PART 15. TEXAS HEALTH AND HUMAN SERVICES COMMISSION
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- Alexandrina Patrick
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1 TITLE 1. ADMINISTRATION PART 15. TEXAS HEALTH AND HUMAN SERVICES COMMISSION CHAPTER 371. MEDICAID AND OTHER HEALTH AND HUMAN SERVICES FRAUD AND ABUSE PROGRAM INTEGRITY The Texas Health and Human Services Commission (HHSC) adopts amendments to Subchapter B, Office of Inspector General, 371.1, concerning Definitions; and Subchapter E, Provider Disclosure and Screening, , concerning Disclosure Requirements; , concerning Verifications Required for Each Screening Level; , concerning Recommendation Criteria; and , concerning Types of Provider Enrollment Recommendations, without changes to the proposed text as published in the August 12, 2016, issue of the Texas Register (41 TexReg 5850) and will not be republished. BACKGROUND AND JUSTIFICATION HHSC adopts these amendments to align enrollment regulations with statute, to clarify the enrollment regulations, and to delete obsolete provisions. The amendments to implement Texas Government Code , adopted in 2015 by the passage of Senate Bill 207 (S.B. 207). See Act of May 31, 2015, 84th Leg., R.S., ch. 945, 2, 2015 Tex. Gen. Laws. S.B. 207 amended various provisions in Texas Government Code Chapter 531 related to the Office of Inspector General's (OIG's) authority and duties. Texas Government Code , as adopted by S.B. 207, requires the adoption of rules that outline the criminal history record information, by provider type, that could result in exclusion of a person from Medicaid as a provider. The statute also prohibits the OIG from conducting a criminal history record check on healthcare providers whose licensing authority already requires the submission of fingerprints for criminal background checks unless the check is required or appropriate for other reasons, such as a fraud, waste, or abuse investigation. The amendments to clarify that the enrollment procedures apply to reenrollment. Obsolete definitions are repealed. The amendments to also clarify that providers, applicants, and persons are subject to disclosure screenings. In addition, the amendments to implement guidance issued by the Centers for Medicare & Medicaid Services (CMS) that states may rely upon on-site inspection visits performed by CMS. The amendments also reassign the on-site inspection function to the HHSC Medicaid/CHIP Division. Finally, the amendments to lengthen the amount of time that the applicant has to request an informal desk review by the OIG, based on concern expressed by previous applicants. HHSC intends that any obligations or requirements that accrued under Chapter 371 before the effective date of these rules will be governed by the prior rules in Chapter 371, and that those rules continue in effect for this purpose. HHSC does not intend for the amendments to the rules in Chapter 371 to affect the prior operation of the rules; any prior actions taken under the rules; any validation, cure, right, privilege, obligation, or liability previously acquired, accrued, accorded, or incurred under the rules; any violation of the rules or any penalty, forfeiture, or punishment incurred under the rules before their amendment; or any investigation, proceeding, or remedy concerning any privilege, obligation, liability, penalty, forfeiture, or punishment. HHSC additionally intends that any investigation, proceeding, or remedy may be instituted, continued, or enforced, and the penalty, forfeiture, or punishment imposed, as if the rules had not been amended. HHSC intends that should any sentence, paragraph, subdivision, clause, phrase, or section of the amended or new rules in Chapter 371 be determined, adjudged, or held to be unconstitutional, illegal, or invalid, the same shall not affect the validity of the subchapter as a whole, or any part or provision hereof other than the part so declared to be unconstitutional, illegal, or invalid, and shall not affect the validity of the subchapter as a whole. COMMENTS The 30-day comment period ended September 12, During this period, HHSC received comments regarding the rules from one commenter: the Texas Medical Association. A summary of the comments relating to the rules and HHSC s responses follows. Comment: The commenter supports the new rules, as they are consistent with the intent of Senate Bill 207. Response: HHSC appreciates the commenter's support. Comment: The commenter is concerned that the amendments to do not allow a provider to explain the circumstances behind the provider's criminal history. The commenter notes that the rule requires the Inspector General to consider a number of factors when making a recommendation concerning the provider's enrollment, such as the extent of the provider's rehabilitation efforts, but the amendments only require that the provider submit information concerning "the degree to which a person could interact with Medicaid recipients as a provider." The commenter asks that be further amended to allow the provider an opportunity to explain the circumstances behind the provider's criminal history. Response: HHSC made no changes in response to this comment. An informal desk review process, outlined in 1 TAC ADOPTED RULES February 3, TexReg 417
