Florida Senate - 2012                                    SB 1656
       
       
       
       By Senator Latvala
       
       
       
       
       16-01041A-12                                          20121656__
    1                        A bill to be entitled                      
    2         An act relating to public accounting; amending s.
    3         473.3035, F.S.; requiring that the Department of
    4         Business and Professional Regulation conduct a
    5         feasibility study to assess the privatization of the
    6         Division of Certified Public Accounting; requiring the
    7         study to be completed by a specified date; amending s.
    8         473.308, F.S.; revising the criteria for the work
    9         experience that is required for obtaining a license as
   10         a certified public accountant in this state; requiring
   11         the Board of Accountancy to certify as qualified for a
   12         license by endorsement an applicant who holds a valid
   13         license to practice public accounting issued by
   14         another state and who meets certain other
   15         requirements; amending s. 473.311, F.S.; requiring
   16         that the department renew a license upon certification
   17         by the board that the sole proprietor, partnership,
   18         corporation, limited liability company, or other firm
   19         engaged in the practice of public accounting is
   20         enrolled in a peer review program; creating s.
   21         473.3125, F.S.; providing definitions; requiring the
   22         board to adopt rules that establish minimum standards
   23         for peer review programs and minimum criteria for the
   24         board’s approval of peer review administering
   25         organizations that facilitate and administer peer
   26         review programs; authorizing the board to establish a
   27         peer review oversight committee; amending s. 473.313,
   28         F.S.; providing requirements for renewing a license
   29         that becomes inactive for failure of the licensee to
   30         report the completion of a specified number of hours
   31         of continuing professional education in public
   32         accounting; providing an effective date.
   33  
   34  Be It Enacted by the Legislature of the State of Florida:
   35  
   36         Section 1. Subsection (3) is added to section 473.3035,
   37  Florida Statutes, to read:
   38         473.3035 Division of Certified Public Accounting.—
   39         (3) Upon approval of the board, the department shall
   40  conduct a feasibility study in accordance with s. 455.32(4) to
   41  assess the privatization of the division. This study shall be
   42  completed by November 30, 2012.
   43         Section 2. Subsections (4) and (7) of section 473.308,
   44  Florida Statutes, are amended to read:
   45         473.308 Licensure.—
   46         (4)(a) An applicant for licensure after December 31, 2008,
   47  must show that he or she has had 1 year of work experience. This
   48  experience shall include providing any type of service or advice
   49  involving the use of accounting, attest, compilation, management
   50  advisory, financial advisory, tax, or consulting skills, all of
   51  which must be verified by a certified public accountant who is
   52  licensed by a state or territory of the United States and who
   53  has supervised the applicant. This experience is acceptable if
   54  it was gained through employment in government, industry,
   55  academia, or public practice; constituted a substantial part of
   56  the applicant’s duties; and was verified by under the
   57  supervision of a certified public accountant licensed by a state
   58  or territory of the United States. The board shall adopt rules
   59  specifying standards and providing for the review and approval
   60  of the work experience required by this section.
   61         (b) However, an applicant who completed the requirements of
   62  subsection (3) on or before December 31, 2008, and who passes
   63  the licensure examination on or before June 30, 2010, is exempt
   64  from the requirements of this subsection.
   65         (7) The board shall certify as qualified for a license by
   66  endorsement an applicant who:
   67         (a)1. Is not licensed and has not been licensed in another
   68  state or territory and who has met the requirements of this
   69  section for education, work experience, and good moral character
   70  and has passed a national, regional, state, or territorial
   71  licensing examination that is substantially equivalent to the
   72  examination required by s. 473.306; and
   73         2. Has completed such continuing education courses as the
   74  board deems appropriate, within the limits for each applicable
   75  2-year period as set forth in s. 473.312, but at least such
   76  courses as are equivalent to the continuing education
   77  requirements for a Florida certified public accountant licensed
   78  in this state during the 2 years immediately preceding her or
   79  his application for licensure by endorsement; or
   80         (b)1.a. Holds a valid license to practice public accounting
   81  issued by another state or territory of the United States, if
   82  the criteria for issuance of such license were substantially
   83  equivalent to the licensure criteria that existed in this state
   84  at the time the license was issued; or
   85         b. Holds a valid license to practice public accounting
   86  issued by another state or territory of the United States but
   87  the criteria for issuance of such license did not meet the
   88  requirements of sub-subparagraph a.; has met the requirements of
   89  this section for education, work experience, and good moral
   90  character; and has passed a national, regional, state, or
   91  territorial licensing examination that is substantially
   92  equivalent to the examination required by s. 473.306; or and
   93         c. Holds a valid license to practice public accounting
   94  issued by another state or territory of the United States; has
   95  passed a national, regional, state, or territorial licensing
   96  examination that is substantially equivalent to the examination
   97  required by s. 473.306 at least 10 years before the date of
