Developments in budgetary frameworks - John Marney, New-ZealandOECD Governance
This presentation was made by John Marney, New-Zealand, at the 14th OECD-Asian Senior Budget Officials Meeting held in Bangkok, Thailand, on 13-14 December 2018
Developments in budgetary frameworks - John Marney, New-ZealandOECD Governance
This presentation was made by John Marney, New-Zealand, at the 14th OECD-Asian Senior Budget Officials Meeting held in Bangkok, Thailand, on 13-14 December 2018
Classification of budget according to Time, Function and Flexibility. Long term budget, Short term budget, Long term budget, Short term budget, Sales budget, Production budget
Budget 101 – basics on how to create budgets for government or business or ho...paul young cpa, cga
How do you create budgets including assumptions, examples, etc.?
Discussion on revenue and expenses?
Discussion on cash flow for household including cash inflow and outflow
Discussion of the government budgeting process
Discussion of the business budgeting process
Chapter 8: master budgeting -- planning and control, advantages of budgeting, responsibility accounting, choosing the budgeting period, participative budget system, the budget committee, the master budget, the sales budget, the production budget, expected cash collections, the direct materials budget, expected cash disbursements for materials, the direct labor budget, manufacturing overhead budget, ending finished goods inventory budget, selling and administrative expense budget, the cash budget, financing and repayment, the budgeted income statement, the budgeted balance sheet.
Presentation by Corey Arvizu, CPA at HeinfeldMeech 2017 State & Local Governmental Conference on 1/19/17 - includes updates on GASB, Uniform Guidance, Yellow Book, and AICPA Code of Professional Conduct
Classification of budget according to Time, Function and Flexibility. Long term budget, Short term budget, Long term budget, Short term budget, Sales budget, Production budget
Budget 101 – basics on how to create budgets for government or business or ho...paul young cpa, cga
How do you create budgets including assumptions, examples, etc.?
Discussion on revenue and expenses?
Discussion on cash flow for household including cash inflow and outflow
Discussion of the government budgeting process
Discussion of the business budgeting process
Chapter 8: master budgeting -- planning and control, advantages of budgeting, responsibility accounting, choosing the budgeting period, participative budget system, the budget committee, the master budget, the sales budget, the production budget, expected cash collections, the direct materials budget, expected cash disbursements for materials, the direct labor budget, manufacturing overhead budget, ending finished goods inventory budget, selling and administrative expense budget, the cash budget, financing and repayment, the budgeted income statement, the budgeted balance sheet.
Presentation by Corey Arvizu, CPA at HeinfeldMeech 2017 State & Local Governmental Conference on 1/19/17 - includes updates on GASB, Uniform Guidance, Yellow Book, and AICPA Code of Professional Conduct
Identify the reporting and disclosure requirements of ASC 606
Implement Contracts reporting to meet 606 objectives
Assess your financial position, performance per Contracts metrics
Brief Summary of GASB Statements 73, 74 and 75
Implementation Date, Measurement Date, Valuation Date
Data Issues
Actuarial Issues
What to Expect from the Actuary’s Report
This webinar provided a 401(k) and pension plan accounting and auditing update for plan sponsors, including management, accountants, and Human Resource professionals. In addition, the presentation provided an update on recent Employee Retirement Income Security Act (ERISA) criminal cases, the outcomes of those cases, and the prosecution.
Monitoring Health for the SDGs - Global Health Statistics 2024 - WHOChristina Parmionova
The 2024 World Health Statistics edition reviews more than 50 health-related indicators from the Sustainable Development Goals and WHO’s Thirteenth General Programme of Work. It also highlights the findings from the Global health estimates 2021, notably the impact of the COVID-19 pandemic on life expectancy and healthy life expectancy.
Preliminary findings _OECD field visits to ten regions in the TSI EU mining r...OECDregions
Preliminary findings from OECD field visits for the project: Enhancing EU Mining Regional Ecosystems to Support the Green Transition and Secure Mineral Raw Materials Supply.
Jennifer Schaus and Associates hosts a complimentary webinar series on The FAR in 2024. Join the webinars on Wednesdays and Fridays at noon, eastern.
Recordings are on YouTube and the company website.
https://www.youtube.com/@jenniferschaus/videos
This session provides a comprehensive overview of the latest updates to the Uniform Administrative Requirements, Cost Principles, and Audit Requirements for Federal Awards (commonly known as the Uniform Guidance) outlined in the 2 CFR 200.
