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Chamber seeks creation of board of accountacy
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Posted on Jan 20 2000
Saipan Chamber of Commerce President Lynn Knight has asked the Legislature to pass a proposed measure that will establish a Board of Accountancy to help professionalize the people in this field.
Earlier, the Office of the Public Auditor has batted for the need for a Board of Accountancy on the island which he said will safeguard the interests of the Commonwealth.
However, Ms. Knight said the proposed measure may provide a grandfather clause to ensure that current businesses are exempted from the requirement and their operations will not be affected.
By making the accountancy training and testing available on the island, Ms. Knight said the CNMI may be able to attract people from other islands to come here and take the board exam.
The proposed CNMI Accountancy Act has been sitting in the Senate since the House of Representatives passed the measure last year in fear that it would lay off many of the accountants working in the Northern Marianas.
Under House Bill 11-12, the government will establish the board to oversee the licensing of public accountants through written examinations to determine their competency and qualifications.
The system has been in place in the United States and its jurisdictions, except the CNMI where it has no standards for the accounting profession.
Public Auditor Leo L. LaMotte has brushed off fears that by having the board in place, non-licensed public accountants will be forbidden from performing the same functions they now provide.
He explained that the proposal merely intends to protect the public by requiring only that accountants maintain their competence through continuing professional education.
At the same time, Ms. Knight asked the Legislature to consider scrapping the $100,000 requirement for foreign investors and replace it with a more acceptable and less stringent measure.
To entice more investors to come to the CNMI, the Chamber chief said the Legislature must pass bills allowing two forms of businesses — Limited Liability Corporations and Limited Liability Partnerships to operate here just like in other U.S. jurisdictions.
