Chart of Accounts

Accounts to Distinguish Operating Leases and Rental Expenses

The U of O requested the ability to separately identify rental expense from operating lease expense within the accounting records. Currently much of this activity is commingled within account codes. It is believed that separating rental expense from operating lease expense into respective account codes will streamline and enhance the accuracy and completeness of reporting for operating leases as required by OUS FPM 55.100.200 H.

In order to allow new reporting functionality and maintain much of the existing functionality requires breaking most of the existing rental/lease accounts into their component units (i.e. rentals vs operating leases) and establishing appropriate rollup structures. After some consideration, the following proposal was derived and is being presented for review and approval.

The proposal is to terminate existing accounts and split into respective new rental vs operating lease accounts with appropriate rollups. The intended effective date of implementation would be July 1, 2006 however institutions would have the option of implementing during FY ’06 if desired. Early implementers would have the further discretion whether or not to reclass current year ‘06 activity. (Early implementers will need to coordinate their intentions with the Controller’s Divisions so proper chart maintenance can be performed.) Proposal and approval deadline to be discussed/determined at the December 6 th, 2005 Business Officer’s Meeting.

Below are the current and proposed account code structures. (Red text indicates new accounts.)

Return to Chart of Accounts Index Page
Last Updated: 12/01/05