HB 290: "An Act creating the endow Alaska grant program in the Department of Commerce, Community, and Economic Development to encourage community development."
00 HOUSE BILL NO. 290 01 "An Act creating the endow Alaska grant program in the Department of Commerce, 02 Community, and Economic Development to encourage community development." 03 BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF ALASKA: 04 * Section 1. AS 44.33 is amended by adding new sections to read: 05 Article 2A. Endow Alaska Grant Program. 06 Sec. 44.33.150. Grants for community development. The endow Alaska 07 grant program is established in the Department of Commerce, Community, and 08 Economic Development. To encourage community development in the state, the 09 department may identify a lead philanthropic entity that meets the requirements of 10 AS 44.33.160 and grant the entity state funds that the entity may annually award to 11 community foundations and community affiliate organizations as endow Alaska 12 grants. 13 Sec. 44.33.160. Requirements for a lead philanthropic entity and a 14 community foundation. (a) To be eligible under AS 44.33.150, a lead philanthropic
01 entity must 02 (1) be a nonprofit entity exempt from federal income taxation under 26 03 U.S.C. 501(c)(3) (Internal Revenue Code); 04 (2) be a statewide organization whose principal function is to make 05 grants in the state, with member organizations including community, corporate, and 06 private foundations. 07 (b) A community foundation that applies for a grant shall demonstrate 08 substantial compliance with the national standards established by the national Council 09 on Foundations in a manner determined by the department. 10 Sec. 44.33.170. Ranking of applications and awarding of grants. (a) When 11 ranking applications for grants, the board of the lead philanthropic entity shall 12 consider relevant factors including 13 (1) the need for financial assistance; 14 (2) the potential for future philanthropic activity in the community or 15 geographic area that will benefit from the grant; 16 (3) the percentage of matching funding proposed; 17 (4) community needs and the manner in which additional funds will 18 address those needs; 19 (5) the geographic diversity of the communities or geographic areas 20 that will benefit from the grants; and 21 (6) if the applicant is a community affiliate organization, the need to 22 create a community affiliate endowment fund in the community or geographic area 23 that will benefit from the grant. 24 (b) The board of the lead philanthropic entity may award endow Alaska grants 25 to community foundations and community affiliate organizations that 26 (1) provide all information the board requires including evidence that 27 the foundation has substantially complied with the national standards established by 28 the national Council on Foundations in the manner determined by the department; 29 (2) demonstrate, on a form approved by the board, the ability to match 30 state funding dollar-for-dollar; 31 (3) provide a plan for distributing grant funds to organizations within
01 the community or geographic area as defined by the community foundation or the 02 community affiliate organization; and 03 (4) if the entity is not a community foundation, identify a community 04 foundation to hold all grant funds in the community or geographic area that will 05 benefit from the grant. 06 Sec. 44.33.180. Limitations on grant amounts, awards, and administrative 07 costs. (a) The use of funding for endow Alaska grants is limited as follows: 08 (1) grants may not exceed $25,000 for each foundation or organization 09 unless the grant will be used to benefit multiple boroughs or a region; 10 (2) a single borough may not receive more than five endow Alaska 11 grants a year; 12 (3) only five percent of the grant funds received by the lead 13 philanthropic entity may be used for administrative purposes by that entity. 14 Sec. 44.33.190. Definitions. In AS 44.33.150 - 44.33.190, 15 (1) "community affiliate organization" means a group of five or more 16 community leaders or advocates organized for the purpose of increasing philanthropic 17 activity in an identified community or geographic area in the state with the intention of 18 establishing a community affiliate endowment fund; 19 (2) "community foundation" means a tax-exempt, nonprofit, 20 autonomous, publicly supported, philanthropic institution composed primarily of 21 permanent funds established by many separate donors for the long-term diverse, 22 charitable benefit of the residents of a defined geographic area; 23 (3) "department" means the Department of Commerce, Community, 24 and Economic Development; 25 (4) "lead philanthropic entity" means an entity identified by the 26 department under AS 44.33.150 that meets the requirements of AS 44.33.160.