Laserfiche WebLink
ACCOUNTING STANDARDS UPDATE <br />APPENDIX B <br />The Governmental Accounting Standards Board (GASB) issued eight statements of accounting <br />standards during 1993, and four statements of standards in 1994 as well as one technical bulletin in <br />1994. The following is a summary of those statements. <br />GASB No. 16 Accounting For Compensated Absences <br />This Statement was issued in November, 1992 and provides guidance for the measurement of <br />accrued compensated absences liabilities by state and local governmental entities, regardless of the <br />reporting model or fund type used to report the transactions. Compensated absences are absences <br />for which employees will be paid, such as vacation, sick leave, and sabbatical leave. <br />This Statement requires the compensated absences liability generally to be measured using the pay <br />or salary rates in effect at the balance sheet date. It also requires additional amounts to be accrued <br />for certain salary- related payments associated with the payment of compensated absences, for <br />example, the employer's share of social security and medicare taxes. <br />This Statement is effective for financial statements for periods beginning after June 15, 1993. <br />GASB No. 17 Measurement Focus and Basis of Accounting - Governmental Fund <br />Operating Statements: Amendment of the Effective Dates of GASB No. 11 and <br />Related Statements, <br />This Statement was issued in June, 1993 and amends GASB Statements No. 10, Accounting and <br />Financial Reporting for Risk Financing and Related Insurance Issues, No. 11, Measurement Focus <br />and Basis of Accounting - Governmental Fund Operating Statements, and No. 13, Accounting for <br />Operating Leases with Scheduled Rent Increases. It defers the effective date of Statement 11 to <br />periods beginning approximately two years after an implementation standard is issued and modifies <br />the Statement 13 reference to Statement 11's effective date. It also establishes an effective date for <br />Statement 10, for entities other than pools, using the modified accrual basis of accounting in <br />governmental and similar trust funds, that is independent of the effective date of Statement 11 and <br />is effective for periods beginning after June 15, 1994. <br />GASB No. 18 Accounting for Municipal Solid Waste Landfill Closure and <br />postclosure Care Costs <br />This statement was issued in August, 1993 and establishes standards of accounting and financial <br />reporting for Municipal Solid Waste Landfill (MSWLF) closure and postclosure care costs that are <br />required to be incurred by federal, state or local laws and regulations. <br />Essentially, MSWLF financial statements are required to accrue a liability during the life of a <br />landfill for closure and postclosure care costs. <br />This Statement is effective for financial statements for periods beginning after June 15, 1993. <br />PREPARED BY TAUTGES, REDPATH & CO., LTD. PAGE 1 OF 5 <br />