U.S. Department of State Fiscal Year 2019 Agency Financial Report

Further information about the Department’s mission to the UN is at usun.state.gov . Details of the IO Liability follow (dollars in millions) : As of September 30, 2019 2018 Regular Membership Assessments Payable to UN $ 1,055 $ 842 Dues Payable to UN Peacekeeping Missions 2,121 1,139 International Organizations Liability 1,310 1,323 Total Owed to International Organizations 4,486 3,304 Less Amounts Mandated to be Withheld and not likely to be Paid 683 652 International Organizations Liability $ 3,803 $ 2,652 Funded Amounts $ 1,485 $ 1,118 Unfunded Amounts 2,318 1,534 Total International Organizations Liability $ 3,803 $ 2,652 by the United States. Without authorization from Congress, the Department cannot pay certain assessed amounts. The amounts of mandated withholdings that will likely not be authorized to be paid in the future do not appear as liabilities on the Balance Sheet of the Department. Amounts presented in the table represent amounts that are paid through the CIO, CIPA, and IO&P accounts and administered by IO. Payables to international organizations by the Department that are funded through other appropriations are included in Accounts Payable to the extent such payables exist at September 30, 2019 and 2018.  11  L eases The Department is committed to over 10,000 leases, which cover office and functional properties, and residential units for diplomatic missions. The majority of these leases are short-term operating leases. In most cases, management expects that the leases will be renewed or replaced by other leases. Personnel from other U.S. Government agencies occupy some of the leased facilities (both residential and non-residential). These agencies reimburse the Department for the use of the properties. Reimbursements are received for approximately $95 million of the lease costs. Capital Leases The Department has various leases for real property that meet the criteria as a capital lease in accordance with SFFAS No. 6, Accounting for Property, Plant, and Equipment . Assets that meet the definition of a capital lease and their related lease liability are initially recorded at the present value of the future minimum lease payments or fair market value, whichever is lower. In general, capital leases are depreciated over the estimated useful life or lease terms depending upon which capitalization criteria the capital leases meet at inception. The related liability is amortized over the term of the lease, which can result in a different value in the asset versus the liability. The following is a summary of Net Assets under Capital Lease and Future Minimum Lease payments as of September 30, 2019 and 2018 (dollars in millions) . Lease liabilities are not covered by budgetary resources. As of September 30, 2019 2018 Net Assets under Capital Leases: Intragovernmental Buildings $ 330 $ 244 Accumulated Depreciation (33) (18) Total Intragovernmental 297 226 Non-Intragovernmental Buildings 171 179 Accumulated Depreciation (67) (64) Total Non-Intragovernmental 104 115 Net Assets under Capital Leases $ 401 $ 341 2019 A gency F inancial R eport U nited S tates D epartment of S tate | 91 NOTES TO THE PRINCIPAL FINANCIAL STATEMENTS | FINANCIAL SECTION