Fixed Asset GASB 34 Information
This document contains information on how GASB Statement No. 34, completed in June 1999 relates to Escape Fixed Assets software.
What is GASB 34?
This document describes the requirements and functionality of programming changes to allow reporting of school district financial information in accordance with the Governmental Accounting Standards Board, Statement 34. Also included are suggested steps for establishing the capital assets inventory.
The Governmental Accounting Standards Board (GASB) issued Statement 34, Basic Financial Statements - and Management's Discussion and Analysis - for State and Local Governments in June 1999. The statement establishes a new financial reporting model for state and local governments and is the biggest change in the history of public sector accounting. GASB developed the new requirements to make annual reports more comprehensive and easier to understand and use.
The new requirements include:
- A narrative introductory overview and analysis called the Management Discussion and Analysis (MD&A).
- Government-wide financial statements prepared on the full accrual basis that are in addition to, not instead of, the traditional Fund-Based statements.
- An expanded Budget Comparison that includes the adopted budget, final budget, and actual revenues and expenditures.
It is the Government-wide financial statements requirement that will necessitate programming changes for Escape software. Several reports will now need to show expenditures by function, across funds. Also, capital assets need to be included in the statement of net assets, so districts must plan to have their fixed assets valued so the information is available for inclusion in the statement of net assets. Districts will also need to calculate annual depreciation of the assets. Current Escape software allows for calculation of accumulated depreciation, but not an annual depreciation expense amount. There are several changes to the software that will be necessary for this area of requirements.
Need More Information?
Click here to download an Adobe Acrobat file that details the changes that were made to Escape Classic.
For more information about implementing GASB 34, please visit the following Web sites.