March/April 2013 - Florida CPA Today | Volume 29, Number 2 by Florida Institute of CPAs

F L O R I D A

MARCH/APRIL 2013

florida C P A

TODAY

contents MARCH/APRIL 2013

VOLUME 29, NUMBER 2

A P U B L I C AT I O N O F T H E F LO R I DA I N S T I T U T E O F C E R T I F I E D P U B L I C A C C O U N TA N T S

cover story

departments 5

Chair’s message

President’s message

14 News briefs 30 Staff reports

34 Marketplace 36 On the move 38 DOR update

FICPA Congratulates 26 Under 36

features 6

Young CPAs Make Second Visit to Florida Capitol

The Evolution of the CPA Profession Generational approaches

Self-awareness is key concept at Leadership Academy

The CPA Pipeline How Florida colleges and universities supply the accounting profession

Web Digest CPA Licensure Unraveling Florida’s work-experience requirement

FLORIDA CPA TODAY

10 www.ficpa.org

F L O R I D A

PRESIDENT/CEO Deborah L. Curry, CPA, CGMA SR. DIRECTOR OF MARKETING & COMMUNICATIONS Jan Dobson, CAE, IOM EDITOR Suellen D. Wilkins GRAPHIC DESIGNER Loleta K. Bolden PUBLICATIONS COORDINATOR Dianne Dearduff EDITORIAL COMMITTEE Walter C. Copeland, CPA, chair Michael S. Kridel, CPA, vice chair Matthew P. Behnke, CPA • Douglas E. Day, CPA Lynda M. Dennis, CPA • David J. Hochsprung, CPA Troy Y. Manning, CPA • Vicki H. Meyer, CPA William C. Quilliam, CPA, Ph. D. All articles submitted to Florida CPA Today are subject to technical review, Editorial Committee review, space availability and editing requirements and restrictions. Please contact the editor before submitting unsolicited manuscripts. Florida CPA Today publishes letters to the editor in its Members’ Forum. For information about the guidelines, visit www.ficpa.org/letterstoeditor. Statements expressed herein are those of the identified authors and not necessarily those of the Florida Institute of Certified Public Accountants, Inc., nor should statements be considered endorsements of products, procedures or otherwise. The FICPA reserves the right to reject any editorial material or paid advertising that does not meet Florida CPA Today criteria or detracts from its ethical and professional standards. Florida CPA Today is published bimonthly by the Florida Institute of Certified Public Accountants, Inc., P.O. Box 5437, Tallahassee, FL 32314. Telephone: (850) 224-2727 or (800) 342-3197. (Street address: 325 West College Ave., Tallahassee, FL 32301.) Visit our website at www.ficpa.org. This magazine is provided to members of the FICPA. No specific amount of your dues, either expressed or implied, is for this publication. This magazine is not available for purchase by either FICPA members or nonmembers. For display advertising information, contact the FICPA Marketing Department at (850) 224-2727, Ext. 270. © 2013 by the Florida Institute of Certified Public Accountants, Inc. All rights reserved. Reproduction in whole or part is prohibited without the express written consent of the FICPA.

MARCH/APRIL 2013

chair’s M E S S A G E

Those who have the most chargeable hours at death do not win.

nice scuffle broke out at your Board of Governor’s (BOG) strategic planning retreat. Although fists didn’t fly, words did – in a generational clash of work values. Before rumors spread, let me add that this scuffle was on the agenda and part of a very informative panel discussion. Panelists included FICPA members from small firm, large firm, young CPA and industry segments. The young CPA contingent talked about their need and desire to get involved in their professional organization. The large firm contingent argued that billable hours and productivity were top priorities. Therein lies the rub. Or, in this instance, the clash. There’s no doubt that managing partners have the power to allow staff to participate in community and professional activities outside the office, or not. The young professionals honored in our 26 Under 36 cover story have accomplished a lot. Clearly, the heads of their firms know that it’s all part of the same equation: Creating better leaders makes for a better firm or company – one that is positioned for better client service and, ultimately, one that has better succession-planning options. I’ve seen it from both sides. My awareness of tax season started as a child. Back then, Friday-night family dinners were my weekly highlight during tax season. You see, I never saw my CPA Dad, William E. Price, during tax season – except for those Friday-night dinners. That was the norm for the CPA profession at the time. As head of my own firm today, Fridaynight family dinners aren’t the only time I reconnect with my family. Work/life balance is crucial to me, my staff and the success of my company. Sure, I work a ton of hours sometimes, but I schedule work around family, school activities and vacations. CPAs have to find a better way if we are to attract and retain the brightest people for our profession. Those who have the most chargeable hours at death do not win.

FLORIDA CPA TODAY

Scott Price, CPA

The ones who truly win are people like Winston Howell, CPA of Thomas Howell Ferguson, PA. When Winston was FICPA President in 2002, I was a bright-eyed young CPA who didn’t know many members. Winston introduced himself to me and, during the next couple of years he and several other FICPA leaders shepherded me through the FICPA volunteer process. The mentoring I received from those leaders was invaluable. The good news is that many people already are in the CPA career pipeline, and collegeaccounting rolls are swelling. They just need our help to develop leadership skills. It is accounting teachers, supervisors, managing partners and experienced FICPA members who can help young and aspiring CPAs bridge their interest and aptitude with requisite soft skills and polish. Looking for a way to mentor a young CPA or student? Introduce yourself to one at your next FICPA event. If you’re a supervisor, expand a young CPA’s perspective by sending him or her to an in-person CPE conference or networking event. If your firm or company has an internship available, enter it in the FICPA Internship Opportunity Engine database at www.ficpa.org/ OpportunityEngine. This also is the time of year when the FICPA seeks members to serve in a variety of volunteer roles. You can lead by example; volunteer for committee service. Encourage a young CPA to get involved in the FICPA’s Young CPA activities or another volunteer opportunity. Congratulations to all 26 of our 36 outstanding young CPAs on their recognition. Thanks also to their mentors – the people who’ve coached them and allowed them time to participate in community and professional activities outside the office. Keep up the good work!

FCT

www.ficpa.org

Young CPAs Make Second Visit to Florida Capitol

By David J. White, CPA

FICPA Young CPAs. Committee members meet with legislators at the Florida Capitol on Feb. 6. Pictured left to right, Sarah Funk; Rep. Dan Raulerson; Azuree Ashby; Sen. Jack Latvala; Delia Fernandez; Maclain Benton; Ashley Fagan; Patrick Osborn; David Bookhout; Rep. David Richardson; John Kirk; and David White.

or many CPAs, the first week of February is the start of a demanding and volatile tax season. For the FICPA’s Young CPAs (YCPAs) Committee, a recent visit to the Florida Capitol provided a glimpse at how the state’s elected officials and staff prepare for their own busy season – Florida’s annual legislative session. YCPAs Committee members from throughout the state gathered in Tallahassee on Feb. 6 for the second annual Young CPAs at the Capitol event. They learned about the nuts and bolts of the political process, as well as the FICPA Governmental Affairs Team’s goals, and had the honor of meeting several Florida legislators. At the FICPA office, the Committee met with FICPA President/CEO Deborah Curry and Member Connections Manager Debra Kelly to

MARCH/APRIL 2013

discuss ways to engage young CPAs. Afterward, they walked to the Capitol where the FICPA lobbying team, led by Rivers Buford and Justin Thames, provided an overview of Florida’s political process and reviewed recent FICPA legislative accomplishments. Committee members learned of the lengthy and demanding life cycle of even the most undisputed ideas. Highlights of last year’s Capitol visit included an in-depth analysis of the purpose and functions of the Florida CPA Political Action Committee Inc. If that was a glimpse at the political “preseason,” this year’s visit showcased the Legislature’s “playoffs.” The purpose of the Florida CPA/PAC is to support the election of like-minded state officials. The lobbying team works with those officials and their staffs to further the FICPA’s message and interests through legislation. ➡ Pg. 8

president’s M E S S A G E

The Future of Our Profession FICPA focuses on engaging students, young CPAs

ur future leaders...they’re young, they’re dynamic and they’re here – ready and waiting to engage in new and different ways than those in which we traditionally have involved them. So what do we do help the next generation of CPAs make the most of our profession? As I meet with our young members, I often ask, “What do you want from the FICPA? What can we provide that you’re seeking? “ Young CPAs want career guidance, business-networking events combined with social gatherings, and leadership training. They seek to interact with their peers and glean a “take away” from events – something they can use to move up the ladder, creating more value as employees. They want to build their self-esteem and gain the confidence to engage with senior business associates with whom they come in contact. And they want mentors who can shed light on how they’re supposed to do all this while learning to put their education into practice in the real world. Now, how do these wants coincide with what these CPAs really need? And how can the FICPA meet those needs? I think the wants and needs have a lot in common. There’s a need for CPAs entering the first stage of their career to be mentored, so they may gain the skills employers expect them to have. They need help with career planning. Can the FICPA

FLORIDA CPA TODAY

Deborah L. Curry, CGMA

facilitate connecting our members to create a mentoring program? We’re exploring leadership-training programs in the form of workshops held in regional areas and focusing on communication skills, networking techniques and community involvement. These skills benefit employers in so many ways. I often hear that employers would really like to see their younger staff enhance these skills. I truly believe one of the greatest values we could provide is to connect employers and CPAs in the job market. Students are searching for internship opportunities – so, the FICPA developed the Internship Opportunity Engine at www.ficpa.org/opportunityengine. And, when the time is right, we want to expand the Engine to include entrylevel job openings. Stay tuned as the FICPA builds platform to attract and retain young members and creates programs that will deliver the services they need. This will require us to shift our current staffing structure and redirect our talents to critical areas of need.

