HBA-DMH C.S.H.B. 784 77(R) BILL ANALYSIS Office of House Bill AnalysisC.S.H.B. 784 By: Isett Licensing & Administrative Procedures 4/1/2001 Committee Report (Substituted) BACKGROUND AND PURPOSE Currently, a certified public accountant must pay a biennial license fee to remain licensed to practice accounting. At this time, there are no exemptions for an individual who would like to retire or take a leave of absence because of illness, family, or educational needs. Other professions have established inactive status provisions. C.S.H.B. 784 provides inactive status provisions for certified public accountants. 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 1 (Section 901.409, Occupations Code) of this bill. ANALYSIS C.S.H.B. 784 amends the Occupations Code to require the Texas State Board of Public Accountancy (board) to prescribe procedures for approval of a person licensed under the Public Accountancy Act (licensee) to be on inactive status and requirements for a licensee to return to active status. The bill prohibits a licensee who is retired, disabled, or on inactive status from performing any activity regulated under the Public Accountancy Act. The bill requires a person who is on inactive status to use the word "inactive" as provided by board rule when using "CPA" or another title or abbreviation. The bill establishes fee exemptions for a licensee that is retired, disabled, or on inactive status. The bill requires the board by rule to establish a reduced fee, not to exceed $50, to issue or renew a license for a person who is retired, disabled, or on inactive status, and authorizes the board to adopt different fees for each category. The bill requires the board by rule to provide requirements for a person to be considered to be retired, disabled , or on inactive status. EFFECTIVE DATE September 1, 2001. COMPARISON OF ORIGINAL TO SUBSTITUTE C.S.H.B. 784 differs from the original bill by providing that the Texas State Board of Public Accountancy (board) establish rules and procedures for a person licensed under the Public Accountancy Act who is retired, disabled, or on inactive status, rather than establishing and specifying procedures and requirements, for a licensee to be on inactive status, including provisions that prohibit a licensee on inactive status from performing any activity regulated under the Public Accountancy Act and provisions relating to continuing professional education requirements.