Everything you wanted to know
about CPA SEA & State CPA
CPA-SEA
Societies
But were afraid to ask
Tom Hood, CPA.CITP - President
Hood CPA CITP
Betsy Adrian – President-elect
CPA – SEA
CPA State Executives Association

CPA-SEA is the network

CPA-
CPA-SEA
Our Purpose

“to assist our members to achieve
to

operational excellence in the
management of their organizations
and provide a forum for networking
p g
& communication to enable
members to choose informed
courses of action on professional
issues facing CPAs”
Our Values:

Leadership

 Integrity
 Collaboration
 Exploration

CPA-
CPA-SEA Leadership
Erin Hardwick - SC
Tom Hood - MD 

Dennis Tomorsky - WI
Betsy Adrian - MN
y 

Loretta Doon - CA
Kathy Anderson - FL 

Deb Riley - VT
Rich Jones - WA 

Ralph Thomas - NJ
Laura Coome - SD 


CPA- SEA 2007-2008
MEETINGS COLLABORATION
COMUNICATION RELATIONSHIPS
CPA/SEA ASSISTS ITS MEMBERS TO
ACHIEVE EXCELLENCE IN THE
MANAGEMENT OF THEIR
ORGANIZATIONS AND PROVIDES A
FORUM FOR NETWORKING AND
COMMUNICATION TO ENABLE MEMBERS
BOARD CULTURE
TO CHOOSE INFORMED COURSES OF
ACTION ON PROFESSIONAL ISSUES
ACTION AFFECTING CPAs
6. AICPA Relations
5.
5 SEA Leadership Dev.
Ld hi D
4. Peer Review
3. Mobility – Leg/Reg Advocacy
2. Strategic relationships
g p
1. Emerging Issues
BOLD STEPS
CORE VALUES
INTEGRITY LEADERSHIP
COLLABORATION EXPLORATION
5

Mega-trends
1. Regulations &
1R l ti
Standards
Economic Meltdown
2. Globalization
– More Government
3. Workforce
– Less Leverage
4. Technology
/Credit Crunch

What the world would miss if we
were gone?
• We keep the CPA Profession up with the
p ith
rapidly changing environment
• We are bridge builders – taking care of
the CPA Profession’s infrastructure
• We are the leadership development
pipeline for the CPA Profession
• We protect the CPA reputation & image
• We are the connectors of the Profession
– connecting to key resources

Keeping up with the CPA Profession

the basic physical and organizational
structures needed for the operation of a
society or enterprise
it t i
State CPA Societies built and maintain the critical infrastructure for
the CPA profession – the laws & regulations which grant the rights
to practice Certified Public Accountancy
CPA-SEA supports that through our network of State CPA society
executives and the AICPA and our critical relationships

Meet Bill… Managing Partner
• Bill’s firm files tax returns in
9 states + Maryland
• Last year he would have
required additional state
licenses in all states (except
OH, VA, MO, WI)
• He would have had to
register all of his tax CPAs
and staff as a tax advisor (est
$250 apiece)
• He would have to report to
two state boards with different
CPE requirements
What would this cost you?
• H would h
He ld have h d t
had to
charge & collect sales taxes
on his accounting & tax
services

CPA Mobility Legislative Activity 2009
WA
VT
ME
MT ND
MN
OR NH
ID WI
SD MA
NY
WY MI
CT RI
IA PA
NE
NV NJ
UT OH
DE
IN
IL WV
CO
CA VA MD
KS MO KY
DC
NC
AZ TN
OK AR SC
NM
MS AL GA
AK
TX LA
PR
HI FL
GU
V
2009 -2010 Anticipated
Legislative
Mobility Enacted - 37
Activity Legislation Introduced - 8
No Formal Activity
Mobility Enacted Only for Other
Mobility States -2 (GA PA)
AICPA March 2009

What is under the CPA Profession?

Federal Laws & Regulations – SEC,
DOL, Treasury, GAO, PCAOB
CPA Profession Standards – AICPA
& FASB, GASB FASAB, IASB, IFAC
FASB GASB, FASAB IASB
State CPA Statutes
police power of the states to protect their citizens vs commerce clause

Another View
Public Company Private Company Int’l Company
SEC IASB
Financial
FASB
S
Reporting
FASB IFRS
Attest
AICPA
PCAOB IAASB
Performance
Standards ASB
Code of AICPA AICPA
IFAC
Conduct
PEEC PEEC
CPA
State Oversight & Enforcement of CPA License
Licensure

Peer Review - Your firm license
depends on it

US Treasury
MD Comptroller
MD Comptroller
MD Comptroller
CAQ
Courtesy of the Maryland Association of CPAs – 2008 edition
Drawing by Carol Kirwan, CPA

The Obama Cabinet
The year of the REGULATOR
Timothy Geithner, Paul Volcker, Mary Schapiro,
Secretary of the Chair, Economic Recovery SEC Chief
Treasuryy Advisory Board
y
Gary Gensler
Gar Gensler,
Ben Bernanke,
Sheila Bair,
Chair, Federal Chair, Commodity Futures
Chair, FDIC Trading Commission
Reserve Board

