Athens, GA (May 22, 2007) — How governments are responding to a significant new accounting standard will be explored over the next few months by Paula Yeary, faculty member with the Carl Vinson Institute of Government.

The Governmental Accounting Standards Board Statement #45 requires governments to account for and report on, from an actuarial basis, their costs and obligations related to post-employment healthcare and other non-pension benefits, commonly known as OPEBs. Previously, governments only accounted for the cost of current year expenditures referred to as pay-as-you-go financing, Yeary said.

The research will be a project of the National Center for the Study of Counties, a focused program for the study of county-related issues that is coordinated by the Vinson Institute, in cooperation with the National Association of Counties (NACo).

Interviews will be conducted with county managers, financial directors, actuaries, and human resource directors in governments that have already implemented GASB 45, Yeary said.

“This standard could have potentially far-reaching ramifications for governments of all sizes in terms of bond ratings, taxes, budgets, and the benefits themselves,” she said. “The information collected in the study will be provided to county officials who will be implementing GASB 45 over the next two years so they may learn from their colleagues’ experiences.”

This article was posted on Tuesday, May 22nd, 2007 at 1:33 pm and is filed under News.