Part 22.
TEXAS STATE BOARD OF PUBLIC ACCOUNTANCY
Chapter 511.
CERTIFICATION AS A CPA
Subchapter B. CERTIFICATION BY EXAMINATION
22 TAC §511.21
The Texas State Board of Public Accountancy (Board) proposes
an amendment to §511.21, concerning Examination Application.
The amendment to §511.21 will clarify that the exam fee will be collected
by the National Association of State Boards of Accountancy, creates an eligibility
fee paid to the board, and states that the board will evaluate applications
and establish dates of eligibility for each applicant.
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 amendment does not
require the state to do or not do anything new or additional.
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 amendment does not require the state or local governments to do or not
do anything new or additional.
C. the estimated loss or increase in revenue to the state as a result of
enforcing or administering the amendment will be zero because the amendment
does not require the state to do or not do anything new or additional.
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 board's rules in this area will be updated for
the new computer-based Uniform CPA examination.
The probable economic cost to persons required to comply with the amendment
will be either zero or negligible because exam applicants are currently paying
exam fees and complying with current exam application procedures.
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 requests 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 Wednesday, June 25, 2003. Comments should be addressed
to Rande Herrell, 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 incremental increases
in fees, if any, is too small to be considered an adverse economic effect.
Also, the benefit from the cost is significant.
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, Texas
Occupations Code, §901.151 (Vernon 2001) which authorizes the Board to
adopt rules deemed necessary or advisable to effectuate the Act, §901.301
which authorizes the board to pass rules establishing procedures regarding
the examination and §901.304 which authorizes the board to set the exam
fee by rule.
No other article, statute or code is affected by this proposed amendment.
§511.21.Examination Application.
(a)
All applications to take the Uniform CPA Examination shall
be made on forms prescribed by the board and shall also be in compliance with
board rules and with all applicable laws.
(b)
Applicants shall submit their social security number on
the application form. Such information shall be considered confidential and
can only be disclosed under the provisions of the Act.
(c)
Applicants must sign a statement on the application that
states that if the applicant's examination
is
[
[(d)
Applications for the November examination
shall be received in the Board office by September 15 and applications for
the May exam shall be received by March 15.]
(d)
[
[(f)
Applicants shall designate on the application
the location at which they prefer to take the examination. The board will
assign applicants to an examination site, and after such assignment, the applicant
may not thereafter change examination sites without written authorization
from the board.]
(e)
[
(f)
The board shall evaluate all examination
applications and establish dates of eligibility for each approved application,
which will be used by the testing vendor or other organization to schedule
and test an applicant.
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 May 15, 2003.
TRD-200303020
Rande Herrell
General Counsel
Texas State Board of Public Accountancy
Earliest possible date of adoption: June 29, 2003
For further information, please call: (512) 305-7848
22 TAC §511.72
The Texas State Board of Public Accountancy (Board) proposes
an amendment to §511.72, concerning Uniform Examination.
The amendment to §511.72 will authorize the board to contract with
a testing vendor to administer the CPA exam at sites that are approved and
monitored by the board during months to be determined, re-name the exam subjects
and require exam applicants to have an exam authorization form and another
type of government issued identification.
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 amendment does not
require the state to do anything new or additional.
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 amendment does not require the state and local governments to do anything
new or additional.
C. the estimated loss or increase in revenue to the state as a result of
enforcing or administering the amendment will be zero because the amendment
does not require the state to do anything new or additional.
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 procedures for the new computer-based uniform CPA
exam will be established.
The probable economic cost to persons required to comply with the amendment
will be zero because the amendment does not require exam applicants to do
anything new or additional.
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 requests 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 Wednesday, June 25, 2003. Comments should be addressed
to Rande Herrell, 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 the amendment does not
require small businesses to do or not do anything new or additional.
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, Texas
Occupations Code, §901.151 (Vernon 2001) which authorizes the Board to
adopt rules deemed necessary or advisable to effectuate the Act and §901.301
which authorizes the board to contract for the Uniform CPA exam.
No other article, statute or code is affected by this proposed amendment.
§511.72.Uniform Examination.
(a)
The board shall administer
or may contract with a
testing vendor for the administration of
the examination for a certificate
as a certified public accountant
. The examination may be offered at the
board's office and at testing facilities within the state that are approved
and monitored by the board or its designee. The examination shall be offered
during scheduled months as determined by the American Institute of Certified
Public Accountants, the National Association of State Boards of Accountancy,
and the testing vendor.