2 , already allows the provider an opportunity to explain the circumstances behind the provider's criminal history. Comment: The commenter is concerned that the rules as amended do not require the Inspector General to consider whether convictions were expunged or thrown out. The commenter acknowledges that prior convictions are relevant to the determination that the Inspector General makes concerning a provider's fitness to enroll in Medicaid; however, the fact that those convictions may have been thrown out is also relevant and less weight should be given to those convictions. Response: HHSC made no changes in response to this comment. As noted in the response to the previous comment, an informal desk review process exists that allows the provider to provide information concerning the provider's criminal history, including aggravating and mitigating factors, which will be considered to the extent allowed by federal and state law. Comment: The commenter is also concerned that the rules as amended impose stricter standards for Medicaid eligibility than those for a medical license. The Occupations Code requires persons seeking a medical license to submit information regarding felonies and certain serious and relevant misdemeanors. The rules as amended seek information about all felonies and all misdemeanors, including those that have been expunged or thrown out. Response: HHSC made no changes in response to this comment. State and federal law requires consideration of a provider's criminal history, without limitation, before making a determination about enrolling a provider. As noted in previous responses, an informal desk review process allows the provider to provide context concerning the provider's criminal history. Comment: Finally, the commenter expressed concern that the amendments to do not give a provider enough time to provide the information required under the rule. The amended rule requires the provider to provide the information "within three business days of an IG request." The commenter believes that this timeline is unreasonable and ambiguous, as it does not specify whether those three days start on the date of the IG request or some other date, and is too tight for a provider. Response: HHSC made no changes in response to this comment. Texas Government Code gives the Inspector General 10 days to provide a recommendation to HHSC, and the three day deadline is included in this rule to accommodate that. However, the Inspector General's office may grant additional time upon request, if appropriate. SUBCHAPTER B. OFFICE OF INSPECTOR GENERAL 1 TAC STATUTORY AUTHORITY The amendment is adopted under Texas Government Code (a-2), which requires the Executive Commissioner to work in consultation with the Office of Inspector General to adopt rules necessary to implement a power or duty of the office; Texas Government Code , which provides the Executive Commissioner of HHSC with broad rulemaking authority; and Texas Human Resources Code and Texas Government Code (a), which provide HHSC with the authority to administer the federal medical assistance (Medicaid) program in Texas, to administer Medicaid funds, and to adopt rules necessary for the proper and efficient regulations of the Medicaid program. The rule specifically implements Texas Government Code Filed with the Office of the Secretary of State on January 23, TRD Karen Ray Chief Counsel Texas Health and Human Services Commission Effective date: February 12, 2017 Proposal publication date: August 12, 2016 For further information, please call: (512) SUBCHAPTER E. PROVIDER DISCLOSURE AND SCREENING 1 TAC , , , STATUTORY AUTHORITY The amendments are adopted under Texas Government Code (a-2), which requires the Executive Commissioner to work in consultation with the Office of Inspector General to adopt rules necessary to implement a power or duty of the office; Texas Government Code , which provides the Executive Commissioner of HHSC with broad rulemaking authority; and Texas Human Resources Code and Texas Government Code (a), which provide HHSC with the authority to administer the federal medical assistance (Medicaid) program in Texas, to administer Medicaid funds, and to adopt rules necessary for the proper and efficient regulations of the Medicaid program. The rule specifically implements Texas Government Code Filed with the Office of the Secretary of State on January 23, TRD Karen Ray Chief Counsel Texas Health and Human Services Commission Effective date: February 12, 2017 Proposal publication date: August 12, 2016 For further information, please call: (512) TITLE 22. EXAMINING BOARDS PART 22. TEXAS STATE BOARD OF PUBLIC ACCOUNTANCY CHAPTER 511. ELIGIBILITY SUBCHAPTER A. GENERAL INFORMATION 42 TexReg 418 February 3, 2017 Texas Register
3 22 TAC The Texas State Board of Public Accountancy adopts an amendment to , concerning Definitions, without changes to the proposed text as published in the December 2, 2016, issue of the Texas Register (41 TexReg 9402) and will not be republished. The amendment to deletes extraneous language. No comments were received regarding adoption of the amendment. The amendment is adopted under the Public Accountancy Act (Act), Texas Occupations Code, which provides the agency with the authority to amend, adopt and repeal rules deemed necessary or advisable to effectuate the Act. No other article, statute or code is affected by the adoption. TRD J. Randel (Jerry) Hill Texas State Board of Public Accountancy Proposal publication date: December 2, 2016 For further information, please call: (512) SUBCHAPTER B. CERTIFICATION BY EXAMINATION 22 TAC The Texas State Board of Public Accountancy adopts an amendment to , concerning Examination Application, without changes to the proposed text as published in the December 2, 2016, issue of the Texas Register (41 TexReg 9403) and will not be republished. The amendment to makes grammatical changes. No comments were received regarding adoption of the amendment. The amendment is adopted under the Public Accountancy Act (Act), Texas Occupations Code, which provides the agency with the authority to amend, adopt and repeal rules deemed necessary or advisable to effectuate the Act. No other article, statute or code is affected by the adoption. TRD J. Randel (Jerry) Hill Texas State Board of Public Accountancy Proposal publication date: December 2, 2016 For further information, please call: (512) TAC The Texas State Board of Public Accountancy adopts an amendment to , concerning Initial Filing of the Application of Intent, with non-substantive changes to the proposed text as published in the December 2, 2016, issue of the Texas Register (41 TexReg 9404). The rule text is republished below. The changes can be found in subsection (e): the words "finger print" has been changed to "fingerprint" and in subsection (i) where the phrase "the above ln