[Federal Register Volume 68, Number 152 (Thursday, August 7, 2003)]
[Notices]
[Pages 47110-47111]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 03-20132]


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SECURITIES AND EXCHANGE COMMISSION

[Securities Act of 1933 Release No. 8262/August 1, 2003 and Securities 
Exchange Act of 1934, Release No. 48276/August 1, 2003]


Order Approving Public Company Accounting Oversight Board Budget 
and Annual Accounting Support Fee for Calendar Year 2003

    The Sarbanes-Oxley Act of 2002 (the ``Act'') established the Public 
Company Accounting Oversight Board (``PCAOB'') to oversee the audits of 
public companies and related matters, to protect investors, and to 
further the public interest in the preparation of informative, accurate 
and independent audit reports. The PCAOB is to accomplish these goals 
through registration of public accounting firms, standard setting, 
inspection, and disciplinary programs. Section 109 of the Act provides 
that the PCAOB shall establish a reasonable annual accounting support 
fee, as may be necessary or appropriate to establish and maintain the 
PCAOB. Section 109(h) amends section 13(b)(2) of the Securities 
Exchange Act of 1934 to require issuers to pay the allocable share of a 
reasonable annual accounting support fee or fees, determined in 
accordance with section 109 of the Act. The aggregate annual accounting 
support fee may not exceed the PCAOB's aggregate ``recoverable budget 
expenses.'' section 109(f) of the Act provides that ``recoverable 
budget expenses'' may include operating, capital and accrued items. 
Section 109(b) of the Act directs the PCAOB to establish a budget for 
each fiscal year in accordance with the PCAOB's internal procedures. 
Section 109(b) of the Act also provides that the PCAOB's budget is 
subject to approval by the Commission.
    The PCAOB adopted a budget for calendar year 2003 at an open 
meeting on April 23, 2003, and submitted that budget to the Commission 
for approval on May 14, 2003. In accordance with its

[[Page 47111]]

responsibilities to oversee the PCAOB, the Commission has reviewed the 
budget proposed by the PCAOB for 2003. During the course of that 
review, among other things, we reviewed and relied upon representations 
and supporting documentation from the PCAOB. The Commission also has 
reviewed the aggregate accounting support fee for 2003, which will fund 
the PCAOB's expenditures. The Commission did not identify any proposed 
disbursements in the budget that are not properly recoverable through 
the annual accounting support fee, and the Commission believes that the 
aggregate proposed 2003 annual accounting support fee does not exceed 
the PCAOB's aggregate recoverable budget expenses for 2003. After its 
review, the Commission determined that the PCAOB's 2003 budget and 
annual accounting support fee are consistent with section 109 of the 
Act. Accordingly,
    It is ordered, pursuant to section 109 of the Act, that the PCAOB 
budget and annual accounting support fee for calendar year 2003 are 
approved.

    By the Commission.
Margaret H. McFarland,
Deputy Secretary.
[FR Doc. 03-20132 Filed 8-6-03; 8:45 am]
BILLING CODE 8010-01-P