Role of Enrolled Agents Dates Back to Civil War Days

It isn’t often that an interview results in a dinner invitation, but that was the case after speaking with Robert Woodford for a story that was part of the special report on accounting in the Aug. 1 edition. Woodford is an enrolled agent here in the Valley, and he invited me to attend the monthly meeting of the San Fernando Valley chapter of the California Society of Enrolled Agents to learn more about what he and his colleagues do. When I took over the finance beat several months ago, I had never heard the term enrolled agent. I knew what a certified public accountant was, but enrolled agents were new to me. Fortunately, the Aug. 8 meeting I attended included a history lesson of sorts from society President Jean Nelsen. Enrolled agents date back to the late 19th Century, although they would not take on that title for another eight decades. Their original function was representing U.S. citizens seeking reimbursement for having their horses and livestock commandeered by Union forces during the Civil War. After the income tax was instituted in 1913, these agents could represent citizens on tax matters. But it wasn’t until 1959 that a special enrollment exam was created to qualify representatives going before the IRS. In 1966, the Treasury Department began using the enrolled agent title for the professionals it licensed. There are 50,000 enrolled agents in the U.S., and about 14,000 of them are here in California, Nelsen said. The Valley chapter of the society has about 200 members out of which about 50 attended the monthly meeting at the 94th Aero Squadron restaurant at the Van Nuys Airport. I met and spoke with several enrolled agents who were welcoming and offered a snapshot of the profession. It is a popular second career and a profession that appeals to ex-military, Nelsen said. And why is that? “They are rule followers,” she said. Woodford, who practices out of Mission Hills, falls into that category. Retired from the U.S. Navy, Woodford said the occupation he had in the service could not easily transfer to civilian life, so he needed to learn another skill. Before retiring from the Navy, Woodford said he earned an accounting degree. Jeremy Streeter, an agent from Tarzana, was a musician and worked in retail sales at a men’s specialty store before becoming an enrolled agent. He said he typically found himself unemployed during February, March and April and had wanted to find a new career where he could work year-round. Tax preparation fit the bill, Streeter said, noting it was something he adapted to nicely and embraced. Having written a previous column item about accountant/musician Rick Parent in the July 18 edition, I asked Streeter if he found similarities in the subjects, as Parent said he had. Streeter said he did — at least to some extent. “While there is math in music,” Streeter said, “you will never make music by mathematical means.” My contact with Woodford — a former president of the Valley chapter of the society — started with a story about fee pressure in the accounting industry. One accountant told me that enrolled agents contributed to a drop in price for tax preparation services, and I had contacted Woodford to get his reaction. He told me he disagreed with that notion. Nelsen said she read that story and found it interesting because enrolled agents are not suppose to discuss fees with each other. She took issue with the idea that her profession has contributed to any fee pressure for tax work. “The economy is driving down the price of everything,” Nelsen said. A New Priority Union Bank opened this month a new priority banking unit in Porter Ranch to serve affluent individuals, families and small business owners. Mark Auh, a priority banking relationship manager, will oversee the new office at 19921 Rinaldi St. Priority banking units serve clients maintaining a minimum of $100,000 on deposit in any combination of personal and business banking, investment or retirement accounts. By expanding the priority banking network in the region, Union Bank further enhances its presence and service for valued clients, said Senior Vice President and Regional Executive Leticia Aguilar. Auh is a resident of Porter Ranch and has been in the banking industry for 20 years. Prior to joining Union Bank, he was a financial consultant for Wells Fargo Investments, an agent responsible for sales and marketing at Allstate Insurance, and a senior loan consultant originating mortgages at ACE Capital Lending. “We are thrilled to have Mark bring his experience and knowledge of the industry to the Priority Banking unit as we provide customized banking solutions to our existing and new clients in the greater Los Angeles area,” Aguilar said. New Head Angel Investment group Maverick Angels has named Patrick Henry as its new president for the Southern California chapter. Henry replaces Bill Barber, who will continue as a member of the investor organization. Henry is a startup investor and advisor, and also has served as an assistant professor at USC’s Greif Center for Entrepreneurial Studies in the Marshall School of Business, said CEO Julia Dilts, in a letter to the members of the Thousand Oaks-based group. “Patrick’s breadth of entrepreneurial knowledge and wisdom make him the perfect fit to preside over the Maverick Angels Southern California Chapter,” Dilts said. “He will add tremendous value to Maverick Angels through his extensive and impressive network from USC and throughout his many activities and associations.” Mortgage Help Chase opened a homeownership center this month in Camarillo where borrowers facing foreclosure can meet with an advisor. The Camarillo site is one of 18 that Chase will open in California this year. Camarillo was chosen for its central location within Ventura County and for its close proximity to the naval base in Ventura, said Chase spokesman Gary Kishner. The centers are open six days a week and only do modifications to existing mortgages, Kishner said. “The loan counselor will help (the borrower) fill out the application or review it and then enter it into the system and educate the borrower on what their options are,” Kishner said. Chase has a homeownership center in Northridge to serve the San Fernando, Santa Clarita and Antelope valleys, and one in Glendale to serve borrowers in the San Gabriel Valley. Staff Reporter Mark Madler can be reached at (818) 316-3126 or by e-mail at [email protected] He’s avoided checking the balance of his 401(k) account for the past month not wanting to see how much it’s lost due to the ups and downs of the stock market.