deleted "shall omply with the federal Department of Homeland Security" was inadvertently included in the proposed filing and is being deleted for the adoption. The amendment to makes CPA exam applicants aware that Federal Bureau of Investigation records will be reviewed by the Board as a part of its investigation of the applicant s good moral character and that an F-1 Visa along with a Certificate of Eligibility for Nonimmigrant Student Status is an acceptable alternative to the required driver s license and social security card for purposes of identification. The revision also makes grammatical changes for clarity. No comments were received regarding adoption of the amendment. The amendment is adopted under the Public Accountancy Act (Act), Texas Occupations Code, , which provides the agency with the authority to amend, adopt and repeal rules deemed necessary or advisable to effectuate the Act. No other article, statute or code is affected by the adoption Initial Filing of the Application of Intent. (a) The initial filing of the application of intent shall be made on forms prescribed by the board and shall also be in compliance with board rules and with all applicable laws. The application of intent may be submitted at any time and will be used to determine compliance and eligibility for an applicant to take the UCPAE. The application of intent will remain active until: (1) an applicant takes at least one section of the UCPAE within two years from the date of submission of the application; or (2) the second anniversary of the submission of the application has lapsed. (b) Each applicant shall submit their social security number on the application form. Such information shall be considered confidential and can only be disclosed under the provisions of the Act. (c) Each applicant who submits an application of intent to determine eligibility for the UCPAE must pay a nonrefundable filing fee in accordance with of this title (relating to Filing Fee). An application of intent not accompanied by the proper fee or required documents shall not be considered complete. The withholding of information, a misrepresentation, or any untrue statement on the application or supplemental documents will be cause for rejection of the application. (d) Each applicant must provide official educational documents to be used in determining compliance with the applicable education requirements of the Act. ADOPTED RULES February 3, TexReg 419
4 (e) Each applicant must comply with the board s procedure to investigate the moral character of applicants in accordance with an established fingerprint process that accesses the Federal Bureau of Investigation (FBI) database and the Texas Department of Public Safety- Crime Records division files. (f) Each applicant will be notified when all requirements have been met to apply to take the UCPAE, and with the notification, an examination application will be mailed to the applicant. (g) Each applicant must provide a notarized or certified copy of the following documents: (1) Unexpired driver's license issued by a state of the United States provided it contains a photograph and information such as name, date of birth, sex, height, eye color, and address; or an unexpired United States passport; and (2) social security card. (h) Applicants who are citizens of a foreign country and who cannot meet the requirements of subsection (g) of this section shall comply by providing evidence of a non-expired F-1 Visa issued to students attending a university or college. The board may consider an F-1 Visa with a Certificate of Eligibility for Nonimmigrant Student Status. Form I-20 shall be approved by the designated school official at the educational institution where the applicant is currently attending. (i) Applicants who cannot meet the requirements of subsection (g) or (h) of this section may be eligible to take the UCPAE by providing evidence of both identity and employment authorization by submitting a notarized or certified copy of one of the following unexpired documents: (1) An Alien Registration Receipt Card or Permanent Resident Card (Form I-551); or (2) A foreign passport that contains a temporary I-551 stamp, or temporary I-551 printed notation on a machine-readable immigrant visa; or (3) An Employment Authorization Document which contains a photograph (Form I-766). (j) Applicants who do not have or do not submit a social security card will be required to pay an additional fee to NASBA each time they make application for the UCPAE to verify their legal entry into the U.S. TRD J. Randel (Jerry) Hill Texas State Board of Public Accountancy Proposal publication date: December 2, 2016 For further information, please call: (512) TAC The Texas State Board of Public Accountancy adopts an amendment to , concerning Good Moral Character Evidence from Foreign Residents, without changes to the proposed text as published in the December 2, 2016, issue of the Texas Register (41 TexReg 9405). The adopted rule will not be republished. The amendment to makes the public aware that an applicant with US citizenship is not required to provide evidence of good moral character from a country where the applicant has studied abroad and an applicant who has visited their official country of residence is not required to provide a certificate of good moral character from country of residence because of the visit. No comments were received regarding adoption of the amendment. The amendment is adopted under the Public Accountancy Act (Act), Texas Occupations Code, which provides the agency with the authority to amend, adopt and repeal rules deemed necessary or advisable to effectuate the Act. No other article, statute or code is affected by the adoption. TRD J. Randel (Jerry) Hill Texas State Board of Public Accountancy Proposal publication date: December 2, 2016 For further information, please call: (512) SUBCHAPTER C. EDUCATIONAL REQUIREMENTS 22 TAC The Texas State Board of Public Accountancy adopts an amendment to , concerning Education Definitions, without changes to the proposed text as published in the December 2, 2016, issue of the Texas Register (41 TexReg 9406) and will not be republished. The amendment to clarifies the definition of "upper division accounting course" to require the standard to be at least the described course work and makes grammatical changes. No comments were received regarding adoption of the amendment. The amendment is adopted under the Public Accountancy Act (Act), Texas Occupations Code, which provides the agency with the authority to amend, adopt and repeal rules deemed necessary or advisable to effectuate the Act. No other article, statute or code is affected by the adoption. 42 TexReg 420 February 3, 2017 Texas Register
