PCAOB approves 2006 budget; reduces fees.

• Position: National

The PCAOB approved a budget for 2006 that will allow for a reduction in the support fees paid by publicly traded companies.

The approved budget contains $128.4 million in expenditures for 2006, a figure that will allow the board to fulfill its mandate under Sarbanes-Oxley (SOX) to oversee the auditors of public companies.

PCAOB's budget will form the basis for the board's 2006 assessment of accounting support fees on public companies. The board will also use an excess of its capital reserve to reduce the accounting support fee from $136 million, which was assessed in 2005, to $109.3 million in 2006.

The majority of the board's outlays will be for salaries and operations-related expenses. These budget outlays are primarily related to the hiring and retention of the experienced auditors needed to conduct inspections of registered CPA firms, significant travel, and the maintenance of...