On April 15, 2020, the Governmental Accounting Standards Board (GASB) issued exposure draft, Postponement of the Effective Dates of Certain Authoritative Guidance, to provide temporary relief to state and local governments in light of the COVID-19 pandemic.
The proposal would postpone by one year the effective dates of certain provisions in statements and implementation guides.
The GASB is working under an expedited schedule to issue this guidance. Comments are due by April 30, 2020, and the GASB is scheduled to review feedback and consider a final statement for issuance in early May.
Key Provisions
The GASB initiated its project to postpone the effective dates of certain statements and implementation guides as a result of the closure of many state and local government offices due to the COVID-19 pandemic because many government officials don’t have access to the information necessary for implementing new GASB pronouncements.
Potential Effective Dates
The updated effective dates are proposed to be as follows.
All dates and provisions described are subject to change pending the drafting and issuance of a final statement.
Early application of the amended provisions is still permitted to the extent specified in each pronouncement as originally issued.
Emergency Toolbox
The GASB also released the Emergency Toolbox on April 14, 2020, to help address accounting and financial reporting issues arising from COVID-19. The purpose of the toolbox is to help organizations quickly identify the GASB’s authoritative guidance that could be relevant to the current circumstances.
We’re Here to Help
For more information on how the proposed deferral in effective dates may affect your organization, contact your Moss Adams professional.