SB 129-REAL ESTATE APPRAISERS  3:49:59 PM CHAIR OLSON announced that the next order of business would be CS FOR SENATE BILL NO. 129(FIN), "An Act extending the termination date of the Board of Certified Real Estate Appraisers; relating to real estate appraisers; and providing for an effective date." 3:50:08 PM NATALIE TEAL, Staff, Senator Anna Fairclough, Alaska State Legislature, explained the additional changes made to SB 129 in the Senate version before the committee, the committee substitute (CS) for SB 129 (FIN). The original version SB 129 was a sunset bill to extend the Board of Certified Real Estate Appraisers for another four years; however, the Department of Commerce, Community & Economic Development (DCCED) approached the committee with additional changes in order for the board to remain in compliance with the federal requirements laid out in the Dodd-Frank Wall Street Reform and Consumer Protection Act (Dodd-Frank) that amends Title 11 of the Financial Institutions Reform, Recovery, and Enforcement Act of 1989. 3:51:03 PM MS. TEAL explained that Section 1 of the bill extends the board. An audit completed last June by the Division of Legislative Budget and Audit recommended that the board be extended until June 30, 2018. This four-year extension is half of the eight year maximum allowed in statute. The shortened extension period is due to the projected increase in federally mandated responsibilities over the next few years. The remaining sections are designed to bring the board into compliance with those changes. 3:52:24 PM KRIS CURTIS, Legislative Auditor, Legislative Audit Division, Legislative Agencies and Offices, stated that the division conducted a sunset audit on the Board of Certified Real Estate Appraisers and the report is dated June 2013. The purpose of the audit was to examine whether the board was serving the public's interest and if the termination date should be extended. Overall the division concluded that the board is protecting the public's interest by effectively licensing and regulating real estate appraisers. The audit [Audit Control Number 08-20084-13] recommends the board's termination date be extended four years of the eight year maximum, and as Ms. Teal explained, is in recognition of the increase in the board's responsibilities mandated by the federal government. She said the division felt it was prudent to come in earlier than the eight years to examine the board and its responsibilities. The audit report recommendations for operational improvements are directed not to the board but to the Division of Corporations, Business and Professional Licensing (DCBPL). One recommendation was to improve administrative support to the board including addressing investigative delays. The second recommendation was directed to the DCBPL's director to continue improvements to the investigative case management system. She related that the board and the department agreed with the recommendations. 3:54:05 PM REPRESENTATIVE JOSEPHSON referred to the second recommendation and said his understanding is that this issue is a problem that has been seen in a number of boards and commissions. MS. CURTIS stated that the second recommendation is to improve administrative support. She clarified that her earlier testimony pertained to improving the investigative case management, which has been a division-wide issue. 3:55:03 PM CHAIR OLSON, after first determining no one else wished to testify, closed public testimony on SB 129. REPRESENTATIVE JOSEPHSON assumed the [appraisers] found this acceptable. He asked whether the committee has heard anything otherwise. CHAIR OLSON answered no. 3:55:54 PM REPRESENTATIVE HERRON moved to report CSSB 129(FIN) out of committee with individual recommendations and the accompanying fiscal notes. There being no objection, CSSB 129(FIN) was reported from the House Labor and Commerce Standing Committee.