[
(b)
The board shall utilize the uniform CPA examination available
from the American Institute of Certified Public Accountants covering the following
subjects:
(1)
auditing
and attestation
;
(2)
business
environment and concepts
[
(3)
regulation
[
(4)
financial accounting and reporting.
(c)
All candidates taking the examination are required to have
in their possession the board
authorization form
[
(d)
All candidates taking the examination are required to sign
a statement of confidentiality and conduct, which must be followed during
the entire examination.
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 May 15, 2003.
TRD-200303021
Rande Herrell
General Counsel
Texas State Board of Public Accountancy
Earliest possible date of adoption: June 29, 2003
For further information, please call: (512) 305-7848
22 TAC §511.73
The Texas State Board of Public Accountancy (Board) proposes
new §511.73, concerning Notice to Candidate to Schedule Taking a CPA
Exam Subject.
The new §511.73 will require exam applicants to pay an exam fee and
to schedule to take the exam at a board approved location.
William Treacy, Executive Director of the Board, has determined that for
the first five-year period the proposed new rule will be in effect:
A. the additional estimated cost to the state expected as a result of enforcing
or administering the new rule will be zero because the new rule does not require
the state to do or not do anything new or additional.
B. the estimated reduction in costs to the state and to local governments
as a result of enforcing or administering the new rule will be zero because
the new rule does not require the state and local governments to do or not
do anything new or additional.
C. the estimated loss or increase in revenue to the state as a result of
enforcing or administering the new rule will be zero because the new rule
does not require the state to do or not do anything new or additional.
Mr. Treacy has determined that for the first five-year period the new rule
is in effect the public benefits expected as a result of adoption of the proposed
new rule will be that exam applicants will know that they are required to
pay an exam fee and schedule their exam.
The probable economic cost to persons required to comply with the new rule
will be the incremental increase between the current fees for one, two or
four subjects and the new fees that vary according to the exam subject.
Mr. Treacy has determined that a Local Employment Impact Statement is not
required because the proposed new rule will not affect a local economy.
The Board requests comments on the substance and effect of the proposed
new rule from any interested person. Comments must be received at the Board
no later than noon on Wednesday, June 25, 2003. Comments should be addressed
to Rande Herrell, 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 new rule will not have an adverse
economic effect on small businesses because the incremental increase between
the current fees for one, two or four subjects and the new fees that vary
according to the exam subject do not rise to level of adverse economic effect.
The Board specifically invites comments from the public on the issues of
whether or not the proposed new rule will have an adverse economic effect
on small business; if the new rule 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 new rule 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 new rule 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 new rule is proposed under the Public Accountancy Act, Texas
Occupations Code, §901.151 (Vernon 2001) which authorizes the Board to
adopt rules deemed necessary or advisable to effectuate the Act and §901.304
which authorizes the board to set the exam fee by rule.
No other article, statute or code is affected by this proposed new rule.
§511.73.Notice to Candidate to Schedule Taking a CPA Exam Subject.
(a)
The board shall inform examination applicants of their
eligibility to take the CPA examination.
(b)
The applicant is required to pay an examination fee to
the National Association of State Boards of Accountancy for the examination
subject for which the applicant is eligible. The actual fee set by the board
is identified in 521.2 of this title (relating to Examination Fees).
(c)
After payment of the examination fee, the applicant is
required to schedule to take the subject at a board approved location.
(d)
The payment of the required examination fee and taking
of the CPA examination subject must be completed within the time of eligibility
as determined by the board. Applicants not in compliance with this section
must reapply to the board for the establishment of a new eligibility.
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 May 15, 2003.
TRD-200303022
Rande Herrell
General Counsel
Texas State Board of Public Accountancy
Earliest possible date of adoption: June 29, 2003
For further information, please call: (512) 305-7848
22 TAC §511.76
The Texas State Board of Public Accountancy (Board) proposes
an amendment to §511.76 concerning Examination Refund Policy.
The amendment to §511.76 will cause the eligibility fee paid to the
board to be non-refundable, allow the board to request a refund from NASBA
on behalf of an applicant, limit the refund to computer time and exam grading,
allows NASBA to retain a refund processing fee and lists the conditions for
a refund.
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 amendment does not
require the state to do or not do anything new or additional.
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 amendment does not require the state or local governments to do or not
do anything new or additional.
C. the estimated loss or increase in revenue to the state as a result of
enforcing or administering the amendment will be zero because the amendment
does not require the state to do or not do anything new or additional.
