AICPA Council authorizes bylaw, code changes and member vote on key issues.

The AICPA council approved a change to the council resolution under Rule 505 -- Form of Organization and Name of the AICPA Code of Professional Conduct to bring it in line with approved changes in the Uniform Accountancy Act by providing that only a simple majority of a firm's owners must be CPAs. (See "Council Proceeds With Sweeping Regulation Reform," JofA, Aug. 97, page 13.)

Council approved changes to the implementing resolutions under by-law section 2.3.3 to provide for uniformity, flexibility and innovation in deriving methods of learning and measurement of the continuing professional education requirement. One of the resolutions states that compliance with CPE requirements can be achieved by any means, "however measured, that would be reasonably expected to maintain professional competencies in the member's area of practice or employment." There will be no required annual minimum of CPE, just a total for three years. Members in business and industry will have to earn 120 hours in a three-years. Members in business and industry will have to earn 120 hours in a three-years. Members in business and industry will have to earn 120 hours in a three-year period, up from the current 90. These CPE changes will not take effect until January 1, 2001.

Council also agreed to submit to a membership vote for a change in rule 505 concerning sole practitioners' use of names of former owners of their firms. A bylaw change, also to be put to membership vote, would exempt members who limit their practices to certain services -- consulting, for example -- from required membership in an Institute-approved practice-monitoring program. Only firms that perform services within the scope of practice-monitoring standards and that issue reports purporting to be in accordance with AICPA professional standards would have to enroll.

Ballots on the bylaw and code changes went out to AICPA members in late August.

The council also authorized the assurance services executive committee as a senior committee, allowing it to make public statements and publish measurement criteria without clearance with the council or the board of directors. It also established two nonvoting membership categories: "international associate" and "student affiliate." The requirements for the new membership categories, as well as other council actions not requiring member approval, appear in Official Releases, page 128.