Notes to the Financial Statements
June 30, 2009
Note 2 Budgetary vs. GAAP Basis of Accounting
The following is a reconciliation of the net change in fund balances as
reported in the budgetary and GAAP basis of accounting statements of revenues,
expenditures, and changes in fund balances (amounts in thousands):
|Net change in fund balances (budgetary basis)||$ (947,578)||$ (84,699)|
|Increases (decreases) in revenue accruals:|
|Receivables and Other Assets||385,400||(949)|
|(Increases) decreases in expenditure accruals:|
|Accounts Payable and Other Liabilities||(601,590)||11,342|
|Salaries and Fringe Benefits Payable||56,609||(792)|
|Decrease in Continuing Appropriations||(415,327)||(1,368)|
|Transfer of 2008 Surplus||(179,420)||-|
|Fund Reclassification-Bus Operations||-||4,350|
|Net change in fund balances (GAAP basis)||$ (1,701,906)||$ (72,116)|
The major differences between the budgetary (legal) and the GAAP (generally accepted accounting principles) basis of accounting as reconciled above are as follows:
1. Revenues are recorded when received in cash except for certain year-end accruals (budgetary basis) as opposed to revenues being recorded when they are susceptible to accrual (GAAP basis).
2. Expenditures are recorded when paid in cash (budgetary basis) as opposed to expenditures being recorded when the related fund liability is incurred (GAAP basis).
3. For budgetary reporting purposes, continuing appropriations are reported with other financing sources and uses in the determination of the budgetary surplus or deficit to more fully demonstrate compliance with authorized spending for the year. For GAAP purposes, continuing appropriations are excluded from operations and reported as reserved fund balance.