NJ and WA CPAs Oppose Global Designation

Following up on the New Jersey Society of CPA's Executive Committee's recommendation to review the proposal for a new global business designation at the next Board of Trustees meeting, the Board passed a resolution Wednesday, April 25, 2001, opposing the proposed designation.

The resolution states that the NJSCPA Board of Trustees strongly opposes the current form of the AICPA's global designation project, that the NJSCPA urges the AICPA to abandon the current proposal, and that the AICPA should direct available resources to better educating the public about the CPA credential and achieving passage of the Uniform Accountancy Act in every licensing district. The full resolution appears below.

The AICPA Council is scheduled to vote at its meeting early next week whether it should proceed with development of the designation. The Board of Trustees has passed its resolution on to those NJSCPA members who serve on the AICPA Council for their consideration when voting on the proposal, to the AICPA leadership, and to the other state CPA societies.

NJSCPA BOARD OF TRUSTEES
RESOLUTION
AICPA GLOBAL CREDENTIAL PROJECT

WHEREAS, the NJSCPA Board of Trustees anticipates that at the Spring meeting of the AICPA Council, the AICPA's governing body, the Council will be requested to authorize a ballot to the membership regarding a new professional credential, hereinafter referred to as the "credential;" and

WHEREAS, the NJSCPA Board has a responsibility to represent the viewpoints of our membership which have given us clear direction;

NOW, THEREFORE, BE IT RESOLVED, that the Board of Trustees of the New Jersey Society of CPAs, on behalf of its membership, strongly opposes the current form of the AICPA proposed global credential project;

BE IT FURTHER RESOLVED, that the NJSCPA urges the AICPA to abandon the current global credential project; and

BE IT FURTHER RESOLVED, that the AICPA channel available resources into addressing issues identified in AICPA research surveys including, but not limited to, better educating the public about the CPA credential and achieving passage of the Uniform Accountancy Act in every licensing jurisdiction.

Washington Society of CPAs' Board Also Votes "No"

The WSCPA Board of Directors has cast a unanimous advisory vote to instruct WSCPA delegates to the AICPA Spring Council meeting to vote "no" on the global designation proposal in Washington D.C. on May 2.

The WSCPA Board of Directors met via WebEx on Tuesday, April 24 to discuss the XYZ global designation proposal as it has been drafted for vote at Council. Board members received the AICPA proposal and background information the first week in April, allowing ample time for study and preparation for the vote. They have also engaged in several thoughtful, lively discussions on the topic for well over a year now.

The "no" vote was made in response to the haste with which the process was to have been carried out, not as an anti-global designation statement. In fact, there is much agreement among Board members that the general concept of such a designation has merit.

They believe this is a discussion the profession should be taking a leading role in. However, a change of this magnitude requires more time for the idea to "germinate" at the grassroots level, taking into consideration all aspects, possibilities, and yes, objections, such discussions would uncover. Moreover, that discussion may well reveal that there is more to be gained in promoting the "vision-aligned CPA."

Many WSCPA members have shared their thoughts over the past several months. The WSCPA Board sincerely hopes there will be time for many more opportunities to continue the dialogue.

Editor's note:

The New Jersey and Washington Societies of CPAs are joined by PricewaterhouseCoopers, the New York State Society of CPAs, and the Illinois CPA Society in voicing opposition to this credential.

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