With a focus on the 2024 revisions issued by the Office of Management and Budget (OMB), participants will gain insight into the key changes affecting federal grant recipients. The session will delve into critical regulatory updates, providing attendees with the knowledge and tools necessary to navigate and comply with the evolving landscape of federal grant management.
Learning Objectives:
- Understand the rationale behind the 2024 updates to the Uniform Guidance outlined in 2 CFR 200, and their implications for federal grant recipients.
- Identify the key changes and revisions introduced by the Office of Management and Budget (OMB) in the 2024 edition of 2 CFR 200.
- Gain proficiency in applying the updated regulations to ensure compliance with federal grant requirements and avoid potential audit findings.
- Develop strategies for effectively implementing the new guidelines within the grant management processes of their respective organizations, fostering efficiency and accountability in federal grant administration.
Jennifer Schaus and Associates hosts a complimentary webinar series on The FAR in 2024. Join the webinars on Wednesdays and Fridays at noon, eastern.
Recordings are on YouTube and the company website.
https://www.youtube.com/@jenniferschaus/videos
Donate to charity during this holiday seasonSERUDS INDIA
For people who have money and are philanthropic, there are infinite opportunities to gift a needy person or child a Merry Christmas. Even if you are living on a shoestring budget, you will be surprised at how much you can do.
Donate Us
https://serudsindia.org/how-to-donate-to-charity-during-this-holiday-season/
#charityforchildren, #donateforchildren, #donateclothesforchildren, #donatebooksforchildren, #donatetoysforchildren, #sponsorforchildren, #sponsorclothesforchildren, #sponsorbooksforchildren, #sponsortoysforchildren, #seruds, #kurnool
Presentation by Jared Jageler, David Adler, Noelia Duchovny, and Evan Herrnstadt, analysts in CBO’s Microeconomic Studies and Health Analysis Divisions, at the Association of Environmental and Resource Economists Summer Conference.
ZGB - The Role of Generative AI in Government transformation.pdfSaeed Al Dhaheri
This keynote was presented during the the 7th edition of the UAE Hackathon 2024. It highlights the role of AI and Generative AI in addressing government transformation to achieve zero government bureaucracy
State crafting: Changes and challenges for managing the public finances
GASB 74/75 - Preparing for the New World of OPEB Accounting
1. MNCPA Audits of Local Governments Conference
Mark Schulte, FSA, EA, MAAA
October 24, 2017
2. 1 Background
2 What’s changing
Terminology
Report frequency
Report timing
Discount rate
Financial disclosures
Experiences (so far)
3 What to do now
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3. Compliance with GASB 45 since at least 2008
Have a liability “on the books” (Net OPEB Obligation)
Record annual accounting expense (based on the ARC)
Biennial or triennial actuarial valuations
OPEB trusts (if any) were often established in early
years of GASB 45
2
4. Why can’t we just keep using GASB 45?
Net OPEB Obligation hides true cost of OPEB
Cost recognition is too slow (never?)
Too much variation in liability calculation methods
Discount rate determination not appropriate
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5. June 2015: GASB 74 and 75 published
GASB 74
Plan-perspective accounting (if have an OPEB trust)
Effective for fiscal years beginning after 6/15/2016
(i.e., FYE 2017)
GASB 75
Employer-perspective accounting
Effective for fiscal years beginning after 6/15/2017
(i.e., FYE 2018)
Some employers are electing to early-adopt GASB 75 instead of
disclosing both GASB 74 and GASB 45 in their FY2017 financial
statement notes and RSI
4
6. Lots of new terminology and acronyms!
More frequent actuarial reporting
Financial reporting changes
Unfunded liability goes on face of financial statements
OPEB accounting “expense” more volatile
More information to disclose
Discount rate process standardized
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7. 6
GASB 45 GASB 74/75
Actuarial Accrued Liability (AAL) Total OPEB Liability (TOL)
Plan assets Fiduciary Net Position (FNP)
Unfunded Actuarial Accrued Liability (UAAL) Net OPEB Liability (NOL)
Deferred inflows/outflows of resources
Annual OPEB Cost OPEB expense
Net OPEB Obligation (NOO) Net OPEB Liability
Annual Required Contribution (ARC) Actuarially Determined Contribution
(ADC)
8. GASB 45
Usually January 1 Valuation Date (beginning of year)
Have 12+ months to complete calculations and report
Get at least two years of accounting in one report
Example
• January 1, 2016 valuation report
• Provides accounting information for FYE 2016 AND FYE 2017
• Small employers (< 200 participants) had triennial actuarial reports
Updated reports in the “off-years” were relatively rare
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9. GASB 74/75 require full actuarial reports every two
years for all employers
“Update procedures” to reflect any changes since
the actuarial valuation date [GASB 74 Q&A #4.104]
In most cases, employers will need an updated
“off-year” report to reflect certain changes
Movement towards annual valuations because of
OPEB volatility
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10. GASB 74/75 report will likely only contain
accounting information for one fiscal year
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Update Item Considerations
Assets Need to reflect actual year-end assets
Discount rate Muni bond index rate
“Crossover” calculation for funded plans
Benefit payments GASB 74/75 specify actual benefit payments for roll
forwards and other calculations.