5 TRD J. Randel (Jerry) Hill Texas State Board of Public Accountancy Proposal publication date: December 2, 2016 For further information, please call: (512) TAC The Texas State Board of Public Accountancy adopts an amendment to , concerning Recognized Institutions of Higher Education, with changes to the proposed text as published in the December 2, 2016, issue of the Texas Register (41 TexReg 9408) and will be republished. The amendment to allows for the acceptance of extension school coursework form recognized programs. One comment was received regarding adoption of the amendment. The commenter suggests that the proposed (c) rule accept credit from a continuing education program if the continuing education program is offered by and accepted by the educational institution for credit toward its baccalaureate degree. Staff agrees with the commenter and recommends that the (c) proposed rules revisions as published in the Texas Register be amended in response to the comments. Staff has proposed adding language that ties the Board's acceptance of the continuing education courses, correspondence school courses and extension school courses to the acceptance of the courses by the educational institution offering and applying those courses to the educational institution's business baccalaureate or higher degrees. The amendment is adopted under the Public Accountancy Act (Act), Texas Occupations Code, which provides the agency with the authority to amend, adopt and repeal rules deemed necessary or advisable to effectuate the Act. No other article, statute or code is affected by the adoption Recognized Institutions of Higher Education. (a) The board recognizes institutions of higher education that offer a baccalaureate or higher degree, that either: (1) are regionally accredited by one of the following organizations: (A) Middle States Association of Colleges and Schools, Commission on Higher Education (MSCHE); (B) Northwest Commission on Colleges and Universities (NWCCU); (C) North Central Association of Colleges and Schools, Higher Learning Commission (NCA-HLC); (D) New England Association of Schools and Colleges, Commission on Institutions of Higher Education (NEASC-CIHE); (E) Southern Association of Colleges and Schools, Commission on Colleges (SACS); and (F) Western Association of Schools and Colleges, Accrediting Commission for Senior Colleges and Universities (WASC- ACSCU); (2) have a business school or accounting program accredited by AACSB or ACBSP; or (3) provide evidence of meeting equivalent accreditation requirements of SACS. (b) The board may receive assistance from the reporting institution in the State of Texas in evaluating an institution of higher education. (c) The board may accept courses completed through an extension school, a correspondence school or continuing education program provided that the courses are offered and accepted by the board approved educational institution for a business baccalaureate or higher degree conferred by that educational institution. (d) Except as provided in subsection (c) of this section, extension and correspondence schools or programs and continuing education courses do not meet the criteria for recognized institutions of higher education. (e) The requirements related to recognized community colleges are provided in of this chapter (relating to Recognized Texas Community Colleges). TRD J. Randel (Jerry) Hill Texas State Board of Public Accountancy Proposal publication date: December 2, 2016 For further information, please call: (512) TAC The Texas State Board of Public Accountancy adopts an amendment to , concerning Evaluation of Foreign Education Documents, with changes to the proposed text as published in the December 2, 2016, issue of the Texas Register (41 TexReg 9409). The change can be found in subsection (b) where the sentence: "Other evaluation or credential services of foreign education are not accepted by the board." was not omitted in the proposal and is being deleted for adoption. The amendment to deletes language in subsection (b) and moves it to create new subsection (d). No comments were received regarding adoption of the amendment. The amendment is adopted under the Public Accountancy Act (Act), Texas Occupations Code, which provides the agency with the authority to amend, adopt and repeal rules deemed necessary or advisable to effectuate the Act. No other article, statute or code is affected by the adoption Evaluation of Foreign Education Documents. ADOPTED RULES February 3, TexReg 421
