The Alabama Journal of Government Finance

Transcription

1 Government Finance Officers Association of Alabama $$ MONEY TALK $$ The Alabama Journal of Government Finance Volume XVII Issue I Spring 2017 F ROM THE PRESIDENT I N S I D E T H I S I S S U E : GFOA 111th Annual Conference GFOAA 33rd Annual Conference GFOAA Awards Upcoming Events Board of Director s Meeting Minutes Board of Directors and Officers Committee Chairpersons Hello everyone! We had an awesome 33 rd Annual Conference in Birmingham in February. I hope you were able to attend as the speakers, topics, and fellowship were top-notch. I want to thank Travis Hulsey and the conference committee for their hard work and dedication. Our committees are already hard at work on the summer conference scheduled for August 16 18, 2017 in Orange Beach, Alabama and the 34 th Annual Conference to be held in Huntsville, Alabama February 21-23, Our organization also sponsors the annual Government Accounting and Auditing Forum (GAAF) scheduled for December 14-15, 2017 in Birmingham, Alabama. Finally, we are also busy planning our Certified Government Accounting Technician Program (GGAT) annual conference to be held in Prattville, AL on June 22, As our website says Training.is the primary goal and these events will provide over 40 hours CPE as well as exposure to valuable information to help all of us work better and smarter. I would like to thank our immediate Past President, Allison Edge, for her service as President for the past two years. During her tenure, our Board accomplished many goals including strategic planning where the Board implemented changes to the mission statement and a change in the committee structure and worked towards greater marketing efforts of our organization with emphasis on attracting more members from our school boards, students, and firms. She has made my path so much easier this year! I also want to send a huge thank you to Melissa Woods, our Treasurer for , for her time and dedication to the organization and Melinda James-Lopez and Elizabeth Howell who rolled off the Board as Immediate Past President and Director, respectively. We are a better organization as a result of all of the work and commitment of these individuals. I am excited to be your President and want to thank the membership as well as Board of Directors for allowing me to serve in this position. I started my career in state government in 1986 and made the move to academia/teaching in I research and consult with state, local, and education agencies on governmental financial management topics that include municipal bankruptcy, financial stress/health, budgeting, and auditing issues. I have a wonderful husband, awesome teenage son, and loving parents who have supported my career without fail. I am most happy in the classroom teaching all things financial and government accounting-related as well as helping my students find internships and employment after graduation. My mentor, very good friend and former professor, Dr. Judy Kamnikar, has been my rock in so many ways and she is to blame for my love of government accounting and auditing as well as my commitment to GFOAA. Continued on Page 2.

2 Page 2 F ROM THE PRESIDENT... C O N T I N U E D F R O M P A G E 1. As our new GFOAA year begins, I want to point out a few things that have recently been updated/revised. We have revised our Mission Statement (below) as well as reversed the order of secretary and treasurer positions. The second change was to restructure the organization committees to include two committees (Professional Development and Communication and Engagement) that include Officers, Directors, and members to better serve the membership. These were discussed in our annual membership meeting in February and the minutes for this meeting as well as our Board meeting can be found later in this newsletter. Our new mission statement is: The mission of the Government Finance Officers Association of Alabama is to provide a professional association for government finance personnel dedicated to professional development, educational opportunities, and collaboration. The Board is in the process of reviewing our goals (found on the website) so if you have any suggestions, we want to hear from you! We also have many volunteer opportunities and plan to implement community service events and outreach to the universities this coming year so, if you are passionate about either of those areas (or anything else), please let me know through . I am a firm believer that we are only as good as the sum our parts and everyone can contribute towards moving our organization forward. With that said and in closing, we have several opportunities to make our voice heard as many events/ opportunities to participate and be part of the discussions that are occurring in the next few months (with more information to be found later in this newsletter): GFOA 2017 Annual Conference to be held in Denver, Colorado May 21 24, 2017 Government Accounting Standards Board (GASB) Financial Reporting Model Project Reexamination of Statements 34, 35, 37, 41, 46 and Interpretation 6 Public Hearings/User Forums scheduled throughout United States in May 2017 with a planned final statement to be issued in November Be part of this discussion! Securities and Exchange Commission (SEC) has proposed amending Exchange Act Rule 15c2-12 to include additional event notices under continuing disclosure undertakings which will impact the debt and continuing disclosure responsibilities of government finance officers GFOA has a short survey and wants your input. U.S. Government Accountability Office (GAO) is asking for public comment on new draft updates to the Yellow Book through July 6, 2017 this includes updated internal control requirements and guidance as well as revised CPE requirements to ensure greater auditor proficiency in GAGAS. It is a busy time for our profession and organization and we have many opportunities to make our voice heard in these discussions. Please take part in these surveys/discussions. If you have any questions or concerns about our organization or our program offerings, please do not hesitate to contact me or any Board member to discuss these further. I look forward to working with all of the members as President for the year and I hope to see you at our upcoming events. Thank you for your support and I hope you have a great day! Dr. Keren H. Deal, CPA, CGFM, CICA kdeal@aum.edu

