PRINTER'S NO. 1078
THE GENERAL ASSEMBLY OF PENNSYLVANIA
HOUSE BILL
No.
952
Session of
2019
INTRODUCED BY RYAN, STAATS, GROVE, JOZWIAK AND B. MILLER,
MARCH 25, 2019
REFERRED TO COMMITTEE ON FINANCE, MARCH 25, 2019
AN ACT
Amending Title 72 (Taxation and Fiscal Affairs) of the
Pennsylvania Consolidated Statutes, providing for preliminary
provisions, for taxation and for fiscal affairs; and
establishing uniform accounting system.
The General Assembly of the Commonwealth of Pennsylvania
hereby enacts as follows:
Section 1. Title 72 of the Pennsylvania Consolidated
Statutes is amended by adding parts to read:
PART I
PRELIMINARY PROVISIONS
(Reserved)
PART II
TAXATION
Chapter
17. (Reserved)
CHAPTER 17
(Reserved)
PART III
FISCAL AFFAIRS
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Chapter
100. Uniform Accounting System
CHAPTER 100
UNIFORM ACCOUNTING SYSTEM
Subchapter
A. General Provisions
B. Methods
SUBCHAPTER A
GENERAL PROVISIONS
Sec.
10001. Scope of chapter.
10002. Definitions.
§ 10001. Scope of chapter.
This chapter relates to u niform accounting .
§ 10002. Definitions.
The following words and phrases when used in this chapter
shall have the meanings given to them in this section unless the
context clearly indicates otherwise:
"Commonwealth agency." A department, board, commission or
office of the executive branch under the policy supervision and
control of the Governor.
"Department." The Department of the Auditor General of the
Commonwealth.
"Political subdivision." A county, city, borough,
incorporated town, township, home rule municipality or school
district in this Commonwealth.
"Report." The Commonwealth annual financial report under
section 10012 (relating to Commonwealth annual financial
report).
"Secretary." The Secretary of the Budget of the
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Commonwealth.
SUBCHAPTER B
METHODS
Sec.
10011. Duties of Commonwealth agencies and political
subdivisions.
10012. Commonwealth annual financial report.
10013. Uniform standards for audits.
10014. Uniform accounting terms and definitions.
§ 10011. Duties of Commonwealth agencies and political
subdivisions.
(a) Duties.--In preparing accounting, financial and budget
documents, a Commonwealth agency or political subdivision shall
act in accordance with the following:
(1) The Commonwealth agency or political subdivision
shall comply with generally accepted accounting principles,
such as those established by the Governmental Accounting
Standards Board and the American Institute of Certified
Public Accountants if other comprehensive audit standards are
used.
(2) The accounting, financial and budget documents shall
be based on the fiscal year as specified by the laws of this
Commonwealth or an ordinance requiring the preparation of the
documents.
(3) The Commonwealth agency or political subdivision
shall use the full accrual accounting method and account for
revenue and expenditures as the revenue and expenditures
occur.
(4) The Commonwealth agency or political subdivision
shall use the uniform accounting terms, definitions and
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procedures established under section 10015 (relating to
uniform accounting terms and definitions ) and ensure a
uniform accounting system.
(b) Extensible business reporting language.--No later than a
Commonwealth agency's or political subdivision's fiscal year
beginning in 2020 and every fiscal year thereafter, the
Commonwealth agency and political subdivision shall use
extensible business reporting language for all financial
documentation.
§ 10012. Commonwealth annual financial report.
(a) General rule.--The secretary shall prepare a
Commonwealth annual financial report in accordance with this
section.
(b) Duty of secretary.--The secretary shall develop and
implement accounting and financial reporting systems that comply
with applicable standards, such as those established by the
Governmental Accounting Standards Board. The accounting and
financial reporting systems must:
(1) Demonstrate compliance with all legal requirements
and contractual obligations.
(2) Provide for adequate and proper management over
Commonwealth resources, property and other assets.
(3) Provide complete and appropriate information to the
Governor and the General Assembly to assist in their duties
of financial management of Commonwealth funds.
(4) Provide information on whether a Commonwealth agency
has met the performance goals established by the respective
Commonwealth agency.
(c) Duties of Commonwealth agencies.--Commonwealth agencies
shall provide the Office of the Budget with information
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requested by the secretary for use in preparing the report no
later than September 1, 2020 and September 1 of each calendar
year thereafter.
(d) Final report.--The secretary shall provide to the
Governor and the General Assembly a final report by March 1,
2021 and March 1 of each calendar year thereafter .
§ 10013. Uniform standards for audits.
Audits conducted by the department, by another Commonwealth
agency or by a political subdivision shall comply with all of
the following:
(1) The generally accepted government auditing
standards, such as those produced by the Government
Accountability Office.
(2) The Single Audit Act of 1984 (31 U.S.C. § 7501 et
seq,).
(3) 2 C.F.R. Pt. 200 (relating to Uniform Administrative
Requirements, Cost Principles and Audit Requirements for
Federal Awards).
(4) Any other Federal requirements for a Statewide
audit.
§ 10014. Uniform accounting terms and definitions.
(a) General rule.--One year after the effective date of this
chapter and triennially thereafter, the department, in
conjunction with the State Treasurer, the Office of the Budget
and representatives from political subdivisions selected by the
department in an equal and fair manner, shall establish uniform
accounting terms and procedures for Commonwealth agencies and
political subdivisions to implement section 10011 (relating to
d uties of Commonwealth agencies and political subdivisions) and
ensure a uniform accounting system.
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(b) Publication.--The uniform terms and definitions under
subsection (a) shall be transmitted by the department to the
Legislative Reference Bureau for publication in the Pennsylvania
Bulletin.
Section 2. This act shall take effect in 60 days.
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