S T A T E   O F   N E W   Y O R K
 ________________________________________________________________________
 
                                   6891
 
                        2025-2026 Regular Sessions
 
                             I N  S E N A T E
 
                              March 26, 2025
                                ___________
 
 Introduced  by Sen. STAVISKY -- read twice and ordered printed, and when
   printed to be committed to the Committee on Higher Education
 
 AN ACT to amend  the  education  law,  in  relation  to  clarifying  the
   requirements for a certified public accountant
 
   THE  PEOPLE OF THE STATE OF NEW YORK, REPRESENTED IN SENATE AND ASSEM-
 BLY, DO ENACT AS FOLLOWS:
 
   Section 1. Paragraphs 2, 3 and 4 of subdivision 1 of section  7404  of
 the  education  law,  as amended by chapter 651 of the laws of 2008, are
 amended to read as follows:
   (2) Education: [have received an education, including a bachelor's  or
 higher  degree  or  a  foreign equivalent based on] PRESENT SATISFACTORY
 EVIDENCE OF COMPLETION OF ONE OF THE FOLLOWING:
   A. A CURRICULUM OF AT LEAST ONE HUNDRED TWENTY  SEMESTER  HOURS  IN  a
 program  in accountancy[, in accordance with the commissioner's] THAT IS
 REGISTERED BY THE DEPARTMENT, OR THAT IS  ACCREDITED  BY  AN  ACCEPTABLE
 ACCREDITING  AGENCY,  OR THAT IS DEEMED TO BE COMPARABLE TO A REGISTERED
 OR ACCREDITED PROGRAM, AS DETERMINED BY THE  DEPARTMENT;  PROVIDED  THAT
 FOR  EACH  OF  THE PROGRAMS DESCRIBED ABOVE, THE APPLICANT SHALL SATISFY
 THE UNDERGRADUATE CURRICULUM SEMESTER HOUR REQUIREMENTS FOR  THE  SPECI-
 FIED SUBJECTS SET FORTH IN THE DEPARTMENT'S regulations AS OF THE EFFEC-
 TIVE  DATE  OF  THE CHAPTER OF THE LAWS OF TWO THOUSAND TWENTY-FIVE THAT
 AMENDED THIS PARAGRAPH; OR
   B. A CURRICULUM OF AT LEAST ONE HUNDRED  FIFTY  SEMESTER  HOURS  IN  A
 PROGRAM DESCRIBED IN SUBPARAGRAPH A OF THIS PARAGRAPH.
   (3) Experience: [have]
   A.  PRESENT SATISFACTORY EVIDENCE OF COMPLETION OF THE FOLLOWING expe-
 rience [satisfactory to the board of regents and in accordance with  the
 commissioner's regulations;] REQUIREMENT:
   (I)  TWO  YEARS  OF ACCEPTABLE FULL-TIME EXPERIENCE, OR THE EQUIVALENT
 THEREOF, FOR AN APPLICANT WHO IS APPLYING FOR LICENSURE ON THE BASIS  OF
 THE  EDUCATION  DESCRIBED  IN  SUBPARAGRAPH  A  OF PARAGRAPH TWO OF THIS
 SUBDIVISION; OR
   (II) ONE YEAR OF ACCEPTABLE FULL-TIME EXPERIENCE,  OR  THE  EQUIVALENT
 THEREOF,  FOR AN APPLICANT WHO IS APPLYING FOR LICENSURE ON THE BASIS OF
 
              

  EXPLANATION--Matter in ITALICS (underscored) is new; matter in brackets
                       [ ] is old law to be omitted.
                                                            LBD11185-01-5
 S. 6891                             2