As I meet with our young members, I often ask, “ What do you want from the FICPA? What can we provide that you’re seeking?“

Our Board of Governors has been very supportive of my vision. I hope you, too, will see the positive direction in which we’re moving, and the opportunities that lie ahead to serve our emerging leaders. The FICPA wants to be their partner in their quest for success! FCT www.ficpa.org

If last year’s event was a glimpse at the political “preseason,” this year’s visit showcased the Legislature’s “playoffs.”

➡ Continued from Pg. 6 This was evident during a discussion with Sen. Jack Latvala, R-Clearwater. In 2012, Senate Bill 1656 (SB 1656), sponsored by Sen. Jack Latvala, R-St. Petersburg, and its House companion Bill 769 (HB 769), sponsored by Rep. Clay Ford, R-Pensacola, unanimously passed their respective chambers. The legislation simplified licensure and renewal requirements set forth in Chapter 473. One of several significant requirement changes related to amnesty and license reactivation.

• Created a one-time amnesty to reactivate a license by allowing CPAs to notify the Board of Accountancy (BOA) of their intention by Dec. 31, 2012, and complete 120 hours of CPE by June 30, 2014. • Amended 473.313(3), F.S., by creating a 75-day window to submit a renewal application, without having to apply for reactivation, for licensees who had completed the required CPE by Dec. 31, but failed to report.

Here is a summary of the new law’s five streamlining actions: • Amended 473.308(4), F.S., to allow CPAs to obtain the one-year work experience licensure requirement through verification by another CPA, versus direct supervision of a CPA (current law). • Streamlined the licensure-by-endorsement requirements, as set forth in 473.308(7), F.S., for CPAs who have held a license in another state for at least 10 years prior to application.

• Provided for a Board of Accountancy (BOA) report to the Legislature on the potential cost savings of privatizing or outsourcing some Board functions. Committee members had the privilege of meeting with two new representatives with whom they had one focal credential in common. Reps. Dan Raulerson of Plant City and David Richardson of Miami Beach both are CPAs. They encouraged Committee members

Reps. Dan Raulerson and Alan Williams meet with Young CPAs Committee members at the Florida Capitol.

MARCH/APRIL 2013

to become engaged in the political process, and to share their thoughts and insight with their elected officials. The representatives agreed their experience as CPAs is a resource when meeting with constituents, and allows them to offer unique perspectives and insight on current legislative matters. Rep. Alan Williams, D-Tallahassee; Sen. Joseph Abruzzo, D-Wellington; and Rep. Halsey Beshears, R-Monticello also spoke with the group. They discussed their motivation for entering politics and their vision for Florida. At the end of the Capitol visit, the YCPAs Committee sat in on the debate of one of the Senate Committee meetings. It was a great opportunity for them to see the legislative process in action. The YCPAs Committee thanks all those at the FICPA who helped make this event possible. The Committee also specifically thanks these people for allowing us to be part of such an enlightening experience: • Sens. Jack Latvala and Joseph Abruzzo • Reps. Dan Raulerson, David Richardson, Alan Williams and Halsey Beshears • Deborah Curry, FICPA President/CEO

FLORIDA CPA TODAY

• Lynn Hepner, FICPA Membership Development Manager and YCPA Committee liaison • Rivers H. Buford III, Director of Governmental Affairs • Justin Thames, Governmental Affairs Manager • Jennifer Green and Melanie Shanks Bostick, President and Vice President of Liberty Partners of Tallahassee, LLC The Committee already has begun planning future Young CPAs at the Capitol events. Our goal is to expand the event to provide more committee members with an even better educational experience. The future of the CPA profession in Florida serves only to be strengthened as more young CPAs learn the mechanics of Florida’s political process and appreciate the value of the FICPA’s efforts to further the profession’s respected reputation. FCT

David White is a senior accountant in the Tallahassee office of Carr, Riggs & Ingram, LLC. He has five years of experience in the firm’s tax department. White earned his bachelor’s of science and master’s of accounting degrees from Florida State University. He is vice chair of the FICPA’s Young CPAs Committee.

www.ficpa.org

The Evolution of the CPA Profession

Generational Approaches By Delia Fernandez, CPA and John Kirk, CPA

hange is inevitable, and the accounting profession has changed a lot in the last few decades. Changes to the structure of the CPA exam; in laws, regulations and professional standards; and in technology have presented particular challenges. We asked CPAs in these generational categories to tell us how these changes have impacted them: • • • •

More than 30 years of experience – the “Thirties” Ten to 30 years of experience – the “Middies” Less than 10 years of experience – the “Newbies” Future CPAs – the “Wannabes”

Overall, each group said change has had a positive effect on the profession. But each generation handles change differently. The Uniform CPA Examination has changed vastly throughout the years. Increased laws and regulations, and various levels of accounting standards, have added to the amount of information evaluated. But the exam format, and the associated study materials and review courses, have become more convenient. The “Thirties” became certified when review-course options were limited. Some took 10-day prep courses right before the test. Others used study guides, or traveled to attend courses because they were given in few locations.

courses and AICPA study guides – but they came with a price. The “Wannabes” will face rising costs for study materials, which will narrow options for some. Some firms offer their own study guides or cover expenses for future CPAs, but others can’t afford to help. Technology has changed dramatically during the past 30 years. Experienced generations remember 10-key adding machines and mechanical calculators that were shared firm-wide. Calculator tapes strewn about the office reflected the amount of work put in for the day. These calculators are smaller and quieter now. “Technology has advanced dramatically since I began practicing,” said “Thirties” member Bonnie Gandy of Law, Redd, Crona & Munroe, PA in Tallahassee. “Computers, software and the Internet have changed the way we do business. From creating, maintaining and accessing client files to research and communication, presentday technology offers streamlined processes and access to almost anything we need.” Accounting software has increased the quality of our work and decreased the time it requires, allowing practitioners to increase their workload. However, clients’ and vendors’ expectations have changed, putting pressure on preparers and reviewers. Some “Thirties” practitioners argue that legal changes have made CPAs more defensive, and more focused on documenting procedures than on the quality of their work.

The “Middies” were slowly but steadily introduced to new technology. Although they still faced some restrictions related to the exam-taking process, they had more study options. Review courses were available in more locations, and computers provided intensive self-study options.

Today’s paperless business environment also has decreased the need for physical storage space. Storage has gone from warehouses and file rooms to servers and hard drives, which has increased mobility. CPAs have swapped thousands of pages of work papers for thumb drives or network connections to tote to onsite visits at clients’ offices.

In 2004, the CPA exam became computer-based. This added convenience, but the “Newbies” had other challenges to face. Laws and regulations seemed to be changing monthly, and the exam was fighting to keep up. This generation had a multitude of prep

But convenience comes with its own set of risks. Network security has become a huge issue for accounting firms, and for many of their clients. Firms store an abundance of confidential, and otherwise sensitive, information on their network servers. Clear policies and

10 MARCH/APRIL 2013

procedures, and proper personnel training, are crucial to preventing network breaches. Jim Parker, also of Law, Redd, Crona & Munroe, PA in Tallahassee, is technically a “Newbie.” He began working in public accounting 10 years ago and left for eight years, only to return to the irresistible career. “Coming back was almost like starting over,” he said. “My previous experience was mostly with paper files, and now everything is electronic.” In the early years, CPAs weren’t required to complete CPE. But because accounting standards now are subject to change annually, CPE is required for licensure. It first was introduced in the form of classroom study. Today, practitioners receive e-mail from multiple organizations offering CPE through webinars, self-study, conferences and other formats. “I think the trend toward electronic resources has been positive,” Parker said. “Information is at everyone’s fingertips.” Although Gandy agrees, she’s concerned that practitioners are missing out on valuable networking opportunities that face-to-face CPE provides.

FLORIDA CPA TODAY

“Online and electronic resources have reduced the networking function that’s traditionally been a part of CPE,” she said. “By attending some events in person, we gain the benefits of interacting with colleagues and sharing professional perspectives on new developments and issues.” The profession has changed in so many ways, but to all generations it seems to be heading in a positive direction. The CPA exam, technology and laws all will continue to evolve as we continue to remind future CPAs of past challenges. FCT Delia Fernandez is a senior auditor at Law, Redd, Crona & Munroe, PA in Tallahassee. She has more six years of experience providing clients from various industries with audit and consulting services. Fernandez earned her bachelor’s degrees in accounting and finance and her master’s of accountancy at Florida State University. She serves on the FICPA’s Young CPAs and FSU Accounting Conference committees. John Kirk joined Thomson Brock Luger & Company in March 2008 as an intern. He earned his bachelor’s degrees in accounting and finance at Florida State University in 2009 and, after graduating, was offered a staff accountant position at his firm. He works on various tax and audit engagements. Kirk is a member of the AICPA and serves on the FICPA’s Young CPAs and Accounting & Auditing committees.

www.ficpa.org

Since its inception in 2009, three FICPA members have attended the AICPA Leadership Academy. FICPA graduates Allison Harrell and Kirsten Burbridge also are among the FICPA 26 Under 36 (see the related article on page 20). “After attending the 2010 Leadership Academy, I was fueled with ambition and excited about new opportunities I wanted to create for myself,” Burbridge said. “I became involved with the FICPA’s young CPAs at the state and local levels. The experience has given me great insight, not only into the FICPA, but into the profession.” “The 2009 AICPA Leadership Academy provided me with great training and opportunities to help advance the profession,” Harrell said. “I’ve chaired the steering committee for the AICPA E.D.G.E. conference, which helps CPAs with five to 10 years’ of experience advance their careers. I’ve also helped build a professionaldevelopment program at my firm.”

