00SENATE BILL NO. 117                                                                                                   
01 "An Act relating to property insurance required for school districts."                                                  
02 BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF ALASKA:                                                               
03    * Section 1.  AS 14.03.150(a) is amended to read:                                                                  
04  (a)  Each school district shall purchase and maintain or provide proof of                                             
05 adequate property insurance for the replacement cost of all school facilities and                                       
06 equipment.   A school district is not required to purchase and maintain or provide                                     
07 proof of coverage for losses due to (1) floods, except that the school district shall                                   
08 purchase and maintain or provide coverage for the school facilities that are                                            
09 located on a flood plain; or (2) earthquakes.   Insurance purchased to comply with                                     
10 this section may contain a deductible amount, if approved by the department.  A                                         
11 school district may comply with this section by initiating and maintaining a program                                    
12 of self-insurance, if the department annually determines that the school district has                                   
13 submitted adequate evidence of the district's ability to self-insure for the replacement                                
14 cost of all school facilities and equipment.  A copy of the insurance policy or other                                   

01 information indicating compliance with this section shall be provided to the                                            
02 department.