3 Page 3 GFOA 111TH ANNUA L CONFERENCE D E N V E R, C O L O R A D O First-time Annual Conference Attendee Scholarship GFOA strives to provide leadership to the government finance profession through education, research, and best practices. Nowhere are these efforts more apparent than at the GFOA annual conference. To keep with our commitment, GFOA will continue to award 50 scholarships per state or province in the amount of the full-conference registration fee to first-time annual conference attendees who are GFOA active government members. We encourage you to take advantage of this opportunity. To learn more about this opportunity and to apply, please First Annual Conference Scholarship. So far, only six of the fifty scholarships available to Alabama have been claimed. If you have never attended the GFOA National Conference, this is a great opportunity! Adopting a really positive attitude can work wonders to adding years to your life, a spring to your step, a sparkle to your eye, and all of that. Christie Brinkley

4 Page 4 GFOAA 33RD ANNUA L CONFERENCE B I R M I N G H A M, A L A B A M A The GFOAA 33 rd Annual Conference was held February 22-24, 2017 at the Hyatt Regency Birmingham, The Wynfrey Hotel. Travis Hulsey, Conference Chair, and his committee provided an excellent program. Jimmie Stephens, Jefferson County Commissioner, provided the welcome address Wednesday afternoon. Following, there were several informative sessions including an Economic Updates, Investments in a Challenging Marketplace and Striving for Excellence. A welcome reception was held at the hotel Wednesday evening. Thursday morning, began with a welcome by City of Hoover Mayor Frank Brocato. The day was filled with sessions pertaining to GASB, Bond Rating, Long Term Forecasting, and Enhanced Internal Controls and Fraud Prevention. The Annual Business Meeting Luncheon was held at noon. Incoming President Keren Deal presented outgoing President Allison Edge with a plaque and thanked her for serving for two consecutive years as GFOAA President. Sarah Williams was presented with the Edward and Judith Kamnikar Award of Merit for her continued dedication to GFOAA. Participants and sponsors enjoyed dinner and entertainment at the hotel Thursday evening. The conference wrapped up Friday morning with sessions pertaining to Debt Disclosure Requirements and Reporting, Investing in Economic Development, and Leadership and Motivation. GFOAA sponsors have always supported our organization and this year was no exception. There were sixteen sponsoring entities and forty-nine sponsor participants this year! Many have been with us for years; however, we had some who were first time sponsors. We appreciate them all! Past Presidents present at the Annual Meeting Front Row: Clara Myers, Sarah Williams, Mike Wright, Gene Stabler Back Row: Charles Clack, Derek Reeves, Travis Hulsey, Roger Rendleman, Bill Flowers, Steve Boone Incoming President, Keren Deal, presents outgoing Presidient, Allison Edge with a plaque in appreciation of her two years of service as GFOAA President. GFOAA promotes careers in Government Finance and is pleased to announce Holly Giang, Kathleen Thompson, Kara Bazzel, Nathan Mims, and Stephanie Baldwin were awarded college scholarships in the amount of $1,800 per year. Award recipients also receive a one year membership in GFOAA. Congratulations!

5 E DWA R D AND JUDITH KAMINKAR AWA R D OF MERIT S A R A H L. WILLIAMS Page 5 Sarah L. Williams was recognized with the 2017 Edward and Judith Kamnikar Award of Merit for her outstanding service contributions to GFOAA. Sarah s commitment and passion for the Government Finance Officers Association of Alabama is, without question, above and beyond for the organization. Sarah is a key player in several aspects of the organization such as handling sponsorships for both annual conferences, assisting the Officers in their duties, attending Board meetings on a regular basis, posting information to the chapter website, and a variety of other tasks. Sarah Williams (left) receiving the Edward and Judith Kamnikar Award of Merit from GFOAA President Allison Edge. Ms. Williams is employed with the U. S. Courts as a Financial Estate Analyst in the Office of the U. S. Bankruptcy Administrator for the Middle District of Alabama. A WA R D OF EXC E L L E N C E D I A N E SCOTT Diane Scott (left) receiving the Award of Excellence from GFOAA President Allison Edge. Diane E. Scott, Chief Financial Officer, Retirement Systems of Alabama, received special recognition from GFOAA for the work she and her team did on compliance with new pension standards. These standards, GASB Statements No.67 and 68, have substantially revised the accounting requirements previously mandated under GASB Statements No. 25 and 27. The standards were effective in 2013 and 2014 and under Diane s leadership, the RSA has compiled data and trained throughout the state on these new standards so that the state agencies, county administrators, city financial officers, post-secondary and local education agencies, and other participating entities would be able to show the information on the face of the financial statements in accordance with the new standards. Several auditors throughout the state have applauded the RSA team s commitment to compliance with the standards stating that Alabama s local governments compliance with the new pension standards was leaps and bounds ahead of what most other state pension systems and local governments were able to provide to be in compliance with the standards.

