Education News

GAO Change

The GAO released a document entitled Guidance on GAGAS Requirements for Continuing Professional Education that will be effective for CPE measurement periods beginning on or after June 30, 2005 (with earlier adoption encouraged.) The document provides guidance to auditors in meeting the CPE requirements contained in the Yellow Book and replaces the predecessor 1991 CPE Interpretation. The document is a must read for any firm conducting or contemplating Yellow Book engagements and any CPE provider that works with them. The document itself is available at www.gao.gov/govaud/ybcpe2005.pdf and a two page summary of changes document is also available at www.gao.gov/govaud/cpemc2005.pdf The document contains more significant changes than were anticipated based on the related exposure draft issued last year.

The GAO realizes that these new CPE requirements create questions for practitioners. Michael Hrapsky, Senior Project Manager, at the GAO welcomes members' questions at 202-512-9535 or via email at yellowbook@gao.gov.

2005 Changes to the Yellow Book CPE Requirements

Changes to Credit Hours

In June of 2004, the Georgia Board of Accountancy amended their rules to allow half hours of credit. All credit will be rounded to the nearest half-hour of credit.

All programs will be measured in terms of twenty-five minute segments or one-half contact hours. The shortest recognized program will consist of one contact hour. A contact hour is 50 minutes of continuous participation in a group program. For example, a group program lasting 75 minutes would count for one and one-half hours; however, one lasting between 50 and 75 minutes would count for only 1 hour. For continuous conferences and conventions, when individual segments are less than 50 minutes, the sum of the segments should be considered one total program. For example, five 30 minute presentations would equal 150 minutes and should be counted as 3 contact hours. Sponsors will be required to monitor group programs in order to accurately assign the appropriate number of credit hours for participants who arrive late or leave before a program is completed. Credit will be allowed for a question-and-answer period, but will not be allowed for introductions, announcements or other activity that may be a part of the program.