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9:00-9:25 Breakfast and Registration

9:25-9:30 Welcome and Introduction

9:30-10:30 GASB Update

10:30-11:30 Implementing GASB 72: Fair Value Measurement and Application

11:30-12:30 Lunch

12:30-1:30 GASB 68 and 71 Planning for the Second Year

1:30-2:30 Cyber-security for Local Governments

2:30-3:00 Snack Break

3:00-4:00 Single Audits under the Uniform Guidance

4:00-5:00 Fraud Environment

5:00-5:15 Open Questions

5:15-5:30 Wrap Up

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GASB 72 – Fair Value Measurement (separate class)

GASB 76 – Hierarchy of GAAP GASB 79 – Certain Investment Pools and Participants

GASB 74 – OPEB – Plan Only GASB 77 – Tax Abatement Disclosure GASB 78 – Certain Multiple-Employers Pension Plans GASB 79 – Certain Investment Pools and Participants GASB 80 – Blending Requirements

GASB 75 – OPEB GASB 81 – Irrevocable Split-Interest Agreements

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Cannot use the long-term rate as there

are no assets to pay benefits

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Statement that no assets are in trust

Information about investment-related factors that affect trends should be limited to those factors over which the plan has influence (for example, change in investment policies)

Information about external, economic factors should not be presented (for example, changes in market prices)

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1. GASB Statements

2. GASB Interpretations currently issued and in effect

1. GASB Technical Bulletins

2. GASB Implementation Guides

3. Literature of the AICPA that has been specifically cleared by GASB (e.g. AICPA Audit and Accounting Guides)

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1. Consider non-authoritative accounting literature from other sources that does not conflict or contradict and authoritative GAAP. Sources of these items:

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Not a State or Local Government Pension Plan

Provide benefits to both Government and Non Government employees

No identifiable predominate Government employer

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GASB 43-Financial Reporting for Postemployment Benefit Plans Other than Pension Plans and Statement

GASB 57-OPEB Measurements by Agent Employers

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promise to forgo tax

specificaction

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• Distinguish between government’s OWN agreements and agreements by OTHER GOVERNMENTS that affect the reporting entity

• Can be individually disclosed or aggregated

• Organized by abatement type or program (e.g. income tax vs. property tax incentive)

• Disclosures required from the date of agreement and should continue through the abatement expiration date.

Effective date: years ending June 30, 2017

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Description of Disclosure Government's Own

Imposed by other

Government

Name of program <

Purpose of program <

Name of government <

Type of tax being abated < <

Dollar amount of taxes abated < <

Authority of abate taxes <

Eligibility criteria <

Abatement mechanism <

Recapture clause, if any <

Type of recipient commitments <

Any received/receivable from other governments < <

Other commitments by government <

Quantitative threshold for individual disclosure < <

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aturity

• Diversification

• Shadow pricing

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Diversification No more than 5% of portfolio in one issuer

Excludes US Treasury, certain Agency Securities and CDs

Includes securities underlying repurchase agreements

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Effective date: years ending June 30, 2016 or June 30, 2017 (certain exceptions for pools regarding portfolio quality, custodial credit risk and shadow pricing)

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Effective date: years ending June 30, 2017

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http://www.gasb.org

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Entry Price

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http://www.gasb.org/jsp/GASB/Page/GASBSectionPage&cid=1176160042391

http://gasb.org/cs/ContentServer?c=Document_C&pagename=GASB%2FDocument_C%2FGASBDocumentPage&cid=1176165839556

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Changes to the Accounting Valuations

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Calculating CertainDeferred Outflows/Inflows

and NPL Sensitivity Disclosure

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Sensitivity Disclosure

To calculate the +1% and –1% amounts for disclosure, the NPL must be grossed up as follows

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Sensitivity Disclosure Calculation – EXAMPLE ONLY

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Deferred Outflows/Inflows of ResourcesAmortization

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(EARSL)

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Proportionate Share of Contributions

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Disclosure Sources

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Clarifications

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CEP = The total payroll of employees that are provided with pensions through the pension plan, including pensionable and non-pensionable amounts.

