Part 22.
TEXAS STATE BOARD OF PUBLIC ACCOUNTANCY
Chapter 505.
THE BOARD
22 TAC §505.10
The Texas State Board of Public Accountancy (Board) proposes
an amendment to §505.10 concerning Board Committees.
The amendment to §505.10 will change "chairman" to "presiding officer"
as required by the Public Accountancy Act, allows committee assignments to
be two years and authorizes the presiding officer to re-appoint committee
members.
William Treacy, Executive Director of the Board, has determined that for
the first five-year period the proposed amendment will be in effect:
A. the additional estimated cost to the state expected as a result of enforcing
or administering the amendment will be zero because the proposed amendment
requires no one to do or not do anything.
B. the estimated reduction in costs to the state and to local governments
as a result of enforcing or administering the amendment will be zero because
the proposed amendment requires no one to do or not do anything.
C. the estimated loss or increase in revenue to the state as a result of
enforcing or administering the rule will be zero because the proposed amendment
requires no one to do or not do anything.
Mr. Treacy has determined that for the first five-year period the amendment
is in effect the public benefits expected as a result of adoption of the proposed
amendment will be that the committee appointments will be for a time certain,
that presiding officer will be used, and the presiding officer will be authorized
to re-appoint committee members.
The probable economic cost to persons required to comply with the amendment
will be zero because the proposed amendment requires no one to do or not do
anything.
Mr. Treacy has determined that a Local Employment Impact Statement is not
required because the proposed amendment will not affect a local economy.
The Board request comments on the substance and effect of the proposed
amendment from any interested person. Comments must be received at the Board
no later than noon on Friday March 9, 2001. Comments should be addressed to
Amanda G. Birrell, General Counsel, Texas State Board of Public Accountancy,
333 Guadalupe, Tower III, Suite 900, Austin, Texas 78701 or faxed to her attention
at (512) 305-7854.
Mr. Treacy has determined that the proposed amendment will not have an
adverse economic effect on small businesses because zero because the proposed
amendment requires no one to do or not do anything.
The Board specifically invites comments from the public on the issues of
whether or not the proposed amendment will have an adverse economic effect
on small business; if the amendment is believed to have such an effect, then
how may the Board legally and feasibly reduce that effect considering the
purpose of the statute under which the amendment is to be adopted; and if
the amendment is believed to have such an effect, how the cost of compliance
for a small business compares with the cost of compliance for the largest
business affected by the amendment under any of the following standards: (a)
cost per employee; (b) cost for each hour of labor; or (c) cost for each $100
of sales. See Texas Government Code, §2006.002(c).
The amendment is proposed under the Public Accountancy Act, Tex.
Occupations Code, Section 901.151 (Vernon 1999) which authorizes the Board
to adopt rules deemed necessary or advisable to effectuate the Act and Section
901.055 which uses the term presiding officer.
No other article, statute or code is affected by this proposed amendment.
§505.10.Board Committees.
(a)
Committee appointments. Appointments to standing committees
and ad hoc committees shall be considered annually by the
board's
[
(b)
Committee actions. The actions of the committees are recommendations
only and are not binding until ratification by the board at a regularly scheduled
meeting.
(c)
Committee meetings. Committee meetings shall be held at
the call of the committee chairman, and a report to the board at its next
regularly scheduled meeting shall be made by such chairman or, in the absence
of the chairman, by another board member serving on the committee.
(d)
Vacancies. If for any reason a vacancy occurs on a committee,
the
board's
[
(e)
Standing committee structure and charge to committees.
The standing committees shall consist of the following individuals and shall
be charged with the following responsibilities.
(1)
The executive committee shall be comprised of the
board's
[
(A)
litigation;
(B)
proposed changes in the board rules of professional conduct
(the rules);
(C)
amendments to the Act;
(D)
responses/positions relating to papers, reports, and other
submissions from national associations or boards; and
(E)
special issues.
