AAPC: Accounting and Auditing Policy CommitteeAAPC Projects Related to (SFFAS 50) Establishing Opening Balances for General Property, Plant, and Equipment
FASAB Contact, Melissa Batchelor, Assistant Director, batchelorm@fasab.gov, 202-512-5976
Project Objective
Statement of Federal Financial Accounting Standards (SFFAS) 50, Establishing Opening Balances for General Property, Plant, and Equipment, amended SFFAS 6, Accounting for Property, Plant, and Equipment, and SFFAS 10, Accounting for Internal Use Software, and rescinded SFFAS 35, Estimating the Historical Cost of General Property, Plant, and Equipment: Amending SFFAS 6 and 23.
In August 2016, the AAPC approved two projects related to SFFAS 50. The first project will result in conforming amendments to existing technical releases (TRs) based on SFFAS 50’s rescission of SFFAS 35, Estimating the Historical Cost of General Property, Plant, and Equipment: Amending Statements of Federal Financial Accounting Standards 6 and 23. Due to the narrow focus of the release, FASAB staff will prepare the exposure draft for the Committee’s approval.
The AAPC’s second project is to develop timely implementation guidance to assist with any issues related to SFFAS 50. The task force is being chaired by Mr. Mark Easton, Deputy Chief Financial Officer (DCFO), Office of the Under Secretary of Defense (Comptroller)/DCFO, Department of Defense. Meeting this goal is contingent upon identifying SFFAS 50 implementation issues for inclusion in the guidance. A formal call for data has been released. SFFAS 50 implementation issues may be submitted directly to Melissa Batchelor at batchelorm@fasab.gov.
AAPC SFFAS 50 Implementation Task Force Members
HISTORY OF ACTIVITY (AAPC Committee Meetings and Task Force Meetings in reverse chronology)
June 15, 2017
The Accounting and Auditing Policy Committee (AAPC) held a meeting on June 15, 2017, to discuss the committee members’ comments on the exposure draft Technical Release, Implementation Guidance for Establishing Opening Balances. The Committee members discussed minor changes to the ballot draft at the meeting and approved it electronically after the meeting. The exposure draft was released on June 21, 2017, with comments requested by July 21, 2017. Please see the comment letter box at the top of this page for additional information.
Materials from the June 15, 2017 Task Force Meeting
May 3, 2017
The Task Force briefly discussed a draft of the Proposed Technical Release, Implementation Guidance for Establishing Opening Balances. The task force also discussed a timeline for completing the proposed technical release. The task force anticipates completion of their work in May so a document can be sent to the AAPC at the beginning of June. It is anticipated an exposure draft would be released in June.
Materials from the May 3, 2017 Task Force Meeting
April 10, 2017
Technical Release 17, Conforming Amendments to Technical Releases for SFFAS 50, Establishing Opening Balances for General Property, Plant, and Equipment, was issued. Please see the comment letter box at the top of this page for links.
April 5, 2017 Task Force Meeting
The Task Force briefly discussed the Task Force “Roles and Responsibilities” that were adopted March 2017 and designed to give AAPC Task Force Members an overview of expectations and responsibilities. The group discussed the draft language for the introduction to the alternative valuations, replacement cost, and land rights disclosures. There were suggestions that language expand upon that there is no preferred method among the methods and that it is a management decision.
Materials from the April 5, 2017 Task Force Meeting
February 9, 2017 AAPC Meeting
AAPC Committee members considered the comment letters and analysis prepared by staff for the exposure draft, Conforming Amendments to Technical Releases for SFFAS 50, Establishing Opening Balances for General Property, Plant, and Equipment. The members approved the Technical Release during the meeting. The Technical Release will be submitted to FASAB for a 45-day review. See the February 9, 2017 AAPC meeting minutes and briefing materials for additional information.
February 1, 2017 Task Force Meeting
After hearing updates from each of the sub-groups on progress, the AAPC SFFAS 50 task force was provided a presentation on the United States Coast Guard’s experience using various methodologies to establish alternate valuations and alternate dates-placed-in-service for general property, plant, and equipment line items on its way to achieving generally accepted accounting principle compliance and audit readiness, as demonstrated by the Department of Homeland Security’s first unmodified opinion in 2013.
Materials from the February 1, 2017 Task Force Meeting
December 7, 2016 Task Force Meeting
The AAPC SFFAS 50 task force held its first meeting. The kick-off meeting was an informative session that enabled the task force to introduce the main areas the proposed guidance will cover. The task force agreed to address topics by sub-groups (general property, plant and equipment, land rights, and broad issues) to help advance the process. The full task force will consider all issues once the sub-groups have come back with their initial assessments.
Materials from the December 7, 2016 Task Force Meeting
November 22, 2016
The exposure draft (ED), Conforming Amendments to Technical Releases for SFFAS 50, Establishing Opening Balances for General Property, Plant, and Equipment, was issued November 22, 2016, with comments requested by January 9, 2017. Please see the comment letter box at the top of this page for additional information.
November 9, 2016 AAPC Meeting
Ms. Batchelor presented a Technical Release (TR) containing conforming amendments to existing TRs based on Statement of Federal Financial Accounting Standards (SFFAS) 50, Establishing Opening Balances for General Property, Plant, and Equipment and its rescission of SFFAS 35. The TR would clarify that all standards-level implementation guidance for general property, plant, and equipment (with the exception of certain provisions applicable to internal use software) now resides in SFFAS 6, as amended.
The Committee approved the ballot exposure draft Conforming Amendments to Technical Releases for SFFAS 50, Establishing Opening Balances for General Property, Plant, and Equipment, for release. See the November 9, 2016 AAPC meeting minutes and briefing materials for additional information.