TITLE examining-boards

Part XVII. Plumbing Examiners

Chapter 365. Renewals

22 TAC §365.5

The Texas State Board of Plumbing Examiners proposes an amendment to §365.5. This section specifies that a medical gas license holder must take at least two additional hours of medical gas continuing education to renew their medical gas endorsement. The amendment states that individuals with a medical gas endorsement must take Board approved continuing education within the three-year period of their medical gas endorsement and that the license holder may not count the same continuing education class twice towards meeting the requirements for renewal of the medical gas endorsement.

Jim Fowler, Chief Fiscal Officer, Texas State Board of Plumbing Examiners, has determined that for the first five-year period the rule is in effect there will be no effect to state or local government as a result of enforcing the rule.

Mr. Fowler also has determined that each year of the first five years the rule is in effect the change in public benefit will be a higher quality of plumbers performing medical gas work. There will be no effect on small businesses. There is no anticipated economic cost to persons who are required to comply with the rule.

Comments may be submitted to Gilbert Kissling, Administrator, Texas State Board of Plumbing Examiners, 929 East 41st Street, P.O. Box 4200, Austin 78765-4200.

The amendment to §365.5 is proposed under and effect Texas Revised Civil Statutes Annotated Article 6243-101, §5(a) and §12B (Vernon Supp. 1998).

No other statute, article, or code is affected by this proposed amendment. The proposed amendment has been reviewed by legal counsel and found to be within the state agency's authority to adopt.

§365.5.Renewals.

(a)-(e)

(No change.)

(f)

Any license holder with a medical gas endorsement must complete a Board approved medical gas continuing education class within the three-year period [ take at least two additional classroom hours of continuing education within the third year ] of the endorsement [ period ]. The [ additional ] classroom hours shall consist of instruction of the most current edition of the National Fire Protection Association (NFPA) 99C, Standard on Gas and Vacuum Systems, and the changes therein. No license holder with a medical gas endorsement may count the same medical gas continuing education class twice towards meeting the continuing education requirements for renewal of the medical gas endorsement on a plumbing license [ NFPA99C and the changes therein ].

This agency hereby certifies that the proposal has been reviewed by legal counsel and found to be within the agency's legal authority to adopt.

Filed with the Office of the Secretary of State, on January 23, 1998.

TRD-9801063

Robert L. Maxwell

Chief of Field Services/Investigations

Plumbing Examiners

Earliest possible date of adoption: March 8, 1998

For further information, please call: (512) 458-2145, Ext. 233


Part XXII. Texas State Board of Public Accountancy

Chapter 501. Professional Conduct

22 TAC §501.47

The Texas State Board of Public Accountancy proposes an amendment to §501.47, concerning Firm Names.

The proposed amendment to §501.47 lists character or grade of service as being misleading if included in a firm's name when not based upon verifiable facts; states that if a firm name includes a geographic area or a non-owner firm employee's name it may be misleading or deceptive if full disclosure of relevant facts is not made; states that a firm name which implies special expertise is intended or likely to create false or unjustified expectations of favorable results; clarifies that limited liability partnerships and companies must include that as part of their firm names; and states that at least two licensees must be involved full time in the practice in order to use company, group or associates.

William Treacy, Executive Director, has determined that for the first five-year period the rule is in effect there will be no fiscal implications for state or local government as a result of enforcing or administering this rule.

Mr. Treacy also has determined that during the first five-year period the rule is in effect the anticipated public benefit as a result of enforcing or administering the rule will be increased disclosure and more accurate disclosure to the public through the firm name. There is no effect on small businesses. There is no anticipated economic cost to persons required to comply with the section as proposed.

Comments on the proposal may be submitted to Amanda Birrell, General Counsel, 333 Guadalupe, Tower III, Suite 900, Austin, Texas, 78701-3900.

The amendment is proposed under Texas Civil Statutes, Article 41a-1, §6, which provides the Texas State Board of Public Accountancy with the authority to make such rules as may be necessary or advisable to effectuate the purposes of the law.

The rule implements Texas Civil Statutes, Article 41a-1, §6.

§501.47.Firm Names.

(a)

No certificate or registration holder shall engage in the practice of public accountancy using a [ professional or ] firm name [ or designation ] that includes descriptive words relating to the quality of services offered or that is misleading about the legal form of the firm, or about the persons who are partners, officers, or shareholders of the firm, or about any other matter, provided, however, that names of one or more former partners or shareholders may be included in the name of a firm or its successor.