 THE EDUCATION DESCRIBED IN SUBPARAGRAPH  B  OF  PARAGRAPH  TWO  OF  THIS
 SUBDIVISION.
   B. FOR THE PURPOSES OF THIS SUBDIVISION, ONE YEAR OF FULL-TIME EXPERI-
 ENCE  SHALL  MEAN  AN AGGREGATE TOTAL OF TWELVE CALENDAR MONTHS OF FULL-
 TIME EMPLOYMENT. FULL-TIME SHALL BE DEFINED AS  A  FIVE-DAY  WORK  WEEK,
 WITH  AT LEAST THIRTY-FIVE HOURS OF EXPERIENCE PER WEEK, EXCLUDING OVER-
 TIME. THE DEPARTMENT MAY ALSO CREDIT AN APPLICANT FOR PART-TIME  EXPERI-
 ENCE  IN  THE  AMOUNT  OF  ONE WEEK OF EXPERIENCE FOR EVERY TWO WEEKS OF
 ACCEPTABLE PART-TIME EXPERIENCE EARNED. PART-TIME SHALL BE DEFINED AS AT
 LEAST TWENTY HOURS OF EXPERIENCE PER WEEK.
   C. ACCEPTABLE EXPERIENCE SHALL BE ATTESTED TO BY  A  CERTIFIED  PUBLIC
 ACCOUNTANT  LICENSED  IN NEW YORK OR IN ANOTHER POLITICAL SUBDIVISION OF
 THE UNITED STATES, PROVIDED THAT SUCH CERTIFIED PUBLIC ACCOUNTANT  ACTED
 IN  A  SUPERVISORY  CAPACITY TO THE APPLICANT IN THE EMPLOYING ORGANIZA-
 TION.
   D. ACCEPTABLE EXPERIENCE IN THE PRACTICE OF PUBLIC  ACCOUNTANCY  SHALL
 BE  LIMITED  TO  EXPERIENCE  IN  PROVIDING ACCOUNTING SERVICES OR ADVICE
 INVOLVING THE USE OF ACCOUNTING,  ATTESTATION,  COMPILATION,  MANAGEMENT
 ADVISORY,  FINANCIAL ADVISORY, TAX OR CONSULTING SKILLS UNDER THE SUPER-
 VISION OF A CERTIFIED PUBLIC ACCOUNTANT LICENSED IN THE UNITED STATES OR
 A PUBLIC ACCOUNTANT LICENSED IN NEW YORK.
   E. ACCEPTABLE EXPERIENCE IN THE PRACTICE OF PUBLIC  ACCOUNTANCY  SHALL
 BE  EARNED  THROUGH  EMPLOYMENT  AS  AN EMPLOYEE IN PUBLIC PRACTICE IN A
 PUBLIC ACCOUNTING FIRM, GOVERNMENT, PRIVATE INDUSTRY OR  AN  EDUCATIONAL
 INSTITUTION.
   (4)  Examination: pass a written examination satisfactory to the board
 and in accordance with the commissioner's regulations, PROVIDED THAT THE
 REQUIRED EDUCATIONAL ATTAINMENT FOR SUCH EXAMINATION SHALL NOT BE GREAT-
 ER THAN THAT SET OUT IN SUBPARAGRAPH A OF PARAGRAPH TWO OF THIS SUBDIVI-
 SION, and the requirement with respect to such examination  may  not  be
 waived;
   § 2. Subdivision 2 of section 7406 of the education law, as amended by
 chapter 456 of the laws of 2011, is amended to read as follows:
   2. Practice privilege. a. Except as otherwise provided in subparagraph
 two  or  three  of  paragraph  f of this subdivision, a certified public
 accountant, licensed by another state [which the board  of  regents  has
 determined  to have substantially equivalent certified public accountant
 licensure requirements, or whose individual licensure qualifications are
 verified by the department to be substantially equivalent to New  York's
 requirements,  and  in good standing], who intends to perform any of the
 services in subdivision  one,  two  or  three  of  section  seventy-four
 hundred  one  of  this  article  may practice public accountancy in this
 state, if the certified public accountant:
   (1) holds a valid license to practice public accountancy in the  other
 state, [and]
   (2) practices public accountancy in another state that is [his or her]
 SUCH CERTIFIED PUBLIC ACCOUNTANT'S principal place of business,
   (3)  HAS COMPLETED A BACCALAUREATE OR HIGHER DEGREE PROGRAM IN ACCOUN-
 TANCY THAT IS REGISTERED BY THE DEPARTMENT, OR A BACCALAUREATE OR HIGHER
 DEGREE PROGRAM IN  ACCOUNTANCY  THAT  IS  ACCREDITED  BY  AN  ACCEPTABLE
 ACCREDITING  AGENCY, OR A BACCALAUREATE OR HIGHER DEGREE PROGRAM, OR ITS
 FOREIGN EQUIVALENT, THAT IS DEEMED TO BE COMPARABLE TO A  REGISTERED  OR
 ACCREDITED PROGRAM, AS DETERMINED BY THE DEPARTMENT,
   (4)  HAS PASSED THE WRITTEN EXAMINATION DESCRIBED IN PARAGRAPH FOUR OF
 SUBDIVISION ONE OF SECTION SEVENTY-FOUR HUNDRED FOUR  OF  THIS  ARTICLE,
 AND
 S. 6891                             3

