Governing through regulatory change: has been saved
Governing through regulatory change:
A focus on financial reporting, accounting, auditing, and related governance matters
As published in 'NACD Directorship' magazine, 2020 Governance Outlook, December 2019.
By Jennifer Burns, Maureen Bujno, and Andrew Hubacker, Deloitte & Touche LLP
Effective boards remain informed of regulatory priorities (whether directly or with the assistance of their committees) that impact financial reporting, accounting, auditing, and associated governance matters. Keeping these regulatory priorities top of mind is helpful to directors as they engage with management to understand how their companies are monitoring and adjusting to regulatory changes. The US Securities and Exchange Commission (SEC), the Public Company Accounting Oversight Board (PCAOB), and the Financial Accounting Standards Board (FASB) have put forward agendas that they are aiming to take action on in 2020.1
The SEC, PCAOB, and FASB are operating against the backdrop of broader legislative trends, a looming US presidential election, and potential changes in their leadership, which to varying degrees may impact the activities of each. Below we outline current and expected priorities for each agency, as well as how the board and respective committees should be thinking about the impact on the companies they serve.
1 The SEC’s agenda of its rulemaking actions is published twice a year pursuant to the Regulatory Flexibility Act. The FASB technical agendaand the PCAOB standard-setting agenda are updated on a real-time basis.
As published in 'NACD Directorship' magazine, The Power of Difference supplement, September/October 2019
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