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 refund procedures and policies for the new computer-based
examination will be known.
The probable economic cost to persons required to comply with the amendment
will be zero because the amendment does not require anyone to do or not do
anything new or additional.
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 requests 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 Wednesday, June 25, 2003. Comments should be addressed
to Rande Herrell, 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 the amendment does not
require small businesses to do or not do anything new or additional.
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, Texas
Occupations Code, §901.151 (Vernon 2001) which authorizes the board to
adopt rules deemed necessary or advisable to effectuate the Act and §901.304
which authorizes the board to provide for refunds by rule.
No other article, statute or code is affected by this proposed amendment.
§511.76.Examination Refund Policy.
(a)
The eligibility fee paid to the board is not refundable
or transferable.
[
(b)
The board, on behalf of the applicant, may request
a refund of a portion of the examination fee paid to NASBA for scheduling
a section of the CPA examination. The portion of the examination fee that
is eligible for a refund is the fee paid for computer seat time and exam grading.
A charge for refund processing may be withheld by NASBA. Examination fee refunds
are subject to the following conditions.
[
(1)
The applicant because of extreme hardship is precluded
from scheduling or taking the section of the CPA Examination.
Extreme
hardship
is
[
(2)
Request for refund
[
(c)
No examination fee will be transferred to a subsequent
examination.
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 May 15, 2003.
TRD-200303023
Rande Herrell
General Counsel
Texas State Board of Public Accountancy
Earliest possible date of adoption: June 29, 2003
For further information, please call: (512) 305-7848
22 TAC §511.77
The Texas State Board of Public Accountancy (Board) proposes
an amendment to §511.77 concerning Grading.
The amendment to §511.77 will state that a passing grade on the computer-based
examination will be established through a procedure that will be approved
by the board and will state that the board will establish a method of tracking
and recording a candidate's grades.
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 amendment does not
require the state to do or not do anything new or additional.
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 amendment does not require the state and local governments to do or not
do anything new or additional.
C. the estimated loss or increase in revenue to the state as a result of
enforcing or administering the amendment will be zero because the amendment
does not require the state to do or not do anything new or additional.
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 grading for the computer-based exam will be approved
by the board and that grades will be tracked.
The probable economic cost to persons required to comply with the amendment
will be zero because the amendment does not require anyone to do or not do
anything new or additional.
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 requests 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 Wednesday, June 25, 2003. Comments should be addressed
to Rande Herrell, 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 the amendment does not
require anyone to do or not do anything new or additional.
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, Texas
Occupations Code, §901.151 (Vernon 2001) which authorizes the Board to
adopt rules deemed necessary or advisable to effectuate the Act and §901.307
which authorizes the board to adopt rules regarding grading of the examination.
No other article, statute or code is affected by this proposed amendment.
§511.77.Grading.
Grading of the examination shall be accomplished by the American Institute
of Certified Public Accountants, subject to the approval by the board.
The candidate must attain the uniform passing grade established through a
psychometrically acceptable standard-setting procedure approved by the board.
The current minimum passing grade is 75%. The board shall establish a method
for the accurate tracking and recording of a candidate's grade.
[
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 May 15, 2003.
TRD-200303024
Rande Herrell
General Counsel
Texas State Board of Public Accountancy
Earliest possible date of adoption: June 29, 2003
For further information, please call: (512) 305-7848
22 TAC §511.80
The Texas State Board of Public Accountancy (Board) proposes
an amendment to §511.80 concerning Granting of Credit.
The amendment to §511.80 will state the conditions under which exam
candidates may earn examination credits for exams before and after implementation
at the uniform computer-based exam and will explain the transfer of credit
from one type of exam to the other.
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 state is not required
to do or not do anything new or additional.
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 state and local government is not required to do or not do anything new
or additional.
C. the estimated loss or increase in revenue to the state as a result of
enforcing or administering the amendment will be zero because the state is
not required to do or not do anything new or additional.
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 exam candidates will know how their exam credits are earned,
how credits are transferred from one exam to the other and the life of the
credits.
The probable economic cost to persons required to comply with the amendment
will be zero because the amendment does not require anyone to do or not do
anything new or additional.
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 requests 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 Wednesday, June 25, 2003. Comments should be addressed
to Rande Herrell, 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 the amendment does not
require small businesses to do or not do anything new or additional.
