WASHINGTON, D.C. – Today, Congressman Blaine Luetkemeyer (MO-03) and Congressman Ted Budd (NC-13) introduced the Responsible Accounting Standards Act to bring commonsense reform to the unaccountable Financial Accounting Standards Board (FASB).

“Accounting principles impact every single American business and their employees. FASB’s wide-ranging power should require commonsense oversight and analysis. This bill ensures the effects on the American economy are studied and considered in every standard FASB puts into place,” said Luetkemeyer.

“The unaccountable bureaucracy of FASB desperately needs basic Congressional oversight over its massive impact to our financial sector and the wider economy. The Responsible Accounting Standards Act will be a positive step forward in the cause of good governance,” said Budd.

Background:
The Responsible Accounting Standards Act makes simple, commonsense reforms to ensure appropriate transparency at FASB. Specifically, this legislation would require the FASB to adopt similar procedures to the Administrative Procedure Act and to conduct a cost-benefit analysis on accounting standards to determine how they will impact "the efficient functioning of the economy and private markets, and the cost of businesses complying with the action." This legislation would also require the head of the FASB to testify in front of Congress on a yearly basis.

Full bill text can be found HERE.