ACCOUNTING; PRIVATE PRO. CONSERVATORS, the official text

Enrolled HB 121 
 Relating to the practice of accounting; relating to private professional conservators; amending 
 Rule 17(e), Alaska Rules of Probate Procedure; and providing for an effective date. 
 _______________ 
 * Section 1. AS 08.04.120(a) is amended to read: 
 (a) The education and experience requirements for an applicant are a 
 baccalaureate degree or its equivalent conferred by a college or university acceptable 
 to the board [AND ADDITIONAL SEMESTER HOURS OR POST- 
 BACCALAUREATE STUDY SO THAT THE TOTAL EDUCATIONAL 
 PROGRAM INCLUDES AT LEAST 150 HOURS,] with an accounting concentration 
 or equivalent as determined by the board by regulation to be appropriate [,] and two 
 years of accounting experience satisfactory to the board. 
 * Sec. 2. AS 08.04.240(f) is amended to read: 
 (f) An initial permit issued under (a) [OR (k)] of this section lasts for the

remainder of the biennial licensing period during which the initial permit was granted. 
 * Sec. 3. AS 08.04.240(g) is amended to read: 
 (g) The board shall renew a permit granted under (a) [OR (k)] of this section 
 or a renewal issued under this subsection if 
 (1) the permittee maintains all of the licensee's offices that are located 
 in this state as required by AS 08.04.360 and 08.04.370; 
 (2) each individual who is required by (a) [OR (k)] of this section to be 
 a certified public accountant of this state complies with the continuing education 
 requirements of AS 08.04.425 and the peer review requirements of AS 08.04.426; and 
 (3) the permittee complies with the requirements of this chapter. 
 * Sec. 4. AS 08.04.420(a) is amended to read: 
 (a) An individual who does not have a license in this state, [BUT] who is 
 licensed to practice public accounting in another state, and whose principal place of 
 business for the practice of public accounting is in the other state may engage in the 
 practice of public accounting in this state under a practice privilege [IF THE STATE 
 IN WHICH THE INDIVIDUAL IS LICENSED TO PRACTICE PUBLIC 
 ACCOUNTING 
 (1) REQUIRES AS A CONDITION OF LICENSURE THAT AN 
 INDIVIDUAL 
 (A) HAVE AT LEAST 150 SEMESTER HOURS OF 
 COLLEGE EDUCATION, INCLUDING A BACCALAUREATE OR 
 HIGHER DEGREE CONFERRED BY A COLLEGE OR UNIVERSITY; 
 (B) ACHIEVE A PASSING GRADE ON THE UNIFORM 
 CERTIFIED PUBLIC ACCOUNTANT EXAMINATION; AND 
 (C) POSSESS AT LEAST ONE YEAR OF EXPERIENCE, 
 WHICH INCLUDES PROVIDING ANY TYPE OF SERVICE OR ADVICE 
 INVOLVING THE USE OF ACCOUNTING, ATTEST, COMPILATION, 
 MANAGEMENT ADVISORY, FINANCIAL ADVISORY, TAX, OR 
 CONSULTING SKILLS; THE EXPERIENCE MAY BE OBTAINED 
 THROUGH PRACTICE WITH THE GOVERNMENT, INDUSTRY, 
 COLLEGES, UNIVERSITIES, OR THE PUBLIC; OR