Self-awareness is Key Concept at Leadership Academy By Rudy Mayoz, CPA

The graduating class of the AICPA 2012 Leadership Academy included 34 young CPAs from 29 states. Rudy Mayoz (third row, third from left) and other participants networked with AICPA President and CEO Barry Melancon (second row, far left) and Past Board Chair Gregory Anton (second row, far right).

he AICPA held its fourth annual Leadership Academy in Durham, N.C. in October 2012. The graduating class included 34 promising young CPAs from 29 states. As a member of the class, I had the unique opportunity to experience the Academy first hand. The Leadership Academy is a phenomenal program. For me, it’s been a game changer. I’ve implemented what I learned and have experienced success and fulfillment in areas that once were void. I highly encourage all young CPAs seeking leadership roles to apply. The intensive, four-day program engages young CPAs in self-examination of leadership and how it impacts their personal lives, career paths and the CPA profession. Throughout the program, participants and the profession’s leaders discussed issues the profession faces and the direction we must

12 MARCH/APRIL 2013

take to remain a dynamic, active participant in the global marketplace.

Academy emphasizes strengthbased leadership One of the most valuable things I learned is that becoming a great leader requires a strong self-awareness, or understanding our strengths and weaknesses. Participants took a strengthbased leadership exam that placed our leadership strengths in four possible domains: executing, influencing, relationship building and strategic thinking. My strengths were in influencing and relationship building. These domains were broken down into strength themes, which we analyzed. The final step involved describing scenarios where we used our strengths in excess, then brainstorming ways to dial down that intensity. The importance is that without self-awareness, leadership strengths can become weak-

nesses. Successful leaders must learn to manage themselves.

Participants enjoy networking opportunities The best part of the Leadership Academy was meeting and working with young CPAs from throughout the country. We shared our views on current and future challenges our profession faces and discussed how we can turn them into high leveraging opportunities. Academy participants met and talked with AICPA leaders, including President and CEO Barry Melancon; Past Board Chair Gregory Anton; and Vice President of Media and Communications Janice Maiman. I spoke with Maiman about my passion for financial literacy and about LifeSavers, a financial literacy program conducted at Essrig Elementary in Tampa. Maiman suggested that I look into the National CPA Financial Literacy Commission, and I’ve since been admitted to the Commission. The idea of meeting Melancon and Anton was daunting at first. They’ve been around the block a few times – had their hands in a few pronouncements. But the moment I met them, my insecurities abated. Within minutes, Anton and I were swapping fishing stories and showing off our fish pictures. Melancon chimed in with a story about the first time he went Bullfrog hunting in the Louisiana bayous. His story is hilarious. I’m not going to ruin it. If you meet him, ask him about it. Melancon and Anton are down to earth, but they’re leaders for a reason. When they discussed where the profession is today and what the future looks like, everyone paid attention. I’m still impressed with their insight. FLORIDA CPA TODAY

Thought leaders present educational curriculum Leadership Academy thought leaders were Tom Hood, CEO of the Maryland Association of CPAs, and Gretchen Pisano, owner of Sounding Board Ink, LLC a professional coaching practice. They presented on two cutting-edge topics: i2a (Insights to Action) Strategic Thinking System and PERMA.

• i2a

The i2a system is a sequence of disciplined thinking exercises. Drawing on verbal and visual communication tools, it’s a framework for strategically thinking through an idea from inception to completion.

• PERMA

The Theory of Well-Being is a relatively new concept that Martin Seligman developed in the area positive psychology. Well-being occurs when people wisely invest themselves across PERMA – positive emotion; engagement; relationships with others; meaning and purpose; and achievement. The Theory of Well-Being is a paradigm shift from the concept of work-life balance. FCT

Rudy A. Mayoz joined Baumann, Raymondo & Company in February 2009. He earned his bachelor’s in accounting at the University of South Florida and is an AICPA member. He volunteers with Junior Achievement and participates in the Life Savers Program, introducing money management concepts to fifth graders at Essrig Elementary. For information about the AICPA Leadership Academy, visit www. aicpa.org/leadershipacademy. www.ficpa.org

NEWS

briefs

FICPA makes recommendations on tax ID theft, refund fraud At the request of Congressman Vern Buchanan of the House Ways and Means Committee, the FICPA Federal Taxation Committee has submitted recommendations and concepts to help address Florida’s tax identity theft and refund fraud epidemic. Currently, Florida has the highest rate in the nation. During the past few months, the Federal Taxation Committee and the Institute’s Governmental Affairs staff have worked with Congressman Buchanan and his staff in preparation for a legislative initiative during the upcoming 113th Congress. As new developments on this important subject arise, the FICPA and its Federal Taxation Committee will share them with members. FCT To read the Federal Taxation Committee’s letter to Congressman Buchanan, visit www.ficpa.org/idtheft.

Share FICPA identity-theft video with clients The FICPA has produced a public-service video, Income Tax Refund Theft: Prevention & Response Tips from CPAs. The video features commentary from an identity-theft victim and tips from FICPA members Gray Fracassi and Edward Quigley. The goals are to provide the public with a practical guide to tax-identity theft and to reinforce the role of Florida CPAs as trusted advisors.

The FICPA encourages members to share the video with clients, family and friends. We also invite FICPA member-firms and companies to feature a link to this timely video on their websites. To view the video, visit www.youtube.com/user/ FICPAFL. To learn how to embed the video into your website, visit support.google. com/youtube/bin/answer. py?hl=en&answer=171780. FCT

Are we missing anything? So the FICPA can best serve you, please take a moment to confirm that the information in your Member Profile is current. Have any of these changed since you became a member? • Home/business address • Phone numbers • Email address • Preferred FICPA chapter • Certifications/ accreditations • Position • Fields of interest • Membership organizations • Social media profiles Access your Member Profile at www.ficpa.org. From the Members tab, choose My Account and select Personal Profile Update or Professional Profile Update. FCT

14 MARCH/APRIL 2013

From FICPA staff reports

FICPA Board of Governors plans for upcoming fiscal year

Platau wins writing excellence award

The FICPA Board of Governors (BOG) met in St. Petersburg Jan. 31-Feb. 2 for its annual strategy-planning session. The BOG reviewed a Membership Program Matrix, which identified the programs and services provided, and ranked them in order of priority based on member benefit, resource requirements and relevancy to the FICPA mission statement. The FICPA will be realigning its resources and focusing on the high-priority items.

The FICPA Editorial Committee has named Steven M. Platau, JD, CPA, ABV as the winner of the 2012 Writing Excellence Award. Platau received the annual honor for his article, “Simple? Maybe not. Use Caution With Requests for Third Party Communications,” which was published in the May/June 2012 issue of Florida CPA Today. To read the awardwinning article, visit www.ficpa. org/platau.

The retreat also included a panel made up of FICPA members from the small firm, large firm, young CPA and industry segments. The goal was to get feedback about the services the FICPA provides these groups, and how we can better serve them. The BOG also reviewed the 2012-13 Strategic Plan and began identifying 2013-14 Strategic Initiatives. FCT

Platau has been a member of the faculty at the University of Tampa since 1984, where he teaches taxation and accounting courses. For more than 20 years, his research and consulting focus has been professional liability of CPAs. FCT

Steven M. Platau, JD, CPA, ABV

Drive success: serve on an FICPA committee or section

The Broward County Post Busy-season Social already is in the planning stages. The Atlantic County YCPAs, led by YCPA Committee member Racquel McIntosh, brought more than 25 people out to social events in January to build their leadership team. FCT

Drive the future of the profession and your association by serving on an FICPA committee, conference-planning committee or section. You’ll have opportunities to network with fellow professionals throughout the state on projects that increase members’ technical knowledge; influence legislation; define the role of a CPA in local, national and global economies; and promote a favorable image of the profession to the public.

When attending YCPA events, please remember to take photos and/or videos and send them to Suellen Wilkins, Florida CPA Today editor, at wilkinss@ficpa.org.

To get involved, submit a committee request form with your top three service choices by April 26. For more information, visit www. ficpa.org/committees

Young CPAs host successful networking events The FICPA’s Young CPAs (YCPAs) recently have put on several well-attended and effective events. YCPA Committee member Sarah Funk has been instrumental in developing a South Florida leadership team responsible for monthly meetings, as well as social events for YCPAs and other young professionals. More than 35 people attended their recent Bowling Extravaganza in Davie, and joint after-hours events have brought out more than 50 young professionals. FLORIDA CPA TODAY

or contact FICPA Member Connections Manager Debra Kelly at (800) 3423197, Ext. 431 (in Florida); (850) 224-2727, Ext. 431; or kellyd@ficpa.org. FCT

www.ficpa.org

The CPA Pipeline

How Florida colleges and universities supply the accounting profession By Brenda Hubbard, director of academic relations & student initiatives

n fall 2012, Florida had about 8,200 fourth- and fifth-year

information comes from individual candidates, the state boards

accounting students, based on data the academic institutions

of accountancy and the AICPA. Here are interesting findings that

reported to the FICPA Educational Foundation. Public universities

illustrate Florida students and academic institutions from the 2012

are the major supplier of accounting graduates to the profession

Uniform CPA Examination Candidate Performance. Although NASBA

with around 6,400 – or 78 percent – which is higher than the national

made reasonable efforts to ensure accurate and current information,

average of 66 percent. Florida also has 80 Ph.D. students.

the data is for information only and is not represented to be errorfree. Also, data are reported only for institutions with five or more

Florida is home to several schools with “jumbo” accounting

exam candidates.

programs, such as Florida Atlantic University (more than 1,400), the University of Central Florida (more than 1,000) and Florida State

Overall Performance

University (more than 700). The University of South Florida, Florida International University, Nova Southeastern University and the University of Florida aren’t far behind in current enrollments.

