WSR 99-13-070

PROPOSED RULES

BOARD OF ACCOUNTANCY


[ Filed June 11, 1999, 1:32 p.m. ]

Original Notice.

Preproposal statement of inquiry was filed as WSR 98-24-055.

Title of Rule: New section WAC 4-25-795 How do I apply for reinstatement of a revoked or suspended CPA license and/or certificate?

Purpose: To prescribe the requirements a person or firm whose certificate or license was suspended or revoked by the board must follow for modification of the board's order or for reinstatement.

Statutory Authority for Adoption: RCW 18.04.055(11), 18.04.335, 34.05.220.

Statute Being Implemented: RCW 18.04.335.

Summary: WAC 4-25-795:


Requires persons or firms applying for modification of a board order suspending or revoking their CPA license and/or certificate or reinstatement of a suspended or revoked license and/or certificate to submit a "complete" application that includes (1) a form provided by the board, (2) certification under the penalty of perjury by the CPA that the CPA did not hold out in public practice and/or use the title CPA during the time in which the CPA's license and/or certificate was suspended or revoked, (3) written substantiation of the reasons constituting good cause for the reinstatement, (4) recommendations under penalty of perjury from two licensed CPAs who have personal knowledge of the individual's or firm's activities since the suspension or revocation was imposed, (5) a satisfactory report of continuing education requirements, (6) documentation to support the continuing education report, (7) applicable fees.
Notifies the individual or firm of relevant factors the board may consider in considering the application for reinstatement or modification of a board order.
Notifies the individual or firm of the procedures the board may follow if the board decides to consider the merits of an application for reinstatement.
Notifies the individual or firm that if the board decides it will not consider the merits of the application there is no further administrative review available.
Notifies the individual or firm the board may as a condition of reinstatement impose such terms and conditions as it deems suitable.
Notifies the individual or firm the board will not consider an application while an individual is under sentence for any criminal offense.

Reasons Supporting Proposal: Provides clear instructions to CPAs (or CPA firms) who wish to modify a board suspension or revocation order or to apply for reinstatement of a suspended or revoked certificate and/or license.

Name of Agency Personnel Responsible for Drafting, Implementation and Enforcement: Dana M. McInturff, CPA, 210 East Union, Suite A, Olympia, (360) 664-9194.

Name of Proponent: Board of Accountancy, governmental.

Rule is not necessitated by federal law, federal or state court decision.

Explanation of Rule, its Purpose, and Anticipated Effects: In a clear manner that eliminates confusion, WAC 4-25-795 sets the procedures persons or firms whose certificate and/or license has been revoked or suspended must follow in order to apply for modification of a suspension or revocation order or to apply for reinstatement. The board's goal is to: Promote clarity, ensure effective communication, ensure fairness in interpretation and application of the rule, and promote efficiencies through minimizing gray areas.

Proposal Changes the Following Existing Rules: Renumbers WAC 4-25-760 to 4-25-795 to place in a logical numbering ordering with new sections for ease of reference. The rule is rewritten in a clear writing style for clarity. The amendment implements a board practice of requiring the application for reinstatement of a revoked or suspended CPA license and/or certificate to submit to the board a "complete" application that includes: (1) A completed board provided application form, (2) certification under the penalty of perjury that the individual or firm did not hold out in public practice and/or use the title CPA during the time in which the individual's or firm's license and/or certificate was suspended or revoked, (3) a satisfactory report of continuing education, (4) documentation to support the continuing education report, and (5) applicable fees. Includes notice that if the board decides that it will not consider the merits of an application for reinstatement it constitutes final agency action with no options for further administrative review.

No small business economic impact statement has been prepared under chapter 19.85 RCW. WAC 4-25-790 will have negligible economic impact on the accounting profession and business.

RCW 34.05.328 does not apply to this rule adoption. The Board of Accountancy is not one of the agencies required to submit to the requirements of RCW 34.05.328.

Hearing Location: Western Washington University, Viking Addition, Room 461, Bellingham, Washington, on July 29, 1999, at 1:30 p.m.

Assistance for Persons with Disabilities: Contact Cheryl Sexton by July 22, 1999, TDD (800) 833-6384, or (360) 664-9194.

Submit Written Comments to: Dana M. McInturff, P.O. Box 9131, Olympia, WA 98507-9131, fax (360) 664-9190, by July 27, 1999.

Date of Intended Adoption: July 30, 1999.

June 11, 1999

Dana M. McInturff, CPA

Executive Director

by Cheryl M. Sexton

OTS-3158.1


NEW SECTION
WAC 4-25-795
How do I apply for reinstatement of a revoked or suspended CPA license and/or certificate?

If your CPA license and/or certificate was revoked or suspended by the board pursuant to RCW 18.04.295, 18.04.305 and/or 18.04.335, you may not hold out as a CPA in public practice or use the title CPA until your license and/or certificate is reinstated by the board.

You may apply to the board for modification of the suspension or revocation after one year has elapsed from the effective date of the board's order revoking or suspending your license and/or certificate unless the board sets some other period by order. However, if you made a previous application with respect to the same order, no additional application will be considered before the lapse of an additional year following the board's decision on the last such previous application.

To apply for reinstatement of a revoked or suspended license and/or certificate you must use the form provided by the board and satisfy CPE requirements in WAC 4-25-830. An application is not complete and cannot be processed until all fees, required information, and required documentation is received by the board.

To apply for reinstatement, you must submit to the board:

A complete reinstatement form including your certification under the penalty of perjury, that you have:

(1) Not held out in public practice and/or used the title CPA during the time in which your license and/or certificate was suspended or revoked;

(2) Met the CPE requirements for reinstatement in WAC 4-25-830; and

(3) Met the CPE supporting documentation requirements in WAC 4-25-833;

All applicable fees;

Source documents as evidence of eligibility for CPE credit for all courses claimed in order to meet CPE requirements as defined by WAC 4-25-833;

Written substantiation of the reasons constituting good cause for the reinstatement;

Two supporting recommendations, under penalty of perjury, from CPA licensees who have personal knowledge of your activities since the suspension or revocation was imposed; and

Other documents or information which the board may deem necessary.

In considering the reinstatement application, the board may consider all relevant factors, including but not limited to:

The offense for which you were disciplined;

Your activities since the disciplinary penalty was imposed;

Your activities during the time the certificate or permit was in good standing;

Your rehabilitative efforts;

Restitution to damaged parties in the matter for which the penalty was imposed; and

Your general reputation for truth and professional probity.

If the board decides to consider the merits of your application for reinstatement, in the board's discretion, a hearing may be held following such procedures as the board deems suitable for the particular case. If the board decides that it will not consider the merits of your application for reinstatement, then this constitutes final agency action and there is no further administrative review available to you. As a condition of reinstatement, the board may impose such terms and conditions as it deems suitable.

The board will not consider an application for reinstatement while you are under sentence for any criminal offense, including any period during which you are on court-imposed probation or parole.

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Washington State Code Reviser's Office