal administrative entity, and b) providing footnote
disclosure as an integral part of the basic financial statements. The
disclosures would have to conform to the recognition and measurement criteria
in the FASAB standards. Concurrently, the Broad is developing a standard to
improve accounting and reporting for dedicated collections.
Point of Contact: Richard Fontenrose, 202- 512- 7358,
rfontenrose@worldnet. att. net
Board Discusses Natural Resources Project Staff presented its
analysis of Board comments on issues outlined at the previous meeting and on
recommendations from the Natural Resources task force’s June 2000 discussion
paper. Members generally supported describing and recognizing natural resources
owned by the Federal Government, provided recognition criteria is met. Members
also favored developing individual standards
for each type of natural resource. Based on staff analysis and
recommendations, the Board concurred with beginning the project by addressing
oil and gas resources. The Board also agreed that the sample framework for the
oil and gas resource phase, which included excerpts from private sector
guidance, should be used as a model for all phases of the project. At its
February meeting, the Board will begin discussing accounting for oil and gas
resources.
Points of Contact: Monica Valentine, 202- 512- 7362,
valentinem@fasab.gov, and Rick Wascak, 202- 512- 7363, wascakr@fasab.gov.
Board 2003
Calendar
All meetings will be held in the General Accounting Office
Building, 441 G Street, NW, Washington, DC 20548, from 9: 00 a. m. until 4: 00 p.
m. Room numbers will be available before each meeting. The meeting agenda will
be released approximately one week before the meeting. The agenda will be
available via the electronic mailing list, the FASAB website, or by calling,
202- 512- 7350.
Meeting dates: February 12- 13, 2003 April 23- 24, 2003 June 18-
19, 2003 August 13- 14, 2003
October 8- 9, 2003 December 10- 11, 2003
AAPC 2003 Calendar The AAPC will meet as needed in 2003. Dates
will be announced at least 15 days in advance of meetings. Agendas will be
posted to the FASAB web page one week prior to meetings.
Point of contact: Monica R. Valentine, 202- 512- 7362,
valentinem@fasab.gov
How to Get FASAB Documents Effective November 2002, FASAB
discontinued mailing print versions of its publications to its mailing list.
All documents now are being sent to FASAB’s electronic mailing list. Documents
also will continue to be available for downloading directly from FASAB’s
website: www. fasab.gov The FASAB electronic mailing list is a 'send only' list
used to distribute information about Board activities to interested parties.
Messages will be sent to provide Board meeting agendas, distribute newsletters,
announce publications, and make other Board news available on a timely basis.
We also may announce financial management training events periodically as a
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Disclaimer
NOTE: The staff of the Federal Accounting Standards Advisory Board
publishes FASAB News following Board meetings to provide highlights of recent Board
actions and issues. When an article refers to a Board decision, it should be
understood that Board decisions are tentative until FASAB issues a Statement of
Federal Financial Accounting Concepts (SFFAC) or Statement of Federal Financial
Accounting Standards (SFFAS). Points of contact for questions on the FASAB
News:
Editorial questions: Lucy Lomax, 202- 512- 7359, lomaxm@fasab.gov
AAPC technical questions: Monica Valentine, 202- 512- 7362,
valentinem@fasab.gov FASAB and AAPC administrative questions: Charles Jackson,
202- 512- 7352, jacksoncw1@fasab.gov