The Latest Rules and Regulations That Impact Your Government Entity

Arizona School District Residency Requirements

With the new school year quickly approaching it’s that time when many districts are performing their annual registration process. In September 2011, the Arizona Department of Education (ADE) issued a memo with guidelines on how to comply with A.R.S. §15-823(J) which allows districts to only include students who reside in Arizona in their student counts. …

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How are the New Accounting Standards for State and Government Pensions Going to Affect Me?

In June 2012, Governmental Accounting Standards Board (GASB) issued 2 new standards (GASB67 and 68) dealing with financial statement reporting of State and local government pensions.  These standards change how State and local governments report the costs and obligations associated with defined benefit pension plans.  Governments will be implementing changes as early as June 30, …

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The Yellow Book Update and New Independence Standards

The Government Accountability Office (GAO) has recently updated the Government Auditing Standards this year.  Some of you may wonder, “How is this update going to affect me?”  Or, “What is my auditor going to be asking that I should be prepared for?”  Among the seven chapters and over 200 pages of information that you and …

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Compensated Absences

“Compensated absences” refers to employee absences for which employees will be paid, including vacation and sick leave.  Expenses are normally recognized during the period for which the employee provides services qualifying that employee for compensated absences.  If the employment policy specifically dictates, a liability is accrued for unused portion of such compensated absences. Liabilities are …

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Governmental Accounting Standards Board’s (GASB) Addition to the Financial Statement Elements and Implementation of GASB 65

GASB has added two elements to the original five financial statement elements.  GASB Statement No. 65 Items Previously Reported as Assets and Liabilities, issue guidance on using the new elements.  The two new elements are Deferred Outflows of Resources and Deferred Inflow of Resources.  GASB’s seven financial statement elements are defined as follows: Assets- resources …

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Government Cash Requirements

Recently, while working with a few of our smaller governmental clients, we had recognized a concern by those client regarding their requirements to collateralize and/or maintain deposit balances below the ever changing Federal Deposit Insurance Corporation limits (FDIC).  We realize how much those working in government finance are constantly bombarded with items in their day …

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Check Out GFOA’s Six New Best Practices that were Adopted in January 2012

In January 2012, the Government Finance Officers Association’s Executive Board adopted 2 new Best Practices and revised 4 Best Practices.  The 2 new Best Practices are as follows: Presentation of the Departmental Section in Operating Budget Document – This document provides guidance to governments on how to meet their programs and services objectives.  The departmental …

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ARS 41-725: Increasing Governmental Transparency

Over the past several years there has been a great demand to increase the transparency of governmental spending as citizens want to know how tax dollars are being spent. ARS 41-725 requires the state and local governments to provide taxpayers with exactly that kind of information. The statute requires the State of Arizona provide information …

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Don’t Forget about your Retainages

Most companies have a variety of projects going on every year.  One of the things that is negotiated early in the process of creating a contract for a project is if a retainage will be built into the terms.  A retainage refers to a portion of the payment that is withheld until the project is …

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Self-Fulfilling Going Concerns

In this heated political environment combined with one of the largest recessions in a century, it is no surprise to find that governments are slashing budgets and will no doubt continue to cut programs across the country.  Recently we were on an audit of an entity that relied heavily on government funding for its programs, …

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