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U.S. Government Standard General Ledger Board and Issues Resolution Committee Meeting Minutes

May 21, 2009

GENERAL ITEMS:

This meeting was held at the U.S. Department of Transportation (DOT), 1200 New Jersey Avenue, SE., Conference Room No. 5, Washington, DC.

Melinda Pope (FMS) opened the meeting and reviewed the agenda. She stated that the USSGL staff has been working on the June TFM release. She also mentioned that last week at the USSGL Board meeting the USSGL staff reviewed the proposed new, modified, and deleted USSGL accounts. This week the IRC will review the proprietary crosswalks incorporating those changes.

HANDOUTS:

  • Proposed Fiscal 2009 USSGL Proprietary Account Attribute Definition Report, dated May 21, 2009

  • Proposed Fiscal 2010 USSGL Accounts Attributes Required for FACTS I Reporting of Detailed Financial Information, dated May 21, 2009

  • Proposed USSGL Crosswalk - Balance Sheet for Fiscal 2009 Reporting, dated May 21, 2009

  • Proposed USSGL Crosswalk - Balance Sheet for Fiscal 2010 Reporting, dated May 21, 2009

  • Proposed USSGL Crosswalk - Statement of Changes in Net Position for Fiscal 2010 Reporting, dated May 21, 2009

  • Proposed USSGL Crosswalk - Statement of Net Cost for Fiscal 2010 Reporting, dated May 21, 2009

  • Proposed USSGL Crosswalk - Statement of Custodial Activity for Fiscal 2010 Reporting, dated May 21, 2009

  • Proposed USSGL Crosswalk - Reclassified Balance Sheet for the Closing Package for Fiscal 2009 Reporting, dated May 21, 2009

  • Proposed USSGL Crosswalk - Reclassified Statement of Changes in Net Position for the Closing Package for Fiscal 2009 Reporting, dated May 21, 2009

  • Proposed USSGL Crosswalk - Reclassified Statement of Net Cost for the Closing Package for Fiscal 2009 Reporting, dated May 21, 2009

  • Proposed U.S. Government Standard General Ledger Summary of Changes, dated May 21, 2009

  • Proposed Changes to USSGL Transactions Related to Bad Debt Expense for 2009 and 2010, dated May 21, 2009

  • Revenue Standard, SFFAS No. 7, dated May 21, 2009

AGENDA ITEMS:

Gwen Marshman (FMS) reviewed the changes to the draft USSGL Proprietary Account Attribute Definition Report. She indicated that the attributes "Covered/Not Covered" and "Entity/Non Entity" are not FACTS I attributes but that they will stay on the definition report to assist agencies better. It was pointed out that the wrong attribute titles were highlighted on the handout. "Custodial/Noncustodial" was highlighted instead of "Covered/Not Covered." The USSGL staff will correct the handout and will update the USSGL Web site to show the changes.

Gwen presented the fiscal 2010 FACTS I Attribute Table. The group had no questions or comments. There were no changes to the 2009 FACTS I Attribute Table.

Gwen reviewed the Proposed USSGL Crosswalk - Balance Sheet for Fiscal 2009 Reporting and the Proposed USSGL Crosswalk - Balance Sheet for Fiscal 2010 Reporting. Kathy Sherrill (DOD) commented on the "Covered/Not Covered" attribute change on line 27 for USSGL account 2920, "Contingent Liabilities." The proposed change is to make this account not covered by realized budgetary resources. However, Kathy thought that it could be either covered or not covered. She gave the example that DOD is supposed to be recognizing a contingent liability for contractual obligations, but, if DOD has unobligated balances available, then, technically, the contingent liability should be covered by the available unobligated balances. Therefore, the crosswalk will keep the current domain value of both covered and not covered. The group had no further questions or comments.

Gwen also reviewed the Proposed USSGL Crosswalk - Reclassified Balance Sheet for the Closing Package for Fiscal 2009 Reporting. The group had no questions or comments.

Karl Foltz (FMS) reviewed the changes to the Proposed USSGL Crosswalk - Reclassified Statement of Net Cost for the Closing Package for Fiscal 2009 Reporting and the Proposed USSGL Crosswalk - Statement of Net Cost for Fiscal 2010 Reporting. The group had no questions or comments.

Michele Crisman (FMS) reviewed the changes to the Proposed USSGL Crosswalk - Statement of Custodial Activity for Fiscal 2010 Reporting. The group had no questions or comments. There were no changes to the Statement of Custodial Activity for Fiscal 2009 Reporting.

Edwin Walker (FMS) reviewed the changes to the Proposed USSGL Crosswalk - Statement of Changes in Net Position for Fiscal 2010 Reporting and the Proposed USSGL Crosswalk - Reclassified Statement of Changes in Net Position for the Closing Package for Fiscal 2009 Reporting. The group had no questions or comments.

Melinda concluded the proprietary crosswalk review and mentioned that the IRC will be reviewing the budgetary crosswalks at the next IRC meeting 2 weeks from today at GAO.