   (5)  HAS ATTAINED ONE YEAR OF EXPERIENCE AS PROVIDED IN CLAUSE (II) OF
 SUBPARAGRAPH A OF PARAGRAPH THREE OF SUBDIVISION ONE OF  SECTION  SEVEN-
 TY-FOUR HUNDRED FOUR OF THIS ARTICLE.
   b. The practice privilege allows such certified public accountant, who
 meets  the  requirements  of paragraph a of this subdivision to practice
 public accountancy in this state.
   c. An individual who has been granted practice privileges  under  this
 section  who  performs  any of the services in subdivision one or two of
 section seventy-four hundred one of this article may only do so  through
 a  firm  which  has  obtained  a registration under section seventy-four
 hundred eight of this article. Such an individual, as well as  an  indi-
 vidual  with  a  New York license who does not have a principal place of
 business in New York, may  provide  services  in  subdivision  three  of
 section  seventy-four  hundred  one  of  this  article through a firm of
 certified public accountants that does not have a registration  in  this
 state but that holds a valid license, registration, or permit in another
 state.
   d.  Any certified public accountant who practices in this state pursu-
 ant to this section, and any firm that  employs  such  certified  public
 accountant  to provide such services in New York, consents to all of the
 following as a condition of the exercise of such practice privilege:
   (1) to the personal and subject matter jurisdiction  and  disciplinary
 authority  of  the  board  of  regents as if the practice privilege is a
 license, and an individual with a practice privilege is a licensee;
   (2) to comply with this article, the rules of the board of regents and
 the regulations of the commissioner; and
   (3) to the appointment of the secretary of state or other public offi-
 cial acceptable to the department, in the certified public  accountant's
 state  of  licensure  or  the  state in which the firm has its principal
 place of business, as the certified public accountant  or  firm's  agent
 upon  whom  process  may  be  served  in any action or proceeding by the
 department against such certified public accountant or firm.
   e. [For purposes of this subdivision, the board of regents may  deter-
 mine  that  nationally-recognized  certified public accountant licensure
 requirements are substantially equivalent to  New  York's  requirements,
 such that an individual licensed in a state determined to have licensure
 requirements  substantially  equivalent to the nationally-recognized CPA
 licensure requirements, or an individual whose licensure  qualifications
 are  determined  to be substantially equivalent to the nationally-recog-
 nized CPA licensure requirements, may practice under the practice privi-
 lege pursuant to the requirements contained in this subdivision.
   f.] (1) A person who wishes to practice  public  accountancy  in  this
 state but does not meet the requirements of paragraph a of this subdivi-
 sion  is  subject to the full licensing and registration requirements of
 this article.
   (2) In the event the license from the other  state  of  the  certified
 public accountant's principal place of business is no longer valid or in
 good standing, or that the certified public accountant has had any final
 disciplinary  action taken by the licensing or disciplinary authority of
 any other state concerning the practice of public accountancy  that  has
 resulted in (i) the suspension or revocation of [his or her] SUCH CERTI-
 FIED  PUBLIC  ACCOUNTANT'S  license,  or  (ii) other disciplinary action
 against [his or her] SUCH CERTIFIED  PUBLIC  ACCOUNTANT'S  license  that
 arises from (a) gross negligence, recklessness or intentional wrongdoing
 relating  to  the practice of public accountancy, (b) fraud or misappro-
 priation of funds relating to the practice of public accountancy, or (c)
 S. 6891                             4
 
