Skip to content

Reporting Requirements for Annual Financial Reports of State Agencies and Universities

Note: To navigate this guide on a mobile device you must use the Table of Contents.

Reporting Requirements for Annual Financial Reports of State Agencies and Universities

Universities

Leases

According to GASB 87, a lease is a contract that conveys control of the right to use another entity’s nonfinancial asset (the underlying asset) as specified by the contract, for a period of time, in an exchange or exchange-like transaction. Leases include contracts that, although not explicitly identified as leases, meet this definition. Therefore, leases previously not reported on the balance sheet may now need to be added.

GASB 87 does not apply to:

  • Short-Term Leases
  • Certain Regulated Leases
  • Transfer Ownership Contracts
  • Leases of assets that are investments (GASB 72)
  • Intangible assets, including:
    • Rights to explore for or to exploit natural resources
      (such as oil, gas, minerals and similar nonregenerative resources)
    • Licensing contracts for items
      (such as motion picture films, video recordings, plays, manuscripts, patents and copyrights)
    • Licensing contracts for computer software
  • Biological assets
    (including timber and living plants and animals)
  • Inventory
  • Service concession arrangements (GASB 60)
  • Leases in which the underlying asset is financed with outstanding conduit debt (unless both the underlying asset and the conduit debt are reported by the lessor)
  • Supply contracts
    (such as power purchase agreements)
  • Leases for a nominal amount (usually considered to be grants)