00SENATE BILL NO. 338                                                                                                     
01 "An Act relating to the issuance of revenue bonds for acquisition and                                                   
02 construction of the Alaska Discovery Center for the Ship Creek Project in                                               
03 Anchorage; relating to a study of the feasibility and financial viability of the                                        
04 Alaska Discovery Center; relating to construction of the Alaska Discovery Center;                                       
05 and providing for an effective date."                                                                                   
06 BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF ALASKA:                                                                
07    * Section 1.  (a)  In furtherance of the state policy under sec. 1(a), ch. 153, SLA 1984 to                          
08 foster the long-term economic growth and development of the state, the Alaska Railroad                                  
09 Corporation is authorized to issue revenue bonds in the principal amount of $55,000,000 for                             
10 the construction and acquisition of the Alaska Discovery Center for the Ship Creek Project in                           
11 Anchorage, if the board of directors of the corporation determines after completion of the                              
12 study conducted under sec. 2 of this Act that the Alaska Discovery Center is feasible and                               
13 financially viable.  This section constitutes legislative approval of the issuance of bonds by                          
14 the corporation, as required by AS 42.40.285.                                                                           

01  (b)  The Alaska Railroad Corporation may loan the proceeds from the sale of revenue                                    
02 bonds authorized by this section to a public or private entity that the corporation considers                           
03 appropriate to acquire, construct, and operate the Alaska Discovery Center.  The corporation                            
04 may enter into agreements, including leases, with a public or private entity that the corporation                       
05 considers appropriate to provide for and secure payment of a loan made from the proceeds                                
06 from the sale of the revenue bonds.                                                                                     
07  (c)  The issuance of revenue bonds authorized by this section is subject to                                            
08 AS 42.40.600 - 42.40.700, except that, notwithstanding AS 42.40.630, the bonds are special                              
09 nonrecourse obligations of the corporation payable only from the revenues and assets of the                             
10 public or private entity that owns and operates the Alaska Discovery Center.                                            
11    * Sec. 2.  The Alaska Railroad Corporation shall conduct a study of the feasibility and                              
12 financial viability of the proposed Alaska Discovery Center for the Ship Creek Project in                               
13 Anchorage, if a private party, including a potential developer or lessee of the Alaska                                  
14 Discovery Center, enters into an agreement with the corporation to pay the cost of the study.                           
15 The corporation shall select the person to conduct the study.  Upon receipt of the completed                            
16 study, the board of directors of the corporation shall determine whether the Alaska Discovery                           
17 Center is feasible and financially viable.                                                                              
18    * Sec. 3.  Before construction of the Alaska Discovery Center begins, the Alaska Railroad                            
19 Corporation shall require that the public or private entity authorized to construct the Alaska                          
20 Discovery Center post a performance bond in favor of the corporation to assure completion                               
21 of the Alaska Discovery Center.                                                                                         
22    * Sec. 4.  Each bond issued under sec. 1 of this Act shall contain on its face a statement                           
23 that                                                                                                                    
24   (1)  the Alaska Railroad Corporation is not obligated to pay the bond or the                                          
25 interest on the bond except from the revenue or assets pledged for the bond;                                            
26   (2)  neither the faith and credit nor the taxing power of the State of Alaska or                                      
27 of a political subdivision of the state is pledged to the payment of the bond; and                                      
28   (3)  the issuance of the bonds does not create a legal or moral debt of the State                                     
29 of Alaska and payment of the bond is not directly or indirectly dependent upon an                                       
30 appropriation by the Alaska State Legislature.                                                                          
31    * Sec. 5.  This Act takes effect immediately under AS 01.10.070(c).