05/08/2003 01:36 PM Senate L&C

                  CSHB 242(L&C)-EXAM FOR CPA'S                                                                              
                                                                                                                                
CHAIR BUNDE announced CSHB 242(L&C) to be up for consideration.                                                                 
                                                                                                                                
MS. SARAH  WRIGHT, staff to Representative  Mike Hawker, sponsor,                                                               
said HB  242 updates Alaska  statute to recognize changes  in the                                                               
standardized testing procedures  for Certified Public Accountants                                                               
adopted   by  the   American   Institute   of  Certified   Public                                                               
Accountants (AICPA).  The Alaska Board of  Public Accountancy has                                                               
been  administering this  nationally  used test  since the  1960s                                                               
that CPAs are required to  pass. The examination will change from                                                               
a paper  and pencil format  to a computerized examination  in May                                                               
2004. Current  Alaska statute requires a  written examination. HB
 makes  the test acceptable  in any  form. It also  allows the                                                               
Board  to  establish by  regulation  what  constitutes a  passing                                                               
grade using  AICPA prepared exam regulations.  The AICPA provides                                                               
national   uniformity   of   scheduling   credits   and   passing                                                               
requirements.  Several  sections  of   Alaska  statute  would  be                                                               
repealed   for  consistency   with   a   computerized  exam   and                                                               
transitional language is  provided for people who  have begun the                                                               
CPA exam  process and are  now moving into the  computerized exam                                                               
arena.  She noted  that the  Division  of Occupational  Licensing                                                               
helped to draft the bill.                                                                                                       
                                                                                                                                
SENATOR STEVENS  assumed the  paper and pencil  test is  taken in                                                               
front  of an  examiner and  asked  if that  will be  true of  the                                                               
computer tests.                                                                                                                 
                                                                                                                                
MS. WRIGHT replied yes.                                                                                                         
                                                                                                                                
CHAIR  BUNDE   asked  if  they  have   questions  about  security                                                               
concerns.                                                                                                                       
                                                                                                                                
MS. WRIGHT replied none that she was aware of.                                                                                  
                                                                                                                                
SENATOR  STEVENS  moved to  pass  CSHB  242(L&C) with  individual                                                               
recommendations  and  its  zero   fiscal  note.  SENATORS  DAVIS,                                                               
FRENCH,  STEVENS,  and BUNDE  voted  yea  and  it passed  out  of                                                               
committee.