NB 1198
Dec. 16, 2003
FREDERICTON (CNB) - New Brunswick is moving toward a major change in its accounting procedures to enhance accountability to taxpayers.
"The change involves how the government will report on government-owned tangible capital assets," Finance Minister Jeannot Volpé said today. "New Brunswick's auditor general has recommended the move. Adoption of this reporting model reflects the government's commitment to improved financial accountability for taxpayers."
In making the change, the government is following the recommendations of the Public Sector Accounting Board of the Canadian Institute of Chartered Accountants. Five provincial jurisdictions and the federal government have made the change, and all other jurisdictions are doing the same.
Tangible capital assets include government-owned buildings such as schools and hospitals, roads, bridges, ferries, vehicles, large pieces of equipment and machinery that are used to deliver services to the public for many years. Tangible capital assets are now expensed in the year of acquisition. The accounting change will result in a building being amortized over its estimated useful life.
"The public will see more relevant, appropriate and timely information about the government's tangible capital assets and their depreciation," Volpé said. "To assist the public in understanding the scope and impact of the change, we have posted some information on our department's website."
The minister said the Office of the Comptroller and the Department of Finance are working hard to prepare for the new accounting standards required by the Public Sector Accounting Board
"We are certain that everything can be ready in time for the 2004-2005 budget documents in the spring," he said.
03/12/16
EDITOR'S NOTE - The document about tangible capital asset accounting is available at http://www.gnb.ca/0024/index-e.asp. MEDIA CONTACTS: Ann Deveau or Vicky Deschênes, communications, Finance, 506-453-2451, fax 506-457-4989, e-mail, wwwfin@gnb.ca.
03/12/16