Current through Register Vol. 63, No. 9, September 1, 2024
(1)
Enrollment Requirement. Every firm that performs attest as defined
by OAR 801-005-0010(4)
or compilation as defined by
801-005-0010(14)
services in Oregon or for Oregon clients, is required to participate in an
approved peer review program as a condition of registration under ORS
673.160 and for each renewal
thereof.
(2)
Public
accounting services subject to peer review. Attest and compilation
services as defined in OAR
801-005-0010(4) and
(14) that require participation in a peer
review program.
(a) Firms that prepare
financial statements which do not require reports under Statements on Standards
for Accounting and Review Services and that perform no other attest or
compilation services, are not required to participate in a peer review program;
however, such engagements conducted by a firm that is otherwise required to
participate in a peer review program shall be included in the selection of
engagements subject to peer review.
(b) Individual licensees may participate in a
peer review program through their firms. If the licensee has an individual
practice apart from the firm in which the licensee performs attest or
compilation services, the individual practice is also subject to the
requirement to participate in a peer review program.
(c) Each firm that is required to participate
in a peer review program under this rule shall enroll in an approved program
before issuing a report on attest and compilation services as defined by OAR
801-005-0010 (4 and (14). The
firm must send proof of enrollment and the date for initial review to the Board
before the report is issued. The schedule for the firm's peer review shall be
established according to the program standards.
(d) Firms that do not have a physical
location in this state, but nevertheless perform attestation services in this
state, are required to participate in a peer review program that is performed
in accordance with the minimum standards for performing and reporting on peer
reviews described in OAR
801-050-0080, and may be
required to demonstrate that the out-of-state office(s) through which the
services are being provided follows the same quality control policies and
procedures established by the firm that has been subjected to peer review in
the other state.
(3)
Exemption from Enrollment Requirement. Firms that do not perform
attest or compilation services as defined in OAR
801-005-0010(4) and
(14) are not required to participate in a
peer review program, and shall notify the Board of such exemption on the
initial firm registration application and on each firm renewal
application.
(4)
Peer Review
Participation. Every firm that is required to participate in a peer
review program shall have a peer review in accordance with the peer review
program standards.
(a) It is the
responsibility of the firm to anticipate its needs for review services in
sufficient time to enable the reviewer to complete the review by the assigned
review date.
(b) Any firm that is
rejected, dropped, terminated or otherwise not enrolled by a sponsor for any
reason shall have 21 days to provide written notice to the Board of such
action. The firm must request authorization from the Board to enroll in an
approved peer review program.
(c)
In the event a firm is merged, otherwise combined, dissolved or separated, the
sponsor shall determine which firm is considered the succeeding firm. The
succeeding firm shall retain its peer review status and the review due
date.
(d) A firm choosing to change
to another sponsor may do so only if there is not an open active peer review
and if the peer review is performed in accordance with the minimum standards
for performing and reporting on peer reviews described in OAR
801-050-0080.
(e) With respect to firms that perform attest
or compilation services in more than one state, the Board may accept a peer
review based solely on work conducted outside this state if the peer review is
performed in accordance with the minimum standards for performing and reporting
on peer reviews described in OAR
801-050-0080.
(f) On request of the firm, the Board may
specify that a peer review program that is administered by another state board
of accountancy satisfies the requirements of OAR Chapter 801, Division 050 if
the Board determines that the program substantially meets or exceeds the
minimum standards described in this rule.
(g)
Extensions: Firms may
request an extension of time for completion of the peer review report from the
Peer Review Sponsor. If a firm is granted an extension by the peer review
program administrator, a copy of such extension must be sent to the Board
office within 21-days of the date the extension was granted.
(h)
Peer Review Hearing: Firms
that are referred for hearing by the RAB are required to provide notification
to the Board within 21-days from the initial notification of hearing and the
final resolution.
Statutory/Other Authority: ORS
673.455 & OL 2001, Ch. 638
& Sec. 12
Statutes/Other Implemented: ORS
673.455
