There are some new rules in town. At the Public Rules Hearing held on July 26, 2019, the State Board of Accountancy approved several continuing professional education rules. Many of the changes clarify or align more closely with the Uniform Accountancy Act (UAA) and go into effect January 1, 2020. You can review the changes in the Board Rule Making section on the Board website at acb.wa.gov.

Nano Learning, WAC 4-30-010

A definition for nano learning has been added to WAC 4-30-010. Nano learning is a stand-alone continuing professional education (CPE) course that is a minimum of ten minutes (0.2 CPE credit hours) consisting of electronic self-study with a stated learning objective and a minimum of two final assessment questions. The total number of nano learning credits allowed in any three-year CPE reporting period is 12 hours.

What This Means

Have you ever needed to clarify a standard or re-learn a concept that only took a few minutes? The new rule allows you to count up to 12 hours of nano learning every reporting period. Qualifying courses must be at least 10 minutes long and include a two-question quiz at the end.

20-Hour Minimum, WAC 4-30-134

A CPA must complete a minimum of 20 hours of CPE in each year of the three-year reporting cycle. Board service, first time instructor developer, or authorship of published materials will not count towards the 20 hour minimum. For the next few renewal cycles an overlap between the CPE rules in effect before December 31, 2019 and after January 1, 2020 may exist.

What This Means

Consider it a friendly check-in every year on a multi-year project. Every year, CPAs will have to complete at least 20 hours of CPE (excluding certain activities, see next rule for more information).

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Special Activities, WAC 4-30-132/133

No more than 60 hours of CPE credit in the aggregate will be allowed in any three-year CPE reporting period for: o First time instructor/developer of a CPE course or college/university course. o Authorship of published articles, books, and other publications relevant to maintaining or improving professional competence. o Service on the Board, Board committees, or peer review committees.

What This Means

You can earn CPE many ways such as serving on the Board of Accountancy, writing, or teaching. These activities are now limited to 60 hours for each reporting cycle. There’s a slight catch, too. Those 60 hours cannot be counted toward the minimum 20 hours that are now required every year.

Non-Technical CPE, WAC 4-30-132/134

Limitations on non-technical subject CPE increase to 60 hours per CPE reporting period. Examples of non-technical subjects include leadership, personal development skills, and practice development.

What This Means

Some of the most important skills accounting professionals need to stay current don’t include advanced computing or technical skills but rather soft skills like communications and leadership. Now you can earn up to 60 hours of non-technical CPE each reporting cycle.

CPE Reciprocity, WAC 4-30-134

CPE reciprocity will be allowed for Washington licensees who are residents of other states. Nonresident licensees shall demonstrate compliance with the CPE renewal requirements of the state of their principal place of business. If their state has no CPE requirements for renewal, the nonresident licensee must comply with all CPE requirements for Washington.

What This Means

If you hold licenses in multiple states, you only have to fulfill the CPE requirements for your resident state. Check out the map to see other states that also have CPE reciprocity.

Map published with permission of the AICPA.
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Extension Requests, WAC 4-30-134

CPE extension requests are no longer limited to cases of individual hardship. Any individual who fails to complete the required CPE by the end of their CPE reporting period can request an extension prior to their expiration date. An individual is only allowed one CPE extension in any two consecutive CPE reporting periods (six year period). Extension requests will be accepted from January 1 through June 30 of the renewal cycle. The self-reported deficiency (or prelapsed reinstatement) process has been eliminated.

What This Means

Did the dog eat your CPE? Under the new rule, you can request an extension regardless of circumstances, but you are only allowed to do so once every six years, or once every two consecutive reporting periods.

Ashley Kittrell is the WSCPA Manager of Government Affairs. You can contact her at akittrell@wscpa.org or 425.586.1150.

Rule changes published with permission of the Washington State Board of Accountancy.

This article appeared in the fall 2019 issue of the Washington CPA Magazine. Read more here.