6 Page 6 SEC RULE 15C2-12 I N P U T REQUESTED On March 1, 2017, the Securities and Exchange Commission (SEC) proposed amending Exchange Act Rule 15c2-12 to include additional event notices. GFOA has expressed serious concerns about the broad scope and potential unintended consequences of the proposed amendments. The SEC is seeking public comment on the proposed amendments by May 15, In order to assist the GFOA with developing its arguments and demonstrating the problems for state and local governments to undertake such broad action in its formal comment letter to the SEC, we would like to show how these amendments may affect the work that you do when issuing and maintaining continuing disclosure responsibilities. Please take this short survey and let us know! SEC Proposed Amendments to Rule 15c2-12 SEC Rule 15c2-12 currently requires bond dealers to review issuers official statements before underwriting municipal bonds and to reasonably determine that the issuer has contracted to disclose annual financial and operating information, as well as material event notices, in the Municipal Securities Rulemaking Board s Electronic Municipal Market Access (EMMA) system. Issuers make those guarantees to the underwriter in the continuing disclosure agreement (CDA). The proposed amendments would add to the list of event notices that the issuer agrees to disclose within the CDA, to benefit investors of the bonds and ensure they are aware of the entity s financial standing. While currently the GFOA, in its Best Practices, recommends that issuers disclose when they enter a bank loan that may be material to outstanding bond holders, the SEC s proposal, goes much farther than bank loans. Additionally, the SEC is asking in very broad language for issuers to disclose when they incur financial difficulties. Specifically, the amendments would require information be disclosed within 10 days of the event in the following situations: 1. the incurrence and terms of material bank loans; direct purchases of securities by banks and other non-publicly offered debt; leases; guarantees; derivative instruments; and monetary obligations resulting from judicial, administrative and arbitration proceedings; and 2. the occurrence of defaults, acceleration and termination events; and modifications of terms or other similar events which reflect financial difficulties (this phrase is not defined by the SEC). Emily Swenson Brock Director, Federal Liaison Center Government Finance Officers Association (202)

7 G A O I SSUES N EW D R A F T U P D AT E S TO "YE L L O W B O O K, " T H E P R E E M I N E N T S TA N D A R D S F O R G O V E R N M E N T A U D I T I N G Page 7 WASHINGTON, DC (April 5, 2017) The U.S. Government Accountability Office (GAO) today issued an exposure draft containing proposed updates to Generally Accepted Government Auditing Standards (GAGAS), also known as the Yellow Book. The congressional watchdog agency invites public comments on the proposed changes, which reflect developments in the accounting and auditing profession. I m very proud of GAO s efforts to modernize the Yellow Book, which was last updated in 2011, said Gene L. Dodaro, Comptroller General of the United States and the head of the GAO. Our goal is to help auditors of government entities carry out high-quality work that reflects competence, integrity, objectivity, and independence. Some of the key proposed changes to the Yellow Book include: a new format that differentiates requirements from application guidance updated internal control requirements and guidance revised continuing professional education requirements to ensure greater auditor proficiency in GAGAS revised peer review requirements for audit organizations that also comply with peer review requirements of affiliated organizations new requirements for reporting waste that is detected during an audit To ensure that the new standards meet the needs of government auditors, the Comptroller General has established an advisory council consisting of representatives from federal, state, and local governments, as well as the private sector and academia, to review GAO s proposed modifications and consider other changes. The 2017 exposure draft includes the advisory council s input. The draft will be available for public comment through July 6, Interested parties may send their feedback to YellowBookComments@gao.gov. GAO will consider those comments in finalizing its Yellow Book revisions. All comments will be considered a matter of public record and will eventually be posted on GAO s website. For more information, contact Chuck Young, Managing Director of Public Affairs, at (202) GASB FINANCIAL REPORTING MODEL R EEXAMINAT I ON OF STATEM ENTS 34, 35, 37, 41, A N D 46 AND INTERPRETATION 6 The objective of this project is to make improvements to the financial reporting model. The objective of these improvements would be to enhance the effectiveness of the model in providing information that is essential for decision-making and enhance the ability to assess a government s accounting and address certain application issues, based upon the results of the pre-agenda research on the financial reporting model. For a full description click here.

