Op-ed by Sheila Weinberg, includes “… By requiring GAAP budgeting, Illinois and New York City attempted to end budget shenanigans and to restore financial stability. Unfortunately, not everything is so simple when it comes to the government. … New York City and Illinois, like most governments, budget at the fund level, so GAAP fund accounting is used to calculate their budgets. Unlike government-wide (consolidated) statements, which are done using long-term accrual accounting, similar to what businesses use, GAAP fund accounting is done using a short-term perspective. …”
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