(2) DOES NOT REQUIRE AS A CONDITION OF LICENSURE 
 THAT AN INDIVIDUAL SATISFY THE REQUIREMENTS OF (1) OF THIS 
 SUBSECTION, BUT THE INDIVIDUAL'S QUALIFICATIONS ARE 
 SUBSTANTIALLY EQUIVALENT TO THE REQUIREMENTS OF (1) OF THIS 
 SUBSECTION; HOWEVER, FOR THE PURPOSES OF THIS PARAGRAPH, THE 
 EDUCATION OF AN INDIVIDUAL WHO HOLDS A VALID LICENSE TO 
 PRACTICE PUBLIC ACCOUNTING THAT IS ISSUED BY ANOTHER STATE 
 BEFORE JANUARY 1, 2013, AND WHO PASSES THE UNIFORM CERTIFIED 
 PUBLIC ACCOUNTANT EXAMINATION BEFORE JANUARY 1, 2013, IS 
 EXEMPT FROM THE EDUCATION REQUIREMENT IDENTIFIED IN (1)(A) OF 
 THIS SUBSECTION]. 
 * Sec. 5. AS 08.04.420(c) is amended to read: 
 (c) An individual or firm that [WHO] may engage in the practice of public 
 accounting in this state under [(a) OF] this section is not required to provide a notice 
 to the board, to pay a fee to the board, or to submit documentation to the board in 
 order to engage in the practice of public accounting in this state. The individual or 
 firm [PERSON] may engage in the practice of public accounting by mail, by 
 telephone, by electronic means, or in person. 
 * Sec. 6. AS 08.04.420 is amended by adding new subsections to read: 
 (d) A firm that is more than one-half owned by individuals who are certified 
 public accountants in good standing under this chapter or in another state, has its 
 principal place of business in another state, and does not have an office in the state 
 may engage in the practice of public accounting in the state under a practice privilege. 
 (e) The board may adopt regulations establishing qualifications for an 
 individual or firm to engage in the practice of public accounting under a practice 
 privilege. 
 * Sec. 7. AS 08.04.422 is amended to read: 
 Sec. 08.04.422. Conditions of practice privileges. An individual or firm with 
 a practice privilege that [WHO] engages in the practice of public accounting in the 
 state under the practice privilege [, A FIRM WITH A PERMIT THAT ENGAGES IN 
 THE PRACTICE OF PUBLIC ACCOUNTING IN THIS STATE,] and a firm that

hires an individual with a practice privilege shall 
 (1) consent to the personal and subject matter jurisdiction and 
 disciplinary authority of the board; 
 (2) agree to comply with this chapter, including the regulations 
 adopted by the board; 
 (3) agree that the individual or firm will stop offering to engage or 
 engaging in the practice of public accounting, whether individually or on behalf of a 
 firm, if the license from the state of the individual's or firm's principal place of 
 business becomes invalid; and 
 (4) consent to the appointment of the state board that issued the 
 individual's license or firm's authorization to engage in the practice of public 
 accounting in another state as the individual's or firm's agent for service of process 
 in a court action or in another proceeding against the individual or firm that arises out 
 of a transaction or an operation connected with or incidental to the individual's or 
 firm's engagement in the practice of public accounting. 
 * Sec. 8. AS 08.04.480 is amended to read: 
 Sec. 08.04.480. Grounds for discipline of a firm. The board may revoke or 
 suspend the permit or practice privilege of a firm, [MAY REVOKE, SUSPEND, OR] 
 refuse to renew the firm's [ITS] permit, or [MAY] censure the firm for any of the 
 causes enumerated in AS 08.04.450 or for any of the following additional causes: 
 (1) the revocation, suspension, or refusal to renew the license or 
 practice privilege of an owner of a firm in this state or in another state; 
 (2) the cancellation, revocation, suspension, or refusal to renew the 
 permit or authority of the firm to practice public accounting in another state for any 
 cause other than failure to pay a required fee in that state. 
 * Sec. 9. AS 08.04.490 is amended to read: 
 Sec. 08.04.490. Reinstatement. Upon application in writing and after a 
 hearing, the board may [ISSUE A NEW LICENSE OR ALLOW A PRACTICE 
 PRIVILEGE TO AN INDIVIDUAL WHOSE LICENSE OR PRACTICE 
 PRIVILEGE HAS BEEN REVOKED, OR MAY ISSUE A NEW PERMIT TO A 
 PERSON WHOSE PERMIT HAS BEEN REVOKED, OR MAY] modify the

