2016_SUNY_Optometry_PRR

T H E S T A T E U N I V E R S I T Y O F N E W Y O R K

Notes to Financial Statements June 30, 2015 and 2014

Net Position Resources are classified for accounting and financial reporting purposes into the following four net position categories: Net investment in capital assets Capital assets, net of accumulated depreciation and amortization and outstanding principal balances of debt attributable to the acquisition, construction, repair or improvement of those assets. Restricted – nonexpendable Net position component subject to externally imposed conditions that the State University is required to retain in perpetuity. Restricted – expendable Net position component whose use is subject to externally imposed conditions that can be fulfilled by the actions of the State University or by the passage of time. Unrestricted component of net position The unrestricted component of net position includes amounts provided for specific use by the State University’s colleges and universities, hospitals and clinics, and separate legal entities included in the State University’s reporting entity that are designated for those entities and, therefore, not available for other purposes. The State University has adopted a policy of generally utilizing restricted – expendable funds, when available, prior to unrestricted funds. Revenues Revenues are recognized in the period earned. State appropriations are recognized when they are made legally available for expenditure. Revenues and expenses arising from nonexchange transactions are recognized when all eligibility requirements, including time requirements, are met. Promises of private donations are recognized at fair value. Net patient service revenue for the hospitals is reported at the estimated net realizable amounts from patients, third party payors and others for services rendered, 1. Summary of Significant Accounting Policies and Basis of Presentation (continued)

including estimated retroactive adjustments under reimbursement agreements with third party payors. Tuition and fees and auxiliary sales and service revenues are reported net of scholarship discounts and allowances. Auxiliary sales and service revenue classifications for 2015 and 2014 were reported net of the following scholarship discount and allowance amounts (in thousands): 2015 2014 Residence halls $ 100,586 85,000 Food service and other 39,123 31,666 Cash and Cash Equivalents Cash and cash equivalents are defined as current operating assets and include investments with original maturities of less than 90 days, except for cash and cash equivalents held in investment pools which are included in short-term and long-term investments on the accompanying balance sheets. Restricted Cash and Cash Equivalents Restricted cash and cash equivalents represent unspent funds under various capital financing arrangements, cash held for others, and cash restricted for loan and residence hall programs. Investments Investments in marketable securities are stated at fair value based upon quoted market prices. Investment income is recorded on the accrual basis, and purchases and sales of investment securities are reflected on a trade date basis. Any net earnings not expended are included as increases in restricted – nonexpendable net position if the terms of the gift require that such earnings be added to the principal of a permanent endowment fund, or as increases in restricted – expendable net position as provided for under the terms of the gift, or as unrestricted. At June 30, 2015 and 2014, the State University had $274 million and $287 million available for authorization for expenditure, including $178 million and $187 million from restricted funds and $96 million and $100 million from unrestricted funds, respectively.

24