Legislature(2025 - 2026)ANCH LIO DENALI Rm

09/12/2025 01:00 PM House LEGISLATIVE BUDGET & AUDIT

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Audio Topic
01:02:20 PM Start
01:03:46 PM Approval of Agenda
01:04:03 PM Approval of Minutes
01:04:17 PM Executive Session
02:05:29 PM Final Release of Audits
02:05:56 PM Preliminary Release of Sunset Audits
02:06:24 PM Consideration of Contract for Outside Counsel for Personnel Matter
02:07:00 PM Legal Update on the Special Audit
02:08:50 PM Adjourn
* first hearing in first committee of referral
+ teleconferenced
= bill was previously heard/scheduled
+ I. Approval of the Agenda TELECONFERENCED
+ II. Approval of the Minutes TELECONFERENCED
a. June 30, 2025
b. August 21, 2025
III. Executive Session
a. Final Release of Sunset Audits
i. Real Estate Commission
ii. Board of Certified Real Estate Appraisers
iii. Board of Professional Counselors
iv. Board of Social Work Examiners
b. Preliminary Release of Sunset Audits
i. Board of Marital and Family Therapy
ii. Board of Psychologist and Psychological
Associate Examiners
c. Consideration of Contract for Outside Counsel
for Personnel Matter
d. Legal Update on the Special Audit titled, "Oil
and Gas Production Tax Audit Process”
**Streamed live on AKL.tv**
                    ALASKA STATE LEGISLATURE                                                                                  
             LEGISLATIVE BUDGET AND AUDIT COMMITTEE                                                                           
                       September 12, 2025                                                                                       
                           1:02 p.m.                                                                                            
                                                                                                                                
MEMBERS PRESENT                                                                                                               
                                                                                                                                
Senator Elvi Gray-Jackson, Chair                                                                                                
Representative Zack Fields, Vice Chair                                                                                          
Senator Cathy Giessel (via teleconference)                                                                                      
Senator Bill Wielechowski (via teleconference)                                                                                  
Representative Andy Josephson                                                                                                   
Representative Chuck Kopp                                                                                                       
Representative Cathy Tilton                                                                                                     
Senator Scott Kawasaki (alternate) (via teleconference)                                                                         
Representative Bryce Edgmon (alternate) (via teleconference)                                                                    
                                                                                                                                
MEMBERS ABSENT                                                                                                                
                                                                                                                                
Senator Bert Stedman                                                                                                            
Senator Lyman Hoffman                                                                                                           
Representative Neal Foster                                                                                                      
                                                                                                                                
OTHER LEGISLATORS PRESENT                                                                                                     
                                                                                                                                
Representative Julie Coulombe                                                                                                   
                                                                                                                                
COMMITTEE CALENDAR                                                                                                            
                                                                                                                                
APPROVAL OF AGENDA                                                                                                              
APPROVAL OF MINUTES                                                                                                             
EXECUTIVE SESSION                                                                                                               
FINAL RELEASE OF AUDITS                                                                                                         
PRELIMINARY RELEASE OF SUNSET AUDITS                                                                                            
CONSIDERATION OF CONTRACT FOR OUTSIDE COUNSEL FOR PERSONNEL                                                                     
MATTER                                                                                                                          
LEGAL UPDATE ON THE SPECIAL AUDIT                                                                                               
                                                                                                                                
PREVIOUS COMMITTEE ACTION                                                                                                     
                                                                                                                                
No previous action to record                                                                                                    
                                                                                                                                
WITNESS REGISTER                                                                                                              
                                                                                                                                
No witnesses to record                                                                                                          
                                                                                                                                
ACTION NARRATIVE                                                                                                              
                                                                                                                                
1:02:20 PM                                                                                                                    
                                                                                                                                
CHAIR  GRAY-JACKSON  called  the  Legislative  Budget  and  Audit                                                               
Committee  meeting  to  order  at   1:02  p.m.    Representatives                                                               
Josephson, Kopp, Tilton, Edgmon  (via teleconference), and Fields                                                               
and  Senators  Wielechowski  (via teleconference),  Giessel  (via                                                               
teleconference), Kawasaki (via  teleconference), and Gray-Jackson                                                               
were  present   at  the  call   to  order.    Also   present  was                                                               
Representative Coulombe.                                                                                                        
                                                                                                                                