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, Texas
Occupations Code, §901.151 (Vernon 2001) which authorizes the Board to
adopt rules deemed necessary or advisable to effectuate the Act and §901.310
which authorizes the board to adopt rules on conditional examination credit.
No other article, statute or code is affected by this proposed amendment.
§511.80.Granting of Credit.
(a)
The board shall grant [
[
[
[
[
[
[
[
(b)
[
(c)
A candidate who earned conditional
credit(s) on the UCPAE prior to the implementation of the computer-based examination
must pass the remaining subjects within the next six consecutive examinations
or eighteen months, whichever is less, from the actual date the candidate
earned conditional credit(s). Credit(s) earned for each subject(s) offered
on the written UCPAE will transition to the computer-based examination as
follows:
(1)
credit earned for Auditing will equate to credit
for Auditing and Attestation;
(2)
credit earned for Financial Accounting and Reporting
will equate to credit for Financial Accounting and Reporting;
(3)
credit earned for Accounting and Reporting will
equate to credit for Regulation; and
(4)
credit earned for Business Law and Professional
Responsibilities will equate to credit for Business Environment and Concepts.
(d)
A candidate receiving and retaining credit for every subject
on the UCPAE,
within an eighteen month period,
subject to the
limitations imposed by the Act, shall be considered by the board to have completed
the examination and may make application for certification as a certified
public accountant.
(e)
A candidate who has received and retained credit for any
or all subjects on the UCPAE may transfer such credits to another licensing
jurisdiction if the candidate pays in advance a transfer fee set by board
rule as identified in §521.7 of this title (relating to Fee for Transfer
of Credits).
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 May 15, 2003.
TRD-200303025
Rande Herrell
General Counsel
Texas State Board of Public Accountancy
Earliest possible date of adoption: June 29, 2003
For further information, please call: (512) 305-7848
22 TAC §517.1
The Texas State Board of Public Accountancy (Board) proposes
an amendment to §517.1, concerning Temporary Practice.
The amendment to §517.1 will delete any reference or implication that
an individual CPA might be able to obtain a Temporary License and states the
type of professional entities that are eligible to apply for temporary licensure.
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 amendment does not
require the state 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 amendment does not require the state and local governments 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 amendment will be zero because the amendment
does not require the state 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 possibly misleading language has been removed from
the rule.
The probable economic cost to persons required to comply with the amendment
will be zero because the amendment does not require anyone 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 requests 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 Wednesday, June 25, 2003. Comments should be addressed
to Rande Herrell, 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 the amendment does not
require small businesses 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, Texas
Occupations Code, §901.151 (Vernon 2001) which authorizes the Board to
adopt rules deemed necessary or advisable to effectuate the Act.
No other article, statute or code is affected by this proposed amendment.
§517.1.Temporary Practice.
(a)
A certified public accountancy firm of another state
that does not hold a firm license under the Public Accountancy Act of Texas
may temporarily practice in this state on professional business incident to
the firm's regular practice outside this state if an application for a temporary
permit is approved by the board. The temporary practice must conform with
the Act, laws of Texas and the Board's Rules.
[
(b)
Temporary practice means the practice of public accountancy
in Texas on a temporary basis in conjunction with a regular practice outside
of Texas by a [
(c)
A temporary practice in Texas may be conducted by:
[
(1)
[
(2)
[
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 May 15, 2003.
TRD-200303027
Rande Herrell
General Counsel
Texas State Board of Public Accountancy
Earliest possible date of adoption: June 29, 2003
For further information, please call: (512) 305-7848
22 TAC §517.2
The Texas State Board of Public Accountancy (Board) proposes
an amendment to §517.2, concerning Application for Temporary Permit.
The amendment to §517.2 will delete any reference or implication that
an individual CPA might be able to obtain a Temporary License and states the
type of professional entities that are eligible to apply for temporary licensure.
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 amendment does not
require the state 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 amendment does not require the state or local governments 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 amendment will be zero because the amendment
does not require the state 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 possibly misleading language has been removed from
the rule.
The probable economic cost to persons required to comply with the amendment
will be zero because the amendment does not require anyone 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 requests 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 Wednesday, June 25, 2003. Comments should be addressed
to Rande Herrell, 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 the amendment does not
require small businesses 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, Texas
Occupations Code, §901.151 (Vernon 2001) which authorizes the Board to
adopt rules deemed necessary or advisable to effectuate the Act.
No other article, statute or code is affected by this proposed amendment.
§517.2.Application for Temporary Permit.
