05/02/2005 02:33 PM House FIN

CS FOR SENATE BILL NO. 139(L&C)                                                                                               
                                                                                                                                
     "An  Act  relating  to  termination   and  oversight  of                                                                   
     boards, commissions, and  agency programs; extending the                                                                   
     termination  date of  the  Board of  Marital and  Family                                                                   
     Therapy; and providing for an effective date."                                                                             
                                                                                                                                
TOM MAHER, STAFF, SENATOR GENE THERRIAULT, spoke in support                                                                     
of the legislation.                                                                                                             
                                                                                                                                
     This  Legislation stems  from recommendations  contained                                                                   
     in two reports by the Division of Legislative Audit.                                                                       
                                                                                                                                
     First, this  legislation extends the sunset  date of the                                                                   
     Board of Marital  and Family Therapy from  June 30, 2005                                                                   
     to June 30, 2010 per the  audit recommendation contained                                                                   
     in that report (page 9).                                                                                                   
                                                                                                                                
     Second,   HCS   CSSB   139   (L&C)   also   incorporates                                                                   
     recommendations  contained in  the audit  of the  Alaska                                                                   
     Sunset Process and Selected Investigative Issues.                                                                          
                                                                                                                                
     This legislation changes  the standard sunset period for                                                                   
     occupational   boards  in  AS   0803.020  (c)   and  non                                                                   
     occupational  boards in  AS 44.66.010  (c) from  "not to                                                                   
     exceed  four  years"  to  not to  exceed  eight  years".                                                                   
     Increasing the standard sunset  period allows for better                                                                   
     use  of  audit  staff, committee  time,  and  makes  the                                                                   
     sunset  process  less  consuming  for  board  regulatory                                                                   
     agencies. As  Alaska's sunset process has  matured, most                                                                   
     of the sunset  reviews are less about  eliminating board                                                                   
     and    commissions,   and    more   about    operational                                                                   
     performance.  Twelve  states  have  either  repealed  or                                                                   
     suspended   their  sunset   process.  The  most   common                                                                   
     standard  extension  is ten  years,  while Alaska  along                                                                   
     with  three  other  states have  maintained  a  standard                                                                   
     four-year  extension. Of  course,  the Legislature  will                                                                   
     still he able  to set whatever time extensions  it deems                                                                   
     appropriate, regardless of this statutory change.                                                                          
                                                                                                                                
     TICS CSSB  139 (L&C) also  adds two criteria  to statute                                                                   
     that  must  be considered  in  the  course of  a  sunset                                                                   
     review by the auditors:                                                                                                    
                                                                                                                                
        • The extent to which the board, commission, or                                                                         
          agency has effectively attained its objectives and                                                                    
          the efficiency with which it has operated.                                                                            
        • The extent to which the board, commission, or                                                                         
          agency duplicates the activities of another                                                                           
          governmental agency or the private sector.                                                                            
                                                                                                                                
   Expanding the criteria will assure that auditors will                                                                        
   measure the efficiency and effectiveness of boards,                                                                          
   commissions or agencies under review                                                                                         
                                                                                                                                
3:54:10 PM                                                                                                                    
                                                                                                                                
Representative Hawker  asked about criteria adding  to sunset                                                                   
regulations.   He  referenced   subsection  (10),   regarding                                                                   
effectiveness and efficiency.                                                                                                   
                                                                                                                                
3:54:46 PM                                                                                                                    
                                                                                                                                
PAT   DAVIDSON,  LEGISLATIVE   AUDITOR,   LEGISLATIVE   AUDIT                                                                   
DIVISION,  explained   that  under  the  provisions   of  the                                                                   
legislation, the  agency, board or commission  being audited,                                                                   
would know how they would be evaluated.  She stressed that it                                                                   
is  important   that  information   regarding  missions   and                                                                   
measures are  brought to the  entities being examined.  There                                                                   
are  ways  to  measure  efficiency   and  effectiveness.  The                                                                   
legislation  would  also address  non-occupational  agencies,                                                                   
such as the  Council on Domestic Violence and  Sexual Assault                                                                   
(CDVSA).                                                                                                                        
                                                                                                                                
Representative  Hawker questioned who  would set  the mission                                                                   
and measure standards and whether  there would be legislative                                                                   
guidance.  Ms. Davidson  responded that  they would  look for                                                                   
best practices. Many are not Alaska  only organizations. They                                                                   
would build on any existing measures  or missions. Efficiency                                                                   
is determined  through observation. She noted  the division's                                                                   
support.                                                                                                                        
                                                                                                                                
3:58:32 PM                                                                                                                    
                                                                                                                                
RICK URION,  DIRECTOR, OCCUPATIONAL LICENSING,  DEPARTMENT OF                                                                   
COMMUNITY AND  ECONOMIC DEVELOPMENT,  spoke in support  of an                                                                   
amendment  that would  restore  provisions  removed from  the                                                                   
previous committee  of referral.  The provisions  in question                                                                   
related to  what happens after  a board sunsets.  He observed                                                                   
that the licensing law is not  removed after a board sunsets.                                                                   
The proposed  amendment would put  the duty on  the division.                                                                   
                                              th                                                                                
He noted that a board is being sunset June 30 this year.                                                                        
                                                                                                                                
Co-Chair Chenault  requested that  the amendment  be provided                                                                   
for a future Finance Committee meeting.                                                                                         
                                                                                                                                
HCSSB   139  (L&C)  was   HELD  in   Committee  for   further                                                                   
consideration.                                                                                                                  
                                                                                                                                
4:00:38 PM                                                                                                                    
                                                                                                                                
At ease.                                                                                                                        
                                                                                                                                
4:01:37 PM