Many of our customers have
asked us to help them comply with the new GASB34 reporting regulations. Our
CPA’s are in a unique position to combine their knowledge of the new reporting
requirements and to use MainStreetTM Software to help your
Community comply with the new regulations.
What is GASB34?
Statement 34 of the
Governmental Accounting Standards Board is the new financial reporting model
required for all government organizations. GASB34 imposed fundamental
changes to the financial reports that governments must produce. All local
governments are required to comply with GASB34 regulations. Failure to comply
may result in qualified and non-compliant financial statements which may
affect your external bond rating.
Many customers have assumed
that their auditor will handle their GASB34 needs; however, those who have
taken this route have discovered that leaving all the work to a CPA firm is
not a complete solution. Many organizations are learning that becoming GASB34
compliant demands considerable changes to their capital assets management,
accounting methods, and in some cases, their general ledger system.
GASB34 Highlights
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Assets such as
infrastructure (roads, bridges, etc.) are recorded as capital assets and
tracked annually, either by depreciation of value or by reporting
maintenance outlays and providing periodic condition assessments.
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Financial statements must
have narrative introduction and analytical overview in form of management's
discussion and analysis.
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Finances are tracked as
major individual funds and joint smaller funds: all finances are also
compiled into one aggregated government-wide statement.
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Budgetary comparisons
list original and final amended budgets, and they report general fund and
individual major special revenue funds; comparisons are required only as non
audited supplemental information, but governments retain the right to
include them as basic statements for audit.
MainStreetTM Software Solutions
MainStreetTM Software is GASB34 compliant. Compliance to the new
regulations is enforced in every MainStreetTM Software module.
With MainStreetTM Software, you will be able to produce audit-ready
GASB34 statements as confidently as you now create traditional financial
reports.
When the
Budget is adopted, the Budget is locked, preventing no more changes to the
MainStreet Original Budget. Budget adjustments are recorded as Budget
Transactions. The Budget Transaction Journal provides a chronological log of
all Budget Adjustments, and the Budget Activity Report isolates adjustments by
Account Number, Object Code, Department, or Source.
MainStreetTM Purchasing and Accounts Payable enforce budget rules
at the spending level by in each department, prompting users when requested
funds are not available; requiring budget adjustments to be made. Fixed
Assets allows the recording and depreciation of all capital assets including
infrastructure, and this depreciation is posted each period to MainStreetTM
General Ledger.
MainStreetTM General Ledger allows for unlimited number of funds of
each type, fiduciary, business-type, and governmental. Our Statement Writer
provides predefined templates for use in creating the 10 new basic financial
statements and the required supplemental information, showing both original
and final amended budgets as compared to actual performance.
The
Statement Writer also allows the user to define their own financial reports;
with all funds combined one aggregated government-wide statement, reported
individually, or in combination with other funds.
GASB34 Compliance Services
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Educating staff in the GASB34
requirements, and how similar communities are preparing for the changes.
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Identifying tasks that need to be
accomplished prior to implementing the changes.
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Suggesting various strategies for
identifying and costing infrastructure and capital expenditure items.
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Providing a checklist for use in
monitoring the implementation progress.
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Implementing MainStreetTM
Software modules necessary for GASB34 compliance.
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Training on the use of Solution IV
Fixed Assets, MainStreetTM General Ledger and Budgeting to ensure
compliance.
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Using MainStreetTM data
analysis tools to create the Management’s Discussion and Analysis section.
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Preparing GASB34 compliant financial
reports – including Statement of Net Assets, Statement of Activities, and
Government-wide Financial Reports.
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Presenting GASB34-compliant financial
reports to Council.
What will I get?
When the
engagement is complete, you will be able to identify and record expenditures
for fixed assets, monitor GASB34 compliance on an on-going basis, and produce
financial reports that are consistent with the new regulations.
