HBA-DMH H.B. 430 77(R)    BILL ANALYSIS


Office of House Bill AnalysisH.B. 430
By: Pitts
Licensing & Administrative Procedures
7/19/2001
Enrolled



BACKGROUND AND PURPOSE 

Prior to the 77th Legislature, to become a certified public accountant
(CPA), a person was required to take a paper-based examination in a
specified location and achieve a specified score.  However, 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.
House Bill 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

It is the opinion of the Office of House Bill Analysis that rulemaking
authority is expressly delegated to the Texas State Board of Public
Accountancy in SECTION 5 (Section 901.307, Occupations Code) of this bill. 

ANALYSIS

House Bill 430 amends the Occupations Code to authorize the Texas State
Board of Public Accountancy to contract with a person to conduct uniform
CPA examinations under the Public Accountancy Act.  The bill requires,
rather than authorizes, the board by rule to adopt methods for grading
examinations and to establish the criteria for passing the examination.
The bill requires the board to collect a fee, not to exceed the cost of
administering the examination for each examination or reexamination.  The
bill deletes provisions prohibiting the total examination fee from
exceeding $250 and providing that a person must attain a grade of at least
75 percent on each subject of the examination to pass the examination. The
bill authorizes the board to require the use of all or part of the uniform
CPA examination and any related services available from specified entities. 

EFFECTIVE DATE

September 1, 2001.