A new Technical Question and Answer (TQA) issued by the AICPA discusses the characteristics of expenses that would be considered "direct care of existing collections" under a new FASB standard that updates the definition of "collections."
In March, FASB issued Accounting Standards Update No. 2019-03, Not-for-Profit Entities (Topic 958): Updating the Definition of Collections. The standard requires the proceeds of sales from collection items to be used for the acquisition of new collection items, the direct care of existing collections, or both.
Q&A Section 6140.27, Not-for-Profit Entities, Definition of Direct Care of Collection Items, provides nonauthoritative guidance explaining that the term "direct care" is not defined by FASB. The TQA discusses characteristics to consider when determining which costs are considered direct care of collection items.