02/12/2018 01:30 PM House FINANCE

HOUSE BILL NO. 302                                                                                                            
                                                                                                                                
     "An Act extending the termination date of the Board of                                                                     
     Professional   Counselors;   and   providing   for   an                                                                    
     effective date."                                                                                                           
                                                                                                                                
1:34:56 PM                                                                                                                    
                                                                                                                                
ASHLEY  STRAUCH, STAFF,  REPRESENTATIVE  ADAM WOOL,  relayed                                                                    
that HB  302 was an  extension to the Board  of Professional                                                                    
Counselors.  The bill  extended  the board  for  8 years  to                                                                    
2026.   The  board's   primary  function   was  to   license                                                                    
professional    counselors   and    to   issue    supervisor                                                                    
certificates. The  board was composed  of 5 members,  all of                                                                    
which were appointed  by the governor. She  continued that 4                                                                    
of the  board members were licensed  professional counselors                                                                    
and  1  public  member.  The  board  currently  oversaw  657                                                                    
professional  counselors  and  73  supervisor  certificates.                                                                    
Between FY 14 and FY 16  they issued 190 new licenses, which                                                                    
represented a  46 percent increase in  their licenses. There                                                                    
were  no new  recommendations as  a part  of the  audit. The                                                                    
board  was recommended  for the  full 8-year  extension. She                                                                    
conveyed that Debra Hamilton, a  board member, was available                                                                    
online. A person from Legislative Audit was in the room.                                                                        
                                                                                                                                
Co-Chair Foster  invited Kris Curtis from  Legislative Audit                                                                    
to the  table. He  asked her to  walk the  committee through                                                                    
the sunset audit for the Board of Professional Counselors.                                                                      
                                                                                                                                
                                                                                                                                
1:36:21 PM                                                                                                                    
                                                                                                                                
KRIS  CURTIS,   LEGISLATIVE  AUDITOR,  ALASKA   DIVISION  OF                                                                    
LEGISLATIVE AUDIT, reported that  members should have a copy                                                                    
of  the audit  in  their packets  dated  April 2017.  Report                                                                    
conclusions  began on  page  3.  Overall, Legislative  Audit                                                                    
concluded that  the board was serving  the public's interest                                                                    
by   effectively  licensing   and  regulating   professional                                                                    
counselors   and   certified  counselor   supervisors.   The                                                                    
division  found  they  monitored  licensees  and  worked  to                                                                    
ensure  that  qualified individuals  practiced.  Legislative                                                                    
audit found  that the board  actively developed  and adopted                                                                    
regulations   to   improve    their   profession   and   was                                                                    
recommending the  maximum extension of 8  years. She skipped                                                                    
over the  license activity information since  Ashley covered                                                                    
it.                                                                                                                             
                                                                                                                                
Ms. Curtis  continued by noting  that page 6 was  a schedule                                                                    
of revenues  and expenditures.  The board  had a  surplus of                                                                    
just  over $70,000  as  of  March 31,  2017.  The board  and                                                                    
management expected to decrease fees  in FY 18. License fees                                                                    
were listed on page 7.                                                                                                          
                                                                                                                                
Ms. Curtis relayed that the  responses to the audit began on                                                                    
page 19.  The Office  of the  Governor, the  department, and                                                                    
the  board all  concurred  that the  board  was serving  the                                                                    
public's  interest and  should  be extended.  There were  no                                                                    
other recommendations.                                                                                                          
                                                                                                                                
1:37:48 PM                                                                                                                    
                                                                                                                                
Representative  Kawasaki asked  that  when the  board had  a                                                                    
surplus, like  the $70,000 surplus,  at what time  would the                                                                    
fees be ratcheted down.                                                                                                         
                                                                                                                                
Ms. Curtis deferred to the department.                                                                                          
                                                                                                                                
1:38:46 PM                                                                                                                    
                                                                                                                                
SARA  CHAMBERS, DEPUTY  DIRECTOR, DIVISION  OF CORPORATIONS,                                                                    
BUSINESS,   AND   PROFESSIONAL  LICENSING,   DEPARTMENT   OF                                                                    
COMMERCE,  COMMUNITY  AND  ECONOMIC  DEVELOPMENT,  responded                                                                    
that  the  division  performed an  annual  fee  analysis  in                                                                    
accordance  with statute.  The  division considered  trends,                                                                    
the board's history, the risk  assessment of potential risk,                                                                    
and fluctuation  of expenditures - particularly  the risk to                                                                    
large  investigation  or  appeal of  the  board's  decision,                                                                    
which could necessitate higher fees  to recover costs. There                                                                    
were  several intangibles  that  accompanied the  tangibles.                                                                    
They were  discussed with the  board and raised  and lowered                                                                    
fees as necessary.                                                                                                              
                                                                                                                                
Co-Chair  Foster recognized  that the  committee was  joined                                                                    
earlier by Representative Guttenberg.                                                                                           
                                                                                                                                
Co-Chair Foster  directed Ms. Chambers  to walk  through the                                                                    
fiscal note.                                                                                                                    
                                                                                                                                
Ms. Chambers explained that the  fiscal note was for $21,400                                                                    
which covered  the additional expenses  that having  a board                                                                    
brought  to licensure.  If  the board  were  to sunset,  the                                                                    
department   would   continue    to   license   professional                                                                    
counselors, but  without the addition  of the board.  It was                                                                    
an expense  of $19,900 for  board members to attend  4 board                                                                    
meetings per  year. She elaborated that  boards were working                                                                    
very  hard to  reduce  costs. The  division  was working  to                                                                    
reduce    costs     through    video     conferencing    and                                                                    
teleconferencing. The  balance was public noticing  of board                                                                    
meetings, any training and conferences  the board might need                                                                    
to attend, and per diem to  help pay for meals while members                                                                    
were on state business.                                                                                                         
                                                                                                                                
1:41:06 PM                                                                                                                    
                                                                                                                                
Co-Chair Foster OPENED and CLOSED Public Testimony.                                                                             
                                                                                                                                
Co-Chair  Seaton MOVED  to report  HB 302  out of  Committee                                                                    
with individual recommendations  and the accompanying fiscal                                                                    
note. There being NO OBJECTION, it was so ordered.                                                                              
                                                                                                                                
HB  302 was  REPORTED  out  of committee  with  a "do  pass"                                                                    
recommendation  and  with   a  previously  published  fiscal                                                                    
impact note: FN1(CED).                                                                                                          
                                                                                                                                
1:42:05 PM                                                                                                                    
AT EASE                                                                                                                         
                                                                                                                                
1:42:35 PM                                                                                                                    
RECONVENED