The Lease, SBITA and P3 Framework Step By Step

Author: Eric S. Berman

The accounting and financial reporting for states and local governments relating to leasing, P3s and SBITAs has been among the biggest changes in GAAP over the last decade. However, some of us still miss elements of each of the standards. Understand how to recognize the contracts, measure them, present and disclose them.

Publication Date: September 2025

Designed For
Preparers and auditors of states and local governments.

Topics Covered

• The Basics of the Framework
• Applying the Framework to Public Private and Public Public Partnerships (P3s) and Availability Payment Arrangements (APAs)
• Applying the Framework to Subscription-Based Information Technology Arrangements (SBITAs)

Learning Objectives

• Explain the lease framework for lessee and lessor state and local governments
• Explain how to compare and contrast the lease framework for Subscription-Based Information Technology Arrangements (SBITAs) and for Public-Private and Public-Public Partnerships and Availability Payment Arrangements (P3s)
• Explain the pitfalls in the accounting and financial reporting for each
• Identify the most frequently asked questions on each
• Explain how to prepare the information needed for the Notes to the Basic Financial Statements for each
• Identify when the implementation of the updated standards began

Level
Overview

Instructional Method
Self-Study

NASBA Field of Study
Accounting (Governmental) (2 hours)

Program Prerequisites
None

Advance Preparation
None