PCAOB Audit Exemption Bill Introduced in Congress

On June 7, 2018, Senators Tom Cotton (R-AR) and Doug Jones (D-AL) and Representatives French Hill (R-AR) and Vicente Gonzalez (D-TX) formally introduced The Small Business Audit Correction Act. Press release of the bill’s introduction in Congress can be found here.

S. 3004 & H.R. 6021 would exempt small, privately-held, non-custodial broker-dealer firms from the requirement to use a Public Company Accounting Oversight Board (PCAOB) registered audit firm for their annual audits.

  • Passage of legislation would allow eligible firms to conduct their annual audits in a less costly and burdensome manner. Many BDA members listed this issue as one of their top legislative priorities for the year.

Over the last few months in partnership with Paige Pierce at PSP Consulting, BDA has been actively meeting with all of the Members of the House Financial Services Committee and Senate Banking Committee. We will continue to do so in the coming weeks to garner support for the bill.

Call to Action

Now is the time to reach out to your Members of Congress and urge them to support and co-sponsor onto The Small Business Audit Correction Act! Members and their staff need to hear from you.

All Members of Congress are important in this effort, however House Financial Services and Senate Banking Committees are particularly important! The Small Business Audit Correction Act is expected to be rolled into a package of capital markets bills that will be considered by the House Financial Services Committee and at a hearing of the Senate Banking Committee soon.

  • Financial Services Comm. Members and contact information can be viewed here.
  • Senate Banking Comm. Members and contact information can be viewed here.
  • Suggested talking points can be viewed here.
  • Draft letter can be viewed here.
  • Summary of the bill can be viewed here.
  • House bill can be viewed here. Senate bill can be viewed here.

If you would like any assistance with contacting your Member of Congress, please contact Joy Grewatz at (202)204-7908 or jgrewatz@bdamerica.org.