Legislature(2009 - 2010)HOUSE FINANCE 519
03/23/2009 01:30 PM House FINANCE
| Audio | Topic |
|---|---|
| Start | |
| HB86 | |
| HB78 | |
| Adjourn |
* first hearing in first committee of referral
+ teleconferenced
= bill was previously heard/scheduled
+ teleconferenced
= bill was previously heard/scheduled
| + | TELECONFERENCED | ||
| + | HB 78 | TELECONFERENCED | |
| + | HB 86 | TELECONFERENCED | |
| + | TELECONFERENCED |
HOUSE FINANCE COMMITTEE
March 23, 2009
1:34 p.m.
1:34:37 PM
CALL TO ORDER
Co-Chair Stoltze called the House Finance Committee meeting
to order at 1:34 p.m.
MEMBERS PRESENT
Representative Mike Hawker, Co-Chair
Representative Bill Stoltze, Co-Chair
Representative Bill Thomas, Jr., Vice-Chair
Representative Allan Austerman
Representative Anna Fairclough
Representative Richard Foster
Representative Reggie Joule
Representative Mike Kelly
MEMBERS ABSENT
Representative Harry Crawford
Representative Les Gara
Representative Woodie Salmon
ALSO PRESENT
Konrad Jackson, Staff, Representative Kurt Olson; Pat
Davidson, Legislative Auditor, Legislative Audit Division,
Legislative Affairs Agency
PRESENT VIA TELECONFERENCE
None
SUMMARY
Confirmation: Ronald Brown - State Assessment Review Board
Postponed
HB 78 "An Act extending the termination date of the
Board of Public Accountancy; and providing for an
effective date."
HB 78 was REPORTED out of Committee with a "do
pass" recommendation and with fiscal note #1 by
the Department of Commerce, Community and Economic
Development.
HB 86 "An Act extending the termination date of the
Board of Veterinary Examiners; and providing for
an effective date."
HB 86 was REPORTED out of Committee with a "do
pass" recommendation and with fiscal note #1 by
the Department of Commerce, Community and Economic
Development.
1:36:01 PM
HOUSE BILL NO. 86
"An Act extending the termination date of the Board of
Veterinary Examiners; and providing for an effective
date."
KONRAD JACKSON, STAFF, REPRESENTATIVE KURT OLSON, explained
that HB 86 extends the termination date of the Board of
Veterinary Examiners. He observed that the Committee
members had a report by Legislative Audit with their
recommendations. One of the recommendations is an eight-
year extension of the Board.
Co-Chair Stoltze noted last year's legislative work to
revise statutes related to veterinary medicine.
1:37:18 PM
PAT DAVIDSON, LEGISLATIVE AUDITOR, LEGISLATIVE AUDIT
DIVISION, LEGISLATIVE AFFAIRS AGENCY, addressed two issue in
the audit. The first is that vacancies on the board need
to be filled in a timely manner. The Board of Veterinary
Examiners is a volunteer board and full memberships makes
operation of the board easier. It was found that the board
was operating effectively and in the public's interest.
Ms. Davidson reported on the second recommendation. In the
financial analysis, it was determined that licensing fees
should be reduced because there is a growing surplus.
Mr. Jackson offered to answer questions.
Co-Chair Stoltze pointed out a concern about the shortage in
Alaska of large animal practice veterinary medicine.
1:39:37 PM
Representative Foster wondered why a member of the public
would need to be on the board. The vacancy has not been
filled since last November. He pointed out that with only
four board members there would not be enough members to have
a quorum.
Mr. Jackson reported that one of the vacancies has been
filled and is ready for confirmation by the legislature. He
thought there was a problem of filling the member quota on a
number of boards.
1:41:47 PM
Representative Joule wondered if the lack of interest was
due to requirements of disclosure. Ms. Davidson had not
heard of that problem. She did not believe the vacancies
were a result of Representative Joule's concern.
Mr. Jackson addressed the issue of ethics laws and reported
that he has not seen it as a detriment to filling the
boards.
1:43:57 PM
Co-Chair Stoltze asked if the vacancy problem was a recent
one. Ms. Davidson did not know. She reported that most
boards under sunset review had similar concerns with filling
their boards.
