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