(2)
The continuing professional education committee shall be
comprised of at least two board members, one of whom shall serve as chairman,
assisted by at least two non-board members who shall serve in an advisory
capacity. The committee shall make recommendations to the board regarding:
(A)
the mandatory continuing professional education program
as it relates to reporting and attendance requirements, registration and monitoring
of continuing professional education sponsors, disciplinary actions, reporting
forms, and office procedures;
(B)
proposed changes in board rules, opinions, and policies
related to the mandatory continuing professional education program as it relates
to licensees and to relations with sponsors of continuing professional education;
(C)
investigations of sponsor compliance with the terms of
the sponsor agreements, including the related recordkeeping requirements;
(D)
the results of monitoring continuing professional education
courses for the purpose of evaluating the facilities, course content as presented,
and the adequacy of the course presenter(s); and
(E)
any significant deficiencies observed in carrying out subparagraphs
(C) and (D) of this paragraph.
(3)
The qualifications committee shall be comprised of at least
two board members, one of whom shall serve as chairman. The committee shall
make recommendations to the board regarding:
(A)
the educational qualifications of an applicant for the
Uniform Certified Public Accountant Examination in accordance with §§511.51
through 511.59 of this title (relating to Educational Requirements);
(B)
the administration, security, discipline, and other aspects
of the conduct of the Uniform Certified Public Accountant Examination in Texas;
(C)
the work experience qualifications of an applicant for
the certified public accountant certificate in accordance with §§511.121
through 511.124 of this title (relating to Experience Requirements); and/or
(D)
where applicable, the equivalency examination measuring
the professional competency of an applicant for a CPA certificate by reciprocity;
and
(E)
proposed changes in board rules, opinions, and policies
relating to the qualifications process.
(4)
The licensing committee shall be comprised of at least
two board members, one of whom shall serve as chairman. The committee shall
make recommendations to the board regarding:
(A)
applications for certification, registration, and licensure;
(B)
requests or applications for reinstatement of any certificate,
registration, or license which the board previously has revoked, suspended,
or refused to renew; and
(C)
proposed changes in board rules, opinions, and policies
as they relate to the licensing process.
(5)
The behavioral enforcement committee shall be comprised
of at least two board members, one of whom shall serve as chairman, assisted
by at least two non-board members who shall serve in an advisory capacity.
The committee shall:
(A)
study complaints from any source involving possible violations
of the Act by certificate or registration holders and others;
(B)
study possible violations by certificate or registration
holders of the behavioral standards within the rules;
(C)
make recommendations to the board concerning the disposition
of such possible violations;
(D)
follow up on board orders to insure that certificate or
registration holders and others adhere to sanctions prescribed by or agreements
with the board; and
(E)
make recommendations to the board concerning proposed changes
in board rules, opinions, and policies related to the behavioral restraints
of the rules and the Act.
(6)
The technical standards review committee shall be comprised
of at least two board members, one of whom shall serve as chairman, and at
least three non-board members with recognized experience in industry, government,
and education. The committee shall:
(A)
study complaints from any source involving suspected violations
of the technical standards included in the rules and shall make recommendations
to the board as appropriate; and
(B)
follow up on board orders to insure that certificate or
registration holders and others adhere to sanctions prescribed by or agreements
with the board.
(7)
The quality review committee shall be comprised of at least
two board members, one of whom shall serve as chairman, assisted by any number
of non-board members who shall serve in an advisory capacity. The committee
shall:
(A)
conduct a periodic review and evaluation of reports publicly
filed with the State of Texas (or any board, commission, or agency thereof)
and of each of the various types of reports, as defined by board rule, of
each practice unit, as defined by board rule, which is engaged in the practice
of public accountancy in the State of Texas;
(B)
refer to the technical standards review committee egregious
substandard reports issued by practice units for which educational rehabilitation
has not been effective; and
(C)
make recommendations to the board with regard to proposed
changes in board rules, opinions, and policies relating to the quality review
program.
