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CSHB 336(ENE): "An Act establishing an energy assistance program in the Alaska Housing Finance Corporation to issue an energy voucher to Alaska permanent fund dividend recipients; relating to the analysis and recommendation of an energy assistance program by the governor; and providing for an effective date."

00 CS FOR HOUSE BILL NO. 336(ENE) 01 "An Act establishing an energy assistance program in the Alaska Housing Finance 02 Corporation to issue an energy voucher to Alaska permanent fund dividend recipients; 03 relating to the analysis and recommendation of an energy assistance program by the 04 governor; and providing for an effective date." 05 BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF ALASKA: 06 * Section 1. The uncodified law of the State of Alaska is amended by adding a new section 07 to read: 08 ALASKA ENERGY VOUCHER. (a) To help residents meet the high cost of energy 09 in the state in 2011, the Alaska Housing Finance Corporation shall establish a program under 10 which the corporation will issue not more than one energy voucher to each person who, in 11 2011, was an adult or an emancipated minor who was permitted to apply for a permanent fund 12 dividend on the person's own behalf and who was determined by the Department of Revenue 13 to be eligible for the permanent fund dividend paid in 2012. 14 (b) An energy voucher issued under this section is redeemable for the monetary

01 equivalent of 250 gallons of heating oil, the monetary equivalent of 35,000 cubic feet of 02 natural gas, or the monetary equivalent of 1,500 kilowatt-hours of electricity. For purposes of 03 this subsection, the monetary equivalent of 250 gallons of heating oil, 35,000 cubic feet of 04 natural gas, or 1,500 kilowatt-hours of electricity is the retail price of 250 gallons of heating 05 oil, 35,000 cubic feet of natural gas, or 1,500 kilowatt-hours of electricity as approved for 06 each distributor qualified under (e) of this section. The corporation shall specify a date in 07 2012 for which each distributor that wants to be qualified under (e) of this section shall 08 submit the retail price of 250 gallons of heating oil, the retail price of 35,000 cubic feet of 09 natural gas, or the retail price of 1,500 kilowatt-hours of electricity, as applicable. On receipt 10 of a voucher and eligible claim, the corporation shall issue a payment to the qualified 11 distributor of the monetary amount determined under this subsection using the retail price 12 approved by the corporation under (e) of this section for a qualified distributor for the 13 applicable type of energy or fuel. On receipt of the payment from the state, a qualified 14 distributor shall credit the full amount of the payment to the account that services the principal 15 residence of the recipient of the voucher. A payment made under this section may not be used 16 for costs unassociated with the purchase of the energy or fuel, may not be transferred between 17 customer accounts, and may not be paid out in cash. If an account with a remaining balance 18 from a payment made under this section is closed, a qualified distributor shall return the 19 balance of the account attributable to the energy voucher to the state. 20 (c) The energy voucher 21 (1) shall be numbered and state the name of the person to whom the voucher is 22 issued; 23 (2) must require the recipient of the voucher to sign, and date, and certify, on a 24 form bearing notice that false statements made in the form are punishable by law, that the 25 recipient of the voucher is complying with all the requirements of the voucher, including the 26 requirement that the voucher amount be used to supply heating oil, natural gas, or electricity 27 to the voucher recipient's primary residence in the state; 28 (3) is nontransferable and may not be sold, transferred, or traded for any other 29 compensation, except as provided in (g) and (l) of this section; 30 (4) is redeemable only at a distributor qualified under (e) of this section and 31 may not be split among multiple distributors;

01 (5) is not valid for submission to a distributor more than four months after the 02 date the energy voucher is issued; 03 (6) is valid for heating oil, natural gas, or electricity delivered to the voucher 04 recipient's primary residence in the state; and 05 (7) shall be issued by the corporation not more than 30 days following the 06 issuance in 2012 of the permanent fund dividend. 07 (d) A distributor qualified under (e) of this section shall, within 30 days after 08 accepting the voucher, issue a document acknowledging receipt of the voucher to the person 09 exchanging the voucher. The corporation shall issue the amount determined under (b) and (e) 10 of this section to the qualified distributor for an energy voucher not later than 20 days after 11 receiving an eligible claim from a qualified distributor. Submitted claims must include 12 (1) the number of the voucher; 13 (2) the name of the recipient, as stated on the voucher; and 14 (3) the address or other identifying information requested by the corporation 15 listed on the heating oil, natural gas, or electricity account that the voucher will credit. 16 (e) The corporation shall maintain a list of qualified distributors eligible to accept and 17 redeem vouchers. A distributor of oil, natural gas, or electricity is qualified if the distributor 18 (1) is licensed to do business in the state; 19 (2) is regularly engaged in the business of distributing oil, natural gas, or 20 electricity; 21 (3) submits a retail price of oil, natural gas, or electricity, as applicable, for the 22 quantities described in (a) of this section, submits all evidence for that retail price requested 23 by the corporation, and responds to inquiries of the corporation related to that retail price, and 24 the corporation finds that retail price is representative of the price charged under similar 25 circumstances; and 26 (4) meets other eligibility requirements that the corporation may adopt under 27 AS 18.56.088 or emergency regulations adopted under sec. 3 of this Act. 28 (f) In determining the eligibility of an individual under a public assistance program, a 29 heating assistance program, or a veterans' benefits program in which eligibility for assistance 30 is based on financial need, the state may not consider an energy voucher as income or 31 resources received by the recipient or by a member of the recipient's household.

