Consolidated Financial Statements - MU Prep Guide - Part I, Part II and New Departments for Consolidation:
On January 2, 2008 the Territorial Finance Department issued the first of two Preparation Guides intended specifically to assist ministry units with the issues related to the consolidation project. The guides outline the accounting polices that must be adopted by all ministry units in order for consolidation to be successful. Some of these policies will be new to units that, in the past, may not have been following GAAP. A third document has just been released (in January 2009) which outlines the new GL departments to be used in the Shelby software, related to restricted funds.
Click here to view the Ministry Unit Preparation Guide - Part I document, which covers the basic concepts and policies to be adopted.
Click here to view the Ministry Unit Preparation Guide - Part II document, which covers more complex issues and policies that are required for a successful and accurate consolidation.
Click here to view the New Departments - Consolidation document, which outlines the new General Ledger departments required.
Consolidation Project Update:
Periodically, the Finance Department will be publishing an update on the status of the consolidated financial statements project and happenings within the consolidation group. Below is the link for the first of these updates:
Click here for Consolidation Update #1
Consolidated Financial Statements - Background & Discussion Papers:
On July 12, 2006 the Territorial Finance Council (TFC) approved the implementation of consolidated financial statements incorporating the financial position and results of operations of all ministry units in the Territory. This would finally result in a set of audited financial statements that would clearly and accurately reflect the full extent of the Army's work throughout the Territory. Up until now, only the THQ and DHQ operations were included in the territorial audited financial statements (which include the ancillary operations of THQ, such as the Jackson's Point Conference Centre, Supplies & Purchasing, the training colleges, etc.). And while a number of individual ministry units have their records externally audited, the majority do not require this, and no other form of consolidation exists at any other level.
But why is the consolidation of all ministry units financial data so important you ask? There have been two discussion papers published by the Finance Department to provide information on consolidation. Click here to check out the first "Discussion Paper and Invitation to Comment" issued in September 2005. It provides background information on the project and sets out a series of tentative conclusions concerning how such a project might proceed. Feedback received from stakeholders, as well as further work conducted by the Finance Department, formed the inputs for the development of recommendations that were approved in principle by the TFC on April 5, 2006.
The second "Discussion Paper and Invitation to Comment" was issued by the Finance Department on behalf of the TFC in September 2006. The purpose of this second paper was to bring stakeholders up to date on the project and solicit input concerning the implementation phase. Click here to check out the second discussion paper.
In response to the second discussion paper, a number of responses came in from across the Territory. The paper was well received, and the responses helped form the basis by which the implementation plan was developed. The Finance Department felt that it would be worth while to provide a summary of some of the responses, as well as a reply to those responses, in order to provide additional information and help clarify what consolidation means for the ministry unit, and how it might impact, or not impact, the work of existing staff and volunteers that perform the accounting function. Click here to check out the Finance Department's reply to the feedback received from the second discussion paper. The issues are presented in a generic Q&A format for ease of reference.
Current Financial Statements:
Below are links to the Annual Reviews and audited Territorial Financial Statements:
Click here to view the 2005/06 annual review.
Click here to view the 2005/06 audited financial statement.
Click here to view the 2006/07 annual review.
Click here to view the 2006/07 audited financial statement.
Click here to view the 2007/08 annual review.
Click here to view the 2007/08 audited financial statement.