This presentation was made by Regina Kearney, United States, at the 15th Annual OECD Public Sector Accruals Symposium held in Paris on 26-27 February 2015.
Fiscal sustainability reporting by the US government - Regina Kearney, United States
1. Fiscal Sustainability Reporting
by the U.S. Government
OECD Government Accruals Symposium
Session 9
Regina Kearney, Office of Management and Budget
2. A Broader Perspective –
Fiscal Sustainability
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SFFAS 36
• All Government revenues, spending
– Similar in concept to, but broader in
perspective than Statement of Social
Insurance (SOSI).
– Projections prepared by the Office of
Management and Budget (OMB)
• Definition – Debt/Gross Domestic Product
remains stable or declines over long term.
• Fiscal Gap
4. Fiscal Gap
• Cost of Delay: How much of an average primary
surplus over X years would be required to maintain
Debt/GDP at a target level?
• Change in Receipts? Spending? Both?
Source: FY 2013 Financial Report of the U.S. Government:
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Period of Delay
No Delay: Reform in 2014......... 1.7 percent of GDP between 2014 and 2088
Ten Years: Reform in 2024........2.1 percent of GDP between 2024 and 2088
Twenty Years: Reform in 2034.. 2.6 percent of GDP between 2034 and 2088
Note: Reforms taking place in 2013, 2023, and 2033 from the 2012 Finanical Report were 2.7, 3.2,
and 4.1 percent of GDP.
Costs of Delaying Fiscal Reform
Change in Average Primary Surplus
5. Fiscal Sustainability:
Key Points
• Current Law / Policy
• Projections, NOT Predictions
• Unsustainable fiscal path
• Under current conditions, law, and policy, the
sooner actions are taken, the less dramatic
will those actions need to be. 5
6. Topics of Interest
Financial Report of the U.S. Government and Citizen’s Guide
Available as of 26 February, 2015 at:
http://www.fiscal.treasury.gov/fsreports/rpt/finrep/fr/fr_index.htm
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