Firm Focus: Establishing Guidelines and Limits

The power to influence the laws and regulations that affect the way CPAs do business lies not only in Washington and the state capitals but also in the hands of the profession's grass-roots activists. A total of 1,700 CPAs in various positions throughout the country form the base of the American Institute of CPAs federal key person program, a network of practitioners who maintain personal contacts with members of Congress and other federal officials. They are the profession's front-line lobbyists in legislative districts nationwide. "Government can have a tremendous impact on CPAs' lives and on their professional livelihoods, and if CPAs aren't involved in the political and legislative process, they may not like the effect the system produces," says John Sharbaugh, AICPA vice-president-state legislation and legislative relations. A cooperative effort of the AICPA and the state CPA societies, the program fosters communications among program members, who report on local legislative and other important developments to the AICPA Washington, D.C., office and are in turn advised of current political issues of significance to the profession. The program serves to keep legislative leaders informed of CPAs' services, expertise and opinions on topical matters. "Polities is people; people make politics happen," says Sharbaugh. "If we don't have our people involved in the process, we're not going to have an impact on legislation up here on Capitol Hill." A key person's specific responsibilities include * Maintaining contact with assigned members of Congress and with a key person coordinator, who organizes efforts in each state.  Offering prompt reports on the results of each contact with a Congress member, including potential legislative opportunities and problems.  When requested, attending political fundraising events for the AICPA effective legislation committee and the AICPA congressional luncheon program.  Supporting AICPA positions on bills that affect the profession. Getting involved is not difficult, according to Sharbaugh, even for those who haven't already established political contacts. There are some good first steps: * Introduce yourself. Sharbaugh suggests that CPAs call or visit legislators' local district offices and offer to be resources on issues with which they are familiar. For most CPAs, those issues include taxes, small business and the local economy in general and how they are affected by existing or proposed legislation. "You have to be a resource to legislators if you want them to be responsive to your opinions," Sharbaugh advises.  Form an advisory group. Legislators appreciate CPAs who organize experts to help them understand constituents' views on particular issues.  Volunteer for the campaign finance committee. "CPAs are very qualified to do this and finance is a burden to many candidates, who aren't familiar with accounting or compliance issues," explains Sharbaugh.  Hold a fundraiser. Inviting CPAs in the community to a fundraiser in one's home is a good way to cement an existing relationship with a political figure. "You're helping raise money for them, you're getting them in contact with voters and the fact that it's in your home really personalizes it," Sharbaugh says. As an example of a recent program success, Sharbaugh points to a proposed amendment to this year's budget bill that would have greatly expanded CPAs' liability when auditing pension plans. The AICPA Washington office sent an action alert to key people, who contacted their representatives to express their concern. The amendment ultimately was withdrawn because of this pressure. "It's the response from people back home, complaining about an issue, that has the greatest impact," Sharbaugh says. "The grass roots is where the votes are," he concludes. "Lobbyists are useful resource pools, but the information they offer has to be backed up by people in the districts telling them, "This is a problem for me personally and I live here and vote for you. …

Field of study: Business