8 Page 8 U P COMING EVENTS CGAT 2017 Summer Conference June 22, 2017 Central Alabama Electric Cooperative 103 Jesse Samuel Hunt Boulevard Prattville, AL For registration and other conference information, click here. GFOAA Summer Conference August 16-18, 2017 Hampton Inn and Suites Orange Beach/Gulf Front Perdido Beach Blvd. Orange Beach, AL For registration and other conference information, click here. CGAT Certified Government Accounting Technician May 18, 2017 Fund Accounting (core) August 24, 2017 Purchasing A/P (elective) November 2, 2017 Billing A/R (elective) All classes to be held at the University of Alabama Bryant Conference Center Tuscaloosa, Alabama from 9:00 a.m. until 4:00 p.m. Registration fee $ (Includes Lunch) For additional information, click here. GFOAA Quarterly Board Meeting August 16, 2017 Hampton Inn and Suites Orange Beach/Gulf Front Perdido Beach Blvd. Orange Beach, AL :00 a.m. Grant Management Workshop The Alabama Department of Agriculture & Industries and Grant Writing USA will present a twoday grant management workshop in Montgomery, May 11-12, This training is recommended for grant recipient organizations across all disciplines. In this class you'll learn how to administer government grants and stay in compliance with applicable rules and regulations. Click here for full event details. GFOAA members and their staff receive a special tuition rate of $565. Please use code "ALASSN" to receive this $30 discount off full price at registration. Tuition includes: Grant Management USA's 400- page grant management workbook and reference guide. Seating is limited, online reservations are necessary. Contacts: Janet Darling at Grant Writing USA janet@grantwritingusa.com Christy Smith Alabama Department of Agriculture & Industries Christy.smith@agi.alabama.gov

9 Page 9 Q U A R T E R L Y B O A R D OF D I R E C T O R S M E E T I N G B I R M I N G H A M, A L A B A M A N O V E M B E R 3 0, The Quarterly Board of Directors meeting was held November 30, 2016 in Birmingham, Alabama. President Allison Edge called the meeting to order at 5:03 p.m. Minutes of the September 8, 2016 board meeting held in Guntersville, Alabama were reviewed and approved. The Board also approved minutes from a specially called board meeting held September 9, Treasurer s Report Melissa Woods presented the treasurer s report as of October 31, There was discussion of transferring funds between accounts for efficiency and to maximize earnings. Ms. Woods noted that the treasurer has the authority to transfer funds and advised that documentation be provided as support for the transfers. President Edge suggested that bank statements be included with future treasurer s reports to tie to the transfers. The incoming treasurer will be trained before taking office in April by Ms. Woods. Scholarships, Awards, and Service-Melinda James Lopez distributed a revised scholarship application for review. Ms. Lopez highlighted the recommended administrative changes necessary to streamline the application process. President Edge stated that it has been mentioned that Diane Scott with RSA is deserving of an award for the work that she has accomplished on GASB 68 implementation. Keren Deal will write the award presentation and it will be presented to her at the GFOAA annual conference. Certification Board and CGAT Sarah Williams reported that she is working on collecting historical statistical data for CGAT. President Edge reported that there is interest from participants for an annual conference. Ms. Williams requested addresses of new graduates and new attendees. Keren Deal reported that CGAT classes will continue at the University of Alabama in Tuscaloosa for another year. Public Information Charles Clack reported that the next newsletter will be published in January. Melinda James Lopez will be spotlighted for her promotion to Chief Financial and Information Officer with the City of Hoover. Mr. Clack will pursue ways to recognize new members in the newsletter. Furthermore, Mr. Clack and Keren Deal are working on a new logo for the organization. Membership Keren Deal reported that membership increased from 272 to 340 over the last two years, a 25% increase. Membership breakdown includes: 71% local government, 18% state (of that 40% ALDOT), 9% corporate, and 2% other. Dr. Deal pursued marketing strategies to increase membership. The League of Municipalities offers an advertising package that includes a booth and one exhibitor at its annual conference, and two advertisements in its publication. The League s conference is in May 2017 in Birmingham. President Edge stressed the need to take part in this opportunity in order to reach new, younger potential GFOAA members. There was also discussion about the need to have a professional booth with signage and favors to attract interest. Governmental Relations Erika Sprouse reported that the next legislative session starts Feb. 7, GAAF Conference Keren Deal reported that attendance is low with 160 attendees registered. There was discussion about the responsibility of GFOAA to the GAAF conference. President Edge mentioned that the executive committee will address this issue when it addresses the restructuring of committees at the next strategic planning session. She also mentioned that a conference call is planned with ASCPA, AGA, and GFOAA representatives to discuss the concerns with the conference partnership. GFOAA is interested in keeping the partnership in order to provide the required CPE credits. Annual 2017 Conference The annual conference will be held in Birmingham on February 22-24, President Edge received an from Travis Hulsey, conference chair, reporting that both the conference registration and hotel block are open on the website. He is still trying to fill some speaker commitments in order to finalize the agenda. Summer Conference 2017 The Hampton Inn in Orange Beach is secured for August 16-18, 2017 for the summer conference. A committee from Auburn is working on the conference planning. Save-the-date cards will be distributed at the upcoming annual conference. Annual Conference 2018 The 2018 annual conference will be held in Huntsville. The dates will be announced at the upcoming annual conference in February. It was confirmed that the annual conference may be held anytime during the first quarter of the calendar year. Cathy Hoekenschnieder will secure the location. Old Business President Edge referred to the summary of the strategic planning meeting stating that the changes to the mission statement and the reorganization of committees will be discussed at the executive committee meeting in January. Melinda Lopez made the suggestion that the order of officers be changed. Sarah Williams stated that the order of officers and committees are in the bylaws and articles; therefore, amendments and a Board vote will be necessary to change. New Business President Edge advised the Board to think about items that should be added and/or changed in the upcoming budget. Current items include: hiring a marketing firm to design a new logo, membership recruitment, promotional items, tablecloth and stand. Keren Deal is the GFOAA representative at the GFOA annual conference in Denver, Colorado in May. She has secured a restaurant in Denver for the GFOAA breakfast. The meeting adjourned at 6:47p.m. For a complete copy of the minutes, contact President Allison Edge or any board member.

