GASB STATEMENT 34 ADVISORY COMMITTEE
M i n u t e s
April 10, 2001
____________________________________________________________________________________________________________________
Location
Conference Room 222
Wade Hampton State Office
Building
Columbia, South Carolina
Time
10:00 AM
Attendees Barbara Hevener–South
Carolina Office of Comptroller General, Program Sponsor
Kathy Glass–KPMG, Program Manager
John Campbell–University of South Carolina
Becky Carver–South Carolina Department of Mental Health (Guest)
Carl Chase, South Carolina
Department of Transportation (Guest)
Bruce Dorman–South Carolina Department of Public Safety
Rich Gilbert–South Carolina State Auditor’s Office
Lanna Harris–State Budget and Control Board, Internal Operations
Paul Jarvis, South
Carolina State Treasurer’s Office (Guest)
Laura Johnson, South
Carolina Department of Public Safety (Guest)
Steve Lake, South Carolina
Department of Public Safety (Guest)
Paul Lewis, South Carolina
Department of Public Safety (Guest)
Billy Martin–South Carolina Employment Security Commission
Renee Moore–State Budget & Control Board, Office of Information Resources
Pat O’Cain–South Carolina Office of Comptroller General, Data Processing
Kelly Richardson, KPMG
(Guest)
Lynda Robinson–South Carolina Department of Education
Boyd Rhoten–South Carolina Department of Mental Health
Bill Stitler, KPMG (Guest)
Ed Walton–University of South Carolina (Guest)
Debra White–South Carolina Department of Transportation
Bonnie Gunter–South Carolina Office of
Comptroller General
(Administrative Coordination and Minutes)
Agenda Welcome and Introduction
Discussion of Upcoming Agency
Training Sessions
Discussion of Agencies’ GASB
34 Efforts
-Department of Public Safety
-Employment Security
Commission
-Department of Transportation
Welcome
and Introduction
§
The meeting was called to order;
members and guests were recognized.
Approval of
Minutes
§
Copies of minutes for the meeting of
February 6, 2001, were distributed and approved.
§
Barbara proposed streamlining the
minutes to “bulleted” items instead of the previous more formal format;
members approved this change.
Discussion of OCG’s Upcoming
Agency Training Sessions
§
Registration materials and a proposed agenda for agency training sessions
to be held on April 30 and May 2 at the South Carolina Department of
Archives and History Center were distributed.
(This information also was posted to the OCG’s website.)
§
The morning session will group all participants together in an auditorium
setting for topics applicable to all.
§
Two concurrent afternoon sessions will be held: one for closing package agencies and
another for financial statement entities.
§
A full day’s attendance is intended to qualify for 6.1 hours of CPE.
§
Members were encouraged to provide feedback regarding these plans.
Discussion
of Agencies’ GASB 34 Efforts
Four
agencies presented their agencies’ GASB 34 implementation efforts to date:
Department of Public Safety (DPS)
§
Financial information for DPS is incorporated into the statewide CAFR
from closing packages, but DPS also issues audited financial statements.
§
Bruce Dorman reported that DPS had contracted with KPMG to study its
internal system and to help it develop a GASB 34 work plan.
§
The study proposed forty-six projects; those identified as having the
greatest impact relate to: (1)
staff education/training, (2) capital assets, (3) depreciation, and (4)
financial reporting.
§
DPS appointed an eight-person steering committee and formed working teams
involving staff from Accounting, Material Resources, Audit Services, and
Information Technology.
§
Steve Lake, a project leader, discussed revenue analysis.
§
Laura Johnson, also a project leader, summarized several key issues
relating to receivables and analysis (primarily cleaning up accounts
receivables and updating the accounts receivable system).
§
Paul Lewis, from the DPS general accounting area, commented on issues
relating to fund classification.
§
The speakers provided several “handouts” to committee members.
Employment Security Commission (ESC)
§
Financial information for ESC currently is incorporated into the
statewide CAFR from closing packages, but ESC also issues audited financial
statements; beginning in FY02, ESC will provide audited financial statements
rather than closing packages to the OCG.
§
Billy Martin reported that ESC has contracted with KPMG for assistance.
§
The planned July implementation will involve a team effort between
accounting and data processing areas.
§
Under GASB 34, the ESC becomes an enterprise fund effective July 1,
2001; it must, therefore, begin to prepare statements of cash flows.
Department of Transportation (DOT)
§
Financial information for the DOT is incorporated into the statewide CAFR
from audited financial statements, and this will continue to be the case in
the future.
§
Debra White listed key areas: (1) a
comprehensive fixed assets system, including infrastructure (roads and
bridges), depreciation, and resolution of issues associated with buildings
that were previously transferred from DOT to DPS; and (2) accounts
receivable/revenue reporting systems.
§
DOT has retained the services of (a) its external audit firm to
assist in the implementation effort and (b) former State Auditor Ed Vaughn as
a part-time project consultant.
§
Asset manager Carl Chase discussed DOT’s planned participation in a
national conference in Nashville that will focus on infrastructure and GASB 34
reporting requirements; he expects the conference to provide essential
information for DOT’s GASB 34 implementation project.
§
The focus of DOT’s GASB 34 infrastructure project will be creating
an inventory/database of the over 41,000 miles of state-maintained roads,
associated rights-of-way, more than 8,000 bridges, and more than 700
facilities.
College and University Controllers’ Group (CUCG)
§
The CUCG includes controllers of South Carolina’s ten four-year and
research institutions and one representative from the State Board of Technical
and Comprehensive Education; all CUCG member organizations are incorporated
into the statewide CAFR from audited financial statements and a “closing
package” that helps the OCG combine the financial data for all twenty-six
institutions in a consistent format.
§
John Campbell, the CUCG’s chairman and Comptroller of the University of
South Carolina (USC), updated the committee regarding the CUCG’s
GASB 34 implementation efforts, which began more than a year ago.
§
Through a series of meetings with the OCG, State Auditor’s Office, and
Commission on Higher Education, the CUCG has developed a framework for South
Carolina’s public colleges and universities to use in implementing
GASB 34, the primary purpose of which is to set a platform for
consistency among the institutions in completion of data that must be merged
into the statewide CAFR.
§
Mr. Campbell also described USC’s GASB 34 implementation project.
Adjournment:
The meeting was adjourned at 11:45 AM.
Next Meeting:
The
committee agreed to suspend the May meeting due to training sessions and other
GASB 34 activities in that month. The
next committee meeting is scheduled for Tuesday, June 5, 2001, at 10:00 AM, in Room 222 of the Wade Hampton State Office Building in Columbia.
Respectfully
submitted,
Barbara
C. Hevener
/bpg
Enclosures
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here to view the Agenda provided to Advisory
Committee members at the meeting.
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