SSSB 28: "An Act relating to the unincorporated community capital project matching grant program; and providing for an effective date."
00SPONSOR SUBSTITUTE FOR SENATE BILL NO. 28 01 "An Act relating to the unincorporated community capital project matching grant 02 program; and providing for an effective date." 03 BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF ALASKA: 04 * Section 1. AS 37.06.020(b) is amended to read: 05 (b) The unincorporated community capital project matching grant fund is 06 established in the department and consists of appropriations to the fund. Appropriations 07 to the fund do not lapse except as provided in (h) of this section. The money in the 08 fund is held by the department in custody under this subsection for each 09 unincorporated community eligible for an allocation under this subsection. The 10 department shall establish an individual grant account within the fund for each eligible 11 unincorporated community [THAT WAS ENTITLED TO RECEIVE STATE AID 12 UNDER AS 29.60.140 DURING THE PRECEDING FISCAL YEAR]. As provided 13 in this subsection, each fiscal year the department shall allocate, to the individual grant 14 accounts, appropriations to the fund. An unincorporated community is eligible for an
01 allocation in a fiscal year if the requirements of (d) are met and the community was 02 a place in the state in which 25 or more individuals resided as a social unit 03 [ELIGIBLE TO RECEIVE STATE AID UNDER AS 29.60.140] during the preceding 04 fiscal year. The department shall credit interest earned on money in an individual 05 grant account to that account. Except as provided in (c) of this section, the amount 06 allocated under this subsection to an individual grant account in a fiscal year is the 07 amount needed to fund the projects presented to the legislature under (e) of this 08 section [DETERMINED BY DIVIDING THE TOTAL AMOUNT APPROPRIATED 09 TO THE FUND DURING THAT FISCAL YEAR BY THE NUMBER OF 10 UNINCORPORATED COMMUNITIES ELIGIBLE FOR AN ALLOCATION 11 DURING THAT FISCAL YEAR]. 12 * Sec. 2. AS 37.06.020(c) is amended to read: 13 (c) A maximum [MINIMUM] of $25,000 may [SHALL] be allocated to each 14 eligible unincorporated community's grant account each fiscal year under (b) of this 15 section. If appropriations exceed the amount necessary to fully fund the amount 16 for each eligible unincorporated community, the excess amount lapses into the 17 general fund. [IF APPROPRIATIONS ARE NOT SUFFICIENT TO FULLY FUND 18 THE MINIMUM AMOUNT FOR EACH ELIGIBLE UNINCORPORATED 19 COMMUNITY, THE AMOUNT APPROPRIATED SHALL BE ALLOCATED 20 EQUALLY AMONG THE ELIGIBLE UNINCORPORATED COMMUNITIES.] 21 * Sec. 3. AS 37.06.020(d) is amended to read: 22 (d) The department shall designate, in each eligible unincorporated community, 23 an incorporated nonprofit entity or a Native village council that agrees to receive and 24 spend grant money allocated to the unincorporated community's individual grant 25 account under (b) of this section. If the community is located in a borough or a 26 unified municipality, the department may only designate the entity that has been 27 approved by the assembly and the department must have written evidence of that 28 approval. If there is more than one qualified entity in a community in the 29 unorganized borough, the department shall designate the entity that the department 30 finds most qualified to make draws from that unincorporated community's individual 31 grant account and spend the money. If there is no qualified incorporated nonprofit
01 entity or Native village council in an unincorporated community that will agree to 02 receive and spend money allocated to the community under (b) of this section, draws 03 may not be made from the unincorporated community's individual grant account and 04 the amount allocated to the account lapses into the general fund. 05 * Sec. 4. AS 37.06.020(e) is amended to read: 06 (e) By October 1 of each fiscal year, the incorporated nonprofit entity or 07 Native village council designated by the department under (d) of this section shall 08 submit to the governor a prioritized list of capital projects and estimated costs to be 09 financed with money from the community's individual grant account established under 10 (b) of this section. The list must include the amount and source of the local share 11 required by AS 37.06.030. If the community is located in a borough or unified 12 municipality, the list is subject to approval of the assembly and must be 13 accompanied by written evidence of that approval. The governor shall include in 14 the capital improvements program presented to the legislature under AS 37.07.060 the 15 projects submitted by designated entities under this subsection that the governor 16 recommends for funding. If, in the capital improvements program, the governor 17 includes projects in other than the priority order submitted by a designated entity, the 18 governor shall provide the legislature with a written statement of the reasons for that 19 action. 20 * Sec. 5. AS 37.06.020(h) is amended to read: 21 (h) An entity designated by the department under (d) of this section shall repay 22 to the department money it has drawn from an unincorporated community's individual 23 grant account if substantial, ongoing work on the project is not started within four 24 [FIVE] years after the effective date of the appropriation from which the draw is 25 funded. Money repaid shall be deposited into the general fund. Money from an 26 allocation to an unincorporated community's individual grant account that has not been 27 drawn out by a designated entity within four [FIVE] years after the effective date of 28 the appropriation from which the allocation is funded lapses into the general fund. 29 * Sec. 6. AS 37.06.030(b) is amended to read: 30 (b) For each draw made by an entity or council under AS 37.06.020, the 31 incorporated entity or Native village council that makes the draw shall contribute a
01 local share of the cost of the capital project for which the draw is made. The amount 02 of the local share for an unincorporated community in a borough or unified 03 municipality is the amount of the local share for that borough or unified 04 municipality as calculated under (a) of this section. The amount of the local share 05 for an unincorporated community in the unorganized borough equals the local 06 share percentage as calculated under (1) of this subsection, divided by the state share 07 percentage as calculated under (2) of this subsection, multiplied by the amount of the 08 draw. For purposes of this subsection, 09 (1) the local share percentage is five percent; 10 (2) the state share percentage equals one minus the local share 11 percentage; 12 (3) the local share may be satisfied from (A) federal or local money; 13 (B) labor, materials, or equipment used directly in the construction of the project, or 14 land, including land transferred by the state; the department shall determine the value 15 of a contribution under this subparagraph; (C) money from another nonstate source; 16 (D) money received by the unincorporated community under AS 29.60.010 - 17 29.60.375; or (E) money obtained from the sale or lease of land or other assets 18 transferred by the state; except as provided in this paragraph, the local share may not 19 be satisfied with money from, or with the portion of an asset that was obtained with 20 money from, an appropriation, allocation, entitlement, grant, or other payment from the 21 state. 22 * Sec. 7. This Act takes effect immediately under AS 01.10.070(c).