(a)
An application for a temporary permit shall be made on
a form prescribed by the board and submitted to the executive director for
approval.
(1)
The application must contain:
[
(A)
[
(B)
[
(C)
[
(D)
[
(2)
The application must be submitted with the requisite fee.
(3)
Upon approval of the application the board shall issue
a temporary permit to be valid for not more than 180 days. [
(b)
A
firm
[
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 May 15, 2003.
TRD-200303028
Rande Herrell
General Counsel
Texas State Board of Public Accountancy
Earliest possible date of adoption: June 29, 2003
For further information, please call: (512) 305-7848
22 TAC §521.2
The Texas State Board of Public Accountancy (Board) proposes
an amendment to §521.2 concerning Examination Fees.
The amendment to §521.2 will establish the fee structure for the computer-based
CPA examination.
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 amendment does not
require the state to do or not do anything new or additional.
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 amendment does not require the state or local governments to do or not
do anything new or additional.
C. the estimated loss or increase in revenue to the state as a result of
enforcing or administering the amendment will be zero because the amendment
does not require the state to do or not do anything new or additional.
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 fees for the uniform computer-based CPA examination
will be established.
The probable economic cost to persons required to comply with the amendment
will be the incremental increase between the current fees for one, two or
four subjects and the new fees that vary according to the exam subject.
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 requests 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 Wednesday, June 25, 2003. Comments should be addressed
to Rande Herrell, 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 the incremental increase
between the current fees for one, two or four subjects and the new fees that
vary according to the exam subject do not rise to level of adverse economic
effect.
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, Texas
Occupations Code, §901.151 (Vernon 2001) which authorizes the Board to
adopt rules deemed necessary or advisable to effectuate the Act and §901.304
which authorizes the Board to collect a fee for the uniform CPA examination.
No other article, statute or code is affected by this proposed amendment.
§521.2.Examination Fees.
(a)
The following fees shall be effective for the Uniform CPA
Examination
, and do not include the fee for the Application of Intent
.
(b)
Until the implementation of the computer-based CPA
examination, the
[
(1)
eligible for one subject--$73.50;
(2)
eligible for two subjects--$117.00; and
(3)
eligible for four subjects--$234.00.
(c)
Upon implementation of the
computer-based CPA examination, the following fees shall become effective,
and do not include the eligibility fee.
(1)
eligible for Auditing and Attestation--$134.50;
(2)
eligible for Financial Accounting and Reporting--$126.00;
(3)
eligible for Regulation--$109.00; and
(4)
eligible for Business and Economic Concepts--$100.50.
(d)
All examination fees shall
be paid to the National Association of State Boards of Accountancy.
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 May 15, 2003.
TRD-200303029
Rande Herrell
General Counsel
Texas State Board of Public Accountancy
Earliest possible date of adoption: June 29, 2003
For further information, please call: (512) 305-7848
Subchapter B. CONTINUING PROFESSIONAL EDUCATION STANDARDS
papers are
] lost, the limit of liability for which the board may be held responsible
will be the amount of the exam fee
collected by the National Association
of State Boards of Accountancy
.
(e)
] Each applicant for the Uniform
CPA Examination must pay
an eligibility fee to the board
[
a fee
] for each subject [
on the examination
] for which the
applicant
requests to take
[
is eligible
]. The actual
fee set by the board is identified in
§521.14
[
§521.2
] of this title (relating to
Eligibility
[
Examination
] Fees). Application forms not accompanied by the proper fee or required
documents shall not be considered complete. The withholding of information,
a misrepresentation, or any untrue statement on the application or supplemental
documents will be cause for rejection of the application.
(g)
] Each reexamination applicant
must continue to show that the applicant remains qualified in all respects
to take the examination.
Subchapter D. CPA EXAMINATION
twice annually during the months of May
and November in such cities in Texas as the board shall designate.
]
law
and professional responsibilities
];
accounting and reporting
];
and
issued laminated
identification card or other board authorized form
] and one other
government issued
form of identification containing a photograph of
the candidate. [
Both forms of identification shall be in view during
the entire examination.
]
The board will grant a full refund of the examination
fee if the applicant withdraws from the examination and the board receives
notification in writing prior to the deadline for applying for the examination
(March 15 or September 15).
]
The board will grant a
refund of one-half of the total examination fee paid if: the applicant submits
an incomplete application for the examination and does not remedy the deficiency,
and as a result is not permitted to take the examination; or the applicant
withdraws after the filing deadline because of extreme hardship.
