Governmental Accounting Standards Board Statement Number 1

In July 1984, the Governmental Accounting Standards Board issued Governmental Accounting Standards Board Statement 1: Authoritative Status of NCGA Pronouncements and AICPA Industry Audit Guide.

Summary

The Statement accepted as authoritative the National Council on Governmental Accounting (NCGA) Statements and Interpretations and the accounting and financial reporting guidance contained in the Industry Audit Guide, Audits of State and Local Governmental Units, issued by the American Institute of Certified Public Accountants (AICPA) in 1974, as amended by certain Statements of Position.

All NCGA pronouncements previously issued and in effect as of July 1984 and the currently effective accounting and financial reporting guidance contained in the AICPA Industry Audit Guide are continued in force until altered, amended, supplemented, revoked, or superseded by a subsequent GASB pronouncement.

This Statement also identified those pronouncements concerning pension accounting and financial reporting that the GASB considered as sources of acceptable accounting and reporting principles for public employee retirement systems (PERS) and state and local government employers, pending issuance by the GASB of a Statement or Statements on that subject.

Status

Effective Date

July 1984

Amends earlier standards

This Statement did not significantly amend any earlier generally accepted accounting standards. Rather, since the Governmental Accounting Standards Board was taking on the responsibility of setting GAAP for state and local governments, this statement defined the existing GAAP.

Amended by later statements

As a baseline, this statement has been extensivly amended by later pronouncements. Specifically, paragraph 8 was amended by GASB 2, GASB 10, GASB 14, GASB 25, GASB 27, GASB 33, GASB 34, and GASB Concept 1. Paragraph 9 was superseded by GASB 27. Certain NCGA and AICPA pronouncements continued in force (as listed in ¶12) have been amended or superseded by GASB pronouncements issued after this statement. Lastly, Appendix B was modified by Jurisdiction Determination of the Financial Accounting Foundation Trustees on November 30, 1989 in OP Appendix C.

Discussion