According to Statement 94, a P3 is defined as an agreement by which a state operator enters into contracts to provide public services with a public or non-state operator, giving control over the right to exploit or use a non-financial asset such as infrastructure or other investment value (the underlying P3 asset) for a specified period of time in an exchange or stock exchange transaction. This statement relates to service concession agreements (SCAs) that constitute a kind of public-private or public-public-public partnership. The concept of public-private partnership refers to a large number of service agreements, management agreements and SCAs. The terms of an CAS may include payments made by the operator to the government for the right to build, operate and collect royalties for the use of infrastructure or other public assets and provide for a distribution of revenues between the government and the operator for the duration of the agreement. 3.5 Privatisation. Privatization occurs when an institution sustainably transfers an asset or service to an operator, usually through sale. The institution takes responsibility for the ease and service delivery associated with it. Privatizations through the sale (or transfer) of investments should be notified in the same way as for any other sale or transfer of assets. Existing accounting obligations for leasing and provisions for the sale and transfer of assets are sufficient to provide guidance for these transactions.

Accordingly, GASB concluded that privatizations should not be included in the scope of this statement. The purpose of this directive is to provide guidelines for statement 60 of the Governmental Accounting Standards Board (GASB) on the financial statements of the University of Texas. If so, please contact the U.S. T. System Office of the Controller at l`controllersoffice@utsystem.edu in order to obtain assistance in determining the appropriate accounting and reporting. GASB Statement 60 can be downloaded from GASB`s website www.gasb.org. 3.1 Agreement in which a third party designs and builds capital. For procurement methods, design and design elements are provided separately. There are rules for construction projects, for which design and construction aspects are assigned to third parties. A design and construction arrangement is completed for service purposes (construction); the service is not made available to the general public, but to the institution itself. 3.2 Supplier agreements. Some public bodies contract with a vendor to provide ancillary services within an institutional asset.

For example, a university could enter into a contract with a dealer to install soda and snack dispensers in dormitories. If the service provided by the operator is incidental to a service that is the main function of the organization itself, the agency is excluded from the scope of GASB 60. 3.3 Service and Management Agreements (SMAS). In a service contract, a public institution awarded contracts to a separate agency for services it would otherwise have provided. As a general rule, the institution sets the requirements for service delivery. A management contract is similar, but it is also responsible for administrative functions related to the operation of the service. B such as recruiting staff, interacting with other creditors and preparing budget information.