In September 2013, Senators Toomey (R-PA) and Manchin (D-WV) introduced a bill to prevent the Public Company Accounting Oversight Board (PCAOB) from requiring public companies to rotate audit firms periodically. The bill also requires a GAO cost-benefit study on mandatory audit rotation as well as study regarding whether mandatory audit rotation would mitigate against potential conflicts of interest between public accounting firms and issuers, mandatory audit firm rotation would impair audit quality, and additional independence reforms are necessary following the Sarbanes-Oxley Act.
This bill follows earlier Congressional hearings on the topic, as well as similar legislation approved in July 2013 by the House that would similarly prohibit the PCAOB from adopting mandatory audit firm rotation. Shortly after the PCAOB issued its proposal for mandatory audit firm rotation, the Forum filed a comment letter opposing that measure.
The text of the bill can be found here.