(b)

A [ professional or ] firm name [ or designation ] will be considered to be misleading if:

(1)

the name contains a misrepresentation of facts;

(2)

the name indicates character or grade of service which is not based upon verifiable facts;

(3)

[ (2) ] the name is likely to mislead or deceive because it fails to make full disclosure of relevant facts; the following are examples, but are not inclusive:

(A)

the name contains a geographic area; and

(B)

the firm name includes a non-owner firm employee.

(4)

[ (3) ] the name is intended or likely to create false or unjustified expectations of favorable results;

(5)

[ (4) ] the name implies special expertise;

(6)

the name implies educational or professional attainment or licensing recognition of the firm and/or of its owners, partners, or shareholders which are not supported in fact;

(7)

[ (5) ] the name of the firm that is incorporated does not include the words "corporation," "incorporated," "professional corporation," or "company," or in each case, an abbreviation thereof, as a part of the firm name; [ and ] the words "professional corporation," or "PC" are not included with the firm name each time it is used; and the name of a firm organized under the limited liability partnership rules does not include the words "professional limited liability company" or " professional limited liability partnership" as appropriate, or an abbreviation thereof as part of the firm name;

(8)

[ (6) ] the name includes the designation "and company," "company," [ or ] "group," [ or ] "associates" or "and associates" or abbreviations thereof or similar names implying more than one employed member of the firm unless there are at least two licensees involved full time in the practice;

(9)

[ (7) ] the name of a firm that is a partnership or professional corporation fails to contain the personal name or names of one or more individuals presently or previously a partner, officer, or shareholder thereof;

(10)

[ (9) ] the name of a firm that is a sole proprietorship fails to contain the name of the sole proprietor; or

(11)

[ (10) ] the name contains other representations or implications that in reasonable probability will cause a person of ordinary prudence to misunderstand or be deceived.

(c)

A partner surviving the death or withdrawal of all other partners may continue to practice under a partnership name for up to two years after becoming a sole practitioner.

(d)

The name of any former partner or former shareholder may not be used in a registered firm name during the period of sanction when the former partner or former shareholder has been prohibited from practicing public accountancy or prohibited from using the title "CPA" or "PA".

This agency hereby certifies that the proposal has been reviewed by legal counsel and found to be within the agency's legal authority to adopt.

Filed with the Office of the Secretary of State, on January 23, 1998.

TRD-9801104

William Treacy

Executive Director

Texas State Boad of Public Accountacy

Earliest possible date of adoption: March 8, 1998

For further information, please call: (512) 305-7845


Chapter 511. Certification of CPA

22 TAC §511.57

The Texas State Board of Public Accountancy proposes an amendment to §511.57, concerning Definition of Accounting Courses.

The proposed amendment to §511.57 includes up to six semester hours of management information systems as an accounting core course and adds up to 12 hours of management information systems as another accounting course.

William Treacy, Executive Director, has determined that for the first five-year period the rule is in effect there will be no fiscal implications for state or local government as a result of enforcing or administering this rule.

Mr. Treacy also has determined that during the first five-year period the rule is in effect the anticipated public benefit as a result of enforcing or administering the rule will be the recognition that some courses being taken by applicants are important enough to be included in required courses. There is no effect on small businesses. There is no anticipated economic cost to persons required to comply with the section as proposed.

Comments on the proposal may be submitted to Amanda Birrell, General Counsel, 333 Guadalupe, Tower III, Suite 900, Austin, Texas, 78701-3900.

The amendment is proposed under Texas Civil Statutes, Article 41a-1, §6, which provides the Texas State Board of Public Accountancy with the authority to make such rules as may be necessary or advisable to effectuate the purposes of the law.

The rule implements Texas Civil Statutes, Article 41a-1, §6.

§511.57.Definition of Accounting Courses.

