GASB clarifies reporting for repurchase agreements.

Position:Governmental Accounting Standards Board - Brief Article

The Governmental Accounting Standards Board has published an interpretation that clarifies the reporting requirements for reverse repurchase agreements. The interpretation reconciles differences between GASB Statement no. 3, Deposits with Financial Institutions, Investments (including Repurchase Agreements), and Reverse Repurchase Agreements, issued in April 1986, which provides accounting and financial reporting guidance for reverse repurchase and fixed-coupon reverse repurchase agreements, and GASB Statement no. 28, Accounting and Financial Reporting for Securities Lending Transactions, issued in May 1995, which provides accounting and financial reporting guidance for securities lending transactions.

"Although there are many similarities between the two reporting requirements, when we finalized Statement no. 28 we made minor changes to what we originally exposed for comment that put Statement nos. 3 and 28 out of synch," said GASB project manager Venita M. Wood. "The interpretation reconciles the two statements."


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