We are aware your email inbox is being inundated with COVID-19 updates at an overwhelming speed. Because of this, we are adapting our communication plan. During this time, emails we send will provide you with 'must-know' updates.


For informative links and additional resources that are good-to-know, please visit our


To ensure that you are continually notified of updates to the information posted on our AEM COVID-19 Resource Center, please follow us on social media or be sure to save our resource center as a bookmark that you can return to regularly.
COVID-19 | Budget Considerations for Cities
Join Jean McGann and Victoria Holthaus from AEM Financial Solutions as they discuss the COVID-19 outbreak and how this crisis may impact your city's upcoming budget considerations for 2020 and 2021. They'll walk you through some of the immediate concerns your organization may have in terms of facility closures and revenue losses. They'll also discuss some effects your organization may feel in the subsequent months and years and how you may be able to plan your budget accordingly.
Office of the State Auditor Reporting Requirement Updates
On April 3, 2020, the Office of the State Auditor (OSA) announced that at this time, they are not providing automatic extensions for GAAP based cities or townships.
 
For cash basis cities and townships, the OSA has provided an automatic 45-day extension for 2019 Annual Financial Reporting Forms and Financial Statements/Audits, moving the due date from March 31, 2020 to May 15, 2020.
Standard Implementation Date Changes:
GASB 87: Leases, and GASB 84: Fiduciary Activities
In response to wide-spread closures and operational interruptions, GASB is considering delaying effective dates for some statements and implementation guides. This would impact the implementation dates of the much anticipated GASB Statement 87, Leases and GASB Statement 84, Fiduciary Activities. Currently, these statements would be effective for reporting periods beginning on or after June 15, 2018. An exposure draft is expected in April with finalized guidance issued in May 2020.  
Common Questions:
  • With the shelter in place order, how are audits proceeding? We are fully equipped to complete our audits remotely. Our audit teams use various communication tools to ensure both internal and external audit communication is ongoing.  

  • Where can I find information on the CAREs Act or Families First Coronavirus Response Act (FFCRA)? Check out the resources on our COVID-19 Resource Center web page to find resources and continued updates on this legislation.  

  • If the City has additional cost related to our COVID-19 response, is reimbursement of said costs available? That is not clear currently, but possibly. We recommend in your accounting system separating COVID-19 payroll and operations costs from normal operations. Consider using a new project code or a separate department code. 
Staffing Changes at City Hall and the Impact on Accounting Procedures and Internal Controls
As your City works through changes in staffing schedules and an increased number of remote employees, consider how your accounting procedures are being adjusted. Are they integrated enough with the City's technology to allow for a smooth transition? Or perhaps you are having to reinvent the procedural wheel.  

Now is the perfect time to evaluate your accounting procedures and ensure they work in times of an emergency. Here are a few things to consider: 

  1. What is currently documented? 
  2. With change in staffing levels and remote employees, what needs to or has already changed?
  3. Does everyone have access to the right applications or technology? 
  4. Have any changes been made that would reduce the effectiveness of internal controls? Does the City still have the right checks and balances in place?
  5. Are temporary changes in process and procedures documented and communicated to the Council or Board?

If you have any questions on process documentation, impact of change on internal controls or have a need for additional finance assistance, please reach out to us .
Families First Coronavirus Response Act (FFCRA)
Effective April 1, 2020
The Families First Coronavirus Response Act (FFCRA) was signed into law on March 18, 2020, and includes new requirements for public and private employers with less than 500 employees to provide paid sick leave, family leave, or medical leave to their employees for coronavirus-related reasons. 

Join our AEM Workforce Solutions team as they disucss the FFCRA requirements and employer implications that may impact your organization. 
For employers with 500 or fewer employees, April 1, 2020, was the deadline to post, either physically or electronically, the "Employee Rights Paid Sick Leave and Expanded Family and Medical Leave under the Families First Coronavirus Response Act" poster for your employees.
The US Department of Labor continues to update FAQs that include answers and guidance for many commonly asked questions related to implementation and interpretation of this legislation.
Helpful Links for Governments

LifeLabs - Excellent Remote Work Playbook to help you and your team adapt to a remote work environment
Additional Resources for Our Clients:
Abdo, Eick & Meyers, LLP

We are a progressive certified public accounting firm that utilizes our people and processes to assist our clients in solving their challenges. Established in 1963 in Mankato, MN, the firm has established itself as a mid-sized leader in the Mankato and Twin Cities accounting arena. Abdo, Eick & Meyers is ranked as number 10 on the Minneapolis/St. Paul Business Journal's "Top 25 Accounting Firms" in Minnesota. 

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