Meeting Notes
FINANCIAL MATTERS
Jim will check whether Board funds can be invested in other vehicles, such as a Bank of ND fund. July to September expenses were approved (Motion: Peter; 2nd: Nikki; carried). The June 30, 2015 audit report was approved (Motion: Nikki; 2nd: Rick; carried). A capitalization policy was approved (expensing expenses under $500 (Motion: Rick; 2nd: Nikki; carried).
VACATION POLICY. Faye will visit with Society leadership about adding another vacation step.
RESIDENCE. Legal council is negative about trying to obtain a residence requirement, and Jim recommended it not be pursued. The board’s issue is requiring residence for licensure, not for writing the CPA exam. Jim mentioned that the interpretations file is up to date. He will visit with NASBA about foreign applicant licensing and ability to protect the public.
EXPERIENCE VERIFICATION. Beginning April 1, 2016, experience is to be verified by a CPA (or an accountant holding one of the IQAB-recognized credentials). Verification could be from a CPA who investigates and certifies the work. Changes were suggested in the experience form: bold type to emphasize the required work areas, adding a perjury reference, and including the credentials that qualify as verifiers.
RETIRED STATUS.
“No longer employed” is not considered to limit volunteer work, only paid work. The term “may not practice” will be construed as not providing work involving A & A skill, etc., as the law’s definition of practice indicates.
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CGMA. A disclaimer will be expected of non-CPAs who use the CGMA title in a public venue.
FINES.
Jim reported on his inquiry of legal counsel. The Board has fining authority up to $1000; legal counsel suggested that fines be in the $250 - $500 area. There is interest in increasing the current authority.
REINSTATEMENTS / SPECIAL SITUATIONS
Reinstatement was approved for six people. Exam credit (REG) was extended 1 year, for a candidate, due to a health matter. Four classes with a non-accounting rubric were approved. An applicant was denied writing approval. Counsel is to prepare a letter for the president to sign. A licensee with legal issues is to be contacted and given opportunity to explain the situation. Another licensee will be fined $1000, and revoked (until CPE is complete and home certificate reinstated. Legal counsel is to send the correspondence. The Board was informed about a previous applicant who continues to write, and has requested board email addresses and the Governor’s name. A “closure” message has been sent, indicating the required steps and that there will not be further response until those steps are taken.
CPE AUDIT. Questions were addressed. A late fee is applied when the form is filed late; no added fee applies if one is short on CPE. Perhaps when a person is lacking CPE, all their listings should be verified. There was discussion about AICPA having raised the CPE requirement for non-public CPAs, from 60 to 120 hours, and their members may be paying their dues (which include tacit verification they’ve met the CPE rule) without having done so. If we know that’s the case, it could be an ethics issue. Jim made the case that many may not be aware of that higher CPE expectation. No action was initiated.
CPA EXAM EXPOSURE DRAFT. Discussion.
PEER REVIEW. Letters will be sent to firms receiving a fail rating, notifying that we are aware of the status and will monitor the next review status. Peter provided information on the “pass” and “pass with deficiencies” ratings.
NEXT MEETING: Feb. 12, 2016 @ 9 am; 2 locations: Eide Bailly-Bismarck, Brady Martz-Grand Forks.
E.D. GOALS. Faye circulated possible goals that Jim had drafted.
COMPLAINTS. Briefing on 2014-4.