Occupational Board Reform Act

General Information

Committee of Jurisdiction:Banking, Commerce and Insurance
Occupation Regulated:Certified Public Accountants (CPAs) and CPA Accounting Firms
Occupational Board:Nebraska State Board of Public Accountancy
Contact:Dan Sweetwood
Purpose:• 1-105.01. Nebraska State Board of Public Accountancy; purpose. It is the purpose of the Nebraska State Board of Public Accountancy to protect the welfare of the citizens of the state by assuring the competency of persons regulated under the Public Accountancy Act through (1) administration of certified public accountant examinations, (2) issuance of certificates and permits to qualified persons and firms, (3) monitoring the requirements for continued issuance of certificates and permits...
Regulated Professionals:Active CPAs 2,764; InActive Registrants 1,218; Certificates 1,273; CPA Firms 570
Year Created:1957
Year Active:1957
Sunset Date:N/A


Statutory Authorization:Neb. Rev. Stat. 1-105 to 1-171
Parent Agency:N/A


Number of Members:Eight
Who Appoints:Governor
Legislative Approval:No
Qualifications of Members:As outlined within Neb. Stat. 1-107: “..The board shall consist of eight members appointed by the Governor. Six members of the board shall be holders of permits issued under subdivision (1)(a) of section 1-136, and two members of the board shall be laypersons. All members of the board shall be citizens of the United States and residents of Nebraska. Two of the members of the board, who are holders of permits, shall reside in each congressional district. Two members shall be appointed to the board each year for terms of four years. Vacancies occurring during a term shall be filled by appointment for the unexpired term. Upon the expiration of his or her term of office a member shall continue to serve until his or her successor has been appointed and qualified. The Governor shall remove from the board any member whose permit has become void or has been revoked or suspended and may, after hearing, remove any member of the board for neglect of duty or other just cause. No person who has served two complete terms of four years shall be eligible for reappointment. Appointment to fill an unexpired term shall not be considered a complete term”
Per Diem:Yes
Expense Reimbursement:Yes
Term Length:Four years/ eligible for two terms only
Terms Rotate or Expire at Once:Terms Rotate


Required FY 2021-2020:1
Held FY 2021-2020:3
Required FY 2020-2019:1
Held FY 2020-2019:6
Required FY 2019-2018:1
Held FY 2019-2018:6
Required FY 2018-2017:1
Held FY 2018-2017:6
Required FY 2017-2016:1
Held FY 2017-2016:5


Support Staff:Three
Shared or Separate:Separate
FY 2021-2020 Budget:430690
FY 2020-2019 Budget:423948
FY 2019-2018 Budget:420830
FY 2018-2017 Budget:438830
FY 2017-2016 Budget:431852
Other Funding Sources:None
Spending Authority:Neb. Rev. Stat. 1-110 and 1-111


Government Certificates Issued:5817
Issued Certificate Descriptions:Certificate Holder: The Board issues a Certificate to those that have successfully passed the Uniform CPA Examination. A Certificate Holder cannot hold out as a CPA. They must register their certificate with the Board annually. Active Permit Holders (CPAs): The Board issues biennial Active Permits to Practice Public Accountancy to those applicants who have successfully completed the Uniform CPA Examination; an ethics examination; and required experience provisions as outlined within the Public Accountancy Act. Active Permit Holders must complete 80 hours of Continuing Professional Education (CPE) every two years to renew their Active Permit to Practice. An Active Permit Holder can hold out to the public as a Certified Public Accountant (CPA). InActive Registrants: The Board issues biennial InActive Registrations to those Active Permit Holders who choose to not hold out as an Active Permit Holder (CPA) and practice public accountancy. They also do not have to complete and submit CPE to the Board. They can reinstate to an Active Permit Practice after completing 120 hours of CPE within the preceding three years. CPA Firm Permit: The Board issues annual Permits to Practice to CPA firms who meet requirements within the Nebraska Public Accountancy Act. This includes proper forms of practice and ownership requirements.
Government Certificates Revoked:20
Revoked Certificate Descriptions:Over the course of the survey the Board has revoked three permits/certificates involving felony convictions while the vast majority of others (up to 10-15 annually) are considered administrative revocations for those who do not comply with renewal provisions and fail to stay in contact with the Board.
Government Certificates Denied:5
Denied Certificate Descriptions:The vast majority of candidates who apply to sit for the Uniform CPA Examination are highly motivated and prepared to meet the technical education requirements as outlined within Neb. Rev. Rules under Title 288/Chapter 9 to sit for the examination. Around 5 candidates a year require initial screening and advise upon submitting their application and are initially denied; however, having completed follow-up requirements eventually sit for the examination. A candidate may also have a criminal record and come under current regulations under Neb. Rev. Rules Title 288/Chapter 6 requiring the Board to review the matter.
Government Certificates Penalties Against:9
Penalty Certificate Descriptions:The intent of the Board’s regulatory program is to be educational in practice when possible. When necessary the Board disciplines CPAs and CPA firms for a wide range of failures to adhere to the various accounting professional standards referenced within the Public Accountancy Act and the Nebraska Rules of Professional Conduct. These include sanctions issued by other regulatory agencies including the Securities and Exchange Commission (SEC), the Public Accounting Oversight Board (PCAOB), the Nebraska State Auditor’s Office and others. Other discipline is issued after inquiries based on complaints from the public. CPA firms must also successfully complete the requirements under the national AICPA’s Peer Review Program
Explanation of Effectiveness:https://nebraskalegislature.gov/pdf/SurveyDocs/explanation1633541299.pdf
Potential HarmSee above
Regulation Comparison:https://nebraskalegislature.gov/pdf/SurveyDocs/comparison1633541299.pdf
Subject to Regulations of Act(LB407):No
Survey Submitted: October 6, 2021 12:28 PM