^APPROVAL OF AGENDA                                                                                                             
                       APPROVAL OF AGENDA                                                                                   
                                                                                                                              
1:03:46 PM                                                                                                                    
                                                                                                                                
CHAIR  GRAY-JACKSON announced  that the  first order  of business                                                               
would be the approval of the agenda.                                                                                            
                                                                                                                                
CO-CHAIR  FIELDS  moved that  the  Legislative  Budget and  Audit                                                               
Committee  approve the  agenda.   There being  no objection,  the                                                               
agenda was approved.                                                                                                            
                                                                                                                                
^APPROVAL OF MINUTES                                                                                                            
                      APPROVAL OF MINUTES                                                                                   
                                                                                                                              
1:04:03 PM                                                                                                                    
                                                                                                                                
CHAIR  GRAY-JACKSON announced  that  the next  order of  business                                                               
would be the approval of the minutes.                                                                                           
                                                                                                                                
CO-CHAIR FIELDS  moved to  approve the minutes  for the  June 30,                                                               
2025, and August  21, 2025, meetings.  There  being no objection,                                                               
the minutes were approved.                                                                                                      
                                                                                                                                
^EXECUTIVE SESSION                                                                                                              
                       EXECUTIVE SESSION                                                                                    
                                                                                                                              
1:04:17 PM                                                                                                                    
                                                                                                                                
CHAIR  GRAY-JACKSON announced  that  the next  order of  business                                                               
would  be  executive  session  for  consideration  of  the  final                                                               
release  of sunset  audits  of the  Real  Estate Commission,  the                                                               
Board  of   Certified  Real  Estate  Appraisers,   the  Board  of                                                               
Professional Counselors, and the  Board of Social Work Examiners;                                                               
the preliminary release of sunset  audits of the Board of Marital                                                               
&   Family   Therapy  and   the   Board   of  Psychologists   and                                                               
Psychological  Associate   Examiners;  the  consideration   of  a                                                               
contract  for outside  counsel  for a  personnel  matter; and  to                                                               
receive a legal update on the  special audit titled, "Oil and Gas                                                               
Production Tax Audit Process."                                                                                                  
                                                                                                                                
1:04:57 PM                                                                                                                    
                                                                                                                                
VICE CHAIR  FIELDS moved  that the  Legislative Budget  and Audit                                                               
Committee go  into executive session under  Uniform Rule 22(b)(1)                                                               
for the discussion  of matters, the immediate  knowledge of which                                                               
would adversely  affect the  finances of  a government  unit, and                                                               
Uniform Rule 22(b)(3) for the  discussion of matters that may, by                                                               
law,  be  required  to  be  confidential.    He  asked  that  the                                                               
following persons  remain in  the room or  online:   Kris Curtis,                                                               
legislative  auditor,  and  necessary staff;  Emily  Nauman;  any                                                               
legislators not  on the  committee; and  staff of  legislators on                                                               
the committee.  There being no objection, it was so ordered.                                                                    
                                                                                                                                
1:05:38 PM                                                                                                                    
                                                                                                                                
The committee  took an at-ease  from 1:05  p.m. to 2:04  p.m. for                                                               
the purpose of executive session.                                                                                               
                                                                                                                                
2:04:52 PM                                                                                                                    
                                                                                                                                
CHAIR  GRAY-JACKSON  called  the  Legislative  Budget  and  Audit                                                               
Committee meeting  back to  order at  2:04 p.m.   Representatives                                                               
Josephson, Kopp, Tilton, Edgmon  (via teleconference), and Fields                                                               
and  Senators  Wielechowski  (via teleconference),  Giessel  (via                                                               
teleconference), Kawasaki (via  teleconference), and Gray-Jackson                                                               
were  present   at  the  call   to  order.    Also   present  was                                                               
Representative Coulombe.                                                                                                        
                                                                                                                                
^FINAL RELEASE OF AUDITS                                                                                                        
                    FINAL RELEASE OF AUDITS                                                                                 
                                                                                                                              
2:05:29 PM                                                                                                                    
                                                                                                                                
CHAIR  GRAY-JACKSON announced  that  the next  order of  business                                                               
would be the final release of audits.                                                                                           
                                                                                                                                
