Society Leaders Offer Candidates Insight on UAA

By David Terrell

The New York State Association of CPA Candidates hosted a January discussion on the Uniform Accountancy Act and how it will affect current and future CPA candidates. NYSSCPA President George Foundotos and Executive Director Louis Grumet spoke about the act's impact on the profession and the changes proposed for certification requirements.

The UAA is a model bill and set of regulations developed by the AICPA and the National Association of State Boards of Accountancy that recommend sweeping changes in the regulation of the accounting profession. The NYSSCPA will incorporate many UAA provisions into legislation it plans to propose to the New York State Legislature this spring.

Foundotos and Grumet discussed details about educational and work experience requirements in the act. The act stipulates that a candidate must complete 150 semester hours of college education to be eligible for examination. The New York State Board of Regents passed the 150 hour requirement in July, and it will go into effect for candidates sitting for the CPA exam after August 2009. Grumet indicated that the NYSSCPA hopes to persuade the Regents and the State Education Department or, if necessary, the state legislature, to move the requirement's effective date to an earlier year, such as 2005.

Another important UAA provision is the work experience requirement. The act requires a candidate for licensure to complete one year of work experience providing any CPA-type services using accounting, attest, management advisory, financial advisory, tax, or consulting skills. There is no provision for the specific amount of attest experience to obtain a license, however Section 7(3)(c) of the act states that "all licensees who are responsible for supervising attest services, and sign or authorize someone to sign reports on financial statements on behalf of their firm, must meet the experience requirements required by professional standards before they may perform attest services." The AICPA and NASBA are developing these professional standards that will qualify the attest experience.

Foundotos stated that in its efforts to develop a New York version of the UAA proposals, the NYSSCPA board of directors studied the act in great detail, solicited feedback from pertinent Society committees and other groups, formed a task force, and discussed the provisions at several meetings (See the November 1998 and February 1999 issues of The Trusted Professional for more on the board's actions.) He encouraged Candidates Association members to learn more about the act and the Society's proposed legislation. According to both Foundotos and Grumet, it is important to let the legislature know that people are interested in the act.

See the AICPA's website at www.aicpa.org/states/uaaentry.htm for the full text of the UAA. Watch the NYSSCPA's site, www.nysscpa.org, and future issues of The Trusted Professional for updates on the Society's proposed legislation. *

David Terrell serves on the board of directors of the CPA Candidates Association and is a staff accountant with Matthews & Co.