The government should adopt web-based financial reporting and establish a central website for the public distribution of federal financial information, panelists urged a House panel Feb. 16.

"Financial reporting information needs to switch from a paper-based, static reporting model to more electronic, dynamic and readily available online availability," said Jonathan Breul, executive director of the IBM Center for the Business of Government. Breul testified before the House oversight and Government Reform government organization, efficiency and financial management subcommittee, chaired by Rep. Todd Platts (R-Pa.).

Breul, along with panel member Mike Hettinger, an executive director at Grant Thornton, assisted with a December 2010 paper (.pdf) commissioned by the Federal Accounting Standards Advisory Board on improving the relevancy of the annual consolidated financial report of the  federal government. Among the 10 recommendations were calls for replacing paper-based reporting with electronic measures and establishing a public website.

Electronic reporting "is essential if we are to move in the direction of improving the availability and transparency of government information," Hettinger said.

Making financial information accessible to citizens online would require some thought in how it's presented, said Tom Allen, FASAB chairman.

"Not too many people say 'Just tell me the total cost of defense and I'm happy to know that,'" Allen said. They want answers to questions such as how much does a war in a particular country cost, he said.

The consolidated financial statement as it currently sits is almost too much information, Hettinger said. Not everyone will be equally interested in all parts of financial statements, "but if we get it out there electronically usable, findable, if it pops up on Google when you do a search for the federal financial report or U.S. government financial report, folks are going to start to pay more attention," he said.

For more:
- go to the hearing webpage
- watch the hearing on YouTube

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