6 (a) It is the responsibility of the board to confirm that education obtained at colleges and universities outside of the United States (foreign education) is equivalent to education earned at board-recognized institutions of higher education in the U.S. (b) The board shall use, at the expense of the applicant, the services of the University of Texas at Austin, Graduate and International Admissions Center, to validate, review, and evaluate foreign education documents submitted by an applicant to determine if the courses taken and degrees earned are substantially equivalent to those offered by the board-recognized institutions of higher education located in the U.S. The evaluation shall provide the following information to the board: (1) Degrees earned by the applicant that are substantially equivalent to those conferred by a board-recognized institution of higher education in the U.S. that meets of this chapter (relating to Recognized Institutions of Higher Education); (2) The total number of semester hours or quarter hour equivalents earned that are substantially equivalent to those earned at U.S. institutions of higher education and that meet of this chapter (relating to Definition of 150 Semester Hours); (3) The total number of semester hours or quarter hour equivalents earned in accounting coursework that meets of this chapter (relating to Qualified Accounting Courses); (4) An analysis of the title and content of courses taken that are substantially equivalent to courses listed in of this chapter; (5) The total number of semester hours or quarter hour equivalents earned in accounting that were earned in traditional courses and the total number of semester hours or quarter hour equivalents earned in accounting that were earned in non-traditionally delivered courses, as defined in of this chapter (relating to Educational Definitions); and (6) The total number of semester hours or quarter hour equivalents earned in business coursework that meets of this chapter (relating to Definitions of Related Business Subjects and Ethics Courses). (c) The University of Texas at Austin, Graduate and International Admissions Center, may use the American Association of Collegiate Registrars and Admissions Officers (AACRAO) material, including the Electronic Database for Global Education (EDGE), in evaluating foreign education documents. (d) Other evaluation or credentialing services of foreign education are not accepted by the board. TRD J. Randel (Jerry) Hill Texas State Board of Public Accountancy Proposal publication date: December 2, 2016 For further information, please call: (512) TAC The Texas State Board of Public Accountancy adopts an amendment to , concerning Recognized Texas Community Colleges, without changes to the proposed text as published in the December 2, 2016, issue of the Texas Register (41 TexReg 9410) and will not be republished. The amendment to clarifies board standards for academic programs at Texas community colleges. No comments were received regarding adoption of the amendment. The amendment is adopted under the Public Accountancy Act (Act), Texas Occupations Code, which provides the agency with the authority to amend, adopt and repeal rules deemed necessary or advisable to effectuate the Act. No other article, statute or code is affected by the adoption. TRD J. Randel (Jerry) Hill Texas State Board of Public Accountancy Proposal publication date: December 2, 2016 For further information, please call: (512) TAC The Texas State Board of Public Accountancy adopts an amendment to , concerning Educational Qualifications under the Act, without changes to the proposed text as published in the December 2, 2016, issue of the Texas Register (41 TexReg 9411) and will not be republished. The amendment to makes grammatical changes. No comments were received regarding adoption of the amendment. The amendment is adopted under the Public Accountancy Act (Act), Texas Occupations Code, which provides the agency with the authority to amend, adopt and repeal rules deemed necessary or advisable to effectuate the Act. No other article, statute or code is affected by the adoption. TRD TexReg 422 February 3, 2017 Texas Register
7 J. Randel (Jerry) Hill Texas State Board of Public Accountancy Proposal publication date: December 2, 2016 For further information, please call: (512) TAC The Texas State Board of Public Accountancy adopts an amendment to , concerning Qualified Accounting Courses, without changes to the proposed text as published in the December 2, 2016, issue of the Texas Register (41 TexReg 9412) and will not be republished. The amendment to adds a new subsection to recognize accounting courses completed through an extension school. No comments were received regarding adoption of the amendment. The amendment is adopted under the Public Accountancy Act (Act), Texas Occupations Code, which provides the agency with the authority to amend, adopt and repeal rules deemed necessary or advisable to effectuate the Act. No other article, statute or code is affected by the adoption. TRD J. Randel (Jerry) Hill Texas State Board of Public Accountancy Proposal publication date: December 2, 2016 For further information, please call: (512) TAC The Texas State Board of Public Accountancy adopts an amendment to , concerning Definitions of Related Business Subjects and Ethics Courses, with changes to the proposed text as published in the December 2, 2016, issue of the Texas Register (41 TexReg 9414) and will be republished. The amendment to recognizes the acceptance of business courses and extension school business courses when those courses apply toward a business baccalaureate or higher degree. One comment was received regarding adoption of the amendment. The commenter suggests that proposed (a) be amended to clarify whether or not an accepted related business course must be offered by the educational institution accepting the business course in order to be accepted by the Board. Staff agrees with the commenter and recommends that the (a) proposed rules revisions as published in the Texas Register be amended in response to the comments. Staff has proposed adding language that ties the Board s acceptance of the continuing education courses, correspondence school courses and extension school courses to the acceptance of the courses by the educational institution offering and applying those courses to the educational institution s business baccalaureate or higher degrees. The amendment is adopted under the Public Accountancy Act (Act), Texas Occupations Code, which provides the agency with the authority to amend, adopt and repeal rules deemed necessary or advisable to effectuate the Act. No other article, statute or code is affected by the adoption Definitions of Related Business Subjects and Ethics Courses. (a) Related business courses are those business courses that a board recognized institution of higher education accepts for a business baccalaureate or higher degree by that educational