The Georgia Society of CPAs Hosts Post-Implementation Review of GASB Statement 75

The Georgia Society of CPAs Hosts Post-Implementation Review of GASB Statement 75

Issue: 
The Georgia Society of Certified Public Accountants (GSCPA) recently hosted an event at the GSCPA offices for the Governmental Accounting Standards Board (GASB). This event, titled the Post-Implementation Review (PIR) of GASB Statement Number 75, "Accounting and Financial Reporting for Postemployment Benefits Other Than Pensions," plays a significant role in promoting accountability and transparency in governmental financial reporting. The purpose of the PIR was to assess whether the statement met its intended objectives, its impact on financial reporting, and how well governments across Georgia have adhered to its provisions.

The PIR event hosted by GSCPA was a gathering of accounting professionals, government officials and other stakeholders to review the implementation and consequences of GASB Statement 75, which was implemented several years ago. 

To hear GSCPA Chair-Elect Kathryn Fletcher summarize the event and explain the issue covered, click here.

Summary of event: 
One of the central objectives of GASB Statement 75 is to enhance transparency and consistency in the financial reporting of Other Post Employment Benefits (OPEB) liabilities. It seeks to ensure that governments provide a more accurate and complete picture of their long-term financial commitments. 

The PIR event featured interactive sessions that delved into various aspects of GASB Statement 75. Key topics addressed included the valuation of OPEB liabilities, actuarial methods, changes in OPEB liabilities, financial disclosures, and note disclosures. Attendees gained a deeper understanding of the challenges and best practices associated with implementing these accounting standards.

GSCPA played a vital role in orchestrating this event, ensuring that Georgia's accounting profession members continue to have access to the latest information and tools needed to stay current with evolving accounting standards. The outcomes of this PIR event will likely influence how governments in Georgia approach their OPEB reporting in the future. It will help address any challenges organizations may have faced in implementing GASB Statement 75 and guide a more effective application of these accounting standards. 

Through events like these, GSCPA contributes to the ongoing evolution and improvement of accounting practices, benefiting the CPA profession and the communities it serves. 

Summary of GASB Statement 75: 
GASB Statement 75, titled "Accounting and Financial Reporting for Postemployment Benefits Other Than Pensions," is a pronouncement issued by the Governmental Accounting Standards Board (GASB). It addresses accounting and financial reporting standards for post-employment benefits other than pensions (OPEB) provided by state and local governments in the United States. In summary: 

  • OPEB Reporting: GASB 75 outlines the requirements for governments to report and disclose information related to OPEB plans in their financial statements. 
  • Valuation of OPEB Liabilities: The statement requires governments to calculate and report the total OPEB liability, representing the present value of future OPEB benefits that employees have earned as of the reporting date. 
  • Actuarial Methods: It provides guidelines for actuarial valuations and assumptions, including using actuarial methods to project future OPEB costs and benefits. 
  • Reporting Changes in OPEB Liabilities: Governments are required to report changes in OPEB liabilities in their financial statements. This includes recognizing the net OPEB liability or asset on their balance sheets. 
  • Financial Disclosures: GASB 75 mandates specific financial disclosures, including information about the funding status of OPEB plans, contributions made and the methods used to determine OPEB liability. 
  • Note Disclosures: Governments must provide additional information in the notes to their financial statements, such as a description of the OPEB plan and the assumptions used in the actuarial valuations. 
  • Transition Provisions: The statement includes transitional guidance for governments to apply the new reporting standards to prior periods, ensuring a smooth transition to the new accounting rules. 


Overall, GASB Statement 75 sets guidelines for state and local governments to account for and report their obligations related to post-employment benefits other than pensions, enhancing transparency and consistency in financial reporting. It aims to provide stakeholders with a clearer understanding of the financial impact of these benefits on a government's financial position.  

Stay Informed:
If you have any questions on this issue, contact Don Cook, vice president, legislative affairs, at 404-877-2154 (mobile) or dcook@gscpa.org.