Peer Review

Peer Review

Welcome to KyCPA Peer Review! We are dedicated to enhancing and promoting the quality of accounting, auditing and attestation services performed by Kentucky firms in public practice. Peer review is also required by the Kentucky State Board of Accountancy for all Kentucky firms that perform audits, reviews, or compilations. The KyCPA is approved and in charge of administering the peer review program in Kentucky according to AICPA Peer Review Program standards. In this function, we serve as a resource by assisting firms from enrollment to scheduling reviews to finalizing a firm's report through the committee acceptance process. The Society administers peer reviews for AICPA and/or KyCPA member firms, as well as non-member firms.

When should a firm enroll in PRP? When it performs an audit, agreed-upon procedure, review, or compilation. A firm's initial review is ordinarily due 18 months from the date it enrolls (or should have enrolled) in the program.

A peer review is an evaluation of a one-year period and is generally is done every three years. There are two types of peer reviews:

  • System. The System Review is the highest level of review that determines whether a firm's quality control system for its A&A practice is designed and complied with to provide the firm with reasonable assurance of performing and reporting in conformity with applicable standards. It is required for firms that perform engagements under the Statement on Auditing Standards (SASs), the Government Auditing Standards (Yellow Book), examinations of prospective financial information under the Statement of Standards for Attestation Engagements (SSAEs), examinations of service organizations (SOC 1, 2 or 3 reports), or audits of non-SEC issuers performed pursuant to the standards of the PCAOB. A System Review is almost always done on-site.
  • Engagement. The Engagement Review evaluates whether engagements submitted for review are performed and reported on in conformity with applicable professional standards in all material respects. It is done for firms that perform services under Statements on Standards for Accounting and Review Services (SSARS) or under the SSAEs not included in System Reviews. An Engagement Review is completed off-site.

Because Peer Review is mandatory in Kentucky for firms that perform audits, reviews, or compilations, Peer Review results must be submitted to the Kentucky State Board of Accountancy (KSBA) at the completion of the review. To assist firms in satisfying this requirement, a secure web site accessible only by the KSBA, called the Facilitated State Board Access (FSBA) web site, was created. Firms may "opt in" to the process requesting that the documents, including the report and letter of response, if needed, the committee acceptance letter and review completion letter, if needed, be uploaded by the KyCPA Peer Review Manager to the site. Firms may "opt out" of that process but will then be responsible for submitting the documents themselves. Also, as part of the requirement and per Kentucky Administrative Regulation 201KAR1:160, which was effective in January 2012, if a firm receives a either a fail or second successive pass with deficiencies report grade, the required peer review documents will automatically be made available to the KSBA via FSBA within the timeframes specified in the regulations. This means that if the firm chooses to opt out and receives either a fail or second successive pass with deficiencies report grade, the opt out selection will no longer be applicable and the firm's peer review documents will be made available as described above.

IMPORTANT: Effective May 1, 2017, all firms will enroll in the peer review program and will schedule and manage their peer reviews in the Peer Review Integrated Management Application, or PRIMA. PRIMA is an all-electronic, interactive, web-based tool that provides a platform that will allow us to change and adapt faster to the needs of practice monitoring and our users. It will bring new and improved features and more opportunities for firm self-service. Updated functionality for the Public File, Reviewer Search and Facilitated State Board Access (FSBA) will also be integrated into this new website, with access continuing to be available on the website. You can read more about the new self-service site, including opportunities for training, here: PRIMA. This new tool will be utilized for all firms enrolled in peer review, whether they're members of the AICPA or not.

For questions about enrolling in or scheduling a Peer Review, please contact Julie Salvaggio at 502.736.1360 or 800.292.1754, or by email at For questions of a technical nature, contact the Peer Review Program's technical reviewer, Alan Long, CPA, at

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