The Nevada State Board of Accountancy recently passed regulations that will now require licensees that perform audit, review, full disclosure compilation or other attestation services to engage in a practice monitoring program (Peer Review) to ensure that he or she is maintaining the standards of the profession. The following information is provided to you so that you can begin preparation to transition into the new requirement.

There will be a three year transition period for licensees to become compliant with the new regulations. The following outlines the transition period based on your current Practice Enhancement Selection Cycle and the year you will be required to provide practice monitoring findings (Peer Review Reports):

Practice Enhancement Selection Cycle		Peer Review Required
2005 2006 2007		2008 2009 2010

If you have performed an audit, review, full disclosure compilation or other attestation services, a copy of the practice monitoring findings must be submitted to the Board upon request within the year of your selection period. If you do not perform such services, you will have the opportunity at that time to file an exemption from submitting reports.

The selection dates are for Board notification only. If you or your firm are currently enrolled/scheduled in a peer review program DO NOT CHANGE YOUR CURRENT PEER REVIEW CYCLE! The Board does not want anyone to change the current cycle for peer review. For those individuals that are undergoing a peer review, nothing will change. You will continue to receive notification from the Board during your Board determined selection cycle asking if you do certain types of engagements. You will respond by sending a copy of your most recently completed peer review report at that time.

Selection cycles have been determined since the inception of the Practice Enhancement Program. 1/3 of the licensees were assigned a selection year based on when they were licensed and will continue to roll in that three year cycle. Many licensees may have different selection cycles from their co-workers within the same firm. This does not mean that a new peer review is needed for that selection year. It only means that the licensee will notify the Board of their peer review report or exemption from those types of engagements.

Individuals that are not conducting the above mentioned engagements do not need to report that to the Board until they are notified during their selection year. You will be asked to fill out an exemption form at that time.

Letters have been mailed to each active licensee notifying them of the new requirement for Peer Review. If you have any questions concerning the above, please contact the State Board office at (775) 786-0231. The Nevada Society of CPA's is the administering agency for peer review services. For more information on obtaining a peer review please call (775) 826-6800.