Total Sections

Last year, Florida graduated 3,775 students in accounting: 2,575 bachelor’s; 1,075 master’s/Ph.D.s; and 125 MBAs. Of those, 794 –21% – passed their fourth section of the exam. The Florida Board of Accountancy licensed 1,208 CPAs in 2012, and not all of them were students. What happened to the remaining 79 percent of graduates? Some began their fifth year or masters’ program, but many entered the workforce.

CPA exam performance data in Florida

All Jurisdictions

Florida

Unique Candidates

92,839

2,754

New Candidates

40,963

1,268

245,193

6,833

26,152

794

2.64

2.48

48.9%

54.9%

71.7

74.1

Passing 4th Section Sections per Candidate Pass Rate Average Score

Figure 1: Overall CPA Exam Performance Florida exceeds the national average on the passing rate and average score. Also, Florida candidates take slightly less sections, meaning the first-time pass rate is higher. Public universities in Florida hold the top nine spots (86 percent) for the number of students sitting for the CPA exam in 2012. As

Since 1985, the National Association of State Boards of Accountancy

expected, CPA firms in public practice recruit more students at the

(NASBA) has compiled and published data on the CPA exam. This

top five institutions.

16 MARCH/APRIL 2013

“Florida is sixth in the U.S. by average exam score.”

Rank Institution

Candidates No. of 4th Total & 5th Year

Florida is ninth in the U.S. by average pass rate. This figure lists the institutions with the highest exam pass rates, counted for each time a student passes a section of the exam for the first time. The average

University of Florida

200

419

Florida State University

110

793

Florida International University

681

University of Central Florida

1,022

University of South Florida

508

University of Miami

196

Florida Atlantic University

1,414

University of Tampa

164

college would love to have. Their rate partially is explained by the

University of North Florida

229

fact that only six exam candidates have an average age of 39.

Nova Southeastern University

766

Figure 2: Top Ten Florida Institutions by Number of CPA Exam Candidates

pass rate in Florida ranged from 12.5 percent to 86.7 percent, with an average of 54.9 percent. Schools with larger accounting programs are expected to produce a larger number of successful candidates. By looking at the pass rates, one can see that smaller programs also are producing successful candidates. Rollins College has an exceptional pass rate that every

Rank Institution

Sections Total

Average Score

Rollins College

83.1

“At FSU, we strongly encourage all accounting majors to become

University of Florida

495

81.0

licensed CPAs, and most do,” said Bud Fennema, Florida State

University of West Florida

80.6

University accounting department chair and a member of the Florida

Stetson University

79.9

Board of Accountancy. “To me, being a CPA is the natural culmination

University of Miami

190

78.8

Florida State University

216

77.3

Florida Atlantic University

111

76.3

Florida Gulf Coast University

74.9

University of South Florida

154

74.9

Jacksonville University

74.7

of their book education. It also opens the door to the job that will begin their accounting practice education.”

Rank Institution

Candidates Percent Total Pass

Rollins College

86.7

University of West Florida

81.1

University of Florida

200

78.0

Stetson University

77.8

University of Miami

70.0

Florida State University

110

67.1

Florida Atlantic University

65.8

University of South Florida

57.1

Jacksonville University

55.6

Florida Gulf Coast University

54.2

Figure 3: Top Ten Institutions by CPA Exam Pass Rates – First Time FLORIDA CPA TODAY

Figure 4: Top Ten Institutions by CPA Exam Average Score Florida is sixth in the U.S. by average exam score. Given the number of exam candidates and sections taken, the larger universities are doing very well in preparing their students to take the exam. The average score in Florida ranged from 55.7 to 83.1 with an average of 74.1.

The demand for accountants The accounting profession continues to offer solid employment and jobs for students. The demand for accountants and CPAs

➡

www.ficpa.org

is increasing in Florida and throughout

shortage

the nation. The U.S. Department of

professors.

academically

qualified

Labor (DOL) predicts that employment of accountants and auditors is expected to

Florida still faces a pending shortage

grow by 16 percent between 2010 and

of accounting faculty. Within the next

2020. This is about as fast as the average

several years, accounting faculty will

for all occupations.

retire at a rate faster than they are being replaced.

The DOL attributes the increased focus on accounting to corporate scandals

“The average age for tenured, full-time

and recent financial crises. Stricter

faculty is 58,” said James Hasselback,

laws and regulations; an increase in the

Eminent Scholar at the University of

demand for audits; and the continued

West Florida. “Of those, 47.5 percent are

supplier of

globalization of business has led to more

60 and older, and the average age of a

demand for accounting expertise and

person retiring or leaving teaching is 64.”

accounting

services. Accountants and auditors who have earned professional recognition,

We need to encourage practitioners

graduates to the

especially as CPAs, will have the best

to return to the classroom as full-time,

employment prospects.

non-tenure track faculty and share their

“Public universities are the major

profession with

wealth of knowledge and experience According to EmployFlorida.com, the

of the business of accounting with our

number of accountants employed in

students. Recently published faculty

78 percent – which

Florida is projected to grow an average of

guidance from the AACSB support the

2.4 percent between 2011 and 2019. This

use of a broader range of faculty with

is higher than the

is faster than the 1.6 percent growth rate

different skill sets such as practitioners.

around 6,400 – or

national average of 66 percent. Florida also has 80 Ph.D. students.”

for all occupations in Florida.

Recommendations Faculty and capacity

A goal of the FICPA’s Relations with

Capacity constraints continue to be

Accounting Educators Committee is to

a concern in accounting programs.

provide FICPA educator members with

According to the 2011 Trends in the

access to valuable tools and career

Supply of Accounting Graduates and the

guidance to support Florida student

Demand for Public Accounting Recruits,

success, such as:

a biennial survey published by the AICPA, 13 percent of business programs accredited by the Association to Advance

into the classroom.

Collegiate Schools of Business (AACSB)

• Promote firms and businesses

each rejected 165 qualified students

in Florida as viable employers

on average. This increase most likely

of students.

is caused by the economic conditions currently facing universities and the 18 MARCH/APRIL 2013

• Bring the practice of accounting

• Be a role model for the CPA profession.

• Act local as an essential link in the supply chain (educators to students to professionals in Florida). • Provide

opportunities

for active participation and networking among educators and practitioners. To increase the number of CPAs in the pipeline, we all need to more actively promote the CPA brand. Students must better understand the value of the designation and the respect, trust and career advancement it brings. We can: • Provide

student

internships

in your firm or business, and

Access Florida CPA Today Archives Online For your convenience, Florida CPA Today articles from 1997-present are posted on the FICPA’s website at www. ficpa.org/Content/Members/Tools/Publications/FCT/ Archives.aspx. The archives provide a variety of previously published information, including technical articles written by member CPAs, legislative updates, DOR and IRS updates and much more.

promote them to students using the FICPA’s new Internship Opportunity Engine. • Encourage students to join the FICPA as student members (FREE) and learn more about the CPA profession. • Conduct a student event or invite students to a special meeting at your local FICPA chapter. • Encourage younger CPAs to interact and network with college students.

FCT

For more information about college outreach, contact Brenda Hubbard at (800) 342-3197, Ext. 419 (in Florida); (850) 224-2727; or hubbardb@ficpa.org. To read an expanded version of this article, visit www.ficpa.org/Content/ Members/Tools/Publications/FCT/ Technical.aspx

FLORIDA CPA TODAY

www.ficpa.org

COVER

story

FICPA Congratulates

The FICPA is pleased to announce the honorees of its 26 Under 36 campaign – the Institute’s initiative to recognize FICPA members younger than 36 who have made notable accomplishments to our organization, the CPA profession and their communities. “We congratulate the honorees on being selected as the best and brightest young members of the FICPA,” said FICPA President/CEO Deborah Curry, CPA, CGMA. “We applaud their accomplishments and truly appreciate their service to the FICPA and to the profession.”

Adrian Alfonso, CPA Perez-Abreu, Aguerrebere, Sueiro, Torres, PL Coral Gables Adrian Alfonso became a partner of tax and accounting services at Perez-Abreu, Aguerrebere, Sueiro and Torres in January 2013. He has more than a decade of experience providing tax, accounting and business-consulting services to clients ranging from small to large corporations; high net-worth individuals; and family-owned corporate and partnership entities. Alfonso earned his executive master of science in tax degree at Florida International University. He is a member and past president of the Cuban American Certified Public Accountants Association. Through this involvement, he has coordinated numerous fundraising efforts that have benefited accounting students in the form of scholarships.

