What requirement did the Chief Financial Officers (CFO) Act of 1990 impose on major federal executive agencies?

The Chief Financial Officers (CFO) Act of 1990 aimed to enhance the financial management practices of the federal government by establishing a more accountable and effective financial framework within federal agencies. One of the major stipulations of the act was the requirement for major federal executive agencies to appoint a Chief Financial Officer. This role was designed to bring financial expertise to the leadership of federal agencies, focusing on improving their financial management, financial reporting, and accountability.

The introduction of a CFO in each agency helps ensure that financial policies and practices are aligned with the goals of effective governance and fiscal responsibility. The CFO is tasked with overseeing the agency's financial operations, managing budgets, and ensuring compliance with applicable laws and regulations. This requirement was crucial in shifting federal financial management toward more professional standards and practices.

While establishing internal auditing teams, preparing strategic plans, and submitting budget requests are important elements of financial management in agencies, they are not specifically mandated by the CFO Act. The act's emphasis on the appointment of a CFO signifies the importance of leadership in navigating the complexities of financial stewardship within the government.