Connecticut House Bill HB05107

Connecticut 2010 Regular Session

• Introduced: 2/10/10
• Refer: 2/10/10

Caption

An Act Mandating The Use Of Generally Accepted Accounting Principles.

Impact

If enacted, HB 05107 will amend section 3-115b of the general statutes, creating requirements for both the Comptroller and the Secretary of the Office of Policy and Management to adopt these standardized accounting practices. This intended shift towards greater transparency is significant as it may impact how financial assessments and auditing processes are conducted. By following recognized accounting principles, the state could improve its fiscal management and facilitate public trust in its financial dealings.

Summary

House Bill 05107, proposed by Representative Reynolds, aims to implement a mandated use of Generally Accepted Accounting Principles (GAAP) in the preparation of state financial documents and budgets. This bill is designed to ensure that the state's financial reporting aligns with standards set forth by the Governmental Accounting Standards Board, enhancing the accuracy and reliability of the state's financial information. The emphasis on GAAP is intended to bolster transparency and accountability within the state's budgeting processes.

Contention

While supporters of HB 05107 may view it as a necessary step towards modernization and greater public accountability, there are potential points of contention. Critics may argue that the requirements could lead to increased bureaucratic processes or financial burdens on state resources during its implementation. Additionally, there may be concerns around the flexibility of financial reporting and whether stringent adherence to GAAP could hinder the responsiveness of state management to unique financial situations.