Post-GASB 35 | UMSL

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Post-GASB 35

During FY2002, the University adopted GASB Statement No. 35, Basic Financial Statements—and Management’s Discussion and Analysis—for Public Colleges and Universities, as amended by GASB Statements No. 37 and 38, and applied those standards on a retroactive basis. Some of the changes made to implement GASB No. 35 included:

  • the capitalization and depreciation of capital assets, including infrastructure
  • the reporting of the University as a Business Type Activity, which means that the University is financed in whole or in part by funds received from external parties for goods and services
  • the classification of certain significant revenue streams relied upon for operations as nonoperating revenues, including federal and state appropriations, gifts and investment income, and
  • the reporting of student fees and related housing, dining and bookstore revenues net of scholarships and fellowships applied to student accounts, while scholarships, fellowships and other payments made directly to students are presented as scholarship and fellowship expenses.

In addition, the University’s resources are classified for accounting and reporting purposes into the following four net asset categories:

  • Invested in capital assets, net of related debt: Capital assets, net of accumulated depreciation and outstanding principal balances of debt attributable to the acquisition, construction or improvement of those assets.
  • Restricted:
    • Nonexpendable – Net assets subject to externally imposed stipulations that they be maintained permanently by the University.
    • Expendable – Net assets whose use by the University is subject to externally imposed stipulations that can be fulfilled by actions of the University pursuant to those stipulations or that expire by the passage of time.
    • Unrestricted – Net assets that are not subject to externally imposed stipulations.

Thus, amounts reported in years prior to FY2002 may not be comparable to those reported in FY2002 and beyond. In addition, certain amounts were reclassified between FY2002 and FY2003 to conform to FY2003 presentation. This means that amounts reported in FY2002 and FY2003 may not be comparable.