At what level of detail must budgetary comparisons be presented within the CAFR for a nonmajor special revenue fund if a separate budgetary report is issued?

The level of detail for budgetary comparisons in the Comprehensive Annual Financial Report (CAFR) for a nonmajor special revenue fund, especially when a separate budgetary report is issued, must be presented at the function level. This requirement stems from the principles outlined in GASB Statement No. 34, which mandates that budgetary comparisons be provided for each major fund and discretely presented component units.

When presenting budgetary comparisons at the function level, it involves showing how the resources are allocated and spent across various functions or programs within the fund. This level of detail allows stakeholders to assess whether the government is using its resources efficiently and effectively in alignment with established goals and priorities.

Presenting at the function level also provides a clearer picture of accountability, aiding users in understanding the financial results in the context of the intended programmatic outcomes. This is particularly important in special revenue funds, which are often dedicated to specific functions or projects, as it gives a structured view of fiscal performance.

In contrast, options like activity or legal level of control may imply different levels of granularity or specific compliance with legal constraints that don't align with the requirement stated for the CAFR presentation. The focus on the function level ensures a comprehensive view that is essential for transparency and accountability in public