GASB 96 - Stages of Implementation

Preliminary Project Stage

Includes conceptual formulation and evaluation of alternatives, determination of the existence of needed technology, and final selection of alternatives (Expense as incurred).

Example: Cost of a consultant to help in determining which software is right for your government

Initial Implementation Stage

Ancillary charges related to configuration, coding, testing, and installation of the chosen subscription asset. This stage is completed when the subscription asset is placed into service. (Capitalized as part of the Subscription Asset)

Example: Costs of migrating data into the software

To add this to LeaseCrunch software at transition to GASB 96, enter an Existing Balance on the Lease Payments tab. 

To add this to LeaseCrunch software after transition to GASB 96, enter as an Initial Direct Cost on the Lease Payments tab.

Operation and Additional Implementation Stage

This stage includes maintenance, troubleshooting, and other activities associated with the government’s ongoing access to the IT assets. (Expensed as incurred)

This stage also includes increasing functionality or efficiency of the Subscription Asset. (Capitalized as part of the Subscription Asset)

**Training costs are always expensed as incurred.**