Proposals Released on Additional Pathway to CPA Licensure, Changes to Uniform Accountancy Act (UAA) Model Rules

The American Institute of CPAs (AICPA) and the National Association of State Boards of Accountancy (NASBA) have issued two important exposure drafts related to the CPA pipeline and licensure:

Exposure Draft: Competency-Based Experience Pathway
Comments due by December 6

Exposure Draft: Proposed Amendments to the UAA Model Act and Rules
Comments due by December 30

“Both exposure drafts are rather complicated,” explained CTCPA Executive Director and CEO Bonnie Stewart. “While it is imperative that the CTCPA and its members submit responses, further review and discussion is required before we can draft and share our response.”

The proposed additional CPA Competency-Based Experience Pathway would allow for candidates to obtain CPA licensure with a bachelor’s degree, one year of experience, one year of competency-based experience, and passage of the CPA Exam.

The competency-based experience would serve as an alternative to a master’s degree or the  additional 30-credit-hour requirement, and would be certified by a “CPA evaluator” who would be called upon to use professional judgement to determine if a candidate has demonstrated sufficient competencies in areas including ethical behavior, critical thinking and professional skepticism, business acumen, and more.

The second exposure draft proposes changes to the Uniform Accountancy Act (UAA) Model Rules. The UAA is designed to provide for uniform CPA licensing and mobility among the 55 U.S. CPA licensing jurisdictions (including the 50 states, D.C., Puerto Rico, Guam, U.S. Virgin Islands, and Commonwealth of Northern Mariana Islands).

This exposure draft sets the education required to sit for the CPA Exam as a bachelor’s degree and adds a Competency-Based Experience Pathway for licensure.

This exposure draft also addresses CPA mobility and includes preserving state substantial equivalency and a pathway for CPAs who may not meet certain education requirements.  

“We may also want to advocate for a change in the CPA regulations here in Connecticut to allow for automatic mobility like at least four other states have,” Bonnie said. “CTCPA leadership will spend the next few weeks delving into this topic together, engaging in conversations with leadership in other states, national organizations, and the Connecticut State Board of Accountancy.”

“Grassroots efforts on these matters will be extremely important, and I urge you to take time to review the materials presented and submit your own comments,” Bonnie said.