   98  application; and has met the requirements of this section for
   99  good moral character; and
  100         2. Has completed continuing education courses that are
  101  equivalent to the continuing education requirements for a
  102  Florida certified public accountant licensed in this state
  103  during the 2 years immediately preceding her or his application
  104  for licensure by endorsement.
  105         Section 3. Section 473.311, Florida Statutes, is amended to
  106  read:
  107         473.311 Renewal of license.—
  108         (1) The department shall renew a license issued under s.
  109  473.308 upon receipt of the renewal application and fee and upon
  110  certification by the board that the Florida certified public
  111  accountant has satisfactorily completed the continuing education
  112  requirements of s. 473.312.
  113         (2) Effective January 1, 2015, the department shall renew a
  114  license issued under s. 473.3101 upon certification by the board
  115  that the sole proprietor, partnership, corporation, limited
  116  liability company, or other firm engaged in the practice of
  117  public accounting, as defined in s. 473.302(8)(a), is enrolled
  118  in a peer review program.
  119         (3)(2) The department shall adopt rules establishing a
  120  procedure for the biennial renewal of licenses issued under ss.
  121  473.308 and 473.3101.
  122         Section 4. Section 473.3125, Florida Statutes, is created
  123  to read:
  124         473.3125Peer review.—
  125         (1) As used in this section, the term:
  126         (a) “Licensee” means a sole proprietor, partnership,
  127  corporation, limited liability company, or any other firm
  128  engaged in the practice of public accounting, as defined in s.
  129  473.302(8)(a), which is required to be licensed under s.
  130  473.3101.
  131         (b) “Peer review” means the study, appraisal, or review by
  132  one or more independent certified public accountants of one or
  133  more aspects of the professional work of a licensee.
  134         (2) The board shall adopt rules establishing minimum
  135  standards for peer review programs, including, but not limited
  136  to, standards for administering, performing, and reporting peer
  137  reviews. The board shall also adopt rules establishing minimum
  138  criteria for the board’s approval of one or more peer review
  139  administering organizations to facilitate and administer peer
  140  review programs.
  141         (3) For the purposes of maintaining oversight of a firm’s
  142  licensure renewal requirements in s. 473.311(2), the board may
  143  establish a peer review oversight committee that is composed of
  144  no fewer than three and no more than five members who are
  145  licensed under this chapter and whose firm is subject to s.
  146  473.311(2) and has received a review rating of “pass” on the
  147  most recent peer review.
  148         Section 5. Section 473.313, Florida Statutes, is amended to
  149  read:
  150         473.313 Inactive status.—
  151         (1) A Florida certified public accountant may request that
  152  her or his license be placed in an inactive status by making
  153  application to the department. The board may prescribe by rule
  154  fees for placing a license on inactive status, renewal of
  155  inactive status, and reactivation of an inactive license.
  156         (2) A license that has become inactive for failure of the
  157  licensee to complete the requirements in s. 473.312 may be
  158  reactivated under s. 473.311 upon application to the department.
  159  The board may prescribe by rule continuing education
  160  requirements as a condition of reactivating a license. The
  161  minimum continuing education requirements for reactivating a
  162  license shall be those prescribed by board rule and those of the
  163  most recent biennium plus one-half of the requirements in s.
  164  473.312. Notwithstanding any other provision of this section,
  165  the continuing education requirements are 120 hours, including
  166  at least 30 hours in accounting-related and auditing-related
  167  subjects, not more than 30 hours in behavioral subjects, and a
  168  minimum of 8 hours in ethics subjects approved by the board, for
  169  the reactivation of a license that is inactive on June 30, 2012
  170  2009, if the Florida certified public accountant notifies the
  171  Board of Accountancy by December 31, 2012 2009, of an intention
  172  to reactivate such a license and completes such reactivation by
  173  June 30, 2014 2011.
  174         (3) A license that has become inactive for failure of the
  175  licensee to report completion of the requirements in s. 473.312
  176  may be reactivated under s. 473.311 upon application to the
  177  department. In order to reactive the license, the licensee
  178  shall:
  179         (a) Pay an application fee as determined by the board;
  180         (b) Submit proof of certification by the Florida certified
  181  public accountant that the licensee satisfactorily completed the
  182  continuing education requirements set forth under s. 473.311;
  183  and
  184         (c) Submit a completed application to the board by March 15
  185  immediately following the inactive period.
  186         (4)(3) Any Florida certified public accountant holding an
  187  inactive license may be permitted to reactivate such license in
  188  a conditional manner. The conditions of reactivation shall
  189  require the payment of fees and the completion of required
  190  continuing education.
  191         (5)(4) Notwithstanding the provisions of s. 455.271, the
  192  board may, at its discretion, reinstate the license of an
  193  individual whose license has become null and void if the
  194  individual has made a good faith effort to comply with this
  195  section but has failed to comply because of illness or unusual
  196  hardship. The individual shall apply to the board for
  197  reinstatement in a manner prescribed by rules of the board and
  198  shall pay an application fee in an amount determined by rule of
  199  the board. The board shall require that the individual meet all
  200  continuing education requirements as provided in subsection (2),
  201  pay appropriate licensing fees, and otherwise be eligible for
  202  renewal of licensure under this chapter.
  203         Section 6. This act shall take effect July 1, 2012.