Session of 1999
HOUSE BILL No. 2353
By Committee on Business, Commerce and Labor
2-9
9 AN ACT concerning public accountancy; relating to discipline of prac-
10 titioners thereof; amending K.S.A. 1998 Supp. 1-310 and 1-311 and
11 repealing the existing sections.
12
13 Be it enacted by the Legislature of the State of Kansas:
14 Section 1. K.S.A. 1998 Supp. 1-310 is hereby amended to read as
15 follows: 1-310. (a) Permits to engage in practice as a certified public ac-
16 countant public accountancy in this state shall be issued by the board to
17 persons who are holders of Kansas certificates issued under the laws of
18 this state and who have met the requirements under K.S.A. 1-302b, and
19 amendments thereto.
20 (b) Commencing on July 1, 1981, Each holder of a Kansas certificate,
21 which is numbered with an odd number, who is qualified under K.S.A.
22 1-302b, and amendments thereto, shall have their a permit to practice
23 issued or renewed for a period which shall expire on July 1, 1983. Com-
24 mencing on July 1, 1983, in order to issue or renew permits to practice
25 for such holders on a biennial basis, each such permit shall be issued or
26 renewed for a period ending on the next July 1 which occurs after the
27 date the permit was issued or renewed and which occurs in an odd-
28 numbered year.
29 (c) Commencing on July 1, 1981, Each holder of a Kansas certificate,
30 which is numbered with an even number, who is qualified under K.S.A.
31 1-302b, and amendments thereto, shall have their a permit to practice
32 issued or renewed for a period on a biennial basis which shall expire on
33 July 1, 1982. Commencing on July 1, 1982, in order to issue or renew
34 permits to practice for such holders on a biennial basis, each such permit
35 shall be issued or renewed for a period ending on the next July 1 which
36 occurs after the date the permit was issued or renewed and which occurs
37 in an even-numbered year.
38 (d) Failure to renew a permit before expiration thereof shall not de-
39 prive any Kansas certificate holder of the right to renew but in such cases
40 the holder shall pay the renewal fee prescribed by paragraph (7) of sub-
41 section (b) of K.S.A. 1-301, and amendments thereto. A person may re-
42 new a permit within 12 months of its expiration if such person submits a
43 complete and sufficient renewal application together with the fee pre-
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1 scribed by K.S.A. 1-301 and amendments thereto.
2 (e) As a condition for renewal of a permit to practice, the board may
3 shall require permit holders to furnish with their renewal application,
4 evidence of participation in a peer review program prescribed by K.S.A.
5 1-501, and amendments thereto, unless waived pursuant to K.S.A. 1-501
6 and amendments thereto and participation in continuing education in ac-
7 counting, auditing, or related areas of at least 80 hours during the two-
8 year period for renewal unless the board waives all or a portion of the
9 continuing education requirement. The board may adopt rules and reg-
10 ulations regarding peer review and continuing education including the
11 number of continuing education hours required for each year of the two-
12 year period and the type of continuing education.
13 (f) The board may exempt from the continuing education require-
14 ments an individual who holds a permit from another state if:
15 (1) The permit holder has a principal place of business located out-
16 side the state of Kansas;
17 (2) the permit holder verifies to the board's satisfaction that such
18 person has met the continuing education requirements of the state in
19 which the principal place of business is located;
20 (3) the board considers the continuing education requirements of the
21 state in which the principal place of business is located to be substantially
22 equivalent to those of Kansas; and
23 (4) the state in which the principal place of business is located extends
24 the same exemption to Kansas permit holders who practice in that state.
25 (g) Persons who are holders of permits to practice issued by the board
26 under subsection (b) of K.S.A. 1-302b, prior to its amendment by this act,
27 shall be considered to have satisfied the experience requirement imposed
28 by such subsection and shall have the right to have such permits renewed
29 without meeting the experience requirement. A person who fails to renew
30 a permit within 12 months of its expiration may apply for reinstatement
31 by making application on a form prescribed by the board, submitting a
32 fee prescribed by the board not to exceed $225, and submitting proof that
33 such person has obtained 40 hours of qualifying continuing education
34 within the preceding 12 months prior to applying for reinstatement.
35 Sec. 2. K.S.A. 1998 Supp. 1-311 is hereby amended to read as fol-
36 lows: 1-311. (a) The board may deny an application for a Kansas certifi-
37 cate, revoke or suspend any certificate issued under the laws of this state
38 including a Kansas certificate, or any registration granted under K.S.A.
39 1-308, and amendments thereto, or may deny an application for a permit,
40 revoke, suspend or refuse to renew any permit issued under K.S.A. 1-310
41 and amendments thereto, may censure the holder of any such permit,
42 limit the scope of practice of any permit holder, and may impose an
43 administrative fine not exceeding $1,000, for any one or any combination
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1 of the following causes:
2 (1) Fraud or deceit in obtaining a Kansas certificate, in obtaining
3 registration with the board under any law of this state, or in obtaining a
4 permit to practice as a certified public accountant, or renewal thereof,
5 under K.S.A. 1-310 and amendments thereto;
6 (2) dishonesty, fraud or gross negligence in practice as a public
7 accountant;
8 (3) violation of any of the provisions of subpart (2)(B) of subsection
9 (b) of K.S.A. 1-302b or 1-316 and amendments thereto;
10 (4) willful violation of a rule of professional conduct promulgated by
11 the board under the authority granted by K.S.A. 1-202, and amendments
12 thereto;
13 (5) conviction of a felony under the laws of any state or of the United
14 States;
15 (6) conviction of any crime, an essential element of which is dishon-
16 esty or fraud, under the laws of any state or of the United States;
17 (7) cancellation, revocation, suspension or refusal to renew the au-
18 thority to practice as a certified public accountant or a public accountant
19 in any state or foreign country; or
20 (8) failure to comply with the quality review program required by
21 K.S.A. 1-310, and amendments thereto.
22 (1) Fraud or deceit in obtaining a certificate, permit or registration;
23 (2) cancellation, revocation, suspension or refusal to renew a person's
24 authority to practice for disciplinary reasons in any other jurisdiction for
25 any cause;
26 (3) revocation or suspension of the right to practice before any state
27 or federal agency;
28 (4) dishonesty, fraud, or gross negligence in the practice of public
29 accountancy or in the filing or failure to file the permit holder's own
30 income tax returns;
31 (5) violation of any provision of the accountancy statutes or rules and
32 regulations of the board;
33 (6) conviction of any felony, or of any crime an element of which is
34 dishonesty or fraud, under the laws of the United States, of Kansas or of
35 any other state, if the acts involved would have constituted a crime under
36 the laws of Kansas;
37 (7) performance of any fraudulent act while holding a permit;
38 (8) making any false or misleading statement or verification, in sup-
39 port of an application for a certificate, registration or permit filed by
40 another;
41 (9) any conduct reflecting adversely upon the permit holder's fitness
42 to practice public accountancy.
43 (b) All administrative proceedings pursuant to this section shall be
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1 conducted in accordance with the provisions of the Kansas administrative
2 procedure act and the act for judicial review and civil enforcement of
3 agency actions.
4 Sec. 3. K.S.A. 1998 Supp. 1-310 and 1-311 are hereby repealed.
5 Sec. 4. This act shall take effect and be in force from and after its
6 publication in the Kansas register.