Public Practice Advisory
Committee Charter
CPA Australia Ltd
ACN 008 392 452
1.
Definitions
Unless otherwise specified references to:
a)
The Chair refer to the Chair of the Public Practice Advisory Committee (PPAC);
b)
The Board refer to the Board of Directors of CPA Australia Ltd. (CPA Australia); and
c)
PPC refer to Public Practice Certificates (PPC).
2.
Why the Committee exists
The Board has established the PPAC to provide it with the best possible advice and forum for
consultation on issues relating to the public practice sector and on the development of strategies,
regulations and support services so that it may manage and enhance the reputation of members
working in the public practice sector.
3.
Purpose of PPAC
a)
The PPAC’s purpose is to advise the Board through management who in turn reports this advice
to the Board in relation to specific strategic questions and issues referred to it by the Board or
management through the Chief Executive Officer (CEO) or delegate;
4.
b)
The PPAC Chair will bring to attention of General Manager Public Practice (or equivalent) any
issues affecting public practitioners.
c)
The PPAC is an advisory committee; it is not a committee created under Article 54 of the
Constitution and has no power delegated by the Board. The Board retains the responsibility to
develop and implement strategy for CPA Australia including public practice strategy and
regulation.
d)
The PPAC has no power or authority to bind, instruct or direct the Board on any matter
(including in relation to member issues or any issue considered by the PPAC under this charter)
and it has no power to direct management on any matter.
Objectives of the Committee
a)
Subject to paragraphs 4 (b) and (c), the PPAC must:
i)
provide advice to management to assist it in developing recommendations in relation to:
·
the strategic oversight of the Public Practice Programs including their ongoing
development and maintenance in accordance with the education policy of CPA
Australia;
·
·
ii)
iii)
iv)
v)
vi)
vii)
5.
current and anticipated trends in the public practice sector both within Australia
and internationally, that may have an impact on CPA Australia’s reputation, its
ability to attract new members, its standing amongst employers or its relationship
with governments, regulators or other stakeholders;
the ways in which CPA Australia policy (for example, in the areas of Public
Practice By-Laws and acceptable operating structures) might affect CPA
Australia’s reputation particularly in respect of its ability to self-regulate; and
provide advice in respect to professional indemnity insurance and limitation of liability of
members;
act as the Scheme Administration Committee pursuant to the respective Professional
Standards Acts that apply throughout Australia including (Professional Standards Act
1994 (NSW), Professional Standards Act 1997 (WA), Civil Law (Wrongs) Act 2002
(ACT), Professional Standards Act 2003 (VIC), Professional Standards Act 2004 (SA),
Professional Standards Act 2004 (QLD), Professional Standards Act 2004 (NT) and
Professional Standards Act 2005 (TAS);
provide guidance on management initiatives pertinent to members’ needs with respect to
any schemes assisting with limiting liability of public practitioners, including but not
limited to the Trade Practices Act and Professional Standards Scheme;
monitor the development of any proposed changes in strategic direction recommended
by the General Manager Public Practice (or equivalent);
ensure achievement of effective and co-operative communications and interaction
between the PPAC and divisional sector committees, advisory panels and CPA Australia
management; and
consider and where applicable make recommendations in relation to broader
professional development issues raised directly by members.
b)
The responsibilities of the PPAC do not extend to:
i)
setting strategy;
ii)
approving implementation actions carried out by management; or
iii)
monitoring staff performance or outcomes (although management must keep the PPAC
informed about the progress of recommendations that the PPAC has made, and the
progress of initiatives that have been agreed as part of the PPAC’s annual program).
c)
Other than management and the Board, the PPAC is not obliged to take direction from, or to
provide advice, or answer any questions from, any division, branch or other governance group.
However, it will consider, and where applicable, make recommendations in relation to issues
raised by divisions or other business units or stakeholders.
Composition of PPAC
a)
Membership
The PPAC must consist of six to eight members of CPA Australia appointed by the Board.
b)
Secondments
i)
the PPAC may decide to second other suitably qualified persons, who need not be
members of CPA Australia, to the PPAC to assist it in achieving its objectives;
ii)
such persons may attend up to two meetings of the PPAC per year; and
iii)
the Chair must first discuss any proposed secondment with the CEO or delegate.
6.
c)
Expertise
In appointing members to the PPAC, the Board should endeavour, but is not obliged, to appoint:
i)
two or more members who live and work in public practice outside Australia;
ii)
a member who has completed the CPA Program and is an employee in a public practice
firm;
iii)
three to four Australian members who hold a CPA Australia Public Practice Certificate,
with two or three members being principals in firms that trade as CPA practices; and
iv)
members who specialise in audit, insolvency, financial advisory services, or who have
substantial experience in risk management or insurance.
d)
A member of the PPAC may fall into more than one of the above categories.
e)
Management, or the Chair in consultation with management, may provide recommendations to
the Board on the proposed appointments to the PPAC, for approval by the Board. Board
approval is not required where a secondment is proposed under paragraph 5 (b).
f)
It is expected that membership of the PPAC will be renewed as members retire; with
management assisting the Board to undertake a review of the composition of the PPAC every
two years, to ensure that members have sufficient expertise and knowledge of the issues being
addressed by the PPAC.
