VSCPA Supports Financial Literacy Legislation

With the Virginia General Assembly in full swing, the VSCPA is actively supporting, lobbying for and monitoring key legislation that will affect the CPA profession and protect the public at large.

On January 17, 2007, the VSCPA supported proposed legislation addressing financial literacy.

Promoting Financial Literacy to Virginia's Students (Please note: This bill has been amended.)

HB 2513 would require all first-time freshmen at Virginia's public two- and four-year colleges and universities to complete a one-hour course on economics and financial literacy. The bill would allow for leeway in how schools could design the course. For example, schools could incorporate the course into an orientation process, a prerequisite course or some other manner.

The bill offers potential course topics, such as basic personal finance, student loan management, debt management and identity theft.

The legislation would also require Virginia's State Council for Higher Education to encourage private colleges and universities in the Commonwealth to include economics and financial literacy education principles in the orientation process.

Currently, Virginia colleges and universities are required to promote the development of student life skills in the areas of economic education and financial literacy through existing general education courses, the freshman orientation process or another appropriate venue. (The revised legislation would require an actual course, as opposed to simply promoting certain skills in an existing course.)

HB 2513 has passed the House and is now being considered by the Senate Finance Committee.

The VSCPA is an avid supporter of financial literacy initiatives in the Commonwealth. Through its award-winning Financial Fitness campaign, the VSCPA encourages Virginians to become financially literate through positive money management practices. More information on the VSCPA's Financial Fitness programs and resources, including the first-ever Virginia Financial Literacy Month in April, is available on its consumer Web site at www.FinancialFitness.org.

The VSCPA has a history of actively encouraging the inclusion of financial literacy education in Virginia's schools. On March 26, 2005, Gov. Mark Warner signed a bill, supported by the VSCPA, to require Virginia's public middle and high schools and higher education public institutions to provide instruction in economics education and financial literacy. The VSCPA urged General Assembly members to support the bill and improve the fiscal health of young adults.

And in February 2006, the VSCPA urged the Virginia Board of Education to amend its Standards for Accrediting Public Schools in Virginia to include a personal finance course in graduation requirements for all Virginia high schools.

For the past several years, the VSCPA has made promoting financial literacy a top goal for the association. Offering a comprehensive financial literacy initiative is one of the VSCPA's top five goals for 2006–2009. And, continuing to work on changing the Virginia Standards of Learning (SOL) to include a component to test on financial literacy topics by 2008 is part of the VSCPA's legislative agenda.

Stay tuned to the www.FinancialFitness.org Web site for the most up-to-date information on the VSCPA's financial literacy efforts.