Evaluation of Existing Standards

FASAB Contact: Melissa Batchelor, Assistant Director, batchelorm@fasab.gov, 202-512-5976

Request for Comment Due Date Word Version of questions for Respondents Comment Letters Final Pronouncements
Assigning Assets to Component Reporting Entities (PDF) October 13, 2017 Word Version of Questions for Respondents (Download) Comment Letters N/A – Currently Under Due Process
Intragovernmental Exchange Transactions (PDF) September 29, 2017 Word Version of Questions for Respondents (Download) Comment Letters N/A – Currently Under Due Process
Amending Inter-entity Cost Provisions (PDF) November 30, 2017 Word Version of Questions for Respondents (Download) Comment Letters N/A – Currently Under Due Process

Project Objective:

Because of competing demands in the federal financial management community, some believe existing requirements should be evaluated and any unnecessary requirements eliminated. When appropriate, the Board explores opportunities for burden reduction by considering feedback from the community on changes to existing standards and areas where clarification may be needed to existing standards.

The goal is to be responsive to requests for guidance, especially for requests that meet the above purpose and benefits clearly exceed costs. Requests that clarify existing standards and changes to existing standards that reduce taxpayer burden without negative consequences will fulfill objectives. To accomplish these goals, ongoing efforts may include providing additional forums for preparers, auditors, and users to identify requirements they believe are unnecessary (this could be done through an open-ended written request for input or roundtable discussions). All requests should be assessed against the reporting objectives. Requests may be addressed through the appropriate level of GAAP guidance.

Specific areas to be considered initially:

  • Imputed cost – Amending SFFAS 4 to rescind the existing requirement to impute costs that are under reimbursed (inter-entity costs) except for business-type activities.
  • Intragovernmental Exchange Transactions – Guidance to aid in classifying certain transactions between government agencies as transfers (recognized on the statement of changes in net position) or as revenue/expense (recognized on the statement of net cost).
  • Assigning assets – Assets may be owned by one component of a large department but used and/or funded by another component. There is presently no authoritative guidance to aid management in deciding which component should report each asset.
  • Assigning liabilities – Liabilities arising from government-related events may be caused by one component of a large department but paid for by another component. There is presently no authoritative guidance to aid management in deciding which component should report each liability.