4.1 ERMUSR 04-10-2018 - Laserfiche WebLink

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Future Accounting Standard Changes (Continued) This Statement describes four fiduciary funds that should be reported, if applicable: (1) pension (and other employee benefit) trust funds, (2) investment trust funds, (3) private-purpose trust funds, and (4) custodial funds. Custodial funds generally should report fiduciary activities that are not held in a trust or equivalent arrangement that meets specific criteria. A fiduciary component unit, when reported in the fiduciary fund financial statements of a primary government, should combine its information with its component units that are fiduciary component units and aggregate that combined information with the primary government's fiduciary funds. This Statement also provides for recognition of a liability to the beneficiaries in a fiduciary fund when an event has occurred that compels the government to disburse fiduciary resources. Events that compel a government to disburse fiduciary resources occur when a demand for the resources has been made or when no further action, approval, or condition is required to be taken or met by the beneficiary to release the assets. Effective Date The requirements of this Statement are effective for reporting periods beginning after December 15, 2018. Earlier application is encouraged. How the Changes in This Statement Will Improve Financial Reporting The requirements of this Statement will enhance consistency and comparability by (1) establishing specific criteria for identifying activities that should be reported as fiduciary activities and (2) clarifying whether and how business-type activities should report their fiduciary activities. Greater consistency and comparability enhances the value provided by the information reported in financial statements for assessing government accountability and stewardship. GASB Statement No. 85- Omnibus 2017 Summary The objective of this Statement is to address practice issues that have been identified during implementation and application of certain GASB Statements. This Statement addresses a variety of topics including issues related to blending component units, goodwill, fair value measurement and application, and postemployment benefits (pensions and other postemployment benefits [OPEB]). Specifically, this Statement addresses the following topics: • Blending a component unit in circumstances in which the primary government is a business-type activity that reports in a single column for financial statement presentation • Reporting amounts previously reported as goodwill and "negative" goodwill • Classifying real estate held by insurance entities • Measuring certain money market investments and participating interest-earning investment contracts at amortized cost • Timing of the measurement of pension or OPEB liabilities and expenditures recognized in financial statements prepared using the current financial resources measurement focus • Recognizing on-behalf payments for pensions or OPEB in employer financial statements • Presenting payroll-related measures in required supplementary information for purposes of reporting by OPEB plans and employers that provide OPEB • Classifying employer-paid member contributions for OPEB • Simplifying certain aspects of the alternative measurement method for OPEB • Accounting and financial reporting for OPEB provided through certain multiple-employer defined PeOlAC benefit OPEB plans. --Process,, Going Beyond 11w 12 Nu hl)er s F2