institution. (b) An individual who holds a baccalaureate degree from a recognized educational institution as defined by of this chapter (relating to Recognized Institutions of Higher Education) may take related business courses offered at an accredited community college, provided they are recognized as upper level courses for a 4-year baccalaureate degree from an institution recognized by the board. (c) The board will accept no fewer than 24 semester credit hours of upper level courses (for the purposes of this subsection, economics and statistics at any college level will count as upper division courses) as related business subjects (without repeat), taken at a recognized educational institution shown on official transcripts or accepted by a recognized educational institution for purposes of obtaining a baccalaureate degree or its equivalent, in the following areas. No more than 6 credit semester hours taken in any one subject area may be used to meet the minimum hour requirement. (1) business law, including study of the Uniform Commercial Code; (2) economics; (3) management; (4) marketing; (5) business communications; (6) statistics and quantitative methods; (7) finance; (8) information systems or technology; and (9) other areas related to accounting. (d) In addition to the 24 hours required in subsection (b) of this section, the board requires that 3 passing semester hours be earned as a result of taking a course in ethics. The course must be taken at a recognized educational institution and should provide students with a framework of ethical reasoning, professional values and attitudes for exercising professional skepticism and other behavior that is in the best interest of the public and profession. The ethics program should provide a foundation for ethical reasoning and include the core values of integrity, objectivity and independence taught by an instructor who has not been disciplined by the board for a violation of the board's rules of professional conduct unless waived by the board. (e) Effective July 1, 2011, the board requires that a minimum of 2 upper level semester credit hours in accounting communications or business communications be completed. The semester hours may ADOPTED RULES February 3, TexReg 423
8 be obtained through a discrete course or offered through an integrated approach. If the course content is offered through integration, the university must advise the board of the course(s) that contain the accounting communications or business communications content. (f) Credit for hours taken at recognized institutions of higher education using the quarter system shall be counted as 2/3 of a semester hour for each hour of credit received under the quarter system. (g) Related business courses completed through and offered by an extension school, correspondence school or continuing education program of a board recognized educational institution may be accepted by the board provided that the courses are accepted for a business baccalaureate or higher degree conferred by that educational institution. TRD J. Randel (Jerry) Hill Texas State Board of Public Accountancy Proposal publication date: December 2, 2016 For further information, please call: (512) TAC The Texas State Board of Public Accountancy adopts an amendment to , concerning Definition of 150 Semester Hours, without changes to the proposed text as published in the December 2, 2016, issue of the Texas Register (41 TexReg 9415) and will not be republished. The amendment to makes one grammatical change. No comments were received regarding adoption of the amendment. The amendment is adopted under the Public Accountancy Act (Act), Texas Occupations Code, which provides the agency with the authority to amend, adopt and repeal rules deemed necessary or advisable to effectuate the Act. No other article, statute or code is affected by the adoption. TRD J. Randel (Jerry) Hill Texas State Board of Public Accountancy Proposal publication date: December 2, 2016 For further information, please call: (512) SUBCHAPTER D. CPA EXAMINATION 22 TAC The Texas State Board of Public Accountancy adopts an amendment to , concerning Grounds for Disciplinary Action of Applicants, with non-substantive changes to the proposed text as published in the December 2, 2016, issue of the Texas Register (41 TexReg 9416). The change can be found in subsection (e)(5) where the phrase: ", to any device, material, or document that is not expressly authorized for use by an applicant." was not omitted in the proposal and is being deleted for adoption. The amendment to relocates language within the rule. No comments were received regarding adoption of the amendment. The amendment is adopted under the Public Accountancy Act (Act), Texas Occupations Code, which provides the agency with the authority to amend, adopt and repeal rules deemed necessary or advisable to effectuate the Act. No other article, statute or code is affected by the adoption Grounds for Disciplinary Action of Applicants. (a) The board may discipline an applicant for any grounds specified in Act (relating to Board Action Involving Applicant). Such grounds include but are not limited to the conduct described in subsections (b) - (e) of this section. (b) The board may discipline an applicant for making a false, fraudulent or materially misleading statement or a material omission on, or in connection with, any application for evaluation, examination or to become a CPA of this state. The withdrawal of any application shall not deprive the board of its authority to take action against an applicant. (c) The board may discipline an applicant for failing to comply with written guidelines for appropriate conduct by an applicant during the examination or oral guidance by a testing center administrator at any examination location. (d) The board may discipline an applicant for cheating, subverting, attempting to subvert, aiding, abetting or conspiring to cheat on the UCPAE at any location within the state where the examination is given, or where a Texas applicant is taking the UCPAE at a location