Bill Text: TX HB1756 | 2013-2014 | 83rd Legislature | Introduced
Bill Title: Relating to the peer review program for certified public accountants and certified public accountancy firms.
Spectrum: Partisan Bill (Republican 2-0)
Status: (Introduced - Dead) 2013-04-30 - Left pending in committee [HB1756 Detail]
Download: Texas-2013-HB1756-Introduced.html
| 83R8700 BEF-F | ||
| By: Stephenson | H.B. No. 1756 | |
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| relating to the peer review program for certified public | ||
| accountants and certified public accountancy firms. | ||
| BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS: | ||
| SECTION 1. Section 901.159, Occupations Code, is amended by | ||
| amending Subsection (a) and adding Subsections (a-1), (a-2), and | ||
| (c) to read as follows: | ||
| (a) In this section: | ||
| (1) "Compilation" means a service provided by a | ||
| license holder, the objective of which is to assist management in | ||
| presenting financial information in the form of financial | ||
| statements without attempting to obtain or provide an assurance | ||
| that no material modification should be made to the financial | ||
| statements in order for the financial statements to comply with | ||
| applicable financial reporting standards. | ||
| (2) "Micro-business" has the meaning assigned by | ||
| Section 2006.001, Government Code. | ||
| (3) "Small business" has the meaning assigned by | ||
| Section 2006.001, Government Code. | ||
| (a-1) The board by rule shall provide for a peer review | ||
| program to review the work product of a license holder or of the | ||
| certified public accountancy firm in which the license holder is a | ||
| member, in lieu of the license holder, to the extent necessary to | ||
| comply with any applicable standards adopted by generally | ||
| recognized bodies responsible for setting accounting standards. | ||
| Peer review must include a verification that each individual in a | ||
| certified public accountancy firm who is responsible for | ||
| supervising attest services and who signs or authorizes another | ||
| person to sign an accountant's reports on financial statements on | ||
| behalf of the firm meets the competency requirements of the | ||
| professional standards that apply to those services. | ||
| (a-2) Subsection (a-1) does not apply to a compilation | ||
| prepared for the benefit of a micro-business or a small business. | ||
| (c) The board by rule shall provide that: | ||
| (1) a license holder or the certified public | ||
| accountancy firm in which a license holder is a member is not | ||
| required to be a member of an organization in order to comply with | ||
| the peer review program under this section; and | ||
| (2) an organization that administers a peer review | ||
| program under this section may not charge a license holder or the | ||
| certified public accountancy firm in which a license holder is a | ||
| member a different fee for peer review services under this section | ||
| based on whether the license holder or firm is a member of the | ||
| organization. | ||
| SECTION 2. Not later than November 1, 2013, the Texas State | ||
| Board of Public Accountancy shall adopt rules necessary to | ||
| implement the changes in law made by this Act. | ||
| SECTION 3. This Act takes effect September 1, 2013. | ||