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http://www.gasb.org/jsp/GASB/Page/GASBSectionPage&cid=1176160042391#gasbs75

https://www.calpers.ca.gov/page/employers/actuarial-services/gasb

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https://www.calpers.ca.gov/docs/gasb-68-cost-sharing-guide.pdf

CCMA White Paper – Implementing GASB No. 68 Accounting and Financial Reporting for Pensions: http://www.calcpa.org/members/technical-resources/gaa-white-papers

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Albert Gonzalez, 28

With accomplices, he was involved in data

breaches of most of the major data breaches:

Heartland, Hannaford Bros., 7-Eleven, T.J.

Maxx, Marshalls, BJ’s Wholesale Club,

OfficeMax, Barnes & Noble, Sports Authority,

Dave & Busters, Boston Market, Forever 21,

DSW and others.

The public trusts that we will

keep their information safe

from crooks like these.

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Source:

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Number of incidents per year.Source:

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Source:

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Source:

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Source:

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1. Securing the IT environment

2. Managing and retaining data

3. Managing IT risk and compliance

4. Ensuring privacy

6. Managing System Implementations

7. Preventing and responding to computer fraud

10. Managing vendors and service providers

http://www.aicpa.org/InterestAreas/InformationTechnology/Resources/TopTechnologyInitiatives/Pages/2013TTI.aspx

Orange text are all

PCI related

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Determine

Objectives

Assess

Risk

Apply

Controls

Assess

ControlsMonitor

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141Source: Internal Control Guidelines California Local Agencies 2015 SCO

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Source: AICPA’s Auditing Standard AU-C §315.A91

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utility model

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Efficiency

Agility

Innovation

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Uniform Guidance

New Single Audit Threshold

Grant Agreement Dates

Type A/B Threshold

2016 Compliance Supplement

Internal Control

Indirect Costs

Subrecipient Monitoring Documentation

Compensation/salary

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Procurement Standard

Schedule of Expenditures of Federal Awards (SEFA) – auditee responsibilities

Addressing findings – auditee responsibilities - both current and prior year

Data Collection Form

State Controller’s Office Reporting Package

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Web-link: Uniform Administrative Requirements, Cost Principles, and Audit Requirements for Federal Awards at 2 CFR 200 (UG or Uniform Guidance)

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White House OMB Compliance Supplement.

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Tip: As an auditee, utilize this document to obtain a goal of an unqualified report with no findings on compliance.

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SOURCE: HTTP://WWW.ECFR.GOV/ AND SEARCH TITLE 2 CHAPTER II PART 200

PDF VERSION: HTTP://WWW.GPO.GOV/FDSYS/PKG/FR-2013-12-26/PDF/2013-30465.PDF

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FISCAL YEAR ENDING JUNE 30, 2016 (Calendar Year End December 31, 2015)

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Schedule of Expenditures of Federal Awards (SEFA)

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Federal Grantor/Pass Through

Grantor/Program Title

Federal

CFDA

Number

Pass Through

Entity

Identifying

Number

Federal

Expenditures

Expenditures

to

Subrecipients

Department of Education Direct

Program – Title I Grants to Local

Educational Agencies 84.010 N/A $1,000,000 $800,000

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Internal Controls – a process implemented by a non-Federal entity, designed to

provide reasonable assurance regarding the achievement of objectives in the

following (2 CFR Section 200.61):

a) Effectiveness and efficiency of operations

b) Reliability of reporting for internal and external use; and

c) Compliance with applicable law and regulations

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(Tip – use this as checklist)

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Indirect cost rate for the federal award, including if de minimis rate is charged

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https://www.acquisition.gov/sites/default/files/current/far/html/Subpart%202_1.html

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• Application controls

• General IT controls

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http://www.gao.gov/products/GAO-01-1008G

http://www.coso.org/IC.htm

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0 5 10 15 20

Education

Health Care

Manufacturing

Government/Public

Administration

Banking/Financial Services

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>60

56-60

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31-35

26-30

<26

2014

2016

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Authorization

Record

keeping

Custody of

asset

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ONLY 3%0 10 20 30 40 50

Account Reconciliation

By Accident

Internal Audit

Management Review

Tip

2014

2016

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