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<p class="MsoNormal">Good afternoon CAFR contacts!<o:p></o:p></p>
<p class="MsoNormal"><o:p> </o:p></p>
<p class="MsoNormal">As you may recall, last Spring GASB issued Statement No. 95 which postponed the effective dates for certain authoritative guidance. Specifically, <a href="https://gasb.org/jsp/GASB/Document_C/DocumentPage?cid=1176169170145&acceptedDisclaimer=true">Statement
No. 87, <i>Leases</i></a>, was postponed by one year which resulted in a revised
<u>effective date of 7/1/2021</u> (fiscal year 2022). <o:p></o:p></p>
<p class="MsoNormal"><o:p> </o:p></p>
<p class="MsoNormal">In preparation for GASB 87 implementation, agencies should focus on identifying which
<u>contracts and/or agreements</u> meet the definition of a “lease” under GASB 87 and collect the applicable data elements referenced in the GASB 87 Lease Data Matrix available on the
<span style="color:#1F497D"><a href="https://www.oregon.gov/das/Financial/Acctng/Pages/Training.aspx"><span style="color:#0563C1">SARS training and resources webpage</span></a>.
<o:p></o:p></span></p>
<p class="MsoNormal"><span style="color:#1F497D"><o:p> </o:p></span></p>
<p class="MsoNormal"><b>Please note</b>: this is more than just identifying “known leases” (e.g. facilities, copier); rather, agencies will need to evaluate their
<u>contracts and/or agreements</u> to determine if they 1) meet the definition of a “lease” or 2) contain a “lease component” embedded in the
<u>contract and/or agreement</u>. Please engage with your agency’s Procurement and/or Facilities team to determine which
<u>contracts and/or agreements</u> are subject to GASB 87 reporting.<span style="color:#1F497D"><o:p></o:p></span></p>
<p class="MsoNormal"><span style="color:#1F497D"><o:p> </o:p></span></p>
<p class="MsoNormal">Attached is a timeline developed to assist agencies in coordinating GASB 87 implementation. We recommend agencies use this tool as a baseline to develop agency-specific implementation plans. We also recommend agencies review
<a href="https://www.gasb.org/jsp/GASB/Document_C/DocumentPage?cid=1176173189687&acceptedDisclaimer=true">
GASB Implementation Guide No. 2019-3, <i>Leases</i></a>, for additional information.<o:p></o:p></p>
<p class="MsoNormal"><o:p> </o:p></p>
<p class="MsoNormal">An overview of GASB 87 was provided during the 2019 SARS Year-end Close Training; the recorded training and slide deck are available on the
<span style="color:#1F497D"><a href="https://www.oregon.gov/das/Financial/Acctng/Pages/Training.aspx"><span style="color:#0563C1">SARS training and resources webpage</span></a>.</span> Additional training will be provided to agencies in late Spring (date TBD).<o:p></o:p></p>
<p class="MsoNormal"><o:p> </o:p></p>
<p class="MsoNormal">SARS is currently working with SFMS to update the chart of accounts in R*STARS and to establish new transaction codes. The new accounts and transaction codes are intended to be available in R*STARS by 7/1/21.
<o:p></o:p></p>
<p class="MsoNormal"><o:p> </o:p></p>
<p class="MsoNormal">Implementing this statement may be a heavy lift for agencies…don’t delay, start today!
<span style="font-family:Wingdings">J</span><o:p></o:p></p>
<p class="MsoNormal">s<o:p></o:p></p>
<p class="MsoNormal"><span style="color:#1F497D"><o:p> </o:p></span></p>
<p class="MsoNormal"><b>Stacey A. Chase<o:p></o:p></b></p>
<p class="MsoNormal">Senior Financial Reporting & Policy Analyst<o:p></o:p></p>
<p class="MsoNormal">Chief Financial Office<o:p></o:p></p>
<p class="MsoNormal">Department of Administrative Services<o:p></o:p></p>
<p class="MsoNormal">Phone: (971) 900-9993<o:p></o:p></p>
<p class="MsoNormal"><span style="font-size:10.0pt;font-family:"Arial",sans-serif;color:#1F497D"><a href="https://www.oregon.gov/das/financial/acctng/pages/index.aspx"><span style="color:blue">https://www.oregon.gov/das/financial/acctng/pages/index.aspx</span></a><o:p></o:p></span></p>
<p class="MsoNormal"><span style="font-size:10.0pt;font-family:"Arial",sans-serif;color:#1F497D"><o:p> </o:p></span></p>
<p class="MsoNormal"><span style="font-size:10.0pt;font-family:"Arial",sans-serif">Data Classification: Level 1 - Published</span><o:p></o:p></p>
<p class="MsoNormal"><o:p> </o:p></p>
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