VICE  CHAIR FIELDS  moved  that the  Legislative  Budget &  Audit                                                               
Committee release  the following  audits as final  audit reports:                                                               
the Real  Estate Commission, the  Board of Certified  Real Estate                                                               
Appraisers, the  Board of Professional Counselors,  and the Board                                                               
of Social  Work Examiners.  There  being no objection, it  was so                                                               
ordered.                                                                                                                        
                                                                                                                                
^PRELIMINARY RELEASE OF SUNSET AUDITS                                                                                           
              PRELIMINARY RELEASE OF SUNSET AUDITS                                                                          
                                                                                                                              
2:05:56 PM                                                                                                                    
                                                                                                                                
CHAIR  GRAY-JACKSON announced  that  the next  order of  business                                                               
would be the preliminary release of sunset audits.                                                                              
                                                                                                                                
VICE  CHAIR FIELDS  moved  that the  Legislative  Budget &  Audit                                                               
Committee release the following  preliminary sunset audits to the                                                               
agencies for  response: the Board  of Marital and  Family Therapy                                                               
and  the  Board  of  Psychologists  and  Psychological  Associate                                                               
Examiners.  There being no objection, it was so ordered.                                                                        
                                                                                                                                
^CONSIDERATION  OF CONTRACT  FOR  OUTSIDE  COUNSEL FOR  PERSONNEL                                                               
MATTER                                                                                                                          
  CONSIDERATION OF CONTRACT FOR OUTSIDE COUNSEL FOR PERSONNEL                                                               
                             MATTER                                                                                         
                                                                                                                              
2:06:24 PM                                                                                                                    
                                                                                                                                
CHAIR  GRAY-JACKSON announced  that  the next  order of  business                                                               
would be  consideration of a  contract for outside counsel  for a                                                               
personnel matter.                                                                                                               
                                                                                                                                
VICE CHAIR  FIELDS moved  that the  Legislative Budget  and Audit                                                               
Committee authorize a contract for  legal services, not to exceed                                                               
$195,000,  to  be  paid  from   existing  funds,  relating  to  a                                                               
personnel matter.   He further moved that  the Legislative Budget                                                               
and Audit  Committee authorize the Legislative  Auditor and chair                                                               
to  give  direction to  Legislative  Legal  Services and  outside                                                               
legal counsel  regarding the matter.   There being  no objection,                                                               
it was so ordered.                                                                                                              
                                                                                                                                
^LEGAL UPDATE ON THE SPECIAL AUDIT                                                                                              
               LEGAL UPDATE ON THE SPECIAL AUDIT                                                                            
                                                                                                                              
2:07:00 PM                                                                                                                    
                                                                                                                                
CHAIR  GRAY-JACKSON announced  that the  final order  of business                                                               
would be  a legal update  on the  special audit titled,  "Oil and                                                               
Gas Production Tax Audit Process."                                                                                              
                                                                                                                                
CHAIR GRAY-JACKSON gave the following prepared statement:                                                                       
                                                                                                                                
     While  we  were  in Executive  Session,  the  committee                                                                    
     received  a brief  legal update  on  the Special  Audit                                                                    
     titled  "Oil and  Gas  Production  Tax Audit  Process."                                                                    
     Per  statute, the  audit process  is confidential,  and                                                                    
     neither  I  nor  any  members   of  the  committee  are                                                                    
     permitted to  comment publicly on  this matter  at this                                                                    
     stage.                                                                                                                     
                                                                                                                                
     We recognize  that there is  strong public  interest in                                                                    
     the outcome of this audit,  and we share the commitment                                                                    
     to  transparency  and   accountability.    However,  to                                                                    
     preserve the  independence and  integrity of  the audit                                                                    
     process, it  must remain confidential until  its formal                                                                    
     release by the Legislative  Budget and Audit Committee.                                                                    
     We appreciate  the public's patience  and understanding                                                                    
     as this work proceeds.                                                                                                     
                                                                                                                                
2:08:50 PM                                                                                                                    
                                                                                                                                
ADJOURNMENT                                                                                                                   
                                                                                                                                
There being no further business before the committee, the                                                                       
Legislative Budget and Audit Committee meeting was adjourned at                                                                 
2:08 p.m.                                                                                                                       

Document Name Date/Time Subjects
LBAC Agenda 09.12.25 FINAL.pdf JBUD 9/12/2025 1:00:00 PM