Overview[]
The Federal Accounting Standards Advisory Board (FASAB) was established in October 1990, by the Secretary of the Treasury, the Director of the Office of Management and Budget, and the Comptroller General of the United States. They created FASAB to develop accounting standards and principles for the U.S. Government. The three agencies they head fund the FASAB. In October 1999 the American Institute of Certified Public Accountants (AICPA) recognized FASAB as the board that promulgates generally accepted accounting principles (GAAP) for federal entities.
The Board publishes Statements of Federal Financial Accounting Concepts (SFFAC) and Statements of Federal Financial Accounting Standards (SFFAS). FASAB also publishes Interpretations, Technical Bulletins, and staff guidance. After the Board concludes its deliberations on a proposed Statement and submits it to the sponsors, they have 90 days to review the Statement. If neither the Director of the Office of Management and Budget nor the Comptroller General object, the Statement is published by FASAB and becomes generally accepted accounting principles for federal financial reporting entities.