By Tom Shoop | Friday, August 10, 2007 | 10:16 AM
I don't pretend to be any kind of expert on this kind of stuff, but this sounds pretty significant: The General Services Administration has issued a new Common Governmentwide Accounting Classification. The idea is to standardize the way agencies code and categorize financial transactions, so that there's a common financial structure across government. Of course, there's so much variation now that it will take several years to implement the new standards, as agencies upgrade their financial systems.
Comments
I tend to agree with Don. Specific accounting codes are needed by certain agencies in order for that agency to know what is occurring within itself. If all the codes are the same, out the window goes the internal agency checks and balances, just for the sake of commonizing all accounting systems. I have heard for years that a loan-is-a-loan-is-a-loan BUT there are DIFFERENCES and in those differences is the devil which must be audited.
Iggy | Wednesday, August 22, 2007 | 10:33 AMCommon accounting is a standard and basic fundamental principle of accounting. I left the federal government after managing accounting for two federal agencies with horrible accounting practices. The "checks and balances" of existing government accounting are wasteful and inefficient by design. The GSA must homogenize government accounting to bring accountability to government. This issue shouldn’t include personal political views; it is about better government. If the agencies were private entities, they would be bankrupt!
Patrick | Wednesday, August 22, 2007 | 10:07 AMMaybe we should have GSA account for the 100 million dollars lost on the GSA SAP conversion project, last year. Their house needs to get in order first!
JoJo | Thursday, August 16, 2007 | 12:17 PMI disagree with Don. The need for a common accounting classification system is manifestly obvious. Much of the difficulty in tracking and reporting obligations and expenditures has to do with the crosswalk between agencies. The imposition of standard accounting classifications will allow external reviewers and auditors to see areas where the government could achieve better savings by imposing or increasing economic ordering quantities. It will also serve to meet the President's Management Agenda in regards to transparency in reporting agency financial status. Finally, I disagree with Don becaise he appears to want to substitute software and systems for integrity,ethics, and good financial management. The answer to fraud, waste, and abuse is transparency in reporting, ethics in management and contracting, and integrity in the review process. The new accounting classifications will facilitate that goal.
Concerned citizen | Saturday, August 11, 2007 | 10:48 AMThis is a real problem stemming from a basic lack of understanding by the recent generation of MBA's running several agencies and stacked into the current administration's ranks. The problem with standardizing and common-izing all accounting systems is that it destroys checks and balances. If all the systems are the same and have the same controls, they will make the same errors, allow the same waste, fraud, and abuse, and fail to find the same problems. The president made the same mistake with his extension of presidential power into the scope of the legislative and judicial branches. With fewer checks and balances, and all the fish swimming in the same direction at the same speed, in the same formation...how will anyone notice when things go off course. This is a good idea only in the head of some efficiency planner. When effectiveness and integrity come into the picture, this push by GSA is bad on paper, and where the rubber meets the road.
Don | Friday, August 10, 2007 | 01:13 PMABOUT THIS BLOG
Government Executive Editor Tom Shoop takes a look at news and events affecting the federal bureaucracy, from the perspective of a longtime observer of government.
SEARCH THIS BLOG
ARCHIVES
- August 2008
- July 2008
- June 2008
- May 2008
- April 2008
- March 2008
- February 2008
- January 2008
- December 2007
- November 2007
- October 2007
- September 2007
- August 2007
- July 2007
- June 2007
- May 2007
- April 2007
- March 2007
- February 2007
- January 2007
- December 2006
- November 2006
- October 2006
- September 2006
- August 2006
- July 2006
- June 2006
- May 2006
- April 2006
- March 2006
- February 2006
- January 2006
- December 2005
- November 2005
- October 2005
- September 2005
- August 2005
- July 2005
- June 2005
- May 2005
- April 2005
- March 2005
- February 2005
- January 2005
- December 2004
- November 2004
- October 2004
CATEGORIES
- Budget
- Comings and Goings
- Congress
- Defense
- Factoid of the Day
- Fedblog
- General News
- Government Operations
- Headline of the Day
- Homeland Security
- Intelligence
- Management
- Oversight
- Pay and Benefits
- Photo of the Day
- Political Appointees
- Press Release of the Day
- Procurement
- Quote of the Day
- The White House
- The Workforce
- The Workplace










