GASB Statement No. 77

Source: Good Jobs First, 2016

…It’s official: the Governmental Accounting Standards Board (GASB) issued Statement No. 77 on August 14, 2015. That means all state and local budgets starting after December 15, 2015 and conforming to Generally Accepted Accounting Principles (GAAP) are covered.

Statement No. 77 requires GAAP-compliant public budgets to report how much revenue the government body lost to corporate tax breaks granted in the name of economic development, or “tax abatements” in GASB’s umbrella terminology.

This is historic news: for the first time ever, state and local governments—including school districts that lose revenue passively—will have to report the costs of job subsidies.

It is no exaggeration to refer to economic development reform in pre-GASB 77 and post-GASB 77 terms. The data will start being published in 2017 based on calendar 2016 and later budgets (see timeline below)….
Related:
Comptroller Stringer Releases Fiscal Year 2016 Comprehensive Annual Financial Report
Source: New York City Comptroller Stringer, Press Releases, October 31, 2016

Comptroller’s Office implements GASB 77 tax abatement disclosures one year ahead of schedule
(New York, NY) – Today, New York City Comptroller Scott M. Stringer released the City’s Comprehensive Annual Financial Report (CAFR) for Fiscal Year 2016, which includes the City’s audited financial statements for the year, outlines important economic and financial data about New York City and highlights work done by the Comptroller’s Office during the previous fiscal year.