GASB 87 – Leases

The State Auditor’s Office is currently reviewing lease obligations. In an attempt to identify all lease commitments, we are asking each agency to report all of their lease type agreements to the SAO Accounting Division.

For any new leases not yet reported, please complete the following “Lessee Survey,” and submit it to our office.  Please complete the form for each separate lease.  Also, please email us a copy of each Lease Agreement. 

Leased assets that need to be reported include any item that is not owned by the State and for which an agreement (for longer than one year) exists that transfers the right to use the property, plant and equipment (this includes vehicles) to the State.  This only relates to those leases where the State agency is the lessee and a non-State agency is the lessor.  This “Lessee Survey” form is required for each piece of equipment meeting the fixed asset threshold value of $5,000 or more.  Leases between two state agencies (i.e. one agency being A&I and Motor Pool) do not need to be reported.

In completing the form, please be thorough. If the information is not known, contact the vendor.  The information submitted will be audited and must be accurate.  The State Auditor’s Office will review each lease and determine its status concerning annual reporting requirements.

If your agency is a “Lessor” for any leases please contact us for further instruction.

This information is due back to the State Auditor’s Office no later than July 15.

Thank you for your attention in this matter and for your assistance in the preparation of the State’s Annual Comprehensive Financial Report.  Should you have any questions, please contact the SAO Accounting Division at (307) 777-2460 or