News Story

Michigan is embarking on a pilot program that could lead to a seismic shift in local government financial reporting documents that proponents say would enhance transparency and help catch fiscal red flags earlier.

The fiscal 2023 budget signed by Gov. Gretchen Whitmer authorizes the state Department of Treasury to explore the feasibility of moving toward the use of machine-readable financial documents by local governments based on XBRL — extensible business Reporting Language —instead of their current PDF format.

Under the budget authorization for the fiscal year beginning Oct. 1, Treasury is setting up a XBRL Pilot Program Committee to review the feasibility of local governments using XBRL on their required financial reports and making recommendations on the development of an information technology strategy.