| Next Meeting | ||
| April 2009 October + November 2008 September, 2008 |
June, 2008 March, 2008 February, 2008 |
|
Meeting Notes: 4/30/09 11 am [conference call]
The meeting began at about 11:10 am.
Participants were Harold Wilde, Ron Johnke, George Kelly, Mandy Harlow, Jim Abbott.
2009-10 RENEWAL FEE
There was no objection to a renewal fee of $75. The thinking is to not increase it again for a few years, and to monitor the situation as time goes on.
NASBA MEETING
Harold will be attending the Oklahoma NASBA regional meeting.
JOINT SOCIETY/BOARD MEETING
Nikki and Harold will represent the Board at the annual Board / Society joint meeting, with authority to commit the Board.
NEXT MEETING
The group will not meet May 29 as had been planned, but will meet in early July, in the east.
COMPLAINTS
Jim will contact legal counsel again if a few days, asking that a 5-day deadline be given for the defendant’s attorney response (case 2007-2). Jim will also update the Board is about 10 days on the status of cast 2007-2 and 2008-6.
Adjourned at 11:29 am
COMPLAINTS
The Board has a small number of open complaints that it is addressing. In one case further support is to be gathered. In two cases, the Board is retaining external support to assist in handling the matter. In another case, the Board agreed to various disciplinary measures.
MOBILITY BILL
Two issues were addressed – the reference to a 75% exam score, and a 2012 window for education. The bill was approved for submission to the Legislature, with one change (deleting the 75% grade sentence in 43-02.2-04(6)).
EDUCATIONAL ISSUES
It was agreed to remove the current interpretation that business law qualifies only under “other business” regardless of rubric. Instead, up to 3 credits of business law will be allowable within the accounting concentration, with other law classes countable in the “other business” portion if they have a business, management, finance or marketing rubric or one of these terms in the course title. An independent evaluation, by an NACES member, will be required for courses taken outside of the U.S. and Canada. However, when an accredited [or acceptable] U.S. school has accepted a student with foreign education into a graduate program, we will honor that decision and consider the candidate as having a baccalaureate degree. We will require an English listing of the foreign courses taken, with semester credit values, in order to determine total credits, and those credits which will count toward the concentration.
For more complete meeting notes, contact the Board office – 800-532-5904.
PEER REVIEW OVERSIGHT
Ron, Harold and Jim will decide on the selection of an oversite coordinator. There was discussion about the coordinator not being able to report about specific details to the board. In the past we have been receiving peer review reports, and will not be doing so now. Harold suggested we not require the coordinator to sign the AICPA non-disclosure agreement.
USE OF “ACCOUNTANT”
A firm had inquired about listing some of their personnel as “accountants”. Legal counsel considered the practice not acceptable, and this approach will be followed by the board. Jim will notify the firm.
LAW CHANGES
There was no disagreement on the bill going to the Legislature as an agency bill. Comments included the sentiment that lobbying is more appropriate from the Society, gaining sponsors from the relevant committee (possibly the Senate IBL Committee). There was no decision as to helping fund legislative costs of the bill.
COMPLAINTS
Various complaint matters were addressed. Several were closed. An formerly-closed case was re-opened, and will be pursued. An unwritten concern is to be pursued by two of the board members. A phone directory listing will be pursued, by notifying the company they are listed in a misleading category.
Meeting Highlights: June 5, 2008
OFFICERS: The officers will continue to serve in their current roles -- Harold Wilde as president, Ron Johnke as Secretary.
FINANCIAL REPORT (3/31/08): Expenses were approved.
BUDGET: approved as presented
STAFF COMPENSATION: Agreed to as proposed from the Joint Compensation group.
LAW CHANGES: Jim will follow up with the law firm on our proposed changes and questions.
RULECHANGES: Harold & Jim will be present at the upcoming meeting. The group agreed that, if possible, the effective date be extended by one year.
EDUCATION CREDITS: We will accept courses taken on a “pass/fail” basis. We will not make exception to the 150 credit requirement, for an applicant who is very close, but not quite at 150.
AUDITOR SELECTION: Drees, Riskey & Vallager was selected for audit services.
PEER REVIEW: Rick and Jim are to check about oversight at the regional NASBA meeting. We will address the issue in the September meeting. One firm is late in submitting their peer review, and will be required to complete its peer review by year-end, or face revocation.
CANDIDATE REQUESTS: A request for an extension of part life, due to an accident, was not approved. A grade transfer applicant’s work experience was not approved. Another grade transfer had an educational record that doesn’t show principles-level credits; the evaluation company cannot specify which are elementary. We will assume that six credits would be principles content. A potential applicant has law school credits, but these will not be allowed to count.
COMPLAINTS: A complaint was received, outside our jurisdiction; we will not open a complaint in such cases.
PHONE LISTINGS: For listings under “accountant and bookkeeping”, the group was agreeable with pursuing only those with “accountant” and “accountant” in their business name. One entity will be asked to not list itself under such a heading [without a disclaimer], or under an LPA heading. Another party, listed under an “LPA” heading, will be asked to not do so. Another party will be asked to include a disclaimer, in light of advertising accounting services.
Participants: Harold Wilde, Rick Lee, Ron Johnke, George Kelly, Nikki Schmaltz, Sherre Sattler, Ken Tupa, Jim Abbott.
RULE CHANGES
Jim provided background. There were three issues of concern for the Rules Committee – peer review, board stipends and concentration. Ken confirmed that the peer review change is probably no longer a concern. Harold supported leaving the changes as proposed, unless the Committee mandates change in June. He indicated that business is more complex, and our job is to protect the public. Ken commented on the potential value of being flexible with the Committee’s concerns.
Motion carried to only amend one proposal (i.e. leave the stipend daily rate at $300, but retain the proposed $2000 cap). Harold will plan to be at the next Rules Committee meeting.