Kristin Bivona, CPA, CFA GellerRagans CPAs|Advisors Orlando Kristin Bivona is a partner with GellerRagans Certified Public Accountants | Advisors. She earned her accounting degree and master’s in business administration at the University of Central Florida. Her primary practice areas include accounting, auditing and taxation of large and small engagements. Bivona has been an FICPA Central Florida Chapter Board member since 2009 and currently is the Chapter’s chair-elect. She also has served as secretary and chair of the Young CPAs Committee. She volunteers with several philanthropic organizations, including the United Way, the March of Dimes and Central Florida Weimaraner Rescue.

Amanda Bonifay, CPA K. Maclain Benton, CPA Florida State University Tallahassee Maclain Benton graduated from Florida State University (FSU) and began her career with KPMG LLP in State & Local Government advisory services. She currently works as the business manager for FSU Housing. She oversees the finance, accounting and budget functions for a $40M operation that provides housing for more than 7,000 FSU students. Benton has been a member of the AICPA and the Association of Governmental Accountants. She has been a member of the FICPA Young CPAs Committee for four years and has served as the committee’s chair and vice chair. She also is currently serving her second term on the FICPA Nominations Committee.

20 MARCH/APRIL 2013

Goldstein Schechter Koch Coral Gables Amanda Bonifay, a senior audit manager at Goldstein Schechter Koch, has more than 10 years’ experience in public accounting and private business. She graduated from Georgia State University with a master’s of professional accountancy. Bonifay is a past secretary and the current treasurer of the FICPA’s Miami-Downtown Chapter. Through Goldstein Schechter Koch’s Recruitment and Staff Development Committee, Bonifay speaks to local students about the profession, presents at local college campuses and attends career fairs. She is a Board member of the Coral Gables Community Foundation and the founder and chair of the Foundation’s Ponce Society of Young Professionals.

Michael Borkowski, CPA, CFE, CIRA Ahearn Jasco + Company, PA Pompano Beach Michael Borkowski is a supervisor with Ahearn Jasco + Company. He offers a range of litigation-support services and advises individuals and businesses on federal and state issues. In 2012, Borkowski presented Bankruptcy 101 For The Traditional Practioner at the FICPA’s 2012 Mega CPE Conference. He also co-authored an article issued at the 12th Annual Southeast Bankruptcy Workshop, “Fraud in the Marketplace – Further Insight on Ponzi Schemes and Securities Fraud.” Borkowski serves on the Greater Pompano Beach Chamber of Commerce’s Board of Directors and Executive Committee, and also serves as the organization’s CPA and financial advisor.

FLORIDA CPA TODAY

Kirsten Burbridge, CPA PricewaterhouseCoopers, LLP Orlando Kirsten Burbridge is a senior associate with PricewaterhouseCoopers LLP’s assurance practice. She works with a variety of clients on public and privatecompany audits. Her main focus is in the entertainment and real estate industries. Burbridge is a member of the FICPA’s Young CPAs (YCPAs) Committee and serves as chair of the Central Florida Chapter’s YCPAs Committee. She is a member of the AICPA’s State Society Outreach Committee and a graduate of the 2010 AICPA Leadership Academy. She coordinates the PwC Orlando Junior Achievement Bowl-a-thon and Junior Achievement (JA) in a Day volunteers. She also helps plan and execute the PwC Orlando Boys & Girls Club Holiday Celebration. She is a member of the Finance Committee of a local parochial school. ➡

www.ficpa.org

COVER

story Bethany Carr, CPA

Jeannine Busch, CPA, CFE Carr, Riggs & Ingram, LLC Tallahassee Jeannine Busch earned her bachelor’s degree in accounting and finance at Florida State University and her master’s in business administration, with a concentration in forensic accounting, at the University of South Florida. She is an audit manager in the Tallahassee office of Carr, Riggs & Ingram, LLC. Busch is an active member of the FICPA’s Tallahassee Chapter and serves as vice president of training for the Tallahassee Chapter of the American Certified Fraud Examiners. She conducts seminars on fraud prevention for various community and trade associations. She is involved in numerous charitable organizations and has participated in the Entrepreneurship Boot Camp for Veterans with Disabilities, which educates veterans about accounting procedures and policies necessary to operate small businesses.

22 MARCH/APRIL 2013

Cavanaugh & Co., LLP Sarasota In 2010, Bethany Carr joined Cavanaugh & Co, LLP as a manager. She serves audit and tax clients and has helped develop her firm’s business-valuation service area. Carr recently passed the exam to receive her ABV designation and currently is obtaining the related experience requirements. In 2008, she was named one of CPA Technology Advisor’s 40 Under 40. Carr serves on numerous FICPA committees and sections, including the Young CPAs Committee and the Valuation, Forensic Accounting and Litigation Services Section. She also is the youngest female member of the FICPA Board of Governors’ Executive Committee and a member-at-large of the AICPA Governing Council. Carr is an active member of the Leadership Sarasota County Alumni. She speaks at education sessions on tax planning and issues for several community groups. She is treasurer of the Rotary Club of Sarasota Bay and a director of the Club’s Foundation.

Jason Chorlins, CPA, CFE, CAMS, CITP, FCPA Kaufman & Rossin Miami As a forensic and regulatory compliance services accountant with Kaufman and Rossin, Chorlins participates in IT audits. He has been involved in antimoney laundering and Bank Secrecy Act consulting engagements. He also has helped conduct investigations of mortgage fraud, embezzlement, asset misappropriation and money laundering. He has participated in U.S. GAAP audits of financial statements for companies in various industries. Chorlins currently serves as vice president of the FICPA Educational Foundation Board of Trustees and as chair of the FICPA’s Miami-Dade Chapter. Chorlins is involved in Communities in Schools and the Helping Young Professionals Engage Committee of the Greater Miami Chamber of Commerce. He also is a member of the Florida International Bankers Association Young Professionals Committee.

Ashley Maher Fagan, CPA KPMG, LLP Fort Lauderdale Ashley Maher Fagan is a tax senior manager in the Fort Lauderdale office of KPMG, LLP. Her experience includes serving clients in a multitude of industries including manufacturing, distribution and consumer markets. Fagan earned her accounting and master’s in taxation degrees at the University of Central Florida. Fagan is chair of the FICPA YCPAs Committee. She also serves as a director of the Broward County Young CPAs group, which she co-founded in 2011. She is a member of Leadership Broward Foundation, the Fort Lauderdale Chamber of Commerce and the South Florida Chapter of KPMG’s Network of Women (KNOW), a diversity network geared toward enhancing the involvement of women inside and outside KPMG. ➡

Julian Dozier, CPA, CFF, CFE Thomas Howell Ferguson P.A. Tallahassee Julian Dozier is an audit manager with Thomas Howell Ferguson, PA. His experience includes auditing, consulting and providing forensic accounting services to various industries. He is the lead manager in the firm’s Litigation Services Group. Dozier is an FICPA student-outreach speaker and serves on the Institute’s Accounting Principles and Auditing Standards Committee; Accounting & Auditing Section; Florida Industry Section; and Valuation, Forensic Accounting & Litigation Services Section. He is a member of the AICPA’s Forensic & Valuation Services Section. Dozier is involved with several philanthropic organizations and serves on the Advisory Council of Access Tallahassee, which helps young professionals become part of the business community.

FLORIDA CPA TODAY

www.ficpa.org

COVER

Allison Harrell, CPA

Chris Farmand, CPA, CITP Chris Farmand + Company Jacksonville Chris Farmand has 10 years’ experience in public accounting and owns Chris Farmand + Company. He earned his accounting degree at the University of Florida and his master’s in business administration at the University of North Florida. He is positioning his firm as experts in the craft brewery industry. Farmand maintains a blog, www.apr16.com, where he discusses traditional and nontraditional accounting topics. His goal is to dispel the image of the traditional CPA. He also serves on the AICPA’s PCPS committee and teaches the AICPA course Trusted Business Advisor 2.0. Farmand is treasurer of the Ramallah American Club and serves on the boards of Discovery Montessori School and Party, Benefit & Jam (PB&J), an organization that raises money for local nonprofits by hosting unique parties.

Sarah Funk, CPA Trilogy International Partners, LLC Fort Lauderdale Sarah Funk is an accounting director with Trilogy International Partners, LLC. Her experience includes finance and accounting oversight of two subsidiaries, including budgeting, cashflow management, financial reporting and analysis. She has also led initiatives in software-implementation projects, Haiti earthquake-rebuilding projects, analyzing trends to improve business operations and internal audit. Funk is a member of the FICPA YCPAs Committee and a director of the Broward County Young CPAs group, which she co-founded and chaired in 2011. She serves as the Broward County CPE Chapter Liaison. She also serves on the Board of Directors for the Risk Management Association (RMA) Young Professional’s South Florida Chapter and as treasurer for Voila Foundation, which works to develop Haiti.

24 MARCH/APRIL 2013

Thomas Howell Ferguson P.A. Tallahassee Allison Harrell is an audit director with Thomas Howell Ferguson, PA. With more than nine years of experience in public accounting, specifically auditing governmental and not-for-profit entities, she oversees the firm’s Not-for-Profit/ Governmental Industry Group. In 2009, CPA Practice Advisor recognized her as one of its 40 Under 40. Harrell serves on the FICPA Nominations Committee, Mega CPE Conference Committee and State and Local Government Section. She is a graduate of the AICPA’s Inaugural Leadership Academy and is serving her third year as steering committee chairperson of the AICPA E.D.G.E. conference. Harrell is immediate past chair of the Board of Directors of 2-1-1 Big Bend, a member of Access Tallahassee and a graduate of Leadership Tallahassee, Class 27.

