Listened to CalCPA’s virtual Not-for-profit conference today.
Lots of great stuff during the sessions. Three items were worth sharing on Twitter during the day. Thought I’d share them here as well:
How to account for PPP forgiveness.
Why are regulators so focused on board governance?
In case the tweets don’t display correctly, here is the text:
- Accounting for PPP forgiveness by NFPs, first thoughts starting to firm up – personal opinion of presenter at CalCPA NFP conference: two models emerging on how to assess.
- How to conceptualize forgiveness accounting – 1st, loan concept, upon being released, would have gain on being released from loan. 2nd, grant concept, upon clearing all barriers, recognize grant revenue.
- AICPA is reportedly working on a document to explain those two approaches. Keep in mind this (update: oops, should be these) are evolving issues. First glance is helpful for all of us.
- NFP Reporting for GIK exposure draft – Comments by FASB staff person at CalCPA NFP conference: Comment period is closed. Project goes to board on 6/10/20 to consider comments. Goal/hope/plan is for final document in summer 2020.
- Additional (personal) comment by presenter: This is the first round of changes. Later the staff and board will consider if something is needed to address concern regulators for valuation of GIK
- Charity board governance: Presenter at @Cal_CPA #NFP Conference: Why are there so many questions on 990 and RRF-1 about board governance? Perception of regulators is that behind most failures in charities there is a board that was asleep at the switch.