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SB 109: "An Act relating to the unincorporated community capital project matching grant program; and providing for an effective date."

00                             SENATE BILL NO. 109                                                                         
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.                                         
07       Appropriations to the fund do not lapse except as provided in (h) of this section.  The                           
08       money in the 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                                
07       determined by dividing the total amount appropriated to the fund during that fiscal                               
08       year by the number of unincorporated communities eligible for an allocation during                                
09       that fiscal year.                                                                                                 
10    * Sec. 2.  AS 37.06.020(c) is amended to read:                                                                     
11            (c)  A maximum [MINIMUM] of $25,000 may [SHALL] be allocated to an                               
12       [EACH] eligible unincorporated community's grant account each fiscal year under (b)                               
13       of this section.  [IF APPROPRIATIONS ARE NOT SUFFICIENT TO FULLY FUND                                             
14       THE MINIMUM AMOUNT FOR EACH ELIGIBLE UNINCORPORATED                                                               
15       COMMUNITY, THE]  The amount appropriated shall be allocated equally among the                                 
16       eligible unincorporated communities.  If appropriations exceed the amount                                     
17       necessary to fully fund the maximum amount for each eligible unincorporated                                   
18       community, the excess amount lapses into the general fund.                                                    
19    * Sec. 3.  AS 37.06.020(d) is amended to read:                                                                     
20            (d)  The department shall designate, in each eligible unincorporated                                         
21       community, an incorporated nonprofit entity or a Native village council that agrees to                            
22       receive and spend grant money allocated to the unincorporated community's individual                              
23       grant account under (b) of this section.  If the community is located in a borough or                         
24       a unified municipality, the department may only designate the entity that has                                 
25       been approved by the assembly and the department must have written evidence                                   
26       of that approval.  If there is more than one qualified entity in a community in the                       
27       unorganized borough, the department shall designate the entity that the department                            
28       finds most qualified to make draws from that unincorporated community's individual                                
29       grant account and spend the money.  If there is no qualified incorporated nonprofit                               
30       entity or Native village council in an unincorporated community that will agree to                                
31       receive and spend money allocated to the community under (b) of this section, draws                               
01       may not be made from the unincorporated community's individual grant account and                                  
02       the amount allocated to the account lapses into the general fund.                                                 
03    * Sec. 4.  AS 37.06.020(e) is amended to read:                                                                     
04            (e)  By October 1 of each fiscal year, the incorporated nonprofit entity or                                  
05       Native village council designated by the department under (d) of this section shall                               
06       submit to the governor a prioritized list of capital projects and estimated costs to be                           
07       financed with money from the community's individual grant account established under                               
08       (b) of this section.  The list must include the amount and source of the local share                              
09       required by AS 37.06.030.  If the community is located in a borough or unified                                
10       municipality, the list is subject to approval of the assembly and must be                                     
11       accompanied by written evidence of that approval.  The governor shall include in                              
12       the capital improvements program presented to the legislature under AS 37.07.060 the                              
13       projects submitted by designated entities under this subsection that the governor                                 
14       recommends for funding.  If, in the capital improvements program, the governor                                    
15       includes projects in other than the priority order submitted by a designated entity, the                          
16       governor shall provide the legislature with a written statement of the reasons for that                           
17       action.                                                                                                           
18    * Sec. 5.  AS 37.06.020(h) is amended to read:                                                                     
19            (h)  An entity designated by the department under (d) of this section shall                                  
20       repay to the department money it has drawn from an unincorporated community's                                     
21       individual grant account if substantial, ongoing work on the project is not started                               
22       within four [FIVE] years after the effective date of the appropriation from which the                         
23       draw is funded.  Money repaid shall be deposited into the general fund.  Money from                               
24       an allocation to an unincorporated community's individual grant account that has not                              
25       been drawn out by a designated entity within four [FIVE] years after the effective date                       
26       of the appropriation from which the allocation is funded lapses into the general fund.                            
27    * Sec. 6.  AS 37.06.030(b) is amended to read:                                                                     
28            (b)  For each draw made by an entity or council under AS 37.06.020, the                                      
29       incorporated entity or Native village council that makes the draw shall contribute a                              
30       local share of the cost of the capital project for which the draw is made.  The amount                        
31       of the local share for an unincorporated community in a borough or unified                                    
01       municipality is the amount of the local share for that borough or unified                                     
02       municipality as calculated under (a) of this section.  The amount of the local share                          
03       for an unincorporated community in the unorganized borough equals the local                                   
04       share percentage as calculated under (1) of this subsection, divided by the state share                           
05       percentage as calculated under (2) of this subsection, multiplied by the amount of the                            
06       draw.  For purposes of this subsection,                                                                           
07                 (1)  the local share percentage is five percent;                                                        
08                 (2)  the state share percentage equals one minus the local share                                        
09       percentage;                                                                                                       
10                 (3)  the local share may be satisfied from (A) federal or local money;                                  
11       (B) labor, materials, or equipment used directly in the construction of the project, or                           
12       land, including land transferred by the state; the department shall determine the value                           
13       of a contribution under this subparagraph; (C) money from another nonstate source;                                
14       (D) money received by the unincorporated community under AS 29.60.010 -                                           
15       29.60.375; or (E) money obtained from the sale or lease of land or other assets                                   
16       transferred by the state; except as provided in this paragraph, the local share may not                           
17       be satisfied with money from, or with the portion of an asset that was obtained with                              
18       money from, an appropriation, allocation, entitlement, grant, or other payment from                               
19       the state.                                                                                                        
20    * Sec. 7.  This Act takes effect July 1, 2001.