03/21/2013 01:30 PM Senate LABOR & COMMERCE

           HB  26-EXTEND BOARD OF PUBLIC ACCOUNTANCY                                                                        
                                                                                                                                
1:31:38 PM                                                                                                                    
CHAIR  DUNLEAVY announced  the consideration  of HB  26. "An  Act                                                               
extending   the  termination   date  of   the  Board   of  Public                                                               
Accountancy; and providing for an  effective date." He noted that                                                               
this was the first hearing on the bill.                                                                                         
                                                                                                                                
1:31:49 PM                                                                                                                    
SENATOR OLSON joined the meeting.                                                                                               
                                                                                                                                
CECILE ELLIOT,  Staff, Representative Mike Hawker,  sponsor of HB
,  explained that  it is  statutorily required  for boards  and                                                               
commissions to  undergo sunset  audits. The  legislative auditors                                                               
have conducted the required sunset  audit of [the Board of Public                                                               
Accountancy] and have recommended  extending the termination date                                                               
until June 30, 2021.                                                                                                            
                                                                                                                                
1:32:41 PM                                                                                                                    
KRIS  CURTIS,   Legislative  Auditor,  Division   of  Legislative                                                               
Finance,  Legislative   Agencies  &  Offices,  said   the  agency                                                               
conducted a sunset  audit of the Board of  Public Accountancy and                                                               
found that  the board was  operating in the public's  interest so                                                               
they  recommended an  eight-year  extension. She  noted that  the                                                               
agency had one continuing recommendation  from 2008 to take steps                                                               
to address  the problems with  the investigative  case management                                                               
system   in   the   Division  of   Corporations,   Business   and                                                               
Professional Licensing.                                                                                                         
                                                                                                                                
1:33:50 PM                                                                                                                    
KAREN  TARVER, CPA,  State Board  of Public  Accountancy, Juneau,                                                               
AK, introduced herself.                                                                                                         
                                                                                                                                
SENATOR  MICCICHE asked  if the  annual board  costs of  $161,700                                                               
were in line with fiscal notes from previous years.                                                                             
                                                                                                                                
MS.  TARVER suggested  the state  was better  prepared to  answer                                                               
that question, but it was similar to previous years.                                                                            
                                                                                                                                
SENATOR MICCICHE asked if the eight-year extension was typical.                                                                 
                                                                                                                                
MS. TARVER  offered her understanding  that this extension  was a                                                               
little  longer  because  issues  found in  the  last  audit  were                                                               
resolved.                                                                                                                       
                                                                                                                                
1:35:07 PM                                                                                                                    
DON  HABEGER, Director,  Division  of  Corporation, Business  and                                                               
Professional  Licensing, Department  of  Commerce, Community  and                                                               
Economic Development  (DCCED), addressed  the question  about the                                                               
fiscal note  for HB  26. He  explained that the  cost of  a board                                                               
program will  fluctuate from year-to-year and  those fluctuations                                                               
are  driven by  things such  as investigative  costs and  travel.                                                               
However, the fiscal  note reflects an average  and fees fluctuate                                                               
from time-to-time to recoup those costs.                                                                                        
                                                                                                                                
1:36:12 PM                                                                                                                    
CHAIR  DUNLEAVY  found  no further  questions  or  testimony  and                                                               
stated he would hold HB 26 in committee.