CS FOR HOUSE BILL NO. 166(FIN) am - Summary

• Establishes a comprehensive performance review system for 18 state agencies on a 10-year rotating schedule, beginning with Department of Corrections in 2012 and ending with Department of Labor and Workforce Development in 2021.

• Removes sunset review requirements for individual agency programs and replaces them with performance reviews conducted by hired review teams under legislative audit division oversight.

• Requires agencies to submit to review teams by November 1 of the year before their review: statutory authority citations, lists of programs composing 10% of general funds that could be reduced or eliminated, active encumbrances, and budget priorities.

• Mandates review teams to conduct public hearings in Juneau, Anchorage, Fairbanks, and other locations; consult best practices with other states; and deliver final reports to legislature chairs one week before the regular session with 20 specific evaluation criteria and draft legislation.

• Establishes confidentiality for audit records and performance review reports unless approved for release; creates definitions for "agency" (including University of Alaska and all branches of government) and "review team"; sunsets the new performance review system July 1, 2022.