GASB Requests Comments on Structure of Communicating GAAP for State and Local Governments

The GASB has released for public comment a discussion memorandum (i.e., an early-stage, preagenda request for feedback) on whether it should retain the current dual-authority structure for communicating GAAP that apply to state and local governments or whether it should move to a single-authority structure. That is, there are two sources for the existing GAAP hierarchy for state and local governmental entities: (1) stand-alone authoritative GAAP (e.g., Statements, implementation guides) and (2) the GASB Accounting Standards Codification (which incorporates the stand-alone pronouncements). Certain stakeholders have, for example, questioned whether it would be more efficient to shift to a single source of guidance in a manner similar to what the FASB did with its FASB Accounting Standards Codification.

Comments on the discussion memorandum are due by August 31, 2026. For more information, see the press release on the GASB’s Web site.