 preparation, publication, or  dissemination  of  false,  fraudulent,  or
 materially  incomplete  or  misleading  financial statements, reports or
 information relating to the practice of public accountancy,  the  certi-
 fied  public  accountant  shall  cease offering to perform or performing
 such services in this state individually and on behalf of [his  or  her]
 SUCH CERTIFIED PUBLIC ACCOUNTANT'S firm, until and unless such certified
 public  accountant  receives  written  permission from the department to
 resume the practice of public accountancy  in  this  state  pursuant  to
 subparagraph three of this paragraph.
   (3)  Any certified public accountant who, within the last seven years,
 immediately preceding the date on  which  [he  or  she]  SUCH  CERTIFIED
 PUBLIC  ACCOUNTANT  wishes  to  practice  in  New York, (i) has been the
 subject of any final disciplinary action taken against [him or her] SUCH
 CERTIFIED PUBLIC ACCOUNTANT by the licensing or  disciplinary  authority
 of  any  other  jurisdiction with respect to any professional license or
 has any charges of professional misconduct pending against [him or  her]
 SUCH  CERTIFIED PUBLIC ACCOUNTANT in any other jurisdiction, or (ii) has
 had [his or her] SUCH CERTIFIED PUBLIC  ACCOUNTANT  license  in  another
 jurisdiction  reinstated  after  a  suspension  or  revocation  of  said
 license, or (iii) has been denied issuance or renewal of a  professional
 license  or  certificate  in any other jurisdiction for any reason other
 than an inadvertent administrative error, or (iv) has been convicted  of
 a  crime  or is subject to pending criminal charges in any jurisdiction,
 shall so notify the department, on a form prescribed by the  department,
 and  shall not practice public accountancy in this state under paragraph
 a of this subdivision until [he or she] SUCH CERTIFIED PUBLIC ACCOUNTANT
 has received from the department written permission to do so. In  deter-
 mining whether the certified public accountant shall be allowed to prac-
 tice  in this state, the department shall follow the procedure to deter-
 mine whether an applicant for licensure  is  of  good  moral  character.
 Anyone failing to provide the notice required by this paragraph shall be
 subject to the personal and subject matter jurisdiction and disciplinary
 authority  of  the  board  of  regents as if the practice privilege is a
 license, and an individual with a practice privilege is a licensee,  and
 may  be  deemed  to  be  practicing  in  violation of section sixty-five
 hundred twelve of this title.
   [g.] F. (1) Notwithstanding subparagraph two of paragraph  a  of  this
 subdivision  or  any  other  inconsistent law or rule to the contrary, a
 certified public accountant licensed by another state and in good stand-
 ing who otherwise meets the practice privilege requirements  under  this
 section  and  files  an application for licensure under section seventy-
 four hundred four of this article may continue to  practice  under  such
 privilege  for a period coterminous with the period during which [his or
 her]  SUCH  CERTIFIED  PUBLIC  ACCOUNTANT'S  application  for  licensure
 remains  pending  with  the  department,  including any period after the
 certified public accountant establishes a principal place of business in
 New York while [his or her] SUCH CERTIFIED PUBLIC ACCOUNTANT'S  applica-
 tion is pending.
   (2)  Nothing  in this section shall limit the applicability of section
 seventy-four hundred seven of this article.
   § 3. This act shall take effect on the one hundred eightieth day after
 it shall have become a law.