BILL ANALYSIS                                                                                                                                                                                                    



                                                                  AB 1005
                                                                  Page  1


          ASSEMBLY THIRD READING
          AB 1005 (Block)
          As Amended  April 30, 2009
          Majority vote 

           BUSINESS & PROFESSIONS    10-0  APPROPRIATIONS      11-3        
           
           ------------------------------------------------------------------ 
          |Ayes:|Hayashi, Emmerson,        |Ayes:|De Leon, Ammiano, Charles  |
          |     |Conway, Eng, Hernandez,   |     |Calderon, Davis, Fuentes,  |
          |     |Nava, Niello,             |     |Hall, John A. Perez,       |
          |     |John A. Perez, Ruskin,    |     |Price, Skinner, Solorio,   |
          |     |Smyth                     |     |Torlakson                  |
          |     |                          |     |                           |
          |-----+--------------------------+-----+---------------------------|
          |     |                          |Nays:|Nielsen, Duvall, Harkey    |
          |     |                          |     |                           |
           ------------------------------------------------------------------ 

           SUMMARY  :  Requires the California Board of Accountancy (CBA) to  
          publish on its Web site documents related to disciplinary  
          accusations, a live audio or video broadcast of public meetings,  
          and the meeting minutes, as specified.

           EXISTING LAW  provides for the licensing and regulation of  
          accountants and accounting firms by CBA, and prohibits a person  
          from engaging in the practice of public accountancy in this  
          state unless he or she holds either a license issued by CBA.

           FISCAL EFFECT  :  According to the Assembly Appropriations  
          Committee, unknown, moderate costs, likely less than $75,000 in  
          special funds, to implement the live webcasting of CBA board  
          meetings. 

           COMMENTS  :  According to the author's office, "The purpose of the  
          bill is to provide transparency and public access to California  
          Board of Accountancy meetings and formal accusations filed  
          against a licensee. Given the importance of the accounting  
          profession to the operations and disclosure requirements of  
          public and private entities required under both state and  
          federal law, increasing transparency and public access will lead  
          to more informed choices by consumers."

          The documents related to a pending accusation against a licensee  








                                                                  AB 1005
                                                                  Page  2


          are considered a public record and obtainable upon request to  
          any of the 43 consumer protection entities in the Department of  
          Consumer Affairs (DCA).  Six of these DCA entities provide  
          documents related to a pending investigation on their Web sites,  
          two publish supporting documents on final decisions, 21 entities  
          provide a summary of the final decision and order, and 14 do not  
          publish any information on their Web sites.  In addition to a  
          summary of the final decisions and order, the CBA also publishes  
          supporting documents related to a final decision on its Web  
          site.  However, CBA does not publish supporting investigatory  
          documents related to pending accusations on its Web site but  
          will provide this information in hardcopy form upon request.

          AB 797 (Ma) of 2009 requires CBA to post on its Web site the  
          text of disciplinary decisions for a period of 10 years from the  
          date the decision was issued.
           

          Analysis Prepared by  :    Ross Warren / B. & P. / (916) 319-3301 

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