Accounting treatment

The accounting treatment for P3 projects follows generally accepted accounting principles set out by the Public Sector Accounting Board of the Canadian Institute of Chartered Accountants. The obligation is "on-book", so the province records the obligation as the asset is built and records the cost of building the asset as a capital expense. <Depending whether the asset is owned by the province or by a SIO or grant funded entity, there may be some differences in accounting treatment to work through. Treasury Board can provide the appropriate wording to this section.>