Representative Austerman recalled subcommittee discussions
about professional licensing. He wondered if it was normal
for boards to carry a similar large balance of $271,000
related to their licensing fees. Ms. Davidson related that
by statute, each of the boards is supposed to be self
supporting. They should have close to a net zero balance.
There is a concern about a growing surplus in future years
for the Board of Veterinary Examiners. She recommended that
the fees be reduced. There is a lot of variation, but the
goal is to approach zero within their two-year budgets.
Representative Austerman asked if the fees are set by
regulation. Ms. Davidson reported that they are set by the
Division of Legislative Audit in coordination with the
board.
1:47:10 PM
Representative Foster recalled in 1991 there were 116 boards
and commissions. Governor Hickle left office with 121
boards and commissions in spite of resolving to reduce them.
Co-Chair Stoltze noted a fiscal note for $65,000 from the
Department of Commerce, Community and Economic Development.
1:49:34 PM
Co-Chair Hawker MOVED to REPORT HB 86 out of Committee with
individual recommendations and the accompanying fiscal note.
There being NO OBJECTION, it was so ordered.
HB 86 was REPORTED out of Committee with a "do pass"
recommendation and with fiscal note #1 by the Department of
Commerce, Community and Economic Development.
1:50:52 PM
HOUSE BILL NO. 78
"An Act extending the termination date of the Board of
Public Accountancy; and providing for an effective
date."
Mr. Jackson explained the Board of Public Accountancy shares
some of the same issues as the Board of Veterinary
Examiners. The big difference is that there is a four-year
extension for the Board of Public Accountancy as recommended
by Legislative Audit.
Ms. Davidson informed the Committee that under professional
auditing standards one of the most important standard is
that auditors be independent of the organization they are
auditing. She explained that Legislative Audit is not
independent with respect to the Board of Public Accountancy.
She clarified that a consultant was hired to conduct the
audit. The contract required that the consultant perform
the audit according to the same statutory areas that
Legislative Audit would have used.
Ms. Davidson read the conclusion of the audit:
In recognition of the board's continuing efforts to
utilize the services provided by the National
Association of State Boards of Accountancy and the
potential for additional statutory regulatory changes,
the recommendation was for a four-year extension rather
than the typical eight-year.
Ms. Davidson shared the report's three recommendations:
board membership be filled in a more timely manner, fees
need to be re-evaluated with the intent of reducing them,
and the Investigation Section should implement an effective
case tracking system.
Ms. Davidson gave an example of problems within the case
management system. This recommendation would address case
management systems in all occupational boards.
1:53:24 PM
Co-Chair Stoltze summarized that the shorter extension is
because the board is looking at outsourcing some of their
services and restructuring.
Co-Chair Stoltze noted a fiscal note from the Department of
Commerce, Community and Economic Development. He pointed
out that costs were paid by activities, licensees, and other
fees.
1:54:57 PM
Co-Chair Hawker MOVED to REPORT HB 78 out of Committee with
individual recommendations and the accompanying fiscal note.
There being NO OBJECTION, it was so ordered.
HB 78 was REPORTED out of Committee with a "do pass"
recommendation and with fiscal note #1 by the Department of
Commerce, Community and Economic Development.
ADJOURNMENT
The meeting was adjourned at 1:59 PM.
| Document Name | Date/Time | Subjects |
|---|---|---|
| 02_HB78_Sponsor_Statement.pdf |
HFIN 3/23/2009 1:30:00 PM |
HB 78 |
| 02_HB86_Sponsor_Statement[1].pdf |
HFIN 3/23/2009 1:30:00 PM |
HB 86 |
| 04_HB78_LBA_Audit_Summary__08-20056-09.pdf |
HFIN 3/23/2009 1:30:00 PM |
HB 78 |
| 05_HB78_LBA_Full_Audit_Report__08-20056-09.pdf |
HFIN 3/23/2009 1:30:00 PM |
HB 78 |
| Division of Legislative Audit digest.doc |
HFIN 3/23/2009 1:30:00 PM |
HB 86 |
| 05_HB86_LB&A_Report[1].pdf |
HFIN 3/23/2009 1:30:00 PM |
HB 86 |
| State Assessment Review Board Brown.pdf |
HFIN 3/23/2009 1:30:00 PM |
HB 86 |