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HB 428: "An Act giving notice of and approving a lease-purchase agreement for construction and operation of a correctional facility in the Third Judicial District, and setting conditions and limitations on the facility's construction and operation."

00 HOUSE BILL NO. 428                                                                                                      
01 "An Act giving notice of and approving a lease-purchase agreement for                                                   
02 construction and operation of a correctional facility in the Third Judicial District,                                   
03 and setting conditions and limitations on the facility's construction and operation."                                   
04 BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF ALASKA:                                                                
05    * Section 1.  NOTICE AND APPROVAL OF LEASE-PURCHASE AGREEMENT.  (a)                                                  
06 To provide for the construction and operation of a new correctional facility in order to relieve                        
07 overcrowding of existing correctional facilities, the Department of Administration, on behalf                           
08 of the Department of Corrections, may enter into a lease-purchase agreement with a private                              
09 third-party contractor under AS 33.30.031 for the construction and operation of a correctional                          
10 facility in the Third Judicial District that will house persons who are committed to the custody                        
11 of the commissioner of corrections.  The project approval given by this subsection is subject                           
12 to the conditions of (b) of this section and to the following limitations:                                              
13   (1)  the total construction and related costs of establishing the correctional                                        
14 facility may not exceed $100,000,000;                                                                                   
01   (2)  the total lease payments for the full term of the agreement may not exceed                                       
02 $200,000,000 and the anticipated annual amount of the rental obligation to be paid by the                               
03 Department of Corrections under the lease must be reasonably commensurate with that total;                              
04 and                                                                                                                     
05   (3)  at the end of the term of the lease-purchase agreement, the state shall own                                      
06 the correctional facility.                                                                                              
07  (b)  The correctional facility to be constructed and operated under the notice and                                     
08 approval given in (a) of this section                                                                                   
09   (1)  must be designed and constructed so as to house, in separate housing,                                            
10   (A)  female prisoners; and                                                                                           
11   (B)  male prisoners held under conditions that are appropriate for                                                   
12 prisoners who have been classified under AS 33.30.011(2) as other than maximum                                          
13 custody; the correctional facility may not be constructed to house prisoners who are                                    
14 classified as maximum custody;                                                                                          
15   (2)  may not contain a total population of more than 1,000 prisoners, but must                                        
16 be designed and constructed so as to allow expansion of the facility to a greater capacity;                             
17   (3)  may be constructed only under a public construction project labor                                                
18 agreement between the building construction contractor and one or more building trade unions;                           
19 the labor agreement must provide                                                                                        
20   (A)  a no-strike and no-slowdown pledge by the union or unions;                                                      
21   (B)  a commitment on the part of the construction contractor to hire                                                 
22 through local union hiring halls; and                                                                                   
23   (C)  a provision allowing not more than 15 percent of the construction                                               
24 contractor's workforce on the public construction project to be composed of persons                                     
25 who are not members of the union or unions; and                                                                         
26   (4)  may not be operated by the state except temporarily when                                                         
27   (A)  the private third-party contractor with whom the state has entered                                              
28 into an agreement to operate defaults in performance under the contract and state                                       
29 operation is reasonably necessary to ensure the facility's continued operation; or                                      
30   (B)  the state is unable to contract with a private third-party contractor.                                          
31  (c)  If required by the commissioner of corrections as a condition of the correctional                                 
01 facility's operation, in the award of a contract for the operation of the correctional facility to                      
02 be constructed and operated under the notice and approval given in (a) of this section, the                             
03 Department of Administration shall require that persons employed by the contractor as                                   
04 correctional officers in the facility meet the requirements of AS 18.65.130 - 18.65.290 that are                        
05 applicable to correctional officers.                                                                                    
06  (d)  If directed by the commissioner of corrections as a condition of the correctional                                 
07 facility's operation, in the award of a contract for the operation of the correctional facility to                      
08 be constructed and operated under the notice and approval given in (a) of this section, the                             
09 Department of Administration shall require the contractor to seek, obtain, and maintain                                 
10 accreditation of the correctional facility.  This requirement is effective only when, as a matter                       
11 of policy, the commissioner of corrections seeks and obtains accreditation of state correctional                        
12 facilities.  Accreditation under this subsection shall be under standards of accreditation                              
13 applicable to correctional facilities that are not more stringent than those applicable to state                        
14 correctional facilities operated by the Department of Corrections.                                                      
15  (e)  Subsection (a) of this section constitutes the notice and approval required by                                    
16 AS 36.30.085.                                                                                                           
17    * Sec. 2.  Nothing in this Act precludes operation of the correctional facility described in                         
18 sec. 1(a) of this Act by a private third-party contractor comprised of persons employed by the                          
19 Department of Corrections.