01 (g) If a recipient of an energy voucher certifies on a form provided by the corporation, 02 bearing notice that false statements made on the form are punishable by law, that the recipient 03 (1) does not pay directly for the heating oil, natural gas, or electricity used in 04 the recipient's residence or does not have reasonable access to a qualified distributor of the 05 type of fuel or electricity used in the recipient's primary residence in the state, the recipient 06 may exchange the voucher with the corporation 07 (A) for a replacement voucher in the name of the landlord of the 08 primary residence in the state in which the recipient resides, the full value of which 09 shall be deducted by the landlord from the recipient's rent; or 10 (B) upon certification that the $250 will be used toward rent, energy, 11 or heating costs at the recipient's primary residence in the state, for a check for $250 in 12 the recipient's name; 13 (2) heats the recipient's primary residence exclusively with a fuel that is not 14 heating oil, natural gas, or electricity, does not have reasonable access to a qualified 15 distributor of heating oil or natural gas, and that the $500 will be used toward heating costs at 16 the recipient's primary residence in the state, the recipient may exchange the voucher with the 17 corporation for a check for $500 in the recipient's name. 18 (h) Except as provided in (j) of this section or as may be provided by regulations 19 adopted by the corporation, an energy voucher issued under this section is not valid unless it 20 is signed and dated by the individual named on the face of the voucher. 21 (i) A replacement voucher issued to a landlord under (g) of this section is not valid 22 until the landlord certifies on a form provided by the corporation bearing notice that false 23 statements made in the form are punishable by law that the full amount of the voucher will be 24 used to provide energy or heat to the primary residence of the original recipient of the voucher 25 and certifies that the landlord will apply the full amount of the voucher against the rent of the 26 original recipient of the voucher. 27 (j) Certification or signature on an energy voucher or other certification under this 28 section required of an individual who is disabled or incompetent may be signed or certified by 29 the individual's legal guardian or other authorized representative. An individual may 30 complete, sign, and redeem an energy voucher on behalf of a member of the armed forces of 31 the United States who is serving on active duty outside of the United States if the individual

01 has a power of attorney from the member of the armed forces that, in specific or general 02 terms, authorizes the individual to redeem the voucher. 03 (k) An individual who is disabled or incompetent may not maintain a claim against 04 the state or an officer or employee of the state based on the manner in which the guardian or 05 authorized representative other than a public agency of the state managed or disposed of an 06 energy voucher received on behalf of the disabled or incompetent individual. 07 (l) If a person is eligible for an energy voucher but dies before the energy voucher is 08 issued or redeemed, the energy voucher may be transferred to a personal representative of the 09 estate or to a successor claiming personal property under AS 13.16.680. 10 (m) In addition to any criminal penalties imposed by state law, if an individual or 11 qualified distributor is convicted of a crime in connection with a false statement made in a 12 certification required under this section, in a submission for a reimbursement under (d) of this 13 section, or in connection with forging an energy voucher, and the conviction is not reversed, 14 vacated, or set aside, or if an individual or qualified distributor is found by the Alaska 15 Housing Finance Corporation to have bought, sold, traded, or otherwise violated the terms of 16 the voucher, that individual or qualified distributor forfeits the energy voucher, or the 17 monetary amount received from the voucher, and the individual is not eligible for a future 18 permanent fund dividend. 19 (n) If an individual is aggrieved by a decision of the Department of Revenue with 20 respect to the individual's eligibility for a permanent fund dividend, and thus an energy 21 voucher, the individual may request that the department review its decision under 22 AS 43.23.015(g). 23 (o) If an individual or distributor is aggrieved by a decision of the Alaska Housing 24 Finance Corporation with respect to the individual's authority to claim an energy voucher on 25 behalf of another, or reimbursement of a distributor, or other decision under (e), (g), or (m) of 26 this section, the individual or distributor may request that the corporation review its decision. 27 Within 12 months after an administrative appeal under this subsection is filed, the corporation 28 shall provide the individual or distributor with a final written decision. If the individual or 29 distributor is aggrieved by the final written decision of the corporation, the individual or 30 distributor may appeal that decision to the superior court in accordance with AS 44.62.560. 31 An appeal to the court under this subsection does not entitle the aggrieved individual or

