HB 121-ACCOUNTING; PRACTICE PRIVILEGE   [SCS HB 121(STA) was before the committee.] 1:34:48 PM CHAIR BJORKMAN announced the consideration of HOUSE BILL NO. 121 "An Act relating to the practice of accounting; and providing for an effective date." 1:35:14 PM AMANDA NDEMO, Staff, Representative Calvin Schrage, Alaska State Legislature, Juneau, Alaska, provided a brief summary of HB 121: [Original punctuation provided.] House Bill 121 modernizes Alaska's CPA licensure process to help address the state's accountant shortage and align with national standards. The bill reduces the required education from 150 to 120 credit hours for CPA candidates, provided they have two years of relevant experience, making the pathway to licensure more accessible. It also updates practice privilege provisions, allowing qualified out-of-state CPAs to practice in Alaska without obtaining a separate license. These changes aim to increase the state's CPA workforce while maintaining professional standards and supporting economic development. 1:36:26 PM CHAIR BJORKMAN said that he would like to discuss the differences between the House and Senate versions of HB 121 and the changes made so far, including provisions added in the State Affairs Committee to allow Certified Public Accountants (CPAs) to serve as professional conservators. He asked Mr. Klein to talk about the provisions added. 1:37:25 PM NOAH KLEIN, Associate Counsel, Alaska Court System, Juneau, Alaska, answered questions about HB 121. He stated that SB 99, now included in HB 121, removes the requirement for private professional conservators who are certified public accountants to also be certified as guardians. He said these CPAs would still need to complete the standard conservator training. The court remains neutral, noting that the change could increase the number of professional conservators by easing licensing requirements, leaving the policy decision to the legislature. 1:39:14 PM CHAIR BJORKMAN asked him to explain the training or education required for guardianship that CPAs would be exempt from when becoming private professional conservators. 1:39:29 PM MR. KLEIN replied that CPA's would not take the 20-30 question test that licensed guardians are required to take. 1:40:28 PM CHAIR BJORKMAN asked what knowledge guardians needed that conservators did not need to fulfill their duties responsibly. 1:40:44 PM MR. KLEIN replied that it's not that guardians need different knowledge, but that their duties differ. Guardians oversee all aspects of a ward's life, including housing, living arrangements, and access to benefits, while conservators focus solely on managing the ward's financial affairs. CHAIR BJORKMAN asked for confirmation that 90 percent of people with conservatorship would need guardianship status. MR. KLEIN replied that the vast majority of wards in Alaska have a guardianship and conservatorship or just a guardianship. He said a private professional conservator's certification would only apply to cases requiring conservatorship; if guardianship were also needed, the guardianship requirements would still apply. CHAIR BJORKMAN asked whether the policy question before the committee is whether CPAs should be allowed to serve as guardians without taking the guardianship test. 1:42:24 PM MR. KLEIN replied that he would phrase it as whether the legislature believes CPAs should be allowed to serve as conservators without taking the guardianship test, while still completing the required training that family member conservators currently undergo. 1:42:52 PM CHAIR BJORKMAN asked whether SB 99 would prohibit a CPA from serving as a guardian. MR. KLEIN replied that a certified public accountant (CPA) could serve as a guardian after completing the additional requirements for private professional guardians. 1:43:13 PM SENATOR GRAY-JACKSON asked if guardianship was even being considered. She thought the discussion was only about conservatorship for CPAs. 1:43:25 PM MR. KLEIN replied that guardianship is part of the discussion because certification as a guardian currently includes both guardianship and conservatorship, which is legally sufficient to become a private professional conservator. 1:43:49 PM SENATOR GRAY-JACKSON asked if conservators deal with finances and guardianship deals with everything, including finances. 1:43:57 PM MR. KLEIN replied that guardianship covers all aspects of a ward's life, and guardianship certification tests all areas of responsibility. 1:44:25 PM CHAIR BJORKMAN opened public testimony on HB 121; finding none, he closed public testimony. 1:44:59 PM SENATOR DUNBAR stated that he would prefer to advance the State Affairs Committee version, which includes the conservatorship portion, and move both CPA-related bills simultaneously to achieve some efficiency. 1:45:46 PM CHAIR BJORKMAN stated his agreement. 1:46:14 PM CHAIR BJORKMAN solicited the will of the committee. 1:46:16 PM SENATOR MERRICK moved to report SCS HB 121(STA), work order 34- LS0382\G, from committee with individual recommendations and attached fiscal note(s). 1:46:34 PM CHAIR BJORKMAN found no objection and SCS HB 121(STA) was reported from the Senate Labor and Commerce Standing Committee.