 An official website of the State of Texas
Board
The Public Accountancy Act provides for fifteen Board members appointed by the Governor, with the advice and consent of the Senate, for six-year staggered terms. Board members are required to be citizens of the United States and residents of Texas. The Board is currently comprised of the following members:
Board Members
Jeannette P. Smith, CPA
Olivia Espinoza-Riley, CPA
Renee D. Foshee, Esq., CPA
Ray R. Garcia, CPA
Susan I. Adams, CPA
Christopher “Grant” Coates
Kimberly D. “Kim” Crawford, CPA
Jill A. Holup
Sherri B. Merket
Thomas M. Neuhoff, CPA
Kenneth E. Omoruyi, CPA
James M. “Jim” Trippon, CPA
Sheila M. Vallés-Pankratz
Susan M. Warren, CPA
Programs Operated by the Board
The Texas State Board of Public Accountancy has the responsibility and authority to regulate the practice of public accountancy in Texas. This is accomplished through the following means:
Evaluation
Under Section 901.302 of the Public Accountancy Act, the Board evaluates the education and background of individuals who desire to take the Uniform CPA Examination. The evaluations are completed throughout the year, and applicants are informed of educational deficiencies that need to be completed before they apply to take the examination.
Qualifications
The Board, in conjunction with the American Institute of Certified Public Accountants (AICPA), the National Association of State Boards of Accountancy (NASBA) and Prometric, offers the Uniform CPA Examination on a year-round basis at various testing centers throughout the state. Only applicants who were determined by the Board to be eligible to test may schedule and take the CPA examination. Eligibility is reassessed with each application submitted to the Board.
Certification
The Board certifies:
- Applicants who have passed all sections of the Uniform CPA Examination in Texas and have met all other statutory requirements under Section 901.252 of the Public Accountancy Act for the CPA certificate in Texas; and
- Applicants who have passed all sections of the Uniform CPA Examination in another jurisdiction and transferred those sections to Texas under Section 901.258 of the Public Accountancy Act and have met all other statutory requirements under Section 901.252 of the Public Accountancy Act for the CPA certificate in Texas; and
- Individuals licensed as certified public accountants in other jurisdictions who wish to practice public accountancy in Texas and receive a Texas CPA certificate under Section 901.259 of the Public Accountancy Act (Certification Based On Reciprocity).
Registration
The Board requires registration of the following entities:
- professional corporations, partnerships, limited liability companies, registered limited liability partnerships, and sole proprietorships engaged in the practice of public accountancy; and
- eligible foreign applicants.
Licensure
The following entities must be licensed by the Board in order to lawfully practice public accountancy in Texas:
- certified public accountants;
- public accountants;
- eligible foreign applicants; and
- offices: professional corporations, partnerships, professional limited liability companies (PLLC), registered professional limited liability partnerships (PLLP), and sole proprietorships engaged in the practice of public accountancy.
Continuing Professional Education (CPE)
CPAs are required to comply with the Board’s program of mandatory continuing professional education.
Sponsor Review Program
 The sponsor review program is charged with ensuring that CPE sponsors are in compliance with the Board’s requirements. The program will monitor Board-registered CPE sponsors and their courses with the goal of emphasizing high quality education and compliance with professional standards.
Peer Review
The Board has promulgated rules governing peer review and has implemented a program whereby the work product of persons or firms practicing public accountancy is measured for adherence to quality control standards adopted by practitioners and the profession.
Enforcement
When an individual or firm licensed with the Board violates statutory provisions related to the practice of public accountancy or the Rules of Professional Conduct, the Board has the authority to take disciplinary action including but not limited to the revocation of the license or certificate and the imposition of civil and criminal penalties. The Board also has the authority to enforce specific statutory prohibitions against practicing or offering to practice public accountancy without a license.
Proposing Rules
Prior to the Board’s adoption of a Rule or the revision of an existing Rule, the Board’s proposal is published in the Texas Register. The Texas Register publication contains the complete text of the Rule along with an invitation to the public to comment on it. Persons wishing to comment will have at least 30 days to do so. Following the comment period, the Board considers the proposed Rule along with the public’s comments. If the Board adopts the Rule without substantial changes, it then files the Rule with the Secretary of State’s Office and the Rule is published as adopted in the Texas Register. The Rule becomes effective 20 days after its filing with the Secretary of State’s Office.
The Board Rules that are currently being reviewed can be viewed on the Texas Register section of the Secretary of State’s website. After linking to the site, the current and previous issues of the Texas Register can be viewed. Announcements along with Rules changes for other state agencies will be listed in the Texas Register. Board Rules under review will be listed under the title TEXAS STATE BOARD OF PUBLIC ACCOUNTANCY.
Current Initiatives
Peer Review
There is an increasing concern that what is now a national uniform peer review program managed by AICPA and administered by 41 entities across the country will become fractured as regulators look for greater access to and involvement in the peer review program.
As a result of the concern, AICPA began piloting a new process with six states in October 2007. The six states participating in the program are North Carolina, Ohio, Oklahoma, South Dakota, Tennessee, and Texas. Additional information is available on the AICPA website.
Constructive Enforcement
The vast majority of people in Texas believe that when a person refers to himself as an “accountant” or offers “accounting services” or “auditing services” to the public, the person is a licensed CPA. The public relies on the competency and integrity of certified public accountants when seeking professional financial services and must be protected from being misled into employing persons lacking the skills to provide the services they require.
The Constructive Enforcement Committee is an active committee that is working with volunteer advisory members to identify persons in the Unlicensed Practice of Public Accountancy (UPPA) in order to obtain compliance with the Public Accountancy Act.
These advisory members form the Constructive Enforcement Advisory Committee (CEAC). Members of this committee will have the general responsibility in monitoring the unlicensed practice of public accountancy and the public accounting activity of licensees under sanctions by the Board, and will assist the Board in producing evidence of violation of the Public Accountancy Act.