Financial Management Standards Board

I. Purpose of Board 

The purpose of the Financial Management Standards Board is to improve the effectiveness and efficiency of accounting, financial reporting and auditing standards at all levels of government and thus advance government accountability.

II. Functions and Responsibilities 
  1. The board shall oversee all aspects of AGA’s role in reviewing and responding to standard setter’s due process documents (e.g. Discussion Memorandums, Invitations to Comment, Preliminary Reviews, Exposure Drafts and other proposed pronouncements) that will significantly affect government accounting, auditing or financial reporting:
  • Accounting and financial reporting standards (and related rules, regulations, policies and other pronouncements) promulgated by the Federal Accounting Standards Advisory Board, the Governmental Accounting Standards Board, the International Accounting Standards Board, International Federation of Accountants, the Office of Management and Budget, and other organizations.
  • Government auditing standards (and related rules, regulations, policies and other pronouncements) promulgated by the American Institute of Certified Public Accountants, the U.S. Government Accountability Office, the International Federation of Accountants’ International Auditing and Assurance Standards Board, the Public Company Accounting Oversight Board, the International Organization of Supreme Audit Institutions, and other organizations.
  1. On behalf of AGA, develop a consensus response to the due process documents within the timetable provided for public comment.
     
  2. The views of the FMSB do not necessarily represent those of AGA. Such a statement will be incorporated into all FMSB-issued documents.

III. Structure of the Board

The board shall consist of up to 25 members (including the chair and vice chair), which shall include appropriate representation from federal, state and local government and other backgrounds (for example, academia, public accounting). AGA's CEO shall be an ex-officio board member.

The National President shall appoint the board members, the chair and vice chair. The National Governing Board (NGB) shall approve all appointments. Board members shall be appointed for a three-year staggered term and may be reappointed for an additional consecutive three-year term. The chair and vice chair will serve a one-year term, with the ability to be appointed to serve additional terms in those capacities.

An AGA staff liaison will act as project facilitator for development of comment letters based on applicable due process documents.

IV. Reference to Bylaws and/or Policy Procedures

1) Bylaws: 

  • a) Article V, Section 4 (i) provides that the NGB shall “review all actions and programs of National Boards, Committees, Councils and Task Forces…”
  • b) Article VIII, Section 1 provides that “The National President, upon ratification by the NGB, may establish such Boards, Committees, Councils and Task Forces as may be needed to assist the NGB and the National President in carrying out the programs and operations of the Association.” 
  • c) Article VIII, Section 4 provides that “The responsibilities of the Boards, Committees and Councils shall be specified in these Bylaws and/or stated in the Policies and Procedures approved by the NGB.” 

Policy and Procedures Manual:
No specific references are made to the FMSB.