FASAB seeks to enhance note disclosures in financial statements

The Federal Accounting Standards Advisory Board (FASAB) is seeking feedback on an exposure draft aimed at further standardizing and adding value to note disclosures in financial statements.

Stakeholders have until Nov. 27 to share their thoughts on the proposed Statement of Federal Financial Accounting Concepts (SFFAC) titled Omnibus Concepts Amendments.

The proposal is designed to reduce repetition and improve relevance, clarity, comparability, and consistency of note disclosures. It also would consolidate guidance for developing management’s discussion and analysis (MD&A) standards by rescinding SFFAC 3, Management’s Discussion and Analysis, and amending paragraph 69 of SFFAC 2, Entity and Display.

“This proposal would expand concepts in SFFAC 2 to include the types of information that may be presented in note disclosures and the role of note disclosures as an integral part of the basic financial statements. It would also consolidate MD&A concepts into one SFFAC,” FASAB Chair George A. Scott said in a news release.

Earlier this week, FASAB published an ED related to the reporting of federal oil and gas and other natural resource information. The deadline for public comments is Sept. 21.

— To comment on this article or to suggest an idea for another article, contact Bryan Strickland at Bryan.Strickland@aicpa-cima.com.