Melinda also presented the Proposed Changes to USSGL Transactions Related to Bad Debt Expense for 2009 and 2010 for Christine Chang (FMS), who could not attend the meeting. Christine wanted issues discussed that dealt with bad debt expense. These issues resulted from a question Christine received from an agency regarding transactions related to bad debt that needed clarification.

Melinda first reviewed the Revenue Standard, SFFAS No. 7.

For Exchange Revenue, the standard states:

"To the extent that realization of the full amount of revenue is not probable due to credit losses...expense should be recognized and the allowance for bad debt expense increased..."

Additionally, it states:

"To the extent that realization of the full amount of revenue is not probable due to returns, allowances, price determinations, or other reasons apart from credit losses, the revenue that is recognized should be reduced...The amounts of such provisions should be reflected as revenue adjustments, rather than costs of operations."

For Nonexchange Revenue, the standard states:

"Allowance for uncollectible amounts should be recognized based on an analysis of both individual accounts receivable and groups of accounts receivable, as prescribed by other standards. A provision to increase or decrease the allowance will result in an adjustment of non-exchange revenue, rather than a bad debt expense."

Melinda discussed the changes to the five transactions that needed clarification in the USSGL TFM (USSGL TC's D402, D404, D420, D422, and D424). For TC D424, Melinda mentioned that Christine's opinion is that agencies should treat "uncollectible exchange revenue" in a similar manner to how "uncollectible nonexchange revenue" is treated. No one in the meeting rebutted Christine's opinion. However, Jared Martin (SSA) requested further clarification of "virtually no costs" in the description. Melinda suggested that the type of activities classified as "virtually no costs" could be indicated in the comment section. Michele will look into the definition further.

For TC D422, Melinda mentioned that currently the entry shows a credit to USSGL account 6190, "Contra Bad Debt Expense - Incurred for Others." However, USSGL account 6190 is reported on the Statement of Net Cost and not reported on the Statement of Custodial Activity (SCA). This transaction states that the activity is to be reported on the SCA or as a custodial footnote. Therefore, if USSGL account 6190 is used, the amount will not crosswalk to the correct statement. The USSGL staff proposed a credit to USSGL account 5991, "Accrued Collections for Others - Statement of Custodial Activity," so that the amount crosswalks to the correct statement, which is the SCA. Since this account is used in only one transaction, the USSGL staff proposed deleting it from that transaction. It was noted that the Department of Energy (DOE) was the only agency using USSGL account 6190. Kim Kline (DOE) is going to look into whether or not USSGL account 6190 is needed. The account will probably be deleted.

The USSGL staff will update the handout on the USSGL Web site to delete "2009" from the titles since these changes will become effective in fiscal 2010.

CLOSING REMARKS:

Michele mentioned to the IRC that she will review the General Fund Tie Points at the next IRC meeting (either June 4 or June 11).

Melinda asked agency representatives if they have any questions or comments. She closed the meeting by reminding everyone to allow the USSGL staff time to respond to the agencies when they contact the USSGL staff with their concerns. In addition to losing some employees, the USSGL staff currently has many large projects underway that take priority. The next IRC meeting will focus on reviewing the proposed budgetary crosswalks.

ATTENDEES:

Michele Crisman, FMS
Gwen Marshman, FMS
Edwin Walker, FMS
Sherry Pontell, FMS
Melinda Pope, FMS
Karl Foltz, FMS
Dan Smith, PTO
Phil Howland, Treasury
Michael Ward, GSA
Patrice Cousins, NSF
Brandi Erdtmann, ICE
Drena McDaniel, DOT
Ben Sussman, FMS
Kevin Dugas, DOT
Yong Sun, FHA
Boris Lyubovitsky, USDA
Jared Martin, SSA
Carol Gower, State
Michele Murphy, VA
Vernon Johnson, DOJ
Chris Dyson, Ed.
Eva Abeles, EPA
Jennifer Dickens, FMS
Rosemarie Hillmon, FMS
Tiff Dilworth, FMS
David Surti, DHS
Kathy Sherrill, DOD
Lisa Holiday, SSA
Tom Sears, BPD
Adam Charlton, BPD
Kent Linscott, BPD
Marion Hoch, DOE
Kim Klein, DOE
Marilyn Evans, DHS-FEMA
Webster Coleman, DOL
David Surti, DHS
Tai Westermann, DHS
Dan Smith, PTO
Ayana Bess, DOC
Sam Idahosa, Treasury
Teresa Lampkin, DOT
Drena McDaniel, DOT
Yen Le, State
Lise Trumbull, GSA
Michael Ward, GSA
Janet Winchester, VA
Michele Murphy, VA
Cindy Scharf, Library of Congress
Diane Washington, DOI
Gregory Parker, HUD
Kevin Dugas, DOT
Alice Rice, DOD
Janice Alexander, NSF
Al Buck, USAID
Eileen Parlow, FASAB


   Last Updated:  March 14, 2014