HB 274-EXTEND: BD OF PSYCHOLOGISTS/PSYCH ASSOC.  1:47:39 PM CHAIR COSTELLO reconvened the meeting and announced the consideration of HB 274. 1:48:08 PM CAITLYN ELLIS, Staff, Representative Sam Kito III, Alaska State Legislature, Juneau, Alaska, said the bill extends the Board of Psychologist and Psychological Associate Examiners for the full eight-year extension. The board regulates 285 licensees and is due to sunset this year. The board meets quarterly. The audit had two recommendations. The board should reduce fees and procedures should be implemented to ensure that courtesy licenses comply with monthly reporting requirements. The board and department agree with both, and steps have been taken to implement them. 1:49:06 PM KRIS CURTIS, Legislative Auditor, Legislative Audit Division, Alaska State Legislature, Juneau, Alaska, reviewed the October 2017 audit findings related to HB 274. She said overall, the audit concludes the board served the public's interest by effectively licensing and regulating psychologists and psychological associates. The board monitored licensees and worked to ensure only qualified individuals practice in Alaska. They recommend the maximum eight-year extension allowed for in statute. MS. CURTIS directed the committee's attention to Exhibit 2, a schedule of licensing activity, on page 5 of the audit. As of March 2017 there were 285 licensees, which represents a 174 percent increase from 2009. MS. CURTIS noted the schedule of revenues and expenditures on page 7. She said the board had a surplus of almost $400,000 at the end of FY2017. The audit noted that the board increased the licensing fees in FY2017 despite the large surplus. The surplus was not considered with the fee analysis. The audit recommends reducing fees and enforcing reporting requirements for the curtesy licenses. Both the department and the board concurred with the recommendations. CHAIR COSTELLO noted who was available to answer questions. 1:51:01 PM SENATOR MICCICHE asked if the audit fees are covered by the boards and commissions they audit. MS. CURTIS said no. The cost for their office and personnel are appropriated directly to Legislative Audit. They do have interagency receipts for the single audit, which is the federal compliance audit, and the financial statement audit, which is required by statute. SENATOR MICCICHE asked what an audit like this would cost the division and if that should be added to future renewals. MS CURTIS said the hourly rate is calculated every year. A clean audit would be 400-500 hours at more than $70 per hour. A new board like the Marijuana Control Board can take 900 hours to conduct surveys and do large-scale testing. 1:52:56 PM CHAIR COSTELLO opened public testimony on HB 274. 1:53:21 PM ALLEN LEVY, Chair, Psychology Board, Anchorage, Alaska, testified in support of HB 274. He said he was prepared to answer questions related to HB 274. The board is dedicated, and he was pleased with the outcome of the audit. The board looks forward to continuing to serve Alaska. 1:54:06 PM CHAIR COSTELLO closed public testimony on HB 274. 1:54:17 PM SENATOR MICCICHE moved to report HB 274, 30-LS1184\D, from committee with individual recommendations and attached fiscal note(s). 1:54:32 PM CHAIR COSTELLO announced that without objection, HB 274 moved from the Senate Labor and Commerce Standing Committee.