First PCAOB now FAOB?
New 5 member oversight board
d by Congress – M h 6th,
proposed b C March
2009

Leadership Pipeline
Ernie Almonte – AICPA Chair came from Rhode Island as past
president – most AICPA Chairs, Board members, and Council
members had their start in State CPA Societies

Pipeline - Good News
p
20% avg increase in
Graduates & enrollments!
Increases in CPA pipeline involved a multi-year collaboration on student recruitment
between State CPA Societies & AICPA

Promoting the CPA Career –
Maryland example
New/Youngg
Tomorrows
Professionals MACPA
CPA.org
Network
Most state societies have similar programs to onboard students into
the Profession

Four Generations in the Workplace
Issue: Generational Differences
• Matures – 1909-45
• Boomers – 1946-64
• Gen X – 1965-80
• Millennials - 1981 +
up (Y2K, Netgen,
Echo-boom, Gen
Y)
Which one are you?

Biggest Issue Facing NYPNs
• Bridging the Gap between college & real world
• Under Developed Skill Sets
Under-Developed
– Leadership & Communication
– Time Management & Organization
– Analytical Skills
– Technical Skills
• Work-Life Balance
• Limited Networking Opportunities
• Intimidation
• CPA Exam
• Lack of a Voice in Profession

What you can do to p o o e the
a ca o promote e
CPA?
• Understand the “new” CPA Exam
• Encourage MACPA candidate
membership
b hi
• Use CPA Exam tracking tool to track
employees progress
• Support the swearing-in ceremony
• C t / reinforce firm/company culture
Create if fi / lt
that celebrates CPAs

Meet the New Young Professionals
Remember when you were ‘made’ to be a
made’
member of your State Society & AICPA?
According to the William E. Smith study of Association
value: Benefits to the professionals and their employers
include higher morale, increased employer loyalty,
networking, professional development, leadership
experience, professional community and big-picture
thinking.

Protecting the CPA Image &
g g
Reputation
• Remember Enron & WorldCom?
Public Relations and Image protection are
both a major focus and great example of
State CPA Societies and the AICPA
working together for the benefit of the
entire CPA Profession

Perceptions of CPAs Largely
Consistent Across All Audiences
Rank
BDMs Large Biz BDMs Sm-Med Biz Investors CPAs YPs
1 Has integrity Competent Competent Has integrity Competent
2 Competent Has integrity Has integrity Competent Has integrity
Able to synthesize Able to synthesize
3 information from multiple Objective Objective Objective information from multiple
sources sources
Able to synthesize Able to synthesize Able to synthesize
4 Objective information from multiple information from multiple information from multiple Able to see the big picture
sources sources sources
5 Focused on client needs Focused on client needs Focused on client needs Focused on client needs Objective
Able to identify potential Able to identify potential Able to identify potential
6 Able to see the big picture Focused on client needs
problems before they happen problems before they happen problems before they happen
Able to identify potential
7 Technologically adept Technologically adept Technologically adept Demonstrates leadership
problems before they happen
Able to identify potential
8 Communicates effectively Able to see the big picture Able to see the big picture Demonstrates leadership
problems before they happen
9 Able to see the big picture Communicates effectively Communicates effectively Technologically adept Technologically adept
10 Demonstrates leadership Demonstrates leadership Creative and innovative Communicates effectively Communicates effectively
11 Creative and innovative Creative and innovative Demonstrates leadership Creative and innovative Creative and innovative

Image is better than pre-Enron highs

Financial Literacy
www.feedthepig.org
www.360financialliteracy.org

Connectors to Resources
C t tR

Seven Keys to Success in CPA Firm Management
1. Leadership
2.
2 Technology
3. Learning Organization
4. M k ti
4 Marketing and d
Business Development
5. A Great Place to Work
G Pl Wk
6. Client Service and Satisfaction
7. Strategy Execution

Firm Opportunities in these
turbulent times
• Talent acquisition
• Succession planning
• Strengthen value-added relationship with
clients (cash flow financing & cost
flow,
control)
• International / XBRL
• Governance
• Young Professionals – reverse mentoring

Competencies Needed
Another example of the power of the AICPA & State CPA
Societies working together – the CPA Vision identified these
critical competencies for 2011 – years before Deloitte
• Change • Communication &
Management
M t Leadership
L d hi
• Strategic Ability • Strategic & Critical
Thinking
• Critical Thinking
• Focus on the Customer,
• Business
Client, and Market
Perspective
• Interpretation of
• Organizational
Converging Information
Agility
• Technologically adept
• D li with
Dealing ith
Ambiguity

Critical
Turning
Point
Courtesy of the Business Learning
Institute © 2000

Connect – Protect - Achieve!
“Association members
Association
earn, on average, $10,000
more per year than non-
members”
And
“are 19% more likely to
say they are “very-
satisfied
satisfied” with their jobs
than non-members”
Where the Winners Meet Study by the
William E. Smith Institute for
Association Research

Tom Hood, CPA.CITP Betsy Adrian
CEO President
Maryland Association of CPAs Minnesota Society of CPAs
Business Learning Institute
(443) 632-2301 (952) 831-2707
E-mail tom@macpa.org E-mail badrian@mncpa.org