The board will accept not fewer than 30 passing semester hours of accounting courses (without repeat), taken at a recognized educational institution shown on official transcripts, or accepted by a recognized educational institution for purposes of obtaining a baccalaureate degree or its equivalent, of which 20 semester hours must be in core accounting courses, in the following subject areas:

(1)

accounting core courses:

(A)

intermediate accounting, advanced accounting;

(B)

cost accounting;

(C)

auditing, internal accounting control and evaluation;

(D)

report writing (principally writing financial reports, internal control reports, and management letters);

(E)

financial statement analysis;

(F)

accounting theory;

(G)

up to six semester hours of income tax;

(H)

accounting for governmental and/or other nonprofit organizations; and

(I)

up to six semester hours of accounting systems , including management information systems ;

(2)

other accounting courses:

(A)

income tax accounting (not to exceed 12 semester hours, including hours in paragraph (1)(G) of this section);

(B)

accounting systems, including management information systems (not to exceed 12 semester hours, including hours in paragraph (1)(I) of this section);

(C)

[ B ] accounting consultation;

(D)

[ (C) ] accounting for specialized businesses or industries (such as fiduciaries, banks, etc.);

(E)

[ (D) ] an accounting internship program (not to exceed 3 semester hours) which meets the following requirements:

(i)

the accounting knowledge gained is equal to or greater than the knowledge gained in a traditional accounting classroom setting;

(ii)

the employing firm provides the faculty coordinator and the student with the objectives to be met during the internship;

(iii)

the internship is approved by the faculty advisor;

(iv)

the employing firm provides a significant accounting work experience with adequate training and supervision of the work performed by the student;

(v)

the employing firm provides an evaluation of the student at the conclusion of the internship, provides a letter describing the duties performed and the supervision to the student, and provides a copy of the documentation to the faculty coordinator and the student;

(vi)

the student keeps a diary comprising a chronological list of all work experience gained in the internship;

(vii)

the student writes a paper demonstrating the knowledge gained in the internship; and

(viii)

the student and/or faculty coordinator provides evidence of all items upon request by the board;

(F)

[ (E) ] any other course which is principally accounting or auditing in nature but which may be designated by some other name (and the verification of which is obtained in writing from the particular college or university). After the November 1997 examination, elementary accounting may not be considered under this title.

This agency hereby certifies that the proposal has been reviewed by legal counsel and found to be within the agency's legal authority to adopt.

Filed with the Office of the Secretary of State, on January 23, 1998.

TRD-9801105

William Treacy

Executive Director

Texas State Board of Public Accountancy

Earliest possible date of adoption: March 8, 1998

For further information, please call: (512) 305-7845


Chapter 527. Quality Review

22 TAC §527.3

The Texas State Board of Public Accountancy proposes an amendment to §527.3, concerning Definitions.

The proposed amendment to § 527.3 adds "Special Reports" to the definitions. Special reports is listed under § 527.4 of this title (relating to Quality Review Program) as a type of practice or activity which would make one subject to Quality Review.

William Treacy, Executive Director, has determined that for the first five-year period the rule is in effect there will be no fiscal implications for state or local government as a result of enforcing or administering this rule.

Mr. Treacy also has determined that during the first five-year period the rule is in effect the anticipated public benefit as a result of enforcing or administering the rule will be an improved understanding of the applicability of the Quality Review Program. There is no effect on small businesses. There is no anticipated economic cost to persons required to comply with the section as proposed.

Comments on the proposal may be submitted to Amanda Birrell, General Counsel, 333 Guadalupe, Tower III, Suite 900, Austin, Texas, 78701-3900.

The amendment is proposed under Texas Civil Statutes, Article 41a-1, §6, which provides the Texas State Board of Public Accountancy with the authority to make such rules as may be necessary or advisable to effectuate the purposes of the law, and §15B, which authorizes the board to enact rules for the Quality Review Program.

The rule implements Texas Civil Statutes, Article 41a-1, §6 and §15B.

§527.3. Definitions.

The following words and terms, when used in this chapter, shall have the following meanings, unless the context clearly indicates otherwise.

Special reports

-Include reports issued in connection with the following:

(A)

financial statements that are prepared in conformity with a comprehensive basis of accounting other than generally accepted accounting principles;

(B)

specified elements, accounts, or items of a financial statement;

(C)

compliance with aspects of contractual agreements or regulatory requirements related to audited financial statements;

(D)

financial presentations to comply with contractual agreements or regulatory provisions;

(E)

financial information presented in prescribed forms or schedules that require a prescribed form of auditor's reports; and

(F)

internal audits by a firm for a client or a governmental entity.

This agency hereby certifies that the proposal has been reviewed by legal counsel and found to be within the agency's legal authority to adopt.

Filed with the Office of the Secretary of State, on January 23, 1998.

TRD-9801108

William Treacy

Executive Director

Texas State Board of Public Accountancy

Earliest possible date of adoption: March 8, 1998

For further information, please call: (512) 305-7845