University Accounting and Financial Reporting (UAFR) has created a series of new lease interest account codes to ensure compliance with requirements set by the Governmental Accounting Standards Board (GASB) that will go into effect on July 1, 2021. These updates have been integrated into both Banner and the Account Code Search application.
Please do not use any of these new lease interest account codes until FY22, as this new GASB requirement does not go into effect until July 1, 2021. Even though these new lease interest account codes cannot be used until FY22, we are communicating this to you now so that you can use these new account codes on any applicable FY22 purchase orders being established.
These lease expense account codes should only be used when all of the following conditions are met:
- The lease terms do not convey ownership rights;
- The lease term, including renewal options, is greater than one year; and
- The total payments over the term of the lease agreement sum to a value greater than or equal to $5,000.
New Account Codes
• 157101 - Lease Interest - Scientific and Laboratory Equipment - Payment to Vendor
This account code is used to record lease interest payments to external vendors or other University units for leases of scientific and/or laboratory equipment (including services for installation, repair/maintenance, and removal if included in the lease agreement and if not separately billed).
• 157201 - Lease Interest - Office Equipment and Furniture - Payment to Vendor
This account code is used to record lease interest payments to external vendors or other University units for leases of office equipment and/or office furniture (including services for installation, repair/maintenance, and removal if included in the lease agreement and if not separately billed).
• 157301 - Lease Interest - Real Property - Payment to Vendor
This account code is used to record lease interest payments to external vendors or other University units for leases of real property (including services for installation, repair/maintenance, and removal if included in the lease agreement and if not separately billed).
• 157401 - Lease Interest - Machinery and Mechanical Equipment - Payment to Vendor
This account code is used to record lease interest payments to external vendors or other University units for leases of machinery and mechanical equipment (including services for installation, repair/maintenance, and removal if included in the lease agreement and if not separately billed).
• 157501 - Lease Interest - Information Technology Equipment - Payment to Vendor
This account code is used to record lease interest payments to external vendors or other University units for leases of information technology and enterprise data processing equipment (including services for installation, repair/maintenance, and removal if included in the lease agreement and if not separately billed).
• 157701 - Lease Interest - Motor Vehicles - Payment to Vendor
This account code is used to record lease interest payments to external vendors or other University units for leases of motor vehicles (including services for repair and maintenance if included in the lease agreement and if not separately billed).
• 157711 - Lease Interest - Motor Vehicles - Payment from AFS or Hospital to University Carpool Vendor
This account code is used to record lease interest payments to University Carpool for leases of motor vehicles (including services for repair and maintenance if included in the lease agreement and if not separately billed).
• 157801 - Lease Interest - Other Equipment Not Elsewhere Classified - Payment to Vendor
This account code is used to record lease interest payments to external vendors or other University units for leases of other types of equipment which cannot be better classified under a more specific lease interest expense account code (including services for installation, repair/maintenance, and removal if included in the lease agreement and if not separately billed).
• 158301 - Lease Interest - Telecommunication Equipment - Payment to Vendor
This account code is used to record lease interest payments to external vendors or other University units for leases of telecommunications equipment (including services for installation, repair/maintenance, and removal if included in the lease agreement and if not separately billed).
• 158401 - Lease Interest - Data Communications Equipment - Payment to Vendor
This account code is used to record lease interest payments to external vendors or other University units for leases of data communications equipment (including services for installation, repair/maintenance, and removal if included in the lease agreement and if not separately billed).
• 158501 - Lease Interest - Radio Communications Equipment - Payment to Vendor
This account code is used to record lease interest payments to external vendors or other University units for leases of radio communications equipment (including services for installation, repair/maintenance, and removal if included in the lease agreement and if not separately billed).
• 158601 - Lease Interest - Other Communications Equipment Not Elsewhere Classified - Payment to Vendor
This account code is used to record lease interest payments to external vendors or other University units for leases of other types of communications equipment which cannot be better classified under a more specific lease interest expense account code (including services for installation, repair/maintenance, and removal if included in the lease agreement and if not separately billed).
Contact
If you have any questions, please refer to the Lease Accounting section of UAFR's Who to Ask list.
