Financial Reporting and Regulatory Update

Second Quarter 2022

Effective dates for all GASB statements

GASB statement

Effective dates – reporting periods beginning after


Early adoption

Postponement of the Effective Dates of Certain Authoritative Guidance (GASB Statement 95)

Postpones the effective dates of certain provisions in statements and implementation guides that first became effective or are scheduled to become effective for periods beginning after June 15, 2018, and later.

Upon issuance, May 8, 2020 Not applicable

Replacement of Interbank Offered Rates (GASB Statement 93)

Addresses accounting and financial reporting implications that result from the replacement of an interbank offered rate (IBOR), most notably the London Interbank Offered Rate (LIBOR), which is expected to cease to exist in its current form at the end of 2021, prompting governments to amend or replace financial instruments tied to LIBOR.

June 15, 2020, except:

Paragraph 11b, periods ending after Dec. 15, 2021

Paragraphs 13 & 14, June 15, 2021


Accounting for Interest Cost Incurred Before the End of a Construction Period

(GASB Statement 89)

Supersedes guidance set forth in Statement 62, “Codification of Accounting and Financial Reporting Guidance Contained in Pre-November 30, 1989 FASB and AICPA Pronouncements,” which generally required capitalization of interest cost incurred before the end of a construction period. Statement 89 requires that interest cost incurred before the end of a construction period be recognized as an expense in the period in which the cost is incurred for financial statements prepared using the economic resources measurement focus and not be included in the historical cost of a capital asset reported in a business-type activity or enterprise fund.

Dec. 15, 2020


The Annual Comprehensive Financial Report

(GASB Statement 98)

Establishes the term “annual comprehensive financial report” and its acronym ACFR, which replace instances of “comprehensive annual financial report” and its acronym in generally accepted accounting principles for state and local governments.

Dec. 15, 2020


Leases (GASB Statement 87)

Revises recognition and measurement for lease contracts by lessors and lessees by requiring recognition of certain lease assets and liabilities for leases that previously were classified as operating leases and as inflows of resources or outflows of resources recognized based on the payment provisions of the contract. Establishes a single model for lease accounting based on the foundational principle that leases are financings of the right to use an underlying asset.

June 15, 2021


Omnibus 2020 (GASB Statement 92)

Addresses a variety of topics including the effective date of Statement 87 and Implementation Guide No. 2019-3 for interim financial reports; reporting of intra-entity transfers of assets between a primary government employer and a component unit defined benefit pension plan or defined benefit other postemployment benefit (OPEB) plan; the applicability of Statements 73 and 74 to reporting assets accumulated for postemployment benefits (PEBs); the applicability of certain requirements of Statement 84 to postemployment benefit arrangements; measurement of liabilities (and assets, if any) related to asset retirement obligations (AROs) in a government acquisition; reporting by public entity risk pools for amounts that are recoverable from reinsurers or excess insurers; reference to nonrecurring fair value measurements of assets or liabilities in authoritative literature; and terminology used to refer to derivative instruments.

Varies by issue (see pages 5 and 6 of the statement and page 2 of statement 95)

Upon issuance, Feb. 5, 2020

June 15, 2021


Permitted by topic

Certain Component Unit Criteria, and Accounting and Financial Reporting for Internal Revenue Code Section 457 Deferred Compensation Plans (GASB Statement 97)

Clarifies how the absence of a governing board should be considered in determining whether a primary government is financially accountable for purposes of evaluating potential component units and modifies the applicability of certain component unit criteria as they relate to defined contribution pension and OPEB plans, and other employee benefit plans (for example, certain Section 457 plans). Establishes accounting and financial reporting requirements for Section 457 plans that meet the definition of a pension plan and for benefits provided through those plans.

Varies by issue (see pages 4 and 5 of the statement)

Upon issuance, June 23, 2020

June 15, 2021

Permitted by topic

Conduit Debt Obligations (GASB Statement 91)

Clarifies the definition of a conduit obligation and stipulates that a conduit debt obligation is a liability of the third-party obligor, not the issuer, thus eliminating the option for government issuers to recognize a conduit debt obligation as a liability. Establishes standards for accounting and financial reporting of additional commitments extended by issuers and arrangements associated with conduit debt obligations and improves required note disclosures.

Dec. 15, 2021


Public-Private and Public-Public Partnerships and Availability Payment Arrangements  (GASB Statement 94)

Provides guidance for public-private and public-public partnership arrangements (PPPs), including those that are outside of the scope of the GASB’s existing guidance for those transactions – namely Statement 60, “Accounting and Financial Reporting for Service Concession Arrangements,” and Statement 87, “Leases.” The statement also makes certain improvements to the guidance previously included in Statement 60 and provides accounting and financial reporting guidance for availability payment arrangements (APAs).  

June 15, 2022


Subscription-Based Information Technology Arrangements (GASB Statement 96)

Provides guidance on the accounting and financial reporting for subscription-based information technology arrangements (SBITAs) for governments. Defines a SBITA; establishes that a SBITA results in a right-to-use subscription asset – an intangible asset – and a corresponding subscription liability; provides the capitalization criteria for outlays other than subscription payments, including implementation costs of a SBITA; and requires note disclosures regarding a SBITA.
June 15, 2022 Permitted

Omnibus 2022

(GASB Statement 99)

Addresses a variety of topics including the classification and reporting of derivative instruments; clarification of provisions in Statements 34, 87, 94, and 96; extension of the LIBOR cessation date; and various technical updates related to SNAP, nonmonetary transactions, pledges of future revenues, and terminology.


Varies by topic (see pages 11 and 12 of the statement)

Upon issuance, June 15, 2022

June 15, 2023


Accounting Changes and Error Corrections

(GASB Statement 100)

Provides guidance for various categories of accounting changes or error corrections and prescribes the applicable accounting and financial reporting guidance for each category. The statement also establishes how accounting changes and error corrections should be displayed in financial statements, disclosed in notes, and presented in required supplementary information (RSI) and supplementary information (SI).

June 15, 2023 Permitted

Compensated Absences

(GASB Statement 101)

Provides recognition and measurement guidance for all types of compensated absences under a unified model. This statement requires that a liability for compensated absences be recognized if all of these occur: 1) The leave is attributable to services already rendered. 2) The leave accumulates. 3) The leave is more likely than not to be used for time off or otherwise paid in cash or settled through noncash means. This statement amends the existing disclosure requirement to disclose the gross increases and decreases in a liability for compensated absences to allow governments to disclose only the net change in the liability, and it no longer requires the government to disclose which governmental funds typically have been used to liquidate the liability for compensated absences.

Dec. 15, 2023 Permitted