AK HB274

Executive branch agencies must undergo sunset review by the Legislative Budget and Audit Committee at least once every six years, with the legislative audit division publishing a staggered review schedule

Agencies under review must submit self-reports by January 1 of the review year, after which the audit division conducts reviews, holds public hearings, and issues recommendations on whether agencies should be terminated, continued, or reorganized

Review criteria include whether agencies are meeting mission statements and performance measures, cost-effectiveness, staffing appropriateness, service overlap with other agencies, and barriers to doing business with the state

Agencies automatically terminate on June 30 of the year following their review unless the legislature enacts continuation or reorganization legislation; terminated agencies receive one additional year to conclude affairs before duties transfer to their parent department

The bill takes effect July 1, 2026, and exempts principal departments, the local boundary commission, the community/regional affairs division, and the University of Alaska from sunset reviews