On January 22, 2016, the Government Finance Officers Association’s (GFOA) Executive Board approved five best practices and an advisory providing guidance for government finance officers. Best practices identified by the GFOA identify specific policies and procedures that can improve government management, while advisories identify specific policies and procedures necessary to reduce government exposure to potential loss connected with its financial management activities.
The new and revised best practices and advisories provide guidance on creating a strong internal control environment, enhancing tax abatement transparency, ensuring that entitywide budgets don’t contain double-counting and incorporating the capital budget into the budget document. The board also addressed retirement benefit issues through guidance on sustainable funding practices for defined benefit plans and other postemployment benefits (OPEB) and an advisory against governments issuing OPEB bonds based on the associated risks.
For more information, read the best practices and advisories or contact your BKD advisor.