OTHER ITEMS
Jim mentioned three items – the complaint about the exam fingerprinting requirement, NASBA nominations, and the May 19 Exam conference.
Meeting Synopsis: February 28, 2008
Participants: Harold Wilde, Rick Lee, Ron Johnke, George Kelly, Nikki Schmaltz, Jim Abbott.
NOMINATION OF WIDMER (for NASBA Vice-Chair)
Motion carried to nominate Harris Widmer. Jim will check with Harris for any biography updating.
COMPLAINTS
Three complaints addressed and closed.
MINUTES (July 2 & 31, 2007): approved
FINANCIALS: disbursements approved
RULE CHANGES: Including expansion of peer review to compilation firms, replacing the N.D. ethics code with that of AICPA, etc. The changes were adopted, pending Attorney General approval.
QUESTIONS
1. Using “accountant” (for a non-licensee in a firm of CPAs). Legal counsel will be consulted on this question.
2. Reinstatement was granted for an individual.
3. References Lifespan: A 3 year lifespan will be allowed for exam references.
4. Aakers: We will accept degrees from Aakers, after their accreditation date, including earlier coursework within such a degree. If another (acceptable) school has accepted Aakers credits, we would honor that school’s decision. Aakers credits may count within the concentration.
5. Experience: a request to allow waiver of the 150 provision, in lieu of work experience, was not granted.
6. Work Experience
An inquiry had been received, re. work experience, however, the typical 3rd party verification was not provided. Such verification is necessary (notarizing was also mentioned).
LAW CHANGES TASK FORCE
A joint work group will be established to address law changes. Harold will serve as a board representative, along with either Nikki or Rick. Jim mentioned a mid-December timeframe for selecting the members, a mid January session, then meeting again after tax season.
NASBA ANNUAL MEETING: Comments about the meeting were shared. Jim will check on how many states mandate ethics CPE.
COMPLAINTS
Three complaints were addressed.
Jim commented on an Exam diagnostics error; there was no objection to sending the information to candidates, as recommended.
Meeting Highlights:
Participants: Harold Wilde, Ron Johnke, Jim Abbott, George Kelly, Nikki Schmaltz, Rick Lee, Velma Bjorgum and Mary Jo Richard.
Selection of officers
Harold was selected as president; Ron was selected as Secretary-Treasurer.
Financial Matters
Checks 11927 to 12030 were approved. A revised budget was approved.
Rule Change Language
The license renewal fee “ceiling” will be changed to $100.
George indicated that the NDSA is opposed to the peer review (compilation) expansion, due to cost; he also stated that small firms are not aware of what a peer review involves; more information might help. Nikki would be willing to talk with the NDSA; she also mentioned Stan Sandvik. She will pursue. Jim will send peer review financial information to Nikki. A question was raised about having an LPA sit on the Society acceptance body / committee. Jim will check on AICPA-related rules. A letter had been received, concerned about the current June 30 CPE reporting date. We will write to the author; no change was initiated. The rule changes were approved for exposure, with one vote in opposition.
Jim reviewed law changes which would be held for fall 2008, and put into a legislative proposal. A question was raised about peer review. Perhaps it could be added to the substantial equivalency criteria. Motion passed to approve of these changes, planning to bring them forward. There was a comment that we are not settling the actual language.
One guest left the meeting at this point.
NASBA Annual meeting
A 4 night maximum will be used for reimbursement.
The second guest left the meeting.
Other items
Jim will check with legal counsel, re. whether our statute term “client” covers both the party paying the fee and the entity to which services are provided.
Jim mentioned earlier plans to inquire of other states about peer review;
Complaints
2007-1. This case will be closed, with a letter asking that the party use a “not licensed in ND” disclaimer, if using a reference to a foreign accounting credential.
2007-2. Jim will check with legal counsel about the handling of such issues – the full board being involved in case examination. He will also ask legal counsel re. public notice of discipline -- necessary processes involved. Board members will receive a copy of the complaint material (excluding one member with a potential conflict). The group will meet July 31,
Approval of disbursements (checks 11819 to 11926, dated
Jim will request that an elevator directions sign be installed at the office, if not already there.
Mary Jo reviewed an alternative pricing approach for Society peer review administration fees. It was mentioned that perhaps the late fees should be higher, and perhaps the board should be notified of firms that are slow to cooperate.
A letter had been received from NASBA, inviting exam-related comments. No comments were raised. Velma left the meeting. Ron moved to ask for regarding of Windows 2 and 3, re. the “cut & paste” issue; second by George; carried unanimous.
Service on a board of directors will be considered allowable under retired status.
Audit firm
There was no objection to continuing to retain the Drees, Riskey and Vallager firm for the Board current audit. Mary Jo left the meeting.
PRP coordinator
The group was agreeable with
Pro forma
Jim passed out copies of a financial projection for a separately-operating agency status.
New Legal Counsel
Jim proposed plans for contacting three attorneys; two who represent professional / business boards, one with Mike Daley’s former firm who had expressed an interest in serving us.
We will use this approach, in consultation with Harold.
Complaints
2007-1. We will ask the person to use a disclaimer.
There was no objection to closing cases 2006-8, 2006-10, and 2006-11
Jim informed the group that the AICPA disciplined CPA appears to be current with obligations.
He will follow up in about 6 months.
2007-2: George had reviewed this complaint and reported to the group. It was mentioned that there is a potential conflict with one of the board members on this case. We will invite a response from the CPA, which George will review.
BOARD MEETING
The next meeting date is to be announced, it is anticipated to be in early july.
NDSBA, 2701 S. Columbia Road, Grand Forks ND 58201. Phone: 775-7100 or 800-532-5904 Fax: 775-7430
