Accounting, Auditing, and Financial Reporting.

• Author: Michel, R. Gregory
• Position: Brief Article

"A New Look for Local Ledgers"

City and County Financial Management, November 2000, PP. 1 and 6.

GASB Statement No. 34 has been called the biggest change in the history of governmental accounting. Governments with $100 million or more in revenues must implement GASB Statement No. 34 for financial periods beginning after June 15, 2001--smaller governments have later deadlines. GASB Statement No. 34 is designed to make annual reports easier for government leaders and the public to understand. It also shows taxpayers how much is spent on infrastructure and how much it costs to provide government services. GASB Statement No. 34 requires governments to include a "Management's Discussion and Analysis" which explains the government's financial condition in everyday language. It also requires governments to use accrual accounting. Under the GASB new standard, governments provide more of a government-wide perspective, rather than just totals from various funds. Governments also are required to report infrastructure at historical cost. For assistance on GASB Statement No. 34, the GFOA posts a technical bulletin on its Web site...