The SEC staff made remarks recently at an SEC Regs committee meeting further detailing their views on companies' transition to the COSO: 2013 Internal Control Integrated Framework. Learn more about COSO: 2013 on our webcast at Noon ET today
, the sixth in our six-part series, with today's installment focusing on the Monitoring component of COSO's internal control framework. If control, efficiency, and effectiveness are your thing, check out our 2pm ET webcast as well.
When COSO issued its updated Internal Control-Integrated Framework in May, 2013 ("COSO: 2013"), it announced it would deem its landmark 1992 Internal Control-Integrated Framework to be "superceded" by the 2013 framework as of 12/15/14, and that companies that make public assertions (such as Sarbox assertions on the effectiveness of internal control over financial reporting) that make reference to a particular internal control framework used (such as COSO), should disclose which version of the COSO framework they are using, i.e. the 1992 framework or the 2013 framework.
We reported earlier this year on remarks made by SEC Chief Accountant Paul Beswick regarding transition to COSO: 2013.
According to the Minutes of the September SEC Regs Committee meeting, the following additional statement was made by the staff of the SEC's Office of the Chief Accountant:
The staff indicated that the longer issuers continue to use the 1992 framework, the more likely they are to receive questions from the staff about whether the issuer’s use of the 1992 framework satisfies the SEC's requirement to use a suitable, recognized framework (particularly after December 15, 2014 when COSO will consider the 1992 framework to have been superseded by the 2013 framework).
Props to Tammy Whitehouse
of Compliance Week, who reported on the publication of the SEC Regs Committee's September minutes in her article earlier this week, SEC Drops New Hint: Update to New COSO Framework.
Personally, I'm not sure the SEC ever just "drops a hint"...
so I'd suggest folks tune into our webcast, the 6th in our 6-part series on COSO: 2013,
which begins at at noon ET today. The cost is $25 for FEI members, $50 for nonmembers, and the one-hour webcast offers 1 CPE. Today's webcast features Patty Salkin of Deloitte speaking on the updated Monitoring component of the COSO framework. You do not have to have tuned into our previous 5 webcasts on COSO:2013 to gain a great deal of useful information from today's webcast.
And... folks that have an interest in controls, efficiency and effectiveness, and process improvements, are encouraged to check out this 2pm webcast brought to you by Hyland Software