HOUSE FINANCE COMMITTEE February 1, 2005 1:34 p.m. CALL TO ORDER Co-Chair Meyer called the House Finance Committee meeting to order at 1:34:24 PM. MEMBERS PRESENT Representative Mike Chenault, Co-Chair Representative Kevin Meyer, Co-Chair Representative Bill Stoltze, Vice-Chair Representative Eric Croft Representative Richard Foster Representative Mike Hawker Representative Mike Kelly Representative Carl Moses Representative Bruce Weyhrauch MEMBERS ABSENT Representative Jim Holm Representative Reggie Joule ALSO PRESENT Pat Davidson, Legislative Auditor, Legislative Audit Division; Lalanya Snyder, Staff, Representative Ralph Samuels; Rick Urion, Director Occupational Licensing, Department of Community and Economic Development PRESENT VIA TELECONFERENCE Steve Tarola, Chairman, Board of Public Accountancy SUMMARY HB 64 "An Act extending the termination date for the Board of Public Accountancy; and providing for an effective date." HB 64 was REPORTED out of Committee with a "do pass" recommendation and with a previously published fiscal impact note: #1 CED. HB 47 "An Act extending the termination date of the Board of Certified Real Estate Appraisers." CSHB 47 (FIN) was REPORTED out of Committee with a "do pass" recommendation and with a previously published fiscal impact note: #1 CED. 1:34:36 PM HOUSE BILL NO. 64 "An Act extending the termination date for the Board of Public Accountancy; and providing for an effective date." Representative Hawker, sponsor, explained that HB 64 is a housekeeping bill to extend the termination date of the Board of Public Accountancy (BOPA) until June 30, 2009, in accordance with the recommendations of the Legislative Auditor. He reviewed the makeup and purpose of the board. He noted that the legislative auditor has concluded that BOPA meets statutory requirements of public need, is financially sound, and is working in the public's best interest. He concluded that the board has been working proactively with the Alaska Society of Certified Public Accountants (ASCPA) to bring Alaska into conformance with national professional testing standards. Representative Hawker, in response to a question by Representative Weyhrauch, clarified that Steve Tarola is the Chairman of ASCPA and also Chairman of BOPA. Representative Weyhrauch asked if BOPA deals with ethics concerns. STEVE TAROLA, CHAIRMAN, BOARD OF PUBLIC ACCOUNTANCY, introduced himself. He explained that currently there is an attempt to establish a code of conduct. He referred to a bill that requires certified mailings to each licensee in order to establish a code of conduct. He noted that an attempt is being made to change statute so that the expensive mailing is unnecessary. Representative Weyhrauch asked what would happen now if there were a violation of a code of ethics. Mr. Tarola replied that the State of Alaska's investigative personnel would be used. Representative Hawker MOVED to report HB 64 out of Committee with the accompanying fiscal note. There being NO OBJECTION, it was so ordered. HB 64 was REPORTED out of Committee with a "do pass" recommendation and with a previously published fiscal impact note: #1 CED. 1:41:58 PM hb47 HOUSE BILL NO. 47 "An Act extending the termination date of the Board of Certified Real Estate Appraisers." LALANYA SNYDER, STAFF, REPRESENTATIVE RALPH SAMUELS, spoke on behalf of the sponsor, in support of HB 47. She explained that the bill is a result of a legislative audit that recommended extending the Board of Certified Real Estate Appraisers. She reviewed the board's functions: establish exam standards for the certification of real estate appraisers, adopt rules of professional conduct, and adopt regulations to satisfy state and federal regulations. She noted that HB 47 would extend the board's operation for another 5 years to June 30, 2010. Vice-Chair Stoltze asked the difference between licensed and certified. Ms. Snyder deferred to Pat Davidson. 1:43:41 PM PAT DAVIDSON, LEGISLATIVE AUDITOR, LEGISLATIVE AUDIT DIVISION explained that the change from licensed to certified is a housekeeping title change. Co-Chair Meyer MOVED to ADOPT Amendment 1, 24-LS0315\A.1, Bannister, 1/31/05: Insert on page 1, line 2 "and relating to the requirements for membership on the Board of Certified Real Estate Appraisers". The amendment also changes "licensed" to "certified" in Section 2. Representative Hawker OBJECTED for discussion purposes. Representative Weyhrauch noted that only a few words are being changed in Amendment 1. Ms. Davidson reported that the amendment cleans up the bill and makes the language consistent. Representative Hawker WITHDREW his OBJECTION. There being NO OBJECTION, Amendment 1 was adopted. 1:46:05 PM Representative Foster MOVED to report CSHB 47 (FIN) out of Committee with the accompanying fiscal note. There being NO OBJECTION, it was so ordered. CSHB 47 was REPORTED out of Committee with a "do pass" recommendation and with previously published fiscal impact note: #1 CED. ADJOURNMENT The meeting was adjourned at 1:47 PM.