For a government that has a trust fund in which it is accumulating sufficient assets to pay OPEB, the net OPEB liability should be reported in both the governmental fund balance sheet and the government-wide statement of net position.

Question

Quizplus · Accepted Answer

In this situation, the government has sufficient assets in its trust funds to pay OPEB. Therefore, a net OPEB liability would not be reported in the governmental-type funds. Expenditures for pension, retiree health care, and other postemployment benefits are equal to the amount contributed to the plan or expected to be liquidated with expendable available financial resources. If plan assets were insufficient, amounts "normally expected to be liquidated with expendable available resources" must also include benefit payments that are due and payable and for which the OPEB plan has insufficient resources to pay. A net OPEB liability is reported in the government-wide financial statements equal to the total OPEB liability less the related OPEB Trust Fund's net position

For a Government That Has a Trust Fund in Which