Bill > HB274

This bill establishes a "sunset review" process for state executive branch agencies, meaning agencies will be periodically evaluated to determine if they should continue to exist, be reorganized, or be terminated. The Legislative Budget and Audit Committee, supported by the legislative audit division, will conduct these reviews at least every six years, creating a staggered schedule for all agencies. Agencies scheduled for review must submit reports detailing their progress towards their mission and performance measures, and the audit division will then verify this information, conduct its own review based on specific criteria such as cost-effectiveness, public need, and potential for improvement or overlap with other agencies, and hold public hearings to gather testimony. Following the review, the audit division will issue a report with findings and recommendations, including draft legislation, which will be presented to the Legislative Budget and Audit Committee. The committee will then hold its own hearings and vote on the recommendations, potentially introducing legislation to continue, reorganize, or terminate the agency. If an agency is terminated through this process, it will continue to exist for one additional year to wind down its affairs, with its duties and any remaining funds transferred to its parent department, unless legislation is passed to continue or reorganize it. The bill also clarifies that existing claims against terminated agencies will be assumed by the department in which the agency was established, and defines "agency" for the purposes of this chapter to include various executive branch units but exclude principal departments, the local boundary commission, the division responsible for community and regional affairs, and the University of Alaska. This new framework will take effect on July 1, 2026.

Business and Industry

Rules (House)

https://www.akleg.gov/basis/Bill/Detail/34?Root=HB274