The new permanent reporting guidelines of the Governmental Accounting Standards Board Statement Number 34 (known as "GASB 34") establishes financial reporting standards for state and local governments, including school districts. The initial development of a strategy and process to meet the challenge of this new reporting system has been quite time consuming for many government entities.

School Districts nationwide are now required by the Federal Government to annually report depreciation on all capital improvements and fixed assets over government established thresholds. Additionally, the State of California, via State Education Code 35168, has established that all School Districts must create and maintain a Fixed Asset Inventory Control System.

Associated Valuation Services (AVS) has developed a flexible process and service that meets and exceeds all of the new government requirements of GASB 34 and CA State Ed. Code 35168. Whether establishing a comprehensive Fixed Asset Inventory Control System (ICS), conducting a complicated insurance appraisal or estabishing the depreciation of existing capital assets for GASB 34 reporting purposes, AVS can quickly and efficiently bring your district into full compliance with Federal and State regulations. Once established, AVS can assist your school district in maintaining your compliance through our comprehensive Service Agreement (see Maintenance Section).

CONSULTING SERVICES

Fixed Asset-Inventory Control System (ICS)

After we have evaluated your current process of Fixed Asset Inventory Control, AVS will then advise where our services can best be utilized. We can install a new ICS or reconcile-audit any existing system. Once we have assessed your needs, and installed your ICS, we can then assist in maintaining and supporting the integrity of your system on an ongoing basis through one of our flexible service programs.

Capital Asset Improvements

GASB 34 requires that depreciation schedules be established and maintained for all capital improvements over your districts' predetermined GASB 34 thresholds. AVS will first evaluate, then advise on the best course of action to bring your school district into GASB 34 compliance. This service may include appraising all existing capital assets, establishing their current value, creating a depreciation schedule for each asset. Once created, AVS can then maintain your depreciation schedules through one of our flexible service programs.

TRAINING

AVS can provide training to district personnel on GASB 34/State Ed. Code 35168 compliance. Our programs include a simple session informing business personnel on the GASB 34 standards to on-site training for Fixed Asset Inventory Systems personnel.

REPORTS

Fixed Asset-Inventory Control System (ICS)

AVS has developed reports that can be customized to your districts' ICS process. For Fixed Asset Inventory Control Systems, our standard reports package generally fits most districts' monthly, quarterly and annual requirements.

Capital Asset Improvements

GASB 34 requires annual reports for capital improvements. While AVS can prepare your annual reports to maintain your GASB compliance, we can also provide any additional reports required by local entities, on whatever basis is needed by your district.

MAINTENANCE

Service Agreements

The government, both State and Federal, require that your school districts' initial depreciation and inventory reports be updated and maintained on an annual basis. For many districts, this has been a nightmare trying to maintain systems after the first reporting year, because it puts them back in that government statute learning curve, which is steep.

AVS has simplified the maintenance process through our ongoing service agreement. With our service and support, we can provide a variety of services, customized to meet your districts' specific needs, while maintaining the highest level of government compliance. This includes:

• Maintaining capitalization depreciation schedules
• Creation of any new depreciation schedules
• Customized inventory reports to meet local government needs, which includes adjustable reporting (monthly, quarterly, semi- or annually)
• On-site inventory check-ups/audits
• Advisory support (new and updated government regulations)
• Fee Schedule
• Fees are scheduled by a base management fee derived on the student enrollment of the District. Also a per-use fee structure is implemented to keep the cost directly associated with the particular use by any given District.

Benefits

• Eliminate the purchase of inventory control software and associated annual software updates.
• AVS can maintain your districts' GASB 34 compliance, both with Fixed Assets and Capital Improvements much more quickly than having district personnel divert from existing functions to learn the new GASB 34 system of reporting.
• Our flexible service agreement will keep your district depreciation GASB 34 compliant and your inventory control system up-to-date.
• The District will retain ownership of their database information and will have the option to cancel service with their database information intact.
• The District will receive future discounts on any auditing services.
  

CONCLUSION

AVS can design a Fixed Asset Inventory Control System and Capital Asset Improvement reporting program that can meet your districts' specific needs. The flexibility built into our process will allow your district to become and remain GASB 34 compliant quickly and efficiently; and to maintain your reporting system well into the future.