GASB issued an implementation guide in August that contains questions and answers about the board's new lease accounting standard for state and local governments.
Implementation Guide No. 2019-3, Leases, provides guidance for preparers on how to apply the rules in GASB Statement No. 87, Leases, including:
- Scope and applicability.
- Determining the term of a lease.
- Determining if a lease qualifies for the short-term lease exception.
- Recognition, measurement, and disclosure by lessees.
- Recognition, measurement, and disclosure by lessors.
- Accounting for contracts with multiple components and contract combinations.
- Accounting for modifications and terminations of leases.
- Sale-leasebacks, lease-leasebacks, and intra-entity leases.
The questions and answers in the guide constitute Category B authoritative guidance under GAAP.