BOARD OF GOVERNORS ENDORSES ALTERNATE PATHWAY TO LICENSURE

Proposal Aims to Strengthen Pipeline, Maintain Standards, Support State Economy

At its August 12th meeting, the Board of Governors approved moving forward with a proposal for an alternate pathway to CPA licensure, with the intent of submitting related legislation during the 2026 session of the Mississippi Legislature. This initiative responds to concerns about declining accounting degree completions, growing workforce needs, and the burden imposed by the existing 150‑hour education requirement for CPA licensure.

Key Background

  • Over the past decade, accounting programs nationally, and in Mississippi, have seen steady declines in the number of graduates. One major barrier cited by students is the cost and time associated with completing 150 semester hours of education — often meaning a fifth year of college.
  • Over 30 states have already begun legislating alternative licensure paths. For example, Ohio, beginning January 1, 2026, will offer two pathways:
    1. Master’s degree + one year of professional experience + passing CPA exam; or
    2. Bachelor’s degree (with required accounting concentration) + two years of professional experience + passing CPA exam.
  • At the national level, the AICPA and NASBA have approved changes to the Uniform Accountancy Act (UAA) to allow a similar third pathway: Bachelor’s degree + two years of professional experience + passing the CPA exam, preserving existing pathways as options.

What the MSCPA Board Approved

  • The MSCPA Board established an Alternate Pathway to Licensure Task Force earlier in the year to examine potential alternate pathways. Members included representatives from public accounting firms, academia, and the State Board of Public Accountancy ex officio.
  • The task force was charged with producing a report to the MSCPA Board by August 2025, allowing for time to gather input, study other states’ models (especially neighboring states), and consult with the Mississippi State Board of Public Accountancy.
  • If the task force recommended legislation, MSCPA intends to present a bill in the 2026 legislative session.

Proposed/Model Alternate Pathway (per UAA / National Models)

Based on the national model (Uniform Accountancy Act) and other states’ legislation, the features of an alternate pathway include:

  1. Bachelor’s Degree with Accounting Concentration — students must still meet defined coursework or accounting concentration requirements defined by the State Board.
  2. Two Years of Professional Experience — “professional experience” would be determined by licensure board rules; could involve supervised work in public accounting, industry, government, or other relevant settings.
  3. Passing the Uniform CPA Examination.

This would be an optional path — candidates who prefer or meet the 150‑hour route (or the route requiring extra credits or a master’s degree) may still use that path. The alternative is intended to broaden access while maintaining public protection.

Potential Benefits

  • Improved Access / Equity: Reducing or modifying educational burdens can help students who may be delayed by cost or time, especially nontraditional students, working‑adults, or those from underserved communities.
  • Strengthening the Workforce Pipeline: An alternate path may increase the number of students choosing accounting as a major, reduce attrition, and supply more CPAs to serve the private, public, and governmental sectors in Mississippi.
  • Economic Growth: More CPAs can mean more capacity for business growth, increased tax compliance, and stronger financial oversight in both private and public sectors.
  • Maintaining Standards: By preserving the CPA exam and requiring sufficient accounting education and supervised experience, the quality and reliability of licensure can be protected.

Potential Concerns / Issues to Address

  • Ensuring that experience requirements are clearly defined and supervised to maintain consistency and protect consumers.
  • Making sure any alternate pathway does not erode confidence in the CPA credential among employers, regulators, and the public.
  • Possible adjustment in accounting education curriculum and capacity at universities to ensure accounting concentrations meet required rigor.
  • Coordination with the Mississippi State Board of Public Accountancy to align rules and ensure smooth regulatory transitions.
  • Budgetary or administrative costs for supervising, verifying experience, and managing licensure via multiple pathways.

Conclusion
The MSCPA’s approval of an alternate pathway to licensure marks a proactive step toward making the CPA profession more accessible, addressing workforce shortages, and responding to changing educational and economic realities — while preserving the integrity of the CPA credential and ensuring public protection. With legislative action, Mississippi can join other forward‑looking states in modernizing CPA licensure and strengthening its economic and professional future.