(8)
The board rules committee shall be comprised of at least
two board members, one of whom shall serve as chairman, assisted by any number
of non-board members who shall serve in an advisory capacity. The committee
shall make recommendations to the board regarding board rules. All committees
shall endeavor to consult with the board rules committee concerning proposed
rules.
(9)
The regulatory compliance committee shall be comprised
of at least two board members, one of whom shall serve as chairman, assisted
by any number of non-board members who shall serve in an advisory capacity.
The committee shall make recommendations to the board regarding legislative
oversight, including, but not limited to, budget, performance measures, proposed
changes in legislation affecting the board, and computer utilization.
(10)
The major case enforcement committee shall be comprised
of at least two board members, one of whom shall serve as chairman. At least
one committee member shall be a public member of the board. The committee
shall make recommendations to the board regarding legal matters on litigation
or potential litigation, and other major cases to which the board is a party.
The committee shall have the authority to act on behalf of the board in instances
where disclosure of facts to the full board could cause the board's objectivity
to be jeopardized, subject to final approval by the board. The board shall
have sole authority to determine whether cases shall be heard by the major
case enforcement committee or other enforcement committee.
(11)
The peer assistance oversight committee shall be comprised
of at least two board members, one of whom shall serve as chairman. The committee
shall oversee the peer assistance program administered by the Texas Society
of Certified Public Accountants as required under the Texas Health and Safety
Code, Chapter 467.001(B), and insure that the minimum criteria as set out
by the Texas Commission on Alcohol and Drug Abuse are met. It shall make recommendations
to the board and the TSCPA regarding modifications to the program and, if
warranted, refer cases to other board committees for consideration of disciplinary
or remedial action by the board. The committee shall report to the board on
a quarterly basis, by case number, on the status of the program.
(f)
Ad hoc advisory committees. Ad hoc advisory committees
may be established by the
board's
[
(g)
Definition of terms. As used in this section, the terms
"chairman" and "chairmen" are used for convenience and are intended to include
persons of either sex.
(h)
Policy guidelines. All advisory committee members performing
any duties utilizing board facilities and/or who have access to board records,
shall conform and adhere to the standards, board rules, and personnel policies
of the board as described in its personnel manual and to the laws of the State
of Texas governing state employees.
[
Continuation of Committee.
Each committee listed in this section will automatically be abolished on January
1, 2002, unless the board votes to continue the existence of the committees
by amending this subsection.]
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 26, 2001.
TRD-200100499
William Treacy
Executive Director
Texas State Board of Public Accountancy
Earliest possible date of adoption: March 11, 2001
For further information, please call: (512) 305-7848
Subchapter B. CERTIFICATION BY EXAMINATION
board
]
presiding officer
[
chairman
] to
assist in carrying out the functions of the board under the provisions of
the Public Accountancy Act. [
of 1991 (the Act)
]
Committee
appointments shall be made by the presiding officer for a term of two years
but may be terminated at any point by the presiding officer. Committee members
may be re-appointed at the discretion of the presiding officer.
The
board's
[
board
]
presiding officer
[
chairman
] shall be an ex officio member of each standing committee and ad hoc
committee and chairman of the executive committee.
board
]
presiding officer may
[
chairman shall
] appoint a replacement in accordance with subsection
(a) of this section.
board
]
presiding officer,
[
chairman,
]
assistant presiding officer,
[
vice chairman,
] secretary, treasurer, immediate past
presiding officer
[
chairman
] of the board if still serving on the board, and
at least
one other officer elected by the board. The executive committee
may act on behalf of the full board in matters of urgency, or when a meeting
of the full board is not feasible; the executive committee's actions are subject
to full board ratification at its next regularly scheduled meeting. The functions
of the executive committee shall be to advise, consult with, and make recommendations
to the board concerning matters requested by the
board's
[
board
]
presiding officer,
[
chairman,
] including:
board
]
presiding
officer
[
chairman
] and members and advisory members appointed
as appropriate.
(i)
Chapter 511.
CERTIFICATION AS CPA