Chair
a)
It is recommended that the Chair be a high profile and prominent member of CPA Australia who
holds a CPA Australia Public Practice Certificate preferably with significant expertise in
governance committees (such as the Divisional Public Practice Committee).
b)
7.
Tenure
a)
Subject to paragraph 7 (b) below, members of the PPAC (including the Chair) will be appointed
for an initial term of two years subject to annual confirmation by the Board. Members of the
PPAC may be renominated for two further terms of two years each, but may not serve on the
PPAC for more than six years.
b)
8.
In accepting membership of the PPAC, its members acknowledge that the skills and experience
required may change as CPA Australia’s public practice strategy evolves.
Committee Secretary
a)
The Committee Secretary will be the General Manager Public Practice (or equivalent) or
delegate. Administrative support will be provided by the public practice team (or equivalent)
department of CPA Australia.
b)
9.
The Chair will be appointed for a term of two years.
Company Secretariat will liaise with the public practice team in relation to reporting to the Board.
Meetings and business of the PPAC
a)
The PPAC may meet up to four scheduled times a year, subject to the requirement for additional
unscheduled meetings to be approved as set out in this charter.
b)
The PPAC may meet either in person or by telephone or by any other means of communication
by which all persons participating in the meeting are able to hear and be heard by all other
participants. A meeting conducted by telephone or other means of communication is deemed to
be held at the place agreed upon by the persons attending the meeting, provided that at least
one of the persons present at the meeting was at that place for the duration of the meeting.
c)
The Chair should consider calling an unscheduled meeting if requested to do so by not less than
three members of the PPAC. Where an unscheduled meeting is to be held in person, the Chair
should first obtain the approval of the Chief Operating Officer Member Services (or equivalent)
prior to scheduling the meeting.
d)
In the case of meetings held in person, the PPAC should meet at the location that is the most
cost effective for all PPAC members and attendees to travel to and approved by the Chief
Operating Officer Member Services (or equivalent) as part of the PPAC’s annual program. If the
Chair wishes to meet at a location other than the most cost effective, he or she must first obtain
the Chief Operating Officer Member Services (or equivalent)’ approval prior to scheduling the
meeting in that location.
e)
In the Chair’s absence, the remaining committee members must elect from one of their number,
a chair for that meeting.
10.
Quorum
A majority of members of the PPAC will constitute a quorum. The quorum must be present for the entire
meeting.
11.
Attendance at meetings
a)
Any member of the Board, the CEO or delegate may attend any meeting of the PPAC.
b)
The Committee Secretary or delegate may attend any meeting.
c)
Any employee or member of CPA Australia, or any other person, including non-members may
attend meetings of PPAC subject to the agreement of the Chair and the General Manager
Public Practice (or equivalent).
12.
PPAC papers
The Committee Secretary must distribute in advance of a meeting an agenda and any related papers
to:
a)
each member of the PPAC;
b)
on request, the CEO or any member of the Board; and
c)
any other person to whom the Chair directs the Committee Secretary to send papers.
13.
PPAC Minutes
a)
The Committee Secretary must prepare minutes of meetings and forward them to the Chair for
approval within ten working days of the meeting.
14.
b)
Minutes of meetings must be confirmed at the next meeting of the PPAC and signed by the
Chair as soon as practicable following approval; and
c)
On request, minutes of PPAC meetings must be made available to the CEO, Company
Secretary or any member of the Board.
Expenses
a)
Members of the PPAC attending any meeting of the PPAC will be entitled to such reasonable
travel, accommodation and other expenses in accordance with CPA Australia policies approved
by the Board.
b)
If any member of the PPAC requires clarification as to whether or not their expenses will be
reimbursed by CPA Australia, they should address the enquiry to the General Manager Public
Practice (or equivalent) in the first instance.
c)
PPAC members must seek reimbursement as soon as practicable after incurring the expense.
15.
Code of Conduct
The members of the PPAC must comply with CPA Australia’s Code of Ethics for Professional
Accountants and any code for volunteers or committee members approved by the Board and amended
from time to time. These Codes are available on request.
16.
Budgets
The PPAC does not have responsibility for setting or approving budgets. It has no power other than as
specifically set out in this charter to incur any costs or commit CPA Australia to any payment, other
than as approved by management.
17.
Reporting to the Board
a)
Management must report to the Board upon request concerning:
i)
the work undertaken by the PPAC;
ii)
matters requiring approval or endorsement from the Board;
iii)
matters about which the PPAC believes the Board ought to be informed in respect of
public practice strategy; and
iv)
any other matter relevant to the PPAC’s role and responsibilities.
b)
If there are fundamentally opposing views between the PPAC and management on matters
being considered by the PPAC, the Chair, the Chief Operating Officer Member Services (or
equivalent) and the General Manager Public Practice (or equivalent) must ensure that these
matters are brought to the attention of the President and that the Board is made aware of each
of the opposing views. The Board may make any determination on these matters that it thinks
fit.
Approved by the Board: June 2008
Amended: 30 August 2012