The Peer Review Program Overview

Refer to Chapter 527 Peer Review, of the Board Rules.
Rule 527.1(a) Pursuant to §901.159 of the Act, the board establishes a peer review program to monitor CPAs' compliance with applicable accounting, auditing and other attestation standards adopted by generally recognized standard-setting bodies. The program may include education, remediation, disciplinary sanctions or other corrective action where reporting does not comply with professional or regulatory standards.

IMPORTANT: To ensure that you can open each of the forms below, you will need Adobe Reader 8.0 or later (Otherwise you may receive a message that the file "is damaged" or "requires a newer version of Adobe Reader"). A copy of Adobe Reader can bedownloaded at no cost. If you are using Adobe Acrobat to open the form, you must have Adobe Acrobat 8.0 or later. Forms with the notation "(fillable)" offer you the option of entering your information on-screen before printing and sending it to the Board.

Services Performed That Require Enrollment In The Peer Review Program

A firm performing any of the following services is required to undergo a peer review:

• Financial statements
• Audits
• Reviews
• Compilations* (Compilations of Financial Statements not Intended for Third Party use "SSARS 8")

Special reports (such as bank directors' examinations, completed statements on forms, etc.)

*Compilations include financial statements prepared as a result of other services such as taxes, bookkeeping (either computer or handposted), personal financial planning, etc.

A firm that does not perform any of the above services may claim an exemption.

Requirements For Firms Enrolling In A Peer Review Program

When a firm begins performing services that require a peer review, it is the responsibility of the firm to notify the board within 30 days of the commencement of the work that the firm is subject to peer review.

• Contact a Board approved sponsor to enroll in a peer review program and obtain a review due date.
• Complete the board's Peer Review Reporting (fillable) form indicating the firm is not claiming an exemption and attach a copy of the due date notification letter from the sponsor.
• If the firm has not received the due date notification letter from the sponsoring organization, the form can be submitted. Write "in process" in the Assigned review date blank.
• A copy of the notification letter must be submitted to the Board, within 30 days of the receipt from the sponsoring organization.
• Check the sponsoring organization that the firm enrolled with.
• The 12 month deadline will be upheld but extension requests must be submitted in writing for approval.

When a review has been completed and the firm receives the Final Letter of Acceptance from the sponsoring organization, a copy of the completed review must be sent to the board along with the Peer Review Compliance Reporting Form.

• If the results of an Engagement Review or System Review was PASS send the following:

  °  Peer Review Compliance Reporting Form (L0027) (fillable)
  
  °   Peer Review Report (PRR)
  
  °   Final Letter of Acceptance (FLOA)
  

• If the results of an Engagement Review or System Review were PASS WITH DEFICIENCY(IES) OR FAIL, send the following:

  °   Peer Review Compliance Reporting Form (L0027) (fillable)
  
  °   Peer Review Report (PRR)
  
  °   Letter of Response (LOR)
  
  °   Conditional Letter of Acceptance (CLOA)
             OR
       Corrective Action Letter (CAL)
  
  °   Final Letter of Acceptance (FLOA)

Requirements For Firms Claiming An Exemption From The Peer Review Program

Firms that are not required to be enrolled in the Peer Review Program can claim an exemption (refer to Board Rule 527.4). To do this, the TWO FORMS SHOWN BELOW MUST BE COMPLETED:

Peer Review Reporting (fillable)

Affidavit for Exemption from Peer Review