THE APPLICABILITY OF FINANCIAL CONDITION ANALYSIS METHODS DEVELOPED FOR UNITED STATES LOCAL GOVERNMENTS TO TURKISH LOCAL GOVERNMENTS

Abstract

With the Public Finance Management and Control Law No. 5018, it has increased the importance of transparency and accountability in the public sector, and the cash based accounting system has been replaced by the accrual based accounting system. The new regulation has also made obligatory the preparation of extensive financial statements to be used in decision-making and activity evaluation processes, and it has enabled the financial condition analysis. In this study, a detailed examination of the financial analysis methods such as ICMA’s model, 10-Point Test and GASB reporting model developed especially for local governments in the United States (US) and to determine the most appropriate method for local governments in Turkey is aimed. It was determined that the GASB reporting model is applicable to metropolitan municipalities in Turkey due to the ease of obtaining all ratios required by the models from municipality’ financial statements.

Keywords

• Public sector,accrual based accounting,financial condition analysis,local governments

AMERİKA’DA YEREL YÖNETİMLER İÇİN GELİŞTİRİLEN MALİ DURUM ANALİZİ YÖNTEMLERİNİN TÜRKİYE’DEKİ YEREL YÖNETİMLERE UYGULANABİLİRLİĞİ

Abstract

5018 sayılı Kamu Mali Yönetimi ve Kontrol kanunu ile birlikte, kamu sektöründe şeffaflık ve hesapverebilirlik kavramlarının önemi artmış ve nakit esaslı muhasebe sisteminden tahakkuk esaslı muhasebe sistemine geçilmiştir. Yeni sistem, karar verme ve faaliyetlerin değerlendirilmesi süreçlerinde kullanılmasına imkan sağlayacak kapsamlı mali tablolar üretilmesini zorunlu kılmış, ve mali durum analizine de olanak sağlamıştır. Bu çalışma kapsamında, Amerika’da özellikle yerel yönetimler için geliştirilen ICMA Modeli, 10-Puan Test Modeli ve GASB Raporlama modeli gibi mali analiz yöntemlerinin detaylı olarak incelenmesi ve ülkemiz yerel yönetimleri için en uygun yöntemin tespit edilmesi amaçlanmıştır. Tüm oranların mali tablo verilerinden temin edilmesi nedeniyle GASB raporlama modelinin Türkiye’de büyükşehir belediyeleri için uygulanabilir bir yöntem olduğu tespit edilmiştir.

Keywords

• Kamu sektörü,tahakkuk esaslı muhasebe,finansal durum analizi,yerel yönetimler

References

1. Alkan, B.Ş. 2016.” Financial Condition Analysis in the Public Sector and An Application: İstanbul Metropolitan Municipality” Bahçeşehir University Social Science Institute, Unpublished Doctorate Disertation.
2. Bilge, S. 2006. “Yerel Yönetimlerde Performans Ölçümü ve Dışsal Faktörlerin Yerel Yönetimlerin Performansına etkisi üzerine Bir Araştırma” Anadolu University Social Science Institute, Unpublished Doctorate Disertation.
3. Brown, K.W. 1993. “The 10-point Test of Financial Condition: Toward an Easy-to-Use Assessment Tool for Smaller Cities”, Government Finance Review, December.
4. Coe, C.K. 2008. “Preventing Local Government Fiscal Crises: Emerging Best Practices”, Public Administration Review, 64(4):759-763.
5. Ersöz, M. 2011. “Kamu Kurumlarında Mali Tablolar Analizi Tekniklerinin Uygulanabilirliği”, External Auditing Review: 284- 295.
6. Groves, S.M., and Godsey, W.M. 1980.” Evaluating Local Government Financial Condition”, International City Management Association. New York: ICMA.
7. Groves, S.M., Godsey, W.M., and Shulman, M.A. 1981. “Financial Indicators for Local Government” , Public Budgeting and Finance. 1(2): 42-60.
8. Groves, S.M., Valente, M.G., and Schulman, M. 2003. “Evaluation Financial Condition: A Handbook for Local Government.”, Washington D.C.: International City/County Management Association.

9. Hendrick, R. 2004. “Assessing and Measuring the Fiscal Health of Local Governments: Focus on Chicago Suburban Municipalities” , Urban Affairs Review, 40(1): 78-114.
10. Honadle, B.W., Costa J.M., and Cigler B. A. 2004. “Fiscal Health for Local Governments: An Introduction to Concepts”, Practical Analysis and Strategies. San Diego, CA: Elsevier Academic Press:139–176.
11. Kloha, P., Weissert, C.S., Kleine, R. 2005.” Developing and Testing a Compositie Model to Predict Local Fiscal Distress”.
12. Kopcynsi M. and Lombardo M. 1999. Comparative Performance Measurement: Insights and Lessons Learned from a Concertium Effort. Public Administration Review. 59(2): 124.
13. Ramsey T.K., 2013. Measuring and Evaluating The Financial Condition of Local Government. A Thesis. California State University.
14. Ridley, C.E. and Herbert S. 1938. Measuring Municipal Activities. Chicago: ICMA.
15. Rivenbark, W.C., Roenigk D.J, and Allison G.S. 2010. Conceptualizing Financial Condition in Local Government. Journal of Public Budgeting, 22 (2): 149-177.
16. Ruppel, W. 2010. Governmental Accounting, Hoboken: Wiley.
17. Svara J. H., 2001. “The Shifting Boundary between Elected Officials and City Managers in Large Council-Manager Cities” , Public Administration Review.61 (2): 176–183.
18. Türkyener, C.M. and Altıntaş A. 2012. “Belediyelerde mali analiz”, Yönetim ve Denetim Odaklı Yaklaşım, Türkiye Belediyeler Birliği Press.
19. Wang X., Dennis L., Tu, Y.S.. 2007. “Measuring Financial Condition: A Study of U.S. States”, Public Budgeting and Finance, Summer.
20. Wilson E.R., Kattelus S.C. and Reck J. L. 2007. “Accounting for Governmental and Nonprofit Entities”, 14.Th Edition. Boston:McGraw-Hill Irwin.