Effective July 1, 2021, all state/local government agencies, including public universities throughout the United States are required to implement a new lease accounting standard issued by the Governmental Accounting Standards Board (GASB). The University of Illinois System has hundreds of active leases of equipment and real estate.
To identify the appropriate payment contacts, a survey was sent out to collect applicable lease information. If the survey was not completed, please complete this brief survey. Provide as much information as possible to assist with this transition and promote compliance with the new accounting standard.
Currently, most lease payments are classified as rent expense, with few exclusions. As of July 1st, GASB requires lease payments to be broken out between principal and interest, with few exclusions. Before implementation, University Accounting and Financial Reporting (UAFR) will send out an amortization schedule for each lease to the appropriate payment contact. The lease amortization schedule provides the principal and interest breakdown in conjunction with the appropriate account codes for use. Those who make accounting entries for lease payments are required to follow this new process.
It is essential the University of Illinois System is compliant with GASB’s new reporting requirement. To avoid consequences of non-compliance, any questions regarding this new process can be addressed by the following contacts:
Danielle Stoner, MSA
University Accounting and Financial Reporting
Financial Accounting & Reporting Analyst
dstoner@uillinois.edu
217-300-1631
Courtney Englehardt, CPA, MSA
University Accounting and Financial Reporting
Associate Director of Financial Reporting
hampton2@uillinois.edu
217-244-8739