suspension of or [MAY] reissue a [ANY] license, practice privilege, or permit to 
 practice public accounting that has been revoked or suspended. 
 * Sec. 10. AS 08.04.495 is amended to read: 
 Sec. 08.04.495. Fees. The department shall set fees under AS 08.01.065 for 
 examinations, reexaminations, permits, and licenses [, AND PRACTICE 
 PRIVILEGES]. 
 * Sec. 11. AS 08.04.510(a) is amended to read: 
 (a) A firm may not assume or use the title or designation "certified public 
 accountant" or the abbreviation "CPA" or any other title, designation, word, letter, 
 abbreviation, sign, card, or device tending to indicate that it is composed of certified 
 public accountants, unless the firm 
 (1) holds a permit and is engaging in the practice of public accounting 
 under the name on its permit; or 
 (2) is engaging in the practice of public accounting under a 
 practice privilege. 
 * Sec. 12. AS 08.04.530 is amended to read: 
 Sec. 08.04.530. Firm posing as public accountant. A firm may not assume or 
 use the designation "public accountant" or the abbreviation "PA" or any other title, 
 designation, word, letter, abbreviation, sign, card, or device tending to indicate that the 
 firm is composed of public accountants, unless the firm 
 (1) holds a current permit, is practicing under the name on its permit, 
 and its office in this state for the practice of public accounting is maintained as 
 required by AS 08.04.360 and 08.04.370; or 
 (2) is engaging in the practice of public accounting under a 
 practice privilege. 
 * Sec. 13. AS 08.04.565 is amended to read: 
 Sec. 08.04.565. Prohibited acts. An individual licensed under AS 08.04.105 
 may not perform attest functions through a firm, unless the firm 
 (1) holds a valid permit issued under AS 08.04.240; or 
 (2) is engaging in the practice of public accounting under a 
 practice privilege.

* Sec. 14. AS 08.26.030 is amended to read: 
 Sec. 08.26.030. Requirements for private professional conservator license. 
 The department shall issue a private professional conservator license to an individual 
 (1) who is at least 21 years of age; 
 (2) who has obtained a high school diploma, or a general education 
 development diploma or its equivalent; 
 (3) who has six months' employment experience in a position 
 involving financial management, or has at least an associate degree in accounting or a 
 closely related field; 
 (4) who is 
 (A) certified as a guardian by a nationally recognized 
 organization in the field of guardianships; or 
 (B) licensed as a certified public accountant under 
 AS 08.04; 
 (5) whose criminal history record checks under AS 08.26.070 show 
 that the individual has not been convicted of a felony or of a misdemeanor offense in 
 the state or in any other jurisdiction involving fraud, misrepresentation, material 
 omission, misappropriation, theft, conversion, or any other crime that the department 
 determines would affect the individual's ability to provide the services of a conservator 
 competently and safely for the protected person within 10 years before the application; 
 and 
 (6) who satisfies the application requirements of AS 08.26.060. 
 * Sec. 15. AS 08.26.050(a) is amended to read: 
 (a) The department shall issue a temporary license to an individual under 
 AS 08.26.020 [OR 08.26.030] who 
 (1) is not certified by a nationally recognized organization in the field 
 of guardianships at the time of the application but is likely to become certified within 
 one year from the date [OF] the temporary license is issued; [,] and 
 (2) otherwise satisfies the licensing requirements of AS 08.26.020 [OR 
 08.26.030; AND 
 (2) SATISFIES THE APPLICATION REQUIREMENTS OF

AS 08.26.060]. 
 * Sec. 16. AS 08.26.050(b) is amended to read: 
 (b) If an [THE] individual with a temporary license under (a) or (d) of this 
 section submits proof of the required certificate or license [CERTIFICATION BY A 
 NATIONALLY RECOGNIZED ORGANIZATION IN THE FIELD OF 
 GUARDIANSHIPS] within one year from the date of the issuance of the temporary 
 license, the department shall issue the individual a license under AS 08.26.020 or 
 08.26.030 without requiring a new application. 
 * Sec. 17. AS 08.26.050 is amended by adding a new subsection to read: 
 (d) The department shall issue a temporary license to an individual under 
 AS 08.26.030 who 
 (1) is not certified by a nationally recognized organization in the field 
 of guardianships or licensed as a certified public accountant under AS 08.04 at the 
 time of the application but is likely to become certified or licensed within one year 
 from the date the temporary license is issued; and 
 (2) otherwise satisfies the licensing requirements of AS 08.26.030. 
 * Sec. 18. AS 08.26.130 is amended to read: 
 Sec. 08.26.130. Grounds for disciplinary action. The department may take 
 disciplinary action against an individual under AS 08.01.075 or refuse to issue or 
 renew a license if the department determines that the individual 
 (1) obtained or attempted to obtain a license under this chapter through 
 deceit, fraud, or intentional misrepresentation; 
 (2) has not complied with the standards of conduct established by the 
 department under AS 13.26.001; 
 (3) forfeited a license in this or another jurisdiction as a result of 
 deceit, fraud, intentional misrepresentation, or professional incompetence; 
 (4) has been found by a court in this state to have engaged in 
 professional misconduct or incompetence; 
 (5) has advertised the individual's services in a false or misleading 
 manner; 
 (6) has been convicted, including a conviction based on a guilty plea or