Dena Harrison, CPA Protiviti Orlando Dena Harrison is a senior consultant at Protiviti. She has three years of public accounting experience providing financial statement audit and audit of internal control services for publicly and privately held clients. Harrison has provided professional audit services to several large corporations in accordance with PCAOB requirements and U.S. GAAP. She is proficient in Sarbanes-Oxley and 404 Financial Statement Audits, including Audit of Internal Control and SEC filings. Her primary experience is in the restaurant industry. Harrison earned her bachelor’s and master of accountancy degrees at the University of Mississippi in 2007 and 2008, respectively. She serves as the newsletter and website chair on the FICPA’s Central Florida Chapter Board of Directors and is a member of the FICPA Young CPAs Committee.

Jennie Muniz, CPA Dixon Hughes Goodman, LLP Jacksonville Jennie Muniz is an audit manager with Dixon Hughes Goodman LLP (DHG) and is a key part of the growth in the firm’s Jacksonville office. She is chair of the FICPA’s Jacksonville Chapter. Muniz also is the regional financial advisor for 19 colleges and universities in Florida, Georgia, South Carolina and Alabama for her sorority. She is significantly involved in the Jacksonville community, leading DHG’s Jacksonville United Way campaign and Women’s Leadership Initiative while serving on the United Way’s resource management team. She was selected to the Stein Fellow Class of 2012-2013. This program pairs its members with community leaders for a year. In turn, selected members mentor at-risk sixth-grade students for a school year.

Monica Ospina, CPA, CFF, ABV Cherry Bekaert LLP Tampa Monica Ospina is a senior manager in the Litigation Support Services Practice of Cherry Bekaert LLP. She has more than eight years’ experience providing forensic accounting and litigation support services and has been qualified by Civil Court as an expert in the area of accounting. She earned her bachelor’s degree in accounting from The University of Tampa and her master of accountancy from the University of South Florida. Ospina has served on the FICPA’s Young CPAs Committee for four years and is a member of its Valuation, Forensic Accounting & Litigation Services Section. She was an adjunct professor of Fraud Examination at Florida Atlantic University and is involved with her local Chamber of Commerce. She also has worked with Key for Colombia, a charitable organization that helps children in need in the poorest areas of Colombia, South America. ➡

Patrick Erin Murphy United States House of Representatives Jupiter Murphy is the U.S. Representative for Florida’s 18th district, serving Martin, St. Lucie, and northern Palm Beach counties. As a former CPA at Deloitte & Touche, he continually stresses the need for more CPAs in Congress. Murphy has spoken to several FICPA chapters and recently joined the Congressional CPA and Accountants Caucus. Before becoming a member of the 113th Congress, Murphy served as vice president of Coastal Environmental Services at Coastal Construction Group, playing a key role in the company’s diversification and growth. He graduated sixth in his class from the University of Miami with dual majors in finance and accounting.

FLORIDA CPA TODAY

www.ficpa.org

COVER

Hema Rupnarain, CPA

Joshua Rader, CPA, CFE, CFA Appelrouth Farah & Co., PA Coral Gables Joshua Rader, the audit manager for Appelrouth Farah & Co., oversees the firm’s audit department and SEC Department. Rader earned his bachelor’s in communications from the University of Miami in 2003 and his master’s in accounting from Nova Southeastern University in 2005. Rader is an FICPA student-outreach speaker and serves on the Institute’s Accounting and Auditing Section and CIRA Section. He holds several volunteer positions with the Alper Jewish Community Center and is a member of the Financial Oversight Committee of the Greater Miami Jewish Federation.

26 MARCH/APRIL 2013

Hema Rupnarain CPA PA Ocala Hema Rupnarain earned her bachelor’s in accounting and business administration from Flagler College and her masters of accountancy at the University of North Florida in 2005. She operates her own firm with two offices in Ocala and has more than 600 clients including individuals, small businesses, non-profits, estates and trusts. She also is a licensed real estate agent. Rupnarain has been named one of CPA Technology Advisor’s 40 Under 40; was one of Ocala Magazine’s 40 Under 40; and was among six women to receive the AICPA’s first Women to Watch Award. Rupnarain is secretary of the FICPA’s the Mid-Florida Chapter and an active volunteer with Junior Achievement. She serves as treasurer on the Board of Regents for the Emerging Leaders of Ocala, a sub-organization of the Ocala Chamber of Commerce, and is a member of the Lake Weir Chamber of Commerce. She also is a member of the City of Ocala’s East Ocala Community Redevelopment Areas Advisory Committee.

Eric Santa Maria, CPA/ABV Paul A. Garcia, PA Coral Gables Eric Santa Maria is a director at Paul A. Garcia, PA. In public practice since 2003, his responsibilities include leading the firm’s tax, accounting and businessvaluation practices. Eric uses his technical tax knowledge and professional experience to provide his clients with a full range of tax-compliance, consulting, accounting and businessvaluation services. Eric earned his bachelor’s in accounting and master’s of science in taxation at Florida International University (FIU) in 2001 and 2003, respectively. He has served on the FICPA Accounting Careers Committee; AICPA Federal Taxation Committee; FIU School of Accounting Alumni Council Board; and Cuban American CPA Association Board. Eric also is involved in the Coral Gables Chamber of Commerce.

Cheri Swain Carr, Riggs & Ingram, LLC Winter Park Cheri Swain is an manager with Carr, Riggs & Ingram, LLC. She has been with the firm for eight years, specializing in accounting and auditing services to non-profits and educational industries. She earned her accounting degree and master’s in business administrations at the University of Central Florida. Swain is a member, and past chair and vice chair, of the FICPA Young CPAs Committee and serves as one of the Institute’s student outreach speakers. She also helped organize the Orlando area’s Young CPAs Committee and chairs the FICPA’s Central Florida Accounting Careers Committee. ➡

Brian Schlang, CPA Morrison, Brown, Argiz & Farra, LLC Fort Lauderdale Brian Schlang is the youngest manager in the tax and accounting department at the Fort Lauderdale office of Morrison, Brown, Argiz & Farra, LLC. Schlang earned his bachelor’s and master’s of accounting at the University of Florida and completed all four parts of the CPA exam on his first attempt. He has experience in many industries including, but not limited to, automotive dealerships, healthcare, high net worth individuals, professional service firms, real estate, technology and Internet. Schlang currently is mentoring three employees at his firm: a staff member, a semi-senior and a senior. Schlang is chair-elect of the FICPA Broward Chapter Board of Directors. He also is a member of the Broward Chapter of the National Planned Giving Council.

FLORIDA CPA TODAY

www.ficpa.org

COVER

Adam Watson, CPA

Octavio “Tab” Verdeja, CPA, CFF Verdeja & De Armas, LLP Coral Gables Octavio “Tab” Verdeja became audit partner of Verdeja & De Armas, LLP in April 2012. His grandfather started the firm in 1971 and his father is the managing partner. As a third-generation partner, Verdeja specializes in nonprofits, the education field and pension-plan audits. He has 10 years of accounting, tax, and consulting experience. He earned his bachelor’s and master’s degrees in accounting at Florida International University (FIU). Verdeja speaks at his firm’s Annual CPE Seminar, typically about updates to the non-profit industry. He also has spoken on various accounting-related topics at FIU, the University of Miami and Barry University. He is co-chair of the United Way Agency Audit Committee and serves on the Board of Directors of the Cuban American CPA’s Association.

Watson & Associates, PA, CPAs Tallahassee Adam Watson is shareholder and vice president with Watson & Associates, PA, CPAs. His focus is on helping small business owners succeed through tax planning and business consulting. He was recognized as a 2012 Tallahassee Network of Young Professionals Golden ACE Award winner in the field of finance for his work in the accounting industry and service to the community. Adam has served on the FICPA’s Young CPA Committee and the FIFT Conference Planning Committee. He currently serves as the treasurer on the boards of Big Brothers Big Sisters of the Big Bend, Capital Soccer Association and Capital City Rowing. He also formed and is chair of The Group, an entrepreneurial round table for smallbusiness owners in Tallahassee. He is a graduate of Leadership Tallahassee, Class 27.