May not be practical for implicit subsidy “payments”
Plan changes What does this encompass? Retiree subsidies only; or
group health plan/premiums in general?
11. 10
Date What it means
Valuation Date Census and claims data gathered
Liabilities calculated, but may then be “rolled forward”
to the Measurement Date
Measurement Date When liabilities and assets are “measured”
Reporting Date Fiscal year end
Valuation Date can be up to 30 months and 1 day earlier than the
Reporting Date (i.e., one valuation as basis for up to 2 fiscal years)
Measurement Date should be no earlier that the prior fiscal year
end (i.e., prior Reporting Date)
12. “Synchronized” method
Measurement Date = Reporting Date
Used for plans with or without trusts
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12/31/2017 12/31/2018 12/31/2019
Valuation Date Measurement Date &
Reporting Date
“Roll” liabilities
Measure assets &
Report net amount at FYE
Calculate liabilities
13. Timing considerations: Synchronized method
‣ VD before MD/RD makes report timing easier
‣ Still need to wait until MD/RD for actual benefit
payments, assets, and discount rates
‣ What happens if plan “changes” before MD/RD?
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12/31/2017 12/31/2018 12/31/2019
Valuation Date Measurement Date &
Reporting Date
“Roll” liabilities
Measure assets &
Report net amount at FYE
Calculate liabilities
14. “Lookback” method
Measurement Date up to one year before Reporting Date
Usually used for plans without trusts
13
Valuation Date &
Measurement Date
Reporting Date
Calculate liabilities &
Measure assets
12/31/2017 12/31/2018 12/31/2019
Net amount
Reported at FYE
15. Timing considerations: Lookback method
VD/MD before RD makes timing much easier
Need to wait until RD for “deferred” contributions
Don’t have to deal with plan changes after MD
14
Valuation Date &
Measurement Date
Reporting Date
Net amount
Reported at FYE
Calculate liabilities &
Measure assets
12/31/2017 12/31/2018 12/31/2019
16. Employers with irrevocable trusts should comply
with GASB 74 for FYE2017
Include plan-perspective disclosures in Notes and RSI
(if trust doesn’t issue standalone financials)
May be simplest to early adopt GASB 75 in FYE2017
Avoid two sets of numbers in Notes/RSI
Similar costs for GASB 74/45 vs. GASB 74/75 reporting
15
17. GASB 45: “long-term investment yield on the
investments that are expected to be used to finance the
payment of benefits”
GASB 74/75: Single rate that reflects:
Long-term expected rate of return on OPEB plan investments
(to the extent irrevocable assets are able to pay future benefits)
Index rate for 20-year, tax-exempt general obligation
municipal bonds with an average rating of AA/Aa or higher
Funded plans (irrevocable trust) use “crossover” calculation to
determine blended discount rate
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26. ‣ GASB 75 early adoption
‣ Timely asset information
‣ Payables/receivables
‣ Actual retiree benefit payments
‣ What’s a “contribution”?
‣ Understanding all of the dates
‣ Volatility
‣ When are updates needed?
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27. Funded plans (irrevocable trust)
Figure out GASB 74 transition strategy – now!
Early adoption of GASB 75 for FYE2017 may be easiest route
Funded plans (revocable trust)
Understand effect of using muni bond index rate vs. expected
investment return for discount rate
Consider making trust irrevocable (FY2017-18)
26
28. All plans
Figure out report timing and implementation options
Synchronized vs. Lookback: Is it a big deal if liabilities are a year old?
Better tracking of retiree benefit payments
Worthwhile/feasible to pre-fund OPEB?
27
30. Mark Schulte, FSA, EA, MAAA
Van Iwaarden Associates
612.596.5960
marks@vaniwaarden.com
All information in this presentation is for general informational purposes only and should
not be relied upon without the express written consent of the author.
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