Legislature(2013 - 2014)BELTZ 105 (TSBldg)
02/07/2013 01:30 PM Senate LABOR & COMMERCE
| Audio | Topic |
|---|---|
| Start | |
| SB16 | |
| SB38 | |
| Adjourn |
* first hearing in first committee of referral
+ teleconferenced
= bill was previously heard/scheduled
+ teleconferenced
= bill was previously heard/scheduled
| += | SB 16 | TELECONFERENCED | |
| *+ | SB 38 | TELECONFERENCED | |
SB 16-BD OF ARCHITECTS, ENGINEERS, SURVEYORS
1:30:53 PM
CHAIR DUNLEAVY announced the consideration of SB 16.
SENATOR CATHY GIESSEL, sponsor of SB 16, introduced SB 16
speaking to the following sponsor statement: [Original
punctuation provided.]
SB 16 revises statutes governing architects,
engineers, and land surveyors in Alaska, designating a
full-time investigator specifically for the State
Board of Registration for Architects, Engineers, and
Land Surveyors (AELS).
The AELS Board's mission, as defined in statute, is to
protect public health, safety and welfare by ensuring
that those entering the practices of architecture,
engineering, and land surveying meet minimum standards
of competency, and maintain those standards during
their practice, by requiring licensure to practice in
the state. The Board enforces the licensure and
competency requirements and responds to complaints
brought by the public.
Currently, the AELS Board shares one part-time
investigator with six other boards that oversee a
total of 18,095 licensees, of which 6,439 licensees
are under the AELS Board.
According to the board, because of the negative
economic conditions in various parts of the United
States, a significant number of corporations and
individuals are relocating to Alaska and many are
practicing without proper licensure or knowledge of
applicable statutes and regulations. In 2012 alone,
the AELS Board added 490 new licensees to its
oversight.
In addition to the already growing workload for the
part-time AELS Board investigator, pressure on the
investigator to spend time on the other six boards to
which he is also assigned is increasing. The
efficiency and effectiveness of the State's licensing
investigation process is further reduced by only
having a single shared investigator who must maintain
knowledge of the various statutes and regulations of
seven different boards.
SB 16 also removes the constraint that examinations
for licensure be written. With advancements in
technology, examinations are moving to an electronic
format which will further increase efficiency.
SB 16 will better equip the AELS Board to maintain
proper oversight of its licensees, thereby uphold the
reputation and integrity of the disciplines within its
purview, and ultimately ensure its ability to protect
public health, safety, and welfare.
SENATOR GIESSEL noted that in the last 18 months the AELS Board
opened 116 cases alleging unprofessional conduct, unlicensed
practice or violation of licensing regulations. She referenced
the fiscal note and reminded the committee that regulatory
boards have to be self-supporting. Therefore, the costs of
operation including per diem, travel expenses, and the
investigator, have to be covered by the licensees. The AELS
Board has some carry-forward funds to cover initial costs so
passage of the bill will not increase licensee fees this year.
Current license fees are $125 every two years and the estimated
increase, when enacted in two years, will be minimal as the
costs will be spread over those 6,439 licensees.
1:36:42 PM
SENATOR OLSON asked how she could justify adding two more state
employees when there is a push to reduce the state's budget.
SENATOR GIESSEL explained that while the bill talks about two
persons, one is currently employed as executive secretary and
the board already has a part-time investigator. All the costs
will be distributed among the licensees under the jurisdiction
of the various boards. This will not increase the state's
budget.
1:38:17 PM
SENATOR OLSON pointed out that the fiscal note reflects costs of
$115,500 in FY14 and $110,500 each year thereafter until FY19.
He asked if he was misreading the note.
SENATOR GIESSEL responded that the fiscal note includes costs
for supplies, one-time start up fees, and a computer but the
cost for personnel will be covered by boards. She deferred
technical questions to Mr. Habeger, the director of the Division
of Corporations, Business and Professional Licensing.
SENATOR MICCICHE how many individuals are licensed.
SENATOR GIESSEL replied there are slightly more than 6,400 in
the AELS Board. She added that 18,000 licensees right now are
covered by just one investigator.
SENATOR MICCICHE calculated that this would add approximately
$20 per person with much better service and less liability to
the department.
SENATOR GIESSEL agreed and added that it's for two years.
SENATOR OLSON asked how many violations the half-time
investigator had encountered and how many resulted in fines.
SENATOR GIESSEL replied that 116 cases were opened in the last
18 months.
1:40:22 PM
COLIN MAYNARD, licensed engineer representing the State Board of
Registration for Architects, Engineers, and Land Surveyors,
explained the conditions that led to the bill. About four or
five years ago there were two and one-half persons to
investigate cases for six boards. Through attrition that has
been reduced to the equivalent of one-sixth of one investigator
for the AELS Board. The workload is heavy; 13 cases have been
opened in the last quarter and the investigator now oversees
requirements for nine new engineering disciplines. With the
economic downturn in the Lower 48, unlicensed practices have
increased in the state but the workload generally keeps the
investigator attached to the Anchorage office with occasional
trips to the Mat-Su Valley and Kenai Peninsula. The positive
impact of having one investigator assigned to the AELS Board is
that all areas of the state will see investigations. He
highlighted that the cost of the investigator would be borne by
licensee fees and that he hadn't heard from any professional
societies that were unwilling to pay the additional $20 over two
years to ensure that licensing laws are enforced.
MR. MAYNARD said the bill also amends the statute to remove
reference to a "written examination" to reflect that
examinations are moving to electronic format. The architects
have not had a written examination for several years and the
fundamentals of engineering exam will be electronic starting in
April 2014. He noted that one person complained that he failed
the licensing test because he was not given the opportunity to
take a written test.