plea of nolo contendere, of a felony or other crime that affects the individual's ability 
 to provide services competently and safely for the ward or protected person; 
 (7) has been found to have abandoned, exploited, abused, or neglected 
 a vulnerable adult; in this paragraph, "vulnerable adult" has the meaning given in 
 AS 47.24.900; 
 (8) has failed to comply with this chapter or with a regulation adopted 
 under this chapter; 
 (9) has continued or attempted to practice after becoming unfit due to 
 professional incompetence; 
 (10) has failed to maintain the certification or licensure required to 
 obtain the individual's license under AS 08.26.020(a)(3) or 08.26.030(4) [BY A 
 NATIONALLY RECOGNIZED ORGANIZATION IN THE FIELD OF 
 (A) GUARDIANSHIPS, IF THE INDIVIDUAL WAS 
 ISSUED A PRIVATE PROFESSIONAL GUARDIAN LICENSE; OR 
 (B) CONSERVATORSHIPS, IF THE INDIVIDUAL WAS 
 ISSUED A PRIVATE PROFESSIONAL CONSERVATOR LICENSE]; or 
 (11) fails to maintain a bond or other surety as required by a court 
 order. 
 * Sec. 19. AS 13.26.465(g) is amended to read: 
 (g) In addition to any other requirement of this section, [WHEN 
 APPOINTING A RELATIVE OR FRIEND OF THE PROTECTED PERSON AS 
 THE CONSERVATOR OF THE PROTECTED PERSON,] the court shall require that 
 a [THE] proposed conservator complete one hour of mandatory education on the 
 basics of conservatorship before the appointment or within 30 days after the 
 appointment if the proposed conservator is a 
 (1) relative or friend of the protected person; or 
 (2) private professional conservator who obtained a private 
 professional conservator license by satisfying the licensure requirement provided 
 under AS 08.26.030(4)(B) and has not previously completed the mandatory 
 education required by the court under this subsection. [IF THE PERSON IS 
 APPOINTED BASED ON THE PERSON'S AGREEMENT TO COMPLETE THE

MANDATORY EDUCATION AND THE PERSON FAILS TO COMPLETE THE 
 MANDATORY EDUCATION WITHIN THE 30 DAYS, THE COURT SHALL 
 REMOVE THE CONSERVATOR AND APPOINT A SUCCESSOR.] 
 * Sec. 20. AS 13.26.465 is amended by adding a new subsection to read: 
 (h) If a person is appointed as a conservator based on the person's agreement 
 to complete the mandatory education within 30 days under (g) of this section and the 
 person fails to complete the mandatory education within 30 days, the court shall 
 remove the conservator and appoint a successor. 
 * Sec. 21. The uncodified law of the State of Alaska is amended by adding a new section to 
 read: 
 DIRECT COURT RULE AMENDMENT. Rule 17(e), Alaska Rules of 
 Probate Procedure, is amended to read: 
 (e) Mandatory Education. A person required to complete one hour of 
 mandatory education on the basics of conservatorship under AS 13.26.465(g) 
 [RELATIVE OR FRIEND OF THE PROTECTED PERSON WHO IS APPOINTED 
 AS A CONSERVATOR] must complete the [ONE HOUR OF] mandatory education 
 [ON THE BASICS OF CONSERVATORSHIP] before [THE] appointment or within 
 30 days after [THE] appointment as provided by AS 13.26.465(g). 
 * Sec. 22. AS 08.04.240(k) is repealed. 
 * Sec. 23. Sections 14 - 21 of this Act take effect immediately under AS 01.10.070(c). 
 * Sec. 24. Except as provided in sec. 23 of this Act, this Act takes effect January 1, 2026.