Legislature(2007 - 2008)HOUSE FINANCE 519
04/11/2007 01:30 PM House FINANCE
| Audio | Topic |
|---|---|
| Start | |
| HB67 | |
| HB178 | |
| HB155 | |
| HB212 | |
| Adjourn |
* first hearing in first committee of referral
+ teleconferenced
= bill was previously heard/scheduled
+ teleconferenced
= bill was previously heard/scheduled
| + | HB 155 | TELECONFERENCED | |
| + | HB 158 | TELECONFERENCED | |
| + | HB 178 | TELECONFERENCED | |
| + | HB 212 | TELECONFERENCED | |
| + | TELECONFERENCED | ||
| += | HB 67 | TELECONFERENCED | |
HOUSE BILL NO. 155
"An Act extending the termination date of the Alcoholic
Beverage Control Board; and providing for an effective
date."
ELEANOR WOLFE, STAFF, REPRESENTATIVE KURT OLSON, related
that the bill extends the sunset date of the Alcoholic
Beverage Control (ABC) Board for six years at the
recommendation of the Legislative Budget and Audit Committee
(LB&A).
2:47:36 PM
DOUGLAS GRIFFIN, DIRECTOR, ALCOHOLIC BEVERAGE CONTROL BOARD,
DEPARTMENT OF PUBLIC SAFETY, related the Board's process of
complying with LB&A's recommendations. He explained about
the process of securing funding for those improvements. He
explained the make up and duties of the ABC Board.
Vice Chair Stoltze questioned if there is a plan to increase
the size of the board to include rural members. Mr. Griffin
noted that there was interest brought out by the transition
report to look at broader geographical representation to
include at least one rural member. There was also some
discussion about expanding the size of the board, which
would take further action.
2:52:05 PM
Representative Hawker spoke to audit items (copy on file.)
He felt that items one to three were profound and indicative
of weaknesses of paramount importance. He questioned if
improvements have been made and recommended a shortened
sunset date.
PAT DAVIDSON, LEGISLATIVE AUDITOR, LEGISLATIVE AUDIT
DIVISION, LEGISLATIVE AFFAIRS AGENCY, noted that they had
not updated the audit. She noted that the recommendation
was for a maximum of six years, which is less than the
statutory authority for eight years.
Representative Hawker questioned if Ms. Davidson would
recommend a six-year period given the seriousness of the
concerns. Ms. Davidson noted that there are two
alternatives to following up on concerns, one is to shorten
the termination date; the other would be for a request to do
a follow-up. The six-year recommendation only speaks to
whether the board should continue to exist. Representative
Hawker ascertained that priority be given to statutory
deadline audits.
2:56:42 PM
In response to a question by Representative Crawford, Ms.
Davidson noted that the recommendation addresses six items.
Sometimes procedures were in place, but not followed; at
other times procedures were not in existence, such as in
data base access. There is a process for municipal refunds,
but it was not followed.
Representative Joule noted the recent audit date and asked
if it would be difficult to see if items were being
addressed. He pointed out that there is a new
administration and questioned if there could be a
conditional six-year extension with a two-year review. Ms.
Davidson noted that a lack of segregation of duties in
Fairbanks will take some time to address. She felt that
most issues could be addressed within a year. She
acknowledged that there is a backlog and those with
statutory deadlines have priority. She suggested that an
audit request would take two years.
3:02:03 PM
Representative Joule questioned if the ABC Board is short
staffed. Ms. Davidson clarified that there are
responsibilities that can be reallocated between staff.
Ms. Wolfe explained that they were aware of the issues and
were advised that they would be addressed by the current
administration.
Mr. Griffin did not know of other legislation to address the
audit problems.
In response to a question by Representative Kelly, Ms.
Davidson explained that the last audit had eight
recommendations, most of which have been implemented. The
outstanding issue was security over the database. Ms.
Davidson observed that the same executive director is in
charge, but that the Board has just been moved to the
Department of Public Safety. She did not know the makeup of
the Board.
Representative Kelly continued to express concerns.
3:07:01 PM
Ms. Davidson explained that the Department of Public Safety
and Board had responded separately to the concerns and both
indicated support for the recommendations and indicated that
they would be addressed.
In response to a question by Vice Chair Stoltze, Ms.
Davidson noted that a survey resulted in positive responses
regarding law enforcement and community groups' opinion of
how well the ABC Board was doing. There was some concern
about enforcement activities because there is unequal
enforcement across the state. Businesses in Juneau and
Fairbanks are inspected within four years, while Kenai only
has a 50% chance of inspection.
3:11:14 PM
Representative Hawker asked about the priority for
legislative audits based on who made the request. Ms.
Davidson noted that no priority was given regarding
individual legislators versus committees.
Representative Kelly commented that even three years would
be a long time. He expressed concern with a three-year
extension.
Co-Chair Meyer noted that some issues would take a couple of
years. Ms. Davidson noted that a three-year extension would
occur in 2010, which is when they are required to have an
audit. She related the time frame needed.
Representative Kelly suggested that a three-year extension
would send a strong signal.
3:15:10 PM
Representative Hawker MOVED to ADOPT Conceptual Amendment 1:
Change the date on line 5 from June 30, "2013" to
"2010."
There being NO OBJECTION, it was so ordered.
Representative Gara asked about the removal of the voting
ability of the director. Ms. Davidson explained that
recommendation was based on a policy standpoint.
Co-Chair Meyer mentioned that a new fiscal note would be
needed.
3:18:13 PM
Vice Chair Stoltze MOVED to REPORT HB 155. There being NO
OBJECTION, it was so ordered.
CSHB 155 (FIN) was REPORTED out of Committee with a "do
pass" recommendation and with a new fiscal note by the
Department of Public Safety.
3:19:58 PM
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