1:43:51 PM
DON HABEGER, Director, Division of Corporations, Business and
Professional Licensing, Department of Commerce, Community and
Economic Development (DCCED), offered to answer questions.
SENATOR OLSON asked how he justified the recurring six-digit
cost of the bill when state revenues were declining.
MR. HABEGER said the sponsor's testimony was correct; licensee
fees cover the cost of the services. By statute, the division is
required to annually review the programs and look at revenues
and expenses before adjusting the fees. He noted that the
correct terminology was fee-supported services.
SENATOR OLSON pointed out that the licensee fees would not cover
the [$115,500 first year cost and $110,500 out-year estimated
costs].
MR. HABEGER responded that the fees would be adjusted at the
next licensing cycle to capture the additional expenses.
SENATOR OLSON asked how many fines were levied compared to the
number of cases filed.
MR. HABEGER offered to follow up with the information.
1:47:36 PM
SENATOR OLSON asked if he would agree that adding an
investigator would increase the number of filings and add to the
costs that licensees would have to shoulder.
MR. HABEGER agreed and then noted that the line item for
"services" in the fiscal note anticipated additional
expenditures for expert witnesses and use of the Department of
Law. He established that the investigators are experts in the
statutes and regulations; they are not necessarily experts in
the subject matter.
SENATOR OLSON asked if he anticipated that more people would
fail the computerized tests.
MR. HABEGER explained that the AELS board belongs to a number of
national associations that develop tests with expertise from
various license practices across the nation. These national
tests, which are contracted through state boards, are tailored
for the specific jurisdiction. The tests are administered by
computer at designated testing sites.
SENATOR OLSON asked if someone in Nome could take the test at a
hub site.
MR. HABEGER offered to follow up with an answer.
SENATOR MICCICHE asked to have Mr. Maynard return to the witness
table to answer Senator Olson's questions.
1:51:21 PM
MR. MAYNARD explained that the AELS Board is a member of three
national licensing associations that write national tests for
engineers and surveyors, architects, and landscape architects.
These tests are given twice a year in Anchorage and Fairbanks at
secure testing sites. This will not change when all the tests
are computerized because there are too few registrants in other
locations. He confirmed that somebody from Nome who wanted to
take the test would have to go to either Anchorage or Fairbanks.
He reiterated that these are national tests and the computer
exam is not more difficult than the written exam, they're
written by the same people.
SENATOR OLSON asked for clarification that both written and
computerized tests were administered only in Anchorage or
Fairbanks.
MR. MAYNARD said yes.
1:53:22 PM
DALE NELSON, registered professional civil engineer, Legislative
Liaison Committee, Alaska Professional Design Council (APDC),
Anchorage, AK, testified in support of SB 16. He said this
legislation has been discussed in the committees and the APDC
newsletter. He confirmed that the members understand that
license fees would increase if this bill were to pass.
SENATOR OLSON asked how many of the 6,500 licensees were opposed
to this legislation.
MR. NELSON replied he had heard no opposition.
1:55:59 PM
JANET MATHESON, registered professional architect, American
Institute Architects Alaska Chapter (AIAAC), Fairbanks, AK,
testified in support of SB 16. She said AIAAC feels there is
need for a full-time investigator. People come to Alaska and
want comity registration only to find that they have to know
Arctic and seismic engineering. She highlighted that when
someone chooses to work outside their discipline there are
issues of public safety. Another problem is that outside firms
sometimes acquire projects in the state but do not have people
who are registered in Alaska. She continued that it's also a
problem that the investigator is only concentrating on the
Anchorage Bowl, which leaves other areas of the state without an
investigator. She maintained that Alaska should stay up to date
on its examinations, and pointed out that all the professional
architect tests were electronic.
1:58:06 PM
CHAIR DUNLEAVY announced that he would hold SB 16 in committee
and keep public testimony open.
| Document Name | Date/Time | Subjects |
|---|---|---|
| SB 16 - AELS Board Position Paper on Investigator - January 18, 2013.pdf |
SL&C 2/7/2013 1:30:00 PM |
SB 16 |
| SB 16 - Letter of Support - Burdett Lent.pdf |
SL&C 2/7/2013 1:30:00 PM |
SB 16 |
| SB 16 - Sectional Analysis.pdf |
SL&C 2/7/2013 1:30:00 PM |
SB 16 |
| SB 16 - Version U.pdf |
SL&C 2/7/2013 1:30:00 PM |
SB 16 |
| SB 38 - AS 08.64.PDF |
SL&C 2/7/2013 1:30:00 PM |
SB 38 |
| SB 38 - LB&A Sunset Review.PDF |
SL&C 2/7/2013 1:30:00 PM |
SB 38 |
| SB 38 - State Medical Board Fact Sheet.PDF |
SL&C 2/7/2013 1:30:00 PM |
SB 38 |
| SB 38 - State Medical Board Website.PDF |
SL&C 2/7/2013 1:30:00 PM |
SB 38 |
| SB 38.PDF |
SL&C 2/7/2013 1:30:00 PM |
SB 38 |
| SB038-DCCED-CBPL-02-01-13.pdf |
SL&C 2/7/2013 1:30:00 PM |
SB 38 |
| SB016-DCCED-CBPL-02-01-13.pdf |
SL&C 2/7/2013 1:30:00 PM |
SB 16 |
| SB 16 - Letter of Support - Harley Hightower.pdf |
SL&C 2/7/2013 1:30:00 PM |
SB 16 |
| SB 16 - Letter of Support - Richard Heieren.pdf |
SL&C 2/7/2013 1:30:00 PM |
SB 16 |
| SB 16 - Letter of Support - Richard Heieren.pdf |
SL&C 2/7/2013 1:30:00 PM |
SB 16 |