10 Page 10 B OARD OF DIRECTORS AND O F FICERS A P R I L 1, M A R C H 3 1, President: Keren Deal Office: kdeal@aum.edu First Vice President: Sarita Tapscott Office: stapscott@mscs.k12.al.us Second Vice President: Derek Reeves Office: dreeves@tuscaloosa.com Secretary: Barbi Lee Office: Barbi.lee@ethics.alabama.gov Treasurer: Kathy James Office: kjames@auburnalabama.org Directors: Donald L. Mims Office: donaldmims@mc-ala.org Cody Patterson Office: , ext.7106 pattersonc@russellcsd.net Kathleen Baxter Office: kathleen.baxter@finance.alabama.gov Kelly Brendle Office: brendlek@dot.state.al.us Cathy C. Hoekenschnieder Office: cathy.hoeken@huntsvilleal.gov Erika K. Sprouse Office: esprouse@auburnalabama.org Associate Director Mike Diehl Office: mike.diehl@suntrust.com Immediate Past President Allison D. Edge Office: aedge@auburnalabama.org Administrative Assistant Jamie Moyers Office: mail.gfoaa@yahoo.com Public Information Officer Charles Clack Office: Charles.clack@revenue.alabama.gov GFOAA Office Administration Please notify Jamie Moyers to change your address, or other pertinent information, at the following address: P. O. Box Montgomery, AL Phone: or mail.gfoaa@yahoo.com

11 $$ money talk $$ Page 11 C O MMITTEE CHAIRPERSONS Professional Development Committee Sarita Tapscott, First Vice President Office: stapscott@mscs.k12.al.us Communication and Engagement Committee Allison D. Edge, Immediate Past President Office: aedge@auburnalabama.org C O MMITTEE FUNCTIONS Professional Development Committee The Professional Development Committee is responsible for the Certified Government Finance Officer (CGFO) program, the Certified Governmental Accounting Technician (CGAT) program, Education and Conferences, and Scholarships and Awards. Communication and Engagement Committee The Communication and Engagement Committee is responsible for: Governmental Relations Monitors legislative issues and provides a summary of bills passed that impact the membership. Service Developes and maintains outreach and community service projects for member involvement. Communications and Marketing Promotes GFOAA through effective marketing and promotes the Scholarship and Awards programs.

12 Government Finance Officers Association of Alabama P. O. Box Montgomery, AL $$ MONEY TALK $$ The Alabama Journal of Government Finance Editor: Charles W. Clack 57 Blue Pine Lane Wetumpka, Alabama Mission Statement The mission of the Government Finance Officers Association of Alabama is to provide a professional association for government finance personnel dedicated to professional development, educational opportunities, and collaboration.