GASB is moving to provide relief to certain governments with multiple-employer defined benefit pension plans that are struggling to comply with the board’s new pension standards for state and local governments.
The proposal would focus employer accounting and financial reporting requirements for pensions on information that is obtainable for those governments. The proposal would establish separate standards for employers that participate in pension plans that meet the criteria presented in the proposal.
Under the proposal, these employers would have separate standards for:
• Note disclosures of descriptive information about the plan.
• Benefit terms.
• Contribution terms.
• Required supplementary information presenting required contribution amounts for the past 10 fiscal years.
The proposed guidance would apply to governments that participate in certain private or federally sponsored multiple-employer defined pension plans such as Taft-Hartley plans or plans with similar characteristics.
VACo Contact: Vicky Steinruck, CPA