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.