Schedule 5.6 - Revenues Recognized for Land Continuity

This schedule reflects the provisions of the Public Sector Accounting Standards Board (PSAB) Government Transfers standard (PS 3410). While the standard allows for deferred capital contributions (DCC) relating to the purchase or acquisition of depreciable assets, this is not the case for non-depreciable assets (i.e. land). These must be recognized in revenue when the non-depreciable assets are acquired. Revenues received to purchase land are excluded from DCC to comply with the standard, and the revenues are shown under accumulated surplus unavailable for compliance on Schedule 5 at item 4.7. Details of land revenues are tracked on this schedule.

Continuity of Revenues Recognized for Land

Item 1.1: Balance at September 1

The amounts on this line are pre-loaded based on the closing balance of Schedule 5.6 in the board-submitted 2024-25 Revised Estimates. School boards can adjust the pre-loaded amount based on the latest information available.

Item 1.2: Unsupported Past Spending on Land

This amount is entered (a positive number), and represents the revenues that will be recognized in 2025-26 for the purchase of land that occurred in a prior period. Revenues to support this purchase are only being received in 2025-26 .

School boards should enter the portion relating to EDC (column 1) and non-EDC (column 2) land revenues.
If a school board has reclassified a supported asset on Schedule 3C between non-land and land, a corresponding adjustment should also be made on this line for the land; the adjustment would be positive if an asset was moved TO the land category, and negative if it was moved FROM the land category.

Item 1.3: Land Expenditures - Current Year

This amount is the revenue that will be recognized in 2025-26 for the purchase of land including capitalized interest (i.e. capital grants received or deferred revenues used):

For column 1 (EDC), it is the amount from Schedule 3A, item 3.1, EDC column.
For column 2 (non-EDC), it is calculated as (Schedule 3A, item 3.1, total column minus EDC column) + (the lesser of Schedule 3A, item 6.1, column 3 and Schedule 3, item 1.5, column 3).

Item 1.3.1: Prior Years Capital Grant Adjustments

This is an input cell to report any previous years’ capital grant adjustments received in the current school year related to land revenues.

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For example, a 2024-25 regulation amendment made subsequent to the 2024-25 Financial Statements on a capital grant approval table will impact the grant entitlement in 2024-25 but the payment adjustment will be made in a subsequent school year. Therefore, an adjustment related to a prior year entitlement would be required to amend the revenues recognized for land accordingly. Please note that for amounts paid through a capital grant, the accounts receivable on Schedule 5.2 (column 3) will also be affected in the same way.

This item is only applicable for the non-EDC column. If an EDC revenue was received in a year after a land purchase was made, this would be entered at item 1.2 (unsupported past spending on land).

Item 1.4: Supported Portion Land Disposed - Current Year

An amount is entered on this line when land is disposed during the period. When land is purchased, the revenues received to purchase the land are recorded on Schedule 5.6. Accordingly, when the land is disposed, this amount of revenue must be removed from this schedule. Enter the value as a positive number, splitting the amount between EDC and non-EDC.

See the Fall 2011 Training Session slides for the journal entries supporting the proceeds of disposition transactions.

Item 1.4.1: Write Down of Supported Land

Enter the amount of write down on supported land. This will reduce the revenues recognized for land on Schedule 5, item 4.7 as well as on the Compliance Report, item 2.1.2.

Item 1.5: Accumulated surplus (Committed or released)

This amount equals the total capital land projects on Schedule 5.5 (Committed Capital Projects Funded by Accumulated Surplus), columns 5 + 7. It is the portion of accumulated surplus that has been committed due to the purchased land (positive value) plus the portion of accumulated surplus that has been released from ‘unavailable for compliance’ when the land is sold (negative value).

Item 1.6: Balance at August 31

This cell is the sum of items 1.1, 1.2, 1.3, 1.3.1, and 1.5 minus items 1.4 and 1.4.1.

This value is populated to Schedule 5, item 4.7, column 4.
It represents the cumulative total of revenues that have been included in accumulated surplus for the purchase of land as at August 31, 2026.

Capital Deficit on Land

For depreciable assets, the DCC continuity (Schedule 5.3) is used to track any capital deficits. As explained above, contributions for the purchase of land will not be included in DCC due to a February 2011 update in the Public Sector Accounting Standards Board (PSAB) Government Transfers standard (PS 3410). As a result, this portion of the schedule is used to track any capital deficits on land purchases.

Item 2.1: Land and land improvements with infinite lives at August 31

The total land values, including pre-acquisition costs for land and capital leased assets - land, are populated from Schedule 3C (item 6.1, column 9) into column 3.

Enter the portion of the total that relates to EDCs in column 1.
The amount not related to EDCs is calculated automatically in column 2.

Item 2.2: Assets held for sale at August 31

The portion of the assets held for sale that were previously classified in a TCA land category are populated from Schedule 3D (item 1.1, column 6) into column 3.

Enter the portion of the total that relates to EDCs in column 1.
The amount not related to EDCs is calculated automatically in column 2.

Item 2.3: Revenues Recognized for Land - Balance at August 31

This amount is automatically populated from item 1.6 above.

Item 2.4: Capital Deficit on Land - for the Year Ending August 31

The capital deficit on land is calculated as the book value of land (items 2.1 and 2.2) less contributions that have been received to support the land (item 2.3).

This value cannot be negative. If a negative value appears here, it is likely because this schedule was not updated when a land asset was sold in the current year or in a past year; an adjustment should be entered at item 1.3.1, 1.4, or 1.4.1, or indirectly at item 1.5 (through entry on Schedule 5.5 for land that was funded by accumulated surplus), depending on the situation.
Error message Error_SC5.6_2 ensures that the calculated values in both columns are not negative.

Relationship to other schedules:

Item 1.3 is calculated based on Schedule 3A:
- column 1 = Schedule 3A, item 3.1, EDC column;
- column 2 = (Schedule 3A, item 3.1, total column minus EDC column) + (lesser of Schedule 3A, item 6.1, column 3 and Schedule 3, item 1.5, column 3).
Item 1.5, column 2 = Schedule 5.5 total capital land projects line, columns 5 + 5.1 + 6.1.
Item 2.1, column 3 = Schedule 3C, column 9 (closing balance), item 6.1.
Item 2.2, column 3 is loaded from Schedule 3D, item 1.1, column 6.
Amounts from this schedule populate Schedule 5, item 4.7:
- Item 1.1 populates Schedule 5 column 1.
- Items 1.2 to 1.5, less Schedule 5.5 total capital land projects line, column 5, populates Schedule 5 column 3.
The total values in column 3 are included in the calculation of In-year revenues for land on the Compliance Report, item 2.1.2.
The negative of item 1.4 less Schedule 5.5 total capital land projects line, column 6.1, populates Schedule 9 item 8.50.
In the Financial Statements cycle, warning message Warning_SC5.6_2 compares the closing balance of the EDC capital deficit on land (item 2.4, column 1) with the closing EDC non-depreciable accumulated deficit (Appendix D1, item 5.3, column 7). If the two values are not equal, please provide an explanation on the Warnings Explanation form. Valid reasons may include a deficit caused by EDC operating expenses.

Last updated on 2025-05-11

Schedule 5.5 Schedule 5.7