Report to the Legislature : Financial Audit for the Fiscal Year Ended June 30, ..., the University of Montana 2004
Report to the Legislature : Financial Audit for the Fiscal Year Ended June 30, ..., the University of Montana 2004
Montana. Legislature. Legislative Audit Division
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" The University was required to adopt GASB No. 39 as of and for the year ended June 30, 2004. The statement requires that a legally tax exempt organization should be reported as a component unit of a reporting entity if the economic resources received or held by these organizations are entirely or virtually entirely for the direct benefit of the reporting entity or its component units, and the reporting entity is entitled to, or has the means to otherwise access, a majority of the economic res...ources received or held by the separate organization. The resources of the separate organization must also be significant to the reporting entity. The University has established a threshold minimum of 1 percent of consolidated net assets or 1 percent of consolidated revenues as an additional requirement for inclusion of an organization as a component unit in its financial statements. In addition, other organizations should be evaluated for inclusion if tirey are closely related to, or linancially integrated with, the reporting entity.
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