David White, CPA Carr, Riggs & Ingram, LLC Tallahassee David White is a senior tax accountant in the Tallahassee office of Carr, Riggs & Ingram, LLC. He has more than five years’ experience providing businesses and individuals with tax-preparation and planning services. White received his bachelor’s and master of accounting degrees from Florida State University. White is a member of the AICPA and serves as vice chair of the FICPA’s Young CPA Committee. He has also volunteered with the FICPA’s financialliteracy outreach campaigns at the Florida Capitol. White serves as treasurer of the non-profit organization The Tallahassee Network of Young Professionals and is a member of the Supervisory Committee of the Florida State University Credit Union. White also contributes as a guest columnist with the Tallahassee Democrat, providing commentary and insight on tax- and accounting-related topics. FCT

28 MARCH/APRIL 2013

FLORIDA CPA TODAY

www.ficpa.org

STAFF

reports

Educational Foundation By Jason Zaborske, FICPA educational foundation development director and Brittany Butler, event coordinator

Eighteen holes to a brighter future

Don’t miss the Suncoast Scramble

he FICPA Educational Foundation and the Suncoast Chapter are teaming up again this year to present the Suncoast Scramble. The goal of the May 3 event is to raise $20,000 for accounting students throughout Florida. Beginning last year, the Foundation and the Suncoast Chapter combined their Annual Golf Classic and Suncoast Scramble to raise even more scholarship funds for fourth- and fifth-year accounting students. Established in 1959, the Foundation has provided more than $3 million in scholarships and education programs

to support Florida accounting students. Through FICPA members’ generous donations, the Foundation provides more than $200,000 in scholarships each year to Florida’s future CPA leaders. The tournament again will take place at East Lake Woodlands Country Club in Oldsmar. Located at the northern tip of Tampa Bay, the club has two 18-hole championship golf courses. They’re challenging for all skill levels and consistently are ranked among the best in Pinellas County. We invite players of all skill levels to join us May 3 in Oldsmar for a chance to bring home the CPA

Champion’s Cup. Last year, Jeff Mitchell of Crestmark, Derrick Cox of PNC Bank, Tom Elliot of EQV Capital and Jeffrey Bauman of Kingery & Crouse won the trophy. Firms that become Foundation supporters can take advantage of sponsorship opportunities that include golf passes and CPE. FCT For more information, contact Development Director Jason Zaborske at (850) 224-2727, Ext. 417, or zaborskej@ficpa. org. For more information leading up to the event, visit www.ficpa.org/golf.

E E. V SA DAT Ocean Reef Family Retreat & Golf Tournament HE

30 MARCH/APRIL 2013

July 25-28, 2013 For more information, visit www.ficpa.org/oceanreef.

From FICPA staff reports

Student Outreach By Brenda Hubbard, director of academic relations & student initiatives

Davis receives Financial Literacy Advocate of the Year Award

he FICPA’s Financial Literacy Committee recently presented Mamie Davis, Esq., CPA with the second annual Financial Literacy Advocate of the Year award. This award is presented to an FICPA member who has made a significant difference in the area of financialliteracy outreach. The Committee recognized Mamie for dedicating her time, commitment and support to increase personal-finance knowledge and skills

New Members

The FICPA happily welcomes many new members throughout the year. To see a list of members who have recently joined, visit the FICPA website at www.ficpa.org/ meetnewmembers. FLORIDA CPA TODAY

among Jacksonville youths and adults. Mamie is a practicing attorney and CPA with Mamie L. Davis, PA, in Jacksonville. She also serves as chair-elect of the Jacksonville Chapter and is a member of the FICPA Financial Literacy Committee. “Mamie has unselfishly devoted many hours of her time to community service and continues to represent the FICPA very well in the community,” said Terry Seaton, FICPA Region II representative and AICPA Financial Literacy Commission member. “I’m involved with promoting financial literacy because it makes a difference,” Davis said. “While serving as a bankruptcy trustee for more than 14 years, I saw families that had been devastated because they lacked basic financial information. My primary commitment is to teach teens and young adults to make wise financial decisions. It’s the first step in economic empowerment.”

FICPA Board Chair Scott Price presents Mamie Davis, Esq., CPA with the Financial Literacy Committee’s 2012 Financial Literacy Advocate of the Year Award.

Davis taught students using modules from the FICPA’s Financial Education for Young Adults series; served on the planning team for the first Jacksonville MoneyWi$e Week and recruited chapter members to present; spoke at the Jacksonville Financial Fitness 5K Race about financial fitness and other services CPAs provide; and presented financial-education sessions to women at various schools, churches and civic groups. Last year, she shared information with about 400 people.

“Davis has been a participant and leader with the North Florida financial literacy projects for many years,” Seaton added. “Her knowledge, professionalism and interpersonal skills make her an extremely effective speaker and role model, particularly for students and young adults.” FCT For more information about the FICPA’s financial-literacy outreach efforts, contact Brenda Hubbard, director of academic relations & student initiatives, at (800) 224-2727, Ext. 419, or hubbardb@ficpa.org. www.ficpa.org

WEB

digest

Whether published in Florida CPA Today or on the FICPA’s website, www.ficpa. org, articles by FICPA members are full of information about timely accounting issues. On the website, you’ll find new and archived articles on a variety of topics. To read this article in its entirety, visit the FICPA’s website at www.ficpa.org/FCT/ Technical.

CPA Licensure

Unraveling Florida’s work-experience requirement

By Dr. Lynn Clements, CPA, CFE, Cr. FA, CMA, CFM and Dr. Will Quilliam, CPA, CIA

avigating Florida’s laws and rules for public accounting can be quite a task. As long-time accounting educators, we receive many questions about Florida’s work experience requirement, which can be quite confusing. This article offers answers to common questions. Florida requires one year of work experience prior to CPA licensure. However, candidates may take the CPA examination prior to gaining any work experience. In

32 MARCH/APRIL 2013

fact, because the exam is based on academic studies, we encourage candidates to take it as soon as possible. Whether you’re a CPA candidate; already are licensed; or hire CPA candidates, we hope this article will help you.

Questions and Answers Q. Must a Florida CPA supervise me during my experience? A. No. A recent change in Florida law permits a CPA

to simply verify a candidate’s experience. The CPA does not need to directly supervise the candidate. In fact, the CPA could even work for a different organization than the candidate. For example, a CPA who works in a public accounting firm and observes that a candidate has gained relevant experience could verify that experience. The CPA who verifies experience must be licensed at all times during the candidate’s one year of work experience and at the time of verification.

A. No. The law recognizes that accountants work in a variety of organizations and do many different types of work. The law requires that the experience “shall be held and understood to mean the provision of any type of service or advice involving the use of accounting, attest, compilation, management advisory, financial advisory, tax, or consulting skills as verified by the verifying certified public accountant.” Teaching college accounting courses also counts. FCT

Further, the CPA who verifies the experience does not need to be licensed in Florida. He or she only needs to be licensed by one of the 55 boards of accountancy in the U.S. and its territories. He or she also may be a chartered accountant who is recognized by the International Qualifications Appraisal Board (IQAB). IQAB countries are Australia, Canada, Hong Kong, Ireland, Mexico and New Zealand. This is very important for the large number of international accounting students who pursue Florida CPA licensure.

To continue reading, visit www.ficpa.org/FCT/Technical.

Q. Must I work in public accounting to gain the experience?

FLORIDA CPA TODAY

Dr. Lynn Clements, a professor of accounting at Florida Southern College, practiced public accounting for six years. She is a member of the FICPA; the AICPA; the Institute of Management Accountants; the American Accounting Association; and the Association of Certified Fraud Examiners. Dr. Will Quilliam is an associate professor of Accounting at Florida Southern College. He serves on the FICPA Board of Governors and is a member and past chair of the FICPA Editorial Committee. He previously was an auditor with Ernst & Young.

www.ficpa.org

MARKET

place

Positions available Sr Staff Accountant – Lamn, Krielow, Dytrych & Company, a progressive CPA firm that currently employs 30 people in Jupiter, is looking for professionals at the senior level for the tax & audit departments. We have a diverse & exciting client base representing many different industries, providing interesting challenges to the qualified candidate. The firm provides exceptional fringe benefits, including a 40-hour work week (outside of tax season) that ends at noon on Friday. Email resumes to marcyd@ lkdcpa.com or fax to (561) 626-2158. Leesburg CPA firm of 18 employees seeking CPA w/3-5 yrs exp. Compensation is commensurate w/ exp. Please email resumes to jlt72770@ yahoo.com. Ownership Opportunity – Brevard County firm Davies, Houser & Secrest, CPA, PA is seeking a CPA w/at least 6 yrs public accounting exp to join our successful team. Applicants must have an entrepreneurial spirit & strong client-management, tax, accounting & business consulting skills. All replies confidential. Forward resume to jsmith@davieshouser.com & reference “Ownership Opportunity” in subject line. Sr tax professionals for South Fla. Top 25 CPA firm. Excellent career opportunity. International tax exp a plus. Please visit our website at www.kanecpas.com. Email resume in complete confidence to jbutler@kanecpas.com or mail to Kane & Company, PA, 1221 Brickell Ave., Suite 800, Miami, FL 33131, Attn: Jeanne Butler.

Asst. Controller for Orlando Healthcare Organization – strong growth potential. Healthcare exp helpful. Must have extensive exp in Excel, general ledger, bank reconciliations, accounts payable, payroll & preparation of financial statements. Position will supervise accounts payable & payroll. Must be organized, detail oriented & a self-starter. CPA required. Reports to CFO. Competitive pay & benefits. Fax resume to confidential fax (407) 643-1339.

Positions Wanted West Palm Beach – Semi-retired licensed CPA (Fla., N.Y.) & attorney (N.Y.) specializing in taxation available for per diem work preparing or reviewing tax returns, consulting, IRS & state representation. Please call (561) 8333440 or write LGinsbergEsqCPA@ comcast.net. Accounting Manager – Handle day-to-day accounting duties including banking functions, accounts payable, accounts receivable, month-end close, financial statement preparation, payroll, cash flow, budgets & forecasts. Oversee the daily accounting activities required to maintain the general ledger, reconcile all balance sheet accounts, analyze income statement accounts & explain variances, hands-on accounting, including processing accounts payable & receivable & banking functions, cash management, coordinate monthly closing activities. Bachelor’s degree & 5-7 yrs of handson accounting exp, proven supervisory exp, Great Plains Accounting Software, excellent communication & organizational skills. To apply, email resume & salary requirements to accounting_resumes@ yahoo.com. Company confidential, located in Central Fla.

