SRC-TBR H.B. 430 77(R)   BILL ANALYSIS


Senate Research Center   H.B. 430
77R6729 GJH-FBy: Pitts (Armbrister)
Business & Commerce
5/2/2001
Engrossed


DIGEST AND PURPOSE 

To become a certified public accountant (CPA), a person is required to take
an examination in a specified location and achieve a specified score.  The
current examination is paper-based, but new technology allows for the test
to be given electronically, which may result in a more efficient, frequent,
and widely available testing process.  A revised examination has been
targeted for delivery by computer and could be administered through various
secure testing centers throughout the state.  H.B. 430 authorizes the Texas
State Board of Public Accountancy to contract for the delivery of the
examination and removes the numerical grade necessary to pass the
examination to allow a passing score to be calculated based on the specific
test and the material it covers. 

RULEMAKING AUTHORITY

Rulemaking authority is expressly granted to the State Board of Accountancy
in SECTION 5 (Sec. 901.307, Occupations Code), of this bill. 

SECTION BY SECTION ANALYSIS

SECTION 1.  Amends Section 901.301, Occupations Code, to require the Texas
State Board of Public Accountancy board to conduct uniform CPA examinations
administered under this chapter or contract with a person to conduct
uniform CPA examinations administered under this chapter. 

(b)  Deletes language regarding the method used to grade the examination
and criteria to determine the passing score. 

SECTION 2.  Amends Section 901.304(a), Occupations Code, to require the
board,  for each examination or reexamination, to collect a fee not to
exceed the cost of administering the examination. Deletes language
regarding fees in excess of $250. 

SECTION 3.  Amends Section 901.305, Occupations Code, to require a uniform
CPA examination to be administered under this chapter as often as necessary
but at least once each year. 

SECTION 4.  Amends Section 901.306(a), Occupations Code, to authorize the
board to use or require the use of all or part of the uniform CPA
examination and any related service available from the American Institute
of Certified Public Accountants or the National Association of State Boards
of Accountancy. 

SECTION 5.  Amends Section 901.307, Occupations Code, to read as follows:

Sec. 901.307.  New heading: GRADING EXAMINATION.  Requires the board by
rule to adopt methods for grading examinations and establish the criteria
for passing the examination. 

SECTION 6.  Amends Section 901.308(d),  Occupations Code, to provide that a
person who fails a paper examination is entitled to inspect the examination
questions and the person's answers not later than the 91st day after the
date the board receives the results. 
 
SECTION 7.  (a)  Effective date: upon passage or September 1, 2001.

(b)  Makes application of this Act prospective.