Effect on Staffing Also Possible

CBO also says the accrual accounting proposal “could lead to some reallocation of budgetary resources among agencies, depending on the response of the appropriations committees. Fuller recognition of labor costs could also induce a reduction in federal employment if appropriators were to trim agency personnel budgets, for example, or if the proposal induced substitution of capital for labor.” For a fuller look at CBO’s report, go to https://www.fedweek.com/HotFreeNews/default.asp for the full story in the hot free info section of our website.