]
shall be
] defined as a serious illness
of the candidate or member of the immediate family or death of an immediate
family member.
Immediate family member is a spouse, child or parent.
Any
other extreme hardship situation will be reviewed on a case-by-case basis
by the board.
All requests for refunds
] based on extreme
hardship
[
hardships
] must be
in writing
. Documentation
[
and provide documentation
]
of the extreme hardship
that precluded the applicant from scheduling
or taking the
[
requiring withdrawal from the examination. The requests
for refunds for the May
] examination must be received by the board
not later than 30 days after the applicant's eligibility to take the section
of the examination expires.
[
on or before the 15th of November
following the examination. The request for refund for the November examination
must be received by the board on or before the 15th of May following the examination.
]
A grade of at least 75% on each subject shall be required as a passing grade
for the entire examination.
] Not later than the 30th day after the day
on which the board receives a candidate's grades from the grading authority,
the candidate will be notified of the grades unless board action is pending
and the individual is precluded from receiving the examination results until
the board action is resolved. In no event will any information concerning
a candidate's performance on the examination be given to anyone other than
the candidate unless the board has written authorization to do so.
conditional
] credit to
a candidate for the satisfactory completion of the [
written
] Uniform
Certified Public Accountant Examination (UCPAE)
provided the candidate
earns a passing grade as determined by board rule on the subject. The credit
shall be valid for eighteen months from the actual date the candidate took
the subject.
[
under the following conditions:
]
(1)
the candidate takes all parts
of the examination for which the candidate is eligible; and]
(2)
the candidate earns a grade
of 75 or higher on any two subjects of the examination; and]
(3)
the candidate scores a minimum
grade of 50 on each subject not passed at the examination.]
(b)
The board shall grant credit
after the establishment of conditional credit to a candidate for the satisfactory
completion of any subject under the following conditions:]
(1)
the candidate takes all parts of the examination
for which the candidate is eligible; and]
(2)
the candidate earns a grade of 75 or higher
on one or more subjects of the examination; and]
(3)
the candidate scores a minimum grade of 50
on each subject not passed at the examination.]
(c)
] A candidate who earned [
conditional
] credit(s) after
implementation of the computer-based
examination
[
September 1, 1989,
] must pass the remaining subjects
within the next
eighteen months. Should a candidate’s exam credit
be invalidated due to the expiration of eighteen months without earning credit
on the remaining subjects,
[
six consecutive examinations or forfeit
credits received. Although the candidate loses credits at the end of such
six consecutive examinations
] the candidate remains qualified to
take
[
sit for
] the examination.
Chapter 517.
TEMPORARY PRACTICE IN TEXAS
In order for a non-Texas
CPA or non-Texas public accounting firm to conduct professional business in
Texas on a temporary basis, an application for a temporary permit must be
submitted to the board. The temporary practice must conform with the Act,
laws of Texas and the Board's Rules of Professional Conduct.
]
person who is not a member, partner, shareholder, or employee
of a
] public accounting firm
not licensed
[
registered
] in Texas.
(1)
a certified public accountant
of another state;]
(2)
] a partnership
,
[
or
] a corporation
, limited liability company, limited liability
partnership, or sole proprietorship
composed
of at least a majority
[
entirely
] of certified public accountants of another state;
or
(3)
] any
accounting firm
[
accountant
] who holds a current certificate in good standing, or a current
valid license issued by a foreign country, constituting a recognized qualification
for the practice of public accountancy in such country.
(A)
the identity of the person;]
(B)
] the identity of the firm;
(C)
] the firm address;
(D)
] a list of all partners or individuals
of the firm who will be practicing in Texas under provisions of the permit;
(E)
] a verification by the state
or country that has permanent regulatory authority over [
the individual
and
] the partnership, [
and/or professional
] corporation
, limited liability company, limited liability partnership or sole proprietorship
is in good standing and is licensed to practice public accountancy
in that state or country.
The board
may not issue more than one permit to a person or firm during any three-year
period.
]
person
] coming into this state
to perform a peer review or report review under an approved
peer
[
quality
] review program is exempt from obtaining a temporary permit
but must conduct the review in conformity with the Act, the laws of Texas
and the Board's Rules of Professional Conduct.
Chapter 521.
FEE SCHEDULE
The
] fee for the initial examination conducted
pursuant to the Act shall be $234.00. The fee for any examination shall be
apportioned as follows:
Chapter 523.
CONTINUING PROFESSIONAL EDUCATION