Page:United States Statutes at Large Volume 116 Part 1.djvu/797

 PUBLIC LAW 107-204-^ULY 30, 2002 116 STAT. 771 a particular class, as applicable) in an amount equal to the total of such amount, multiplied by a fraction— (1) the numerator of which is the average monthly equity market capitalization of the issuer for the 12-month period immediately preceding the beginning of the fiscal year to which such budget relates; and (2) the denominator of which is the average monthly equity market capitalization of all such issuers for such 12-month period. (h) CONFORMING AMENDMENTS.— Section 13(b)(2) of the Securities Exchange Act of 1934 (15 U.S.C. 78m(b)(2)) is amended— (1) in subparagraph (A), by striking "and" at the end; and (2) in subparagraph (B), by striking the period at the end and inserting the following: "; and "(C) notwithstanding any other provision of law, pay the allocable share of such issuer of a reasonable annual accounting support fee or fees, determined in accordance with section 109 of the Sarbanes-Oxley Act of 2002.". (i) RULE OF CONSTRUCTION.— Nothing in this section shall be construed to render either the Board, the standard setting body referred to in subsection (a), or both, subject to procedures in Congress to authorize or appropriate public funds, or to prevent such organization from utilizing additional sources of revenue for its activities, such as earnings from publication sales, provided that each additional source of revenue shall not jeopardize, in the judgment of the Commission, the actual and perceived independence of such organization. (j) START-UP EXPENSES OF THE BOARD.— From the unexpended balances of the appropriations to the Commission for fiscal year 2003, the Secretary of the Treasury is authorized to advance to the Board not to exceed the amount necessary to cover the expenses of the Board during its first fiscal year (which may be a short fiscal year). TITLE II—AUDITOR INDEPENDENCE SEC. 201. SERVICES OUTSIDE THE SCOPE OF PRACTICE OF AUDITORS. (a) PROHIBITED ACTIVITIES. — Section lOA of the Securities Exchange Act of 1934 (15 U.S.C. 78j-l) is amended by adding at the end the following: "(g) PROHIBITED ACTIVITIES.— Except as provided in subsection (h), it shall be unlawful for a registered public accounting firm (and any associated person of that firm, to the extent determined appropriate by the Commission) that performs for any issuer any audit required by this title or the rules of the Commission under this title or, beginning 180 days after the date of commencement of the operations of the Public Company Accounting Oversight Board established under section 101 of the Sarbanes-Oxley Act of 2002 (in this section referred to as the 'Board'), the rules of the Board, to provide to that issuer, contemporaneously with the audit, any non-audit service, including— "(1) bookkeeping or other services related to the accounting records or financial statements of the audit client; "(2) financial information systems design and implementation;

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