Office space Quality Ft. Lauderdale CPA firm seeking CPA w/established or growing practice for office sharing w/eye toward future affiliation. Email inquiries to ajcpapa@aol. com or call Cary at (954) 985-1040.

Practices wanted for purchase or merger CPA looks to purchase tax through review practice in South Fla. Revenue $150,000 to $1,000,000. Reply to info@ joegormleycpa.com. Growing South Fla. CPA firm looking to purchase a practice from a retirementminded CPA in Dade County. Favorable purchase terms offered w/continuing employment opportunities available. Please contact Jeffrey Taraboulos at info@ksdt-cpa.com or (305) 670-3370. Tampa CPA wants to purchase or merge w/a Tampa Bay-area CPA firm in the $300K to $400K range. Reply to (813) 833-3344.

For sale

Successful transitions require experienced, confidential, professional services you can trust. This is what Akins Professional Brokerage provides. Specializing exclusively in the brokerage of CPA firms, we have no upfront fees. List your firm w/a professional. Call David Akins, CPA at (877) 2770272. Visit our website at www. ProfessionalCPAbroker.com.

For complete classified policies, visit www.ficpa.org/Content/CPAResources/ClassifiedsJobs/Classifieds.aspx.

34 MARCH/APRIL 2013

Buy-Sell-Merge-Finance your practice w/U.S.A.â&#x20AC;&#x2122;s No. 1 Accounting Brokerage Firm. Selling practices in Florida for 30+ years. Cash Buyers Waiting. Practices available include: Panama City $150,000+; Crystal River area $250,000+; Jacksonville $850,000; Bradenton $350,000; Orlando-Jacksonville East Coast area $1,600,000; St. Pete grossing $185,000+; Tampa-

FLORIDA CPA TODAY

Zephyrhills area $150,000+; Gainesville-Ocala area $800,000; Tampa-Temple Terrace $275,000; Fort Myers-Naples $675,000+. Many others! Contact Erwin Rosenblatt (772) 692-8746 w/Professional Accounting Sales. Visit our website at www.cpasales.com. Retiring sole practitioner is seeking an individual for the purpose of succession planning. Requirements will include accounting & tax expertise as well as business acumen. No audits or reviews. Practice revenue is in the high six figures. Send interest & background to gjj1947@ gmail.com.

Miscellaneous CPA & CFO services & professional tax services provided worldwide. Now on a per-diem basis to CPA firms in Fla. We can also reduce your client mortgages by 50% to 90%. Call now to qualify. Contact Paul J. Murray, CPA, MS Taxation, Cr.FA; managing member of CPA & CFO services; w/ofcs throughout the U.S.; mailing address â&#x20AC;&#x201C; 52 Riley Road #419, Celebration, FL 34747; (866) 846-2031; Fax (866) 248-3193; Cell (407) 739-5151; www.CPAandCFO.biz; non-compete agreement can be signed.

www.ficpa.org

ON THE

move Transitions

Robert P. Bedwell

Birmingham: Warren Averett, LLC recently merged with Atlantabased Gifford, Hillegass & Ingwersen (GH&I) and Tampa-based Pender Newkirk & Company.

Lindsey Crown Hardee

Orlando: Davis, Grim and Company welcomes Nathan Edwards to the firm as a tax senior and Lucy Garcia as an audit senior.

Bradenton: Mauldin & Jenkins promoted Steve Parent to the position of partner.

Nathan Edwards

Clearwater: Crown & Company announces that Lindsey Crown Hardee has been promoted to partner. Fort Lauderdale: Kane & Company announces that Steven E. Price has joined the firm as a senior manager.

Andrew Fierman

Fort Myers: Markham Norton Mosteller Wright & Company announces that Cossette FernandezLarrea has joined the firm as a member of the tax team. Fort Myers: Stroemer & Company announces they have merged with Levi & Gopman to form Stroemer & Company LLC.

Lucy Garcia

36 MARCH/APRIL 2013

Miami: Morrison, Brown, Argiz & Farra LLC announces that the company has moved its Miami-based team to a new, state-of-the-art headquarters at 1450 Brickell Ave., 18th Floor, Miami, FL 33131.

Steven E. Price

Gainesville: James Moore announces that Meg Raynor and Corinne Turcotte have been promoted to associate accountant, and Kevin Warren has been promoted to senior manager. Miami: Mallah Furman announces that Robert P. Bedwell has joined the firm as a principal in their Audit and Advisory Services Department.

St. Petersburg: Foelgner, Ronz & Straw announces the recent promotion of Martha Ford as a shareholder of the firm.

Whoâ&#x20AC;&#x2122;s News John Arnold and Ryan McIntosh of James Moore in Daytona Beach have earned the designation of Certified Public Accountant. Wendy S. Bodner of Wendy S. Bodner PA in Hollywood has been appointed to the Broward County Board of Commissioners as

For more news about members and other Florida CPAs, visit CPAs in the Spotlight at www.ficpa.org/Content/News/Spotlight.aspx. The space for Whoâ&#x20AC;&#x2122;s News, Transitions and other announcements published on this page is limited to news focusing on promotions and new hires for FICPA members; speeches by members at professional conferences; and other firm news, such as recognition of business achievements. We do not publish FICPA committee appointments as a part of this feature because of space limitations. Submissions for On the Move can be emailed to communications@ficpa.org.

the at-large citizen member to the Valuation Adjustments Board. Jason Brown of Alpern Rosenthal LLC in West Palm Beach recently was featured on local radio station 1290 WJNO as chairman of the Angel Forum of Florida. The Angel Forum is a non-profit organization that’s aimed at helping reshape the local business community. Andrew Fierman of Marcum LLP in Miami has joined the

FLORIDA CPA TODAY

Board of Directors of Communities in Schools of Miami (CIS). Fierman will serve on the Board’s Audit and Program Committees. Gail Markham of Markham Norton Mosteller Wright & Company was selected as one of 21 women to be highlighted by WGCU Public Media’s Initiative – Makers: Women Who Make Southwest Florida.

James Moore CPAs and Consultants in Daytona Beach was published nationally for the first time in the November/ December 2012 issue of CFMA Building Profits. Kerkering, Barberio & Company’s participating employees in Sarasota recently donated more than $18,400 to the United Way Suncoast. Myers, Brettholtz & Company in Fort Myers held its 11th annual nonprofit workshop in January at the

Broadway Palm Dinner Theatre. Also, as part of its Sixth Annual Nonprofit Sponsor a Family Gift Giving, the firm collected new, unopened gifts for Child Care of SWFL Inc. Christi Susewitt of Moore Stephens Lovelace, PA in Orlando has been elected to serve on the Board of Directors of Share the Care Inc., a nonprofit agency that provides services and support to family caregivers. FCT

www.ficpa.org

D O R update This is the third of a three-part series of articles on Florida’s documentary stamp tax, and common issues or questions. To read parts one and two, see the November/December 2012 and January/February 2012 issues of Florida CPA Today at www.ficpa.org/Content/Members/Tools/Publications/FCT/Archives.aspx. By Tim Phillips, revenue program administrator

stamp tax is due on the transfer of any interest in a conduit entity if that transfer occurs within three years of the date of the transfer of real property that causes the entity to be considered a conduit entity. The tax is due at the rate of 70 cents per $100, or any portion thereof, of the consideration paid or given for the membership ownership interest transferred. A surtax of 45 cents per $100 of consideration, or any portion thereof, also is due if the property is situated in Miami-Dade County and is anything other than a single-family residence.

Florida’s Documentary Stamp Tax Conduit Entities

ffective July 2, 2009, Section 201.02(1)(b), Florida Statutes, imposes documentary stamp tax on certain transfers of interests in conduit entities. This provision sought to limit tax avoidance that was possible on transfers of beneficial interest in Florida real property through the use of artificial entities. A conduit entity is a legal entity that acquires Florida real property when the documentary stamp tax paid, if any, is not based on “full consideration.” Full consideration is the amount that would be paid in an arm’slength transaction between unrelated parties, but not less than the balance of any mortgage encumbering the property. Documentary

38 MARCH/APRIL 2013

If the conduit entity owns assets other than real property that causes the entity to be considered a conduit entity, tax is calculated by multiplying the amount of consideration for the interest in the conduit entity by the tax rate, then multiplying the result by a fraction, the numerator of which is the value of that real property and the denominator of which is the value of all assets the entity owns. FCT Rule 12B-4.060, Florida Administrative Code (F.A.C.) has more information about tax implications on the transfer of an interest in a conduit entity. To access the F.A.C. and other information about documentary stamp tax, such as Tax Information Publications (TIPs); Technical Assistance Advisements (TAAs); and court cases, visit DOR’s Tax Law Library at www.myflorida.com/dor. Or, call the Office of Technical Assistance and Dispute Resolution at (850) 617-8346. (Note: This article is not intended to communicate any position or statement that is binding on the Florida Department of Revenue. It is merely intended to provide educational assistance.) Are there topics you’d like the Department of Revenue to cover in DOR Update? Email suggestions to wilkinss@ficpa.org.

FLORIDA CPA TODAY

www.ficpa.org

F L O R I D A

Florida Institute of Certified Public Accountants P.O. Box 5437 Tallahassee, FL 32314-5437