| This summary of Public Sector Accounting Board (PSAB) projects has been prepared for information purposes only. Decisions reported are tentative and reflect only the current status of discussions on this project, which may change after further deliberations by PSAB. Decisions to publish Handbook material are final only after a formal ballot process. |
Status: Comments on Exposure Draft being analyzed. Background
Activities to Date
Next Steps
Related Information
Contact Information Background PSAB establishes generally accepted accounting principles (GAAP) for governments and government organizations, including government not-for-profit organizations (GNFPOs). These organizations include government organizations in the SUCH sector (i.e., schools, universities, colleges and hospitals). PSAB currently directs GNFPOs to follow the standards for not-for-profit organizations in the CICA Handbook – Accounting. Reasons for the Project
The Accounting Standards Board (AcSB) is in the process of evaluating the options of future financial reporting standards for private sector not-for-profit organizations. PSAB needs to assess the effect of the AcSB’s strategies on GNFPOs. Objective
The objective is to clarify the source of GAAP for GNFPOs. Activities to Date January 2010
At a special meeting, PSAB approved an Exposure Draft (ED). The main feature of this ED is a proposal to incorporate the CICA Handbook – Accounting standards for not-for-profit organizations (4400 series) into the PSA Handbook. The proposals in the ED are directed at transitioning those government organizations that are currently classified as government not-for-profit organizations. November 2009
PSAB discussed the strategic direction of financial reporting standards for government not-for-profit organizations (GNFPOs) and directed staff to develop an ED that proposes to incorporate the 4400 series of the CICA Handbook – Accounting standards into the PSA Handbook for the Board’s consideration. The Board noted that, given the expected timeline of this project, the changeover date to a new source of GAAP for government business enterprises and other government organizations (i.e., January 1, 2011) would not be applicable to GNFPOs. PSAB plans to continue the discussion on the long-term strategic direction of financial reporting for GNFPOs at its next meeting. September 2009
PSAB reviewed responses to the Invitation to Comment (ITC) jointly issued with the Accounting Standards Board (AcSB). PSAB concluded that there was sufficient support to develop a reporting option of incorporating the 4400 series of the CICA Handbook – Accounting standards into the PSA Handbook for the Board’s consideration. Existing provisions within the Introduction to the PSA Handbook applicable to GNFPOs will be retained until the AcSB and PSAB have completed their deliberations, exposed specific proposals for comment and established timelines for transition. December 2008
PSAB approved an ITC. September 2008
PSAB directed staff to develop an ITC, jointly with the AcSB, to explore the alternative bases of financial reporting by not-for-profit organizations. Next Step PSAB expects to reach the following key step at the date indicated: | PSAB Meeting Date | Activity | | September 2010 | Final PSA Handbook Sections approved |
Related Information Responses to Exposure Draft
Exposure Draft
Recent webinar — "The future of financial reporting by government not-for-profit organizations"
Not-for-Profit Organizations — Future Financial Reporting Directions Update
Responses to Invitation to Comment
Invitation to Comment Contact Information Questions or comments on this project should be directed to: Jim Keates, CA
Principal, Public Sector Accounting
Telephone: +1 (416) 204-3282
Fax: +1 (416) 204-3412 The Canadian Institute of Chartered Accountants
277 Wellington Street West
Toronto ON M5V 3H2 Canada |