SB 32

Under current law, there is no requirement that the executive budget bill be

prepared according to generally accepted accounting principles (GAAP). GAAP are

those principles for state and local governments adopted by the Governmental

Accounting Standards Board (GASB). Organized in 1984, GASB is an independent

organization founded to establish standards of financial accounting and reporting

for state and local governmental entities. Its standards generally guide the

preparation of external financial reports of those entities.

Under this bill, each biennium, in addition to the executive budget bill or bills

prepared based on the standards applicable under current law, the Department of

Administration is required to prepare an executive budget bill or bills according to

GAAP.