outside of the state. The voluntary departure or expulsion from an examination shall not deprive the board of its authority to take action against an applicant. (e) Cheating, subverting, attempting to subvert, aiding, abetting or conspiring to cheat on the UCPAE includes, but is not limited to, engaging in, soliciting, or procuring any of the following: (1) any communication between an applicant and anyone other than a proctor or exam administrator while the examination is in progress; (2) any communication between an applicant and anyone at any time concerning the content of the examination including, but not limited to, any exam question or answer, unless the examination has been publicly released by the preparer of the examination; (3) taking by another person all or any part of the examination on behalf of an applicant; (4) possession or use at any time during the examination or while an applicant is in the examination testing center of any device, material, or document that is not expressly authorized for use by examinees during the examination, including, but not limited to, notes, crib sheets, books, and electronic devices; or 42 TexReg 424 February 3, 2017 Texas Register
9 (5) using or referring to any device, material, or document that is not expressly authorized for use by an applicant at any time after the commencement of the examination and prior to the conclusion of the examination, to include all breaks during the examination. TRD J. Randel (Jerry) Hill Texas State Board of Public Accountancy Proposal publication date: December 2, 2016 For further information, please call: (512) TAC The Texas State Board of Public Accountancy adopts an amendment to , concerning Uniform Examination, with nonsubstantive changes to the proposed text as published in the December 2, 2016, issue of the Texas Register (41 TexReg 9417) and will be republished. The change can be found in subsection (d), where a comma has been deleted after the word "conduct." The amendment to makes grammatical changes. No comments were received regarding adoption of the amendment. The amendment is adopted under the Public Accountancy Act (Act), Texas Occupations Code, which provides the agency with the authority to amend, adopt and repeal rules deemed necessary or advisable to effectuate the Act. No other article, statute or code is affected by the adoption Uniform Examination. (a) The board shall contract with NASBA for the administration of the UCPAE, in conjunction with the AICPA and a test vendor. The examination may be offered at the board's office and at testing facilities within the state that are approved and monitored by the board or its designee. The examination shall be offered during scheduled months as determined by the AICPA, NASBA, and the testing vendor. (b) The board shall utilize the UCPAE available from the AICPA covering the following sections: (1) auditing and attestation; (2) business environment and concepts; (3) regulation; and (4) financial accounting and reporting. (c) An applicant taking the examination is required to have in their possession the Notice to Schedule form provided by NASBA, a government-issued form of identification containing a photograph of the applicant, and a second form of identification such as a board-issued form. (d) An applicant taking the examination shall sign a statement of confidentiality and conduct which the applicant must follow during the entire examination. TRD J. Randel (Jerry) Hill Texas State Board of Public Accountancy Proposal publication date: December 2, 2016 For further information, please call: (512) TAC The Texas State Board of Public Accountancy adopts an amendment to , concerning Scoring, without changes to the proposed text as published in the December 2, 2016, issue of the Texas Register (41 TexReg 9417) and will not be republished. The amendment to adds language to clarify the meaning of passing score. No comments were received regarding adoption of the amendment. The amendment is adopted under the Public Accountancy Act (Act), Texas Occupations Code, which provides the agency with the authority to amend, adopt and repeal rules deemed necessary or advisable to effectuate the Act. No other article, statute or code is affected by the adoption. TRD J. Randel (Jerry) Hill Texas State Board of Public Accountancy Proposal publication date: December 2, 2016 For further information, please call: (512) TAC The Texas State Board of Public Accountancy adopts an amendment to , concerning Appeal from Denial of Request, without changes to the proposed text as published in the December 2, 2016, issue of the Texas Register (41 TexReg 9418) and will not be republished. The amendment to makes one grammatical change. No comments were received regarding adoption of the amendment. The amendment is adopted under the Public Accountancy Act (Act), Texas Occupations Code, which provides the ADOPTED RULES February 3, TexReg 425
10 agency with the authority to amend, adopt and repeal rules deemed necessary or advisable to effectuate the Act. No other article, statute or code is affected by the adoption. TRD J. Randel (Jerry) Hill Texas State Board of Public Accountancy Proposal publication date: December 2, 2016 For further information, please call: (512) TAC The Texas State Board of Public Accountancy adopts an amendment to , concerning Examination of Applicant Approved with Accommodation, without changes to the proposed text as published in the December 2, 2016, issue of the Texas Register (41 TexReg 9419) and will not be republished. The amendment to refers the public to the National Association of Boards of Accountancy to find a list of approved accommodations for applicants with a recognized disability and the process for the examination for an applicant with a disability. No comments were received regarding adoption of the amendment. The amendment is adopted under the Public Accountancy Act (Act), Texas Occupations Code, which provides the agency with the authority to amend, adopt and repeal rules deemed necessary or advisable to effectuate the Act. No