Statement on the Approval of the Board’s 2023 Budget and its 2022-2026 Strategic Plan

Remarks as prepared for delivery

This is an important day.

The Board’s 2023 budget and its linked five- year strategic plan show what we’ve learned in our first year as a Board, and the direction we’re setting for the future.

I support adoption of both, and I want to complement Chair Williams and the PCAOB staff for their hard work on both the Budget and Strategic Plan.

The proposed Budget’s numbers reflect the economic realities the PCAOB faces. Like many other organizations, inflation, staff turnover, and the War for Talent are affecting the PCAOB.

The new Statement of Protocol with the Peoples Republic of China is a major step. But to implement it, we need funding to conduct audit inspections and, if necessary, investigations, without compromising our existing inspection and enforcement programs. 

Not surprisingly today’s Budget reflects the priorities and direction presented in our Strategic Plan.

At the risk of repeating what others have said, I would like to focus on three important takeaways:

First, the PCAOB is committed to updating our standards, running a vigorous inspection program, and to improving our enforcement efforts, all to protect investors and the markets. These programs are linked; they all must go forward together, and the plan recognizes that.

Second, we are committed to listening to different views to inform our work. This includes learning from our Investor Advisory Group and Standards and Emerging Issues Advisory Group.

It also means reaching out to academics, individual investors, audit committees, corporate financial officers, audit professionals, and our colleagues at other independent audit regulators. The more we listen, the better we will be as audit regulators.

Finally, the Plan commits us to radically improving the work experience of our employees. After two years of pandemic, this is a high priority for all of us.

The Budget and the Strategic Plan didn’t just appear. They represent the dedicated efforts of many people at the PCAOB.

For the Budget, I would like to particularly thank Holly Greaves, Jim Hearn, Yoss Missaghian, Alfredo Azocar, and Marcia Saavedra.

For the Strategic Plan, I want to recognize Martha Kidd, Andrew Gillies and Brandi Boykin, Annie Yan, and Phoebe Brown.

The Budget and Strategic Plan will help us navigate our path forward, and I support their adoption.