mechanism could be put in place to ensure useful communication between FASB and the
American small business community at large.
Large, public companies are accustomed to lobbying for or against changes with FASB. We
small companies are not. We often get caught up in changes that probably should be, at least in
my opinion, intended for public companies. I think this is exactly the case with FAS 150. Great
idea for the public companies, disastrous for us. Our small construction company perspective is
necessary to ensure they have evaluated all of the potential wrinkles in their standard.
One possible effort to consider is a biannual or annual meeting with FASB staff and
representatives of small businesses. Just as the IRS, the Small Business Administration, and
other entities have meetings just with small businesses, this would be an opportunity for all sides
to meet and talk. FASB would benefit from having small business representatives provide their
point of view, and at the same time, share drafts of upcoming new standards. In this way, both
small business and FASB are ‘on the hook’ and working together.
I know that AGC is moving forward with FASB on a new working relationship. The AGC Tax
and Fiscal Affairs committee will meet in January, and we are inviting a representative from
FASB to join us. We are going to work proactively and ensure we are staying abreast of new
draft standards. We also will continue to provide information on FAS 150 until this standard is
finalized. Our intention is to keep the lines of communication open and make sure our voice is