Tribal governments that are both a lessee and a lessor for land, facilities, equipment and slot machines will see significant changes in accounting starting in December of 2019. The GASB Statement 87 is based on the foundational principle that all leases are essentially financings of the right to use an underlying asset. In the past, a footnote disclosure was all that was required. Now, the new standard requires significant changes, which could impact debt ratios. Preparation for these to slot machines, slot machine software, land leases, fleet equipment, and other potential leases is essential.
NAFOA will host a webinar with BKD on Wednesday, July 18 at 1:00 p.m. EST.