other article, statute or code is affected by the adoption. TRD J. Randel (Jerry) Hill Texas State Board of Public Accountancy Proposal publication date: December 2, 2016 For further information, please call: (512) SUBCHAPTER E. VENDOR REQUIREMENTS 22 TAC The Texas State Board of Public Accountancy adopts an amendment to , concerning CPA Examination Availability, without changes to the proposed text as published in the December 2, 2016, issue of the Texas Register (41 TexReg 9420) and will not be republished. The amendment to removes the naming of specific months that the exam will be offered because the testing months may change. No comments were received regarding adoption of the amendment. The amendment is adopted under the Public Accountancy Act (Act), Texas Occupations Code, which provides the agency with the authority to amend, adopt and repeal rules deemed necessary or advisable to effectuate the Act. No other article, statute or code is affected by the adoption. TRD J. Randel (Jerry) Hill Texas State Board of Public Accountancy Proposal publication date: December 2, 2016 For further information, please call: (512) TAC The Texas State Board of Public Accountancy adopts an amendment to , concerning Test Center Locations, without changes to the proposed text as published in the December 2, 2016, issue of the Texas Register (41 TexReg 9421) and will not be republished. The amendment to clarifies that any of the listed circumstances may cause an examination to be discontinued and adds a grammatical change. No comments were received regarding adoption of the amendment. The amendment is adopted under the Public Accountancy Act (Act), Texas Occupations Code, , which provides the agency with the authority to amend, adopt and repeal rules deemed necessary or advisable to effectuate the Act. No other article, statute or code is affected by the adoption. TRD TexReg 426 February 3, 2017 Texas Register
11 J. Randel (Jerry) Hill Texas State Board of Public Accountancy Proposal publication date: December 2, 2016 For further information, please call: (512) SUBCHAPTER F. EXPERIENCE REQUIREMENTS 22 TAC The Texas State Board of Public Accountancy adopts an amendment to , concerning Application for Approval of Experience, without changes to the proposed text as published in the December 2, 2016, issue of the Texas Register (41 TexReg 9422) and will not be republished. The amendment to references the definition of reporting work experience in another section of the rules and replaces "examination requirement" with "UCPAE" in subsection (d). No comments were received regarding adoption of the amendment. The amendment is adopted under the Public Accountancy Act (Act), Texas Occupations Code, , which provides the agency with the authority to amend, adopt and repeal rules deemed necessary or advisable to effectuate the Act. No other article, statute or code is affected by the adoption. TRD J. Randel (Jerry) Hill Texas State Board of Public Accountancy Proposal publication date: December 2, 2016 For further information, please call: (512) TAC The Texas State Board of Public Accountancy adopts an amendment to , concerning Acceptable Work Experience, without changes to the proposed text as published in the December 2, 2016, issue of the Texas Register (41 TexReg 9423) and will not be republished. The amendment to updates information in subsections (c)(3)(a) and (c)(3)(b) and makes grammatical changes. No comments were received regarding adoption of the amendment. The amendment is adopted under the Public Accountancy Act (Act), Texas Occupations Code, which provides the agency with the authority to amend, adopt and repeal rules deemed necessary or advisable to effectuate the Act. No other article, statute or code is affected by the adoption. TRD J. Randel (Jerry) Hill Texas State Board of Public Accountancy Proposal publication date: December 2, 2016 For further information, please call: (512) SUBCHAPTER H. CERTIFICATION 22 TAC The Texas State Board of Public Accountancy adopts an amendment to , concerning Application for Issuance of the Certificate by Exam After Completion of the CPA Examination, with non-substantive changes to the proposed text as published in the December 2, 2016, issue of the Texas Register (41 TexReg 9424). The change can be found in subsection (e): the words "finger print" has been changed to "fingerprint." The amendment to adds the requirement that applicants must comply with the Board s fingerprint process to determine moral character and establishes 85% as a minimum score on the Rules of Professional Conduct exam. No comments were received regarding adoption of the amendment. The amendment is adopted under the Public Accountancy Act (Act), Texas Occupations Code, which provides the agency with the authority to amend, adopt and repeal rules deemed necessary or advisable to effectuate the Act. No other article, statute or code is affected by the adoption Application for Issuance of the Certificate by Exam After Completion of the CPA Examination. (a) Application for issuance of the CPA certificate must be made on forms prescribed by the board and shall be in compliance with board rules and with all applicable laws. (b) The board will send an application for issuance of the CPA certificate to an applicant who successfully completes the UCPAE, and thereafter as requested by the same applicant. (c) An applicant must submit with the issuance application all information required in of this chapter (relating to Qualifications for Issuance of a Certificate). (d) An applicant must submit with the application for issuance of a certificate the requisite fee in accordance with of this title (relating to Certification Fee). (e) An applicant must comply with the board s procedure to investigate the moral character of applicants in accordance with an established fingerprint process that accesses the Federal Bureau of Investigation (FBI) and the Texas Department of Public Safety - Crime records division files. ADOPTED RULES February 3, TexReg 427
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