After 10 years of lobbying in Albany to allow non-CPAs to become minority partners at CPA firms, the NYSSCPA achieved success on May 30, when the New York State Assembly passed a non-CPA ownership bill, by a vote of 144-0. The legislation, A.4189 (Peoples-Stokes)/ S.2473A (Stavisky), had passed the Senate on May 22, by a vote of 59-2. It now awaits the signature of Gov. Kathy Hochul to become law.

The legislation provides, in part, "Any firm established for the business purpose of incorporating as a professional service corporation formed to lawfully engage in the practice of public accountancy, as such practice is defined under Article 149 of the Education Law shall be required to show (1) that a simple majority of the ownership of the firm, in terms of financial interests and voting rights held by the firm's owners, belongs to individuals licensed to practice public accountancy in some state. ..."

The Society has long supported this legislation for several reasons. As CPA client work becomes more complex, non-CPA professionals are increasingly vital to performing high-quality client work. Without being able to become partners, IT professionals, policy experts, data analysts and others reached a professional ceiling due to the fact that firms were unable to offer any long-term incentive and growth opportunity. These valued employees often moved to neighboring states, where the opportunities they were looking for were available. Now, with the passage of the bill, the Society believes that expanding opportunities for ownership in New York state will level the playing field, provide increased job opportunities and strengthen the economy.   

The Society thanks its volunteers, who have worked to push through this critical legislation.

Stay tuned for further updates on the passing of this legislation.