01 distributor to a trial de novo. The appeal shall be based on the record of the administrative 02 proceeding from which appeal is taken, and the scope of appeal is limited to matters contained 03 in the record of the administrative proceeding. 04 (p) If the corporation determines that an energy voucher or a cash payment made in 05 exchange for a voucher should not have been issued to an individual or a reimbursement 06 should not have been made to a distributor, the state may use all collection procedures or 07 remedies available under AS 43 to recover the energy voucher or the cash value of the 08 voucher that was improperly issued or for which reimbursement was improperly made. 09 Except as provided in (q) of this section, a notice of an improperly issued voucher or improper 10 reimbursement shall be sent to the individual or distributor, as applicable, within 11 (1) three years after the energy voucher was issued if the notice is sent to an 12 individual; or 13 (2) three years after the distributor received reimbursement if the notice is sent 14 to a distributor. 15 (q) The three-year time limit under (p) of this section for the corporation to send 16 notice of an improperly issued voucher or an improper reimbursement is extended to six years 17 if the corporation determines that the individual or distributor 18 (1) exercised gross negligence or reckless disregard with respect to a material 19 fact in connection with a false statement on the energy voucher or submission for 20 reimbursement; or 21 (2) forged an energy voucher. 22 (r) If notice is not sent within the time required under (p) or (q) of this section, 23 administrative or judicial proceedings may not be commenced for recovery of an improperly 24 issued energy voucher or improper reimbursement. 25 (s) An energy voucher, account credit, or cash payment provided under this section is 26 exempt from garnishment, levy, or execution by a private party or the state. 27 (t) To the extent allowed by federal law and notwithstanding other state law that may 28 be to the contrary, the department shall, on request of the corporation, electronically provide 29 the corporation with information about applicants who the department has determined are 30 eligible for the permanent fund dividend paid in 2012. Information requested by the 31 corporation under this subsection may include the name of the applicant, the address of the

01 applicant, the date of birth of the applicant, the social security number of the applicant, and 02 any other information necessary to execute the energy voucher program. Information from the 03 department may be used by the corporation only for the purpose of executing the energy 04 voucher program created under this section. 05 (u) In this section, 06 (1) "corporation" means the Alaska Housing Finance Corporation created 07 under AS 18.56; 08 (2) "department" means the Department of Revenue; 09 (3) "disabled" means physically or mentally unable to sign an energy voucher 10 or make a certification required in this section because of serious emotional disturbance, 11 visual, orthopedic, or other health impairment, or developmental disability that is attributable 12 to mental retardation, cerebral palsy, epilepsy, autism, or other cause; "disabled" does not 13 mean "incompetent." 14 * Sec. 2. The uncodified law of the State of Alaska is amended by adding a new section to 15 read: 16 ANALYSIS AND RECOMMENDATION OF AN ENERGY ASSISTANCE 17 PROGRAM. (a) The governor shall take public testimony, consider the recommendations 18 from organizations involved in providing energy or energy assistance to Alaskans, analyze the 19 energy assistance options in (b) of this section, and analyze alternate options to those 20 proposed in (b) of this section for providing energy assistance to Alaskans and, before 21 October 1, 2012, the governor shall provide a report to the legislature making a 22 recommendation for an energy assistance program to be implemented in the fiscal year ending 23 June 30, 2014, that 24 (1) correlates the amount of assistance to the local cost of residential heating, 25 taking into consideration the price of fuel and heating degree days in each community; 26 (2) is implemented based on crude oil price or heating oil price; 27 (3) has total funding based on state revenue; 28 (4) minimizes administrative costs; 29 (5) makes participation of fuel distributors voluntary; 30 (6) includes a hold harmless provision for recipients of public assistance and 31 veterans' benefits; and

01 (7) includes penalties for fraud, including ineligibility for a future permanent 02 fund dividend. 03 (b) The governor shall analyze the following options and may analyze alternate 04 options to provide energy assistance to Alaskans: 05 (1) a fuel price reduction program with the following features: 06 (A) state reimbursement to a heating oil or natural gas distributor of a 07 portion of the wholesale purchase price of fuel that the distributor sold to heat 08 residential structures; 09 (B) an amount of reimbursement necessary to reduce the wholesale 10 purchase price of a distributor by a specified amount or to a specified price; 11 (C) a limit on the amount of fuel that a person may purchase and for 12 which a distributor received a state reimbursement; and 13 (2) an individual account program with the following features: 14 (A) application on a permanent fund dividend application for energy 15 assistance in the form of a state payment to the applicant's account with a fuel 16 distributor or electric utility; 17 (B) assistance based on heating degree days and the cost of energy in 18 the community; 19 (C) electronic selection of 20 (i) a fuel distributor or electric utility to receive the individual's 21 energy assistance payment; and 22 (ii) an optional amount from the applicant's dividend to be 23 deposited in the individual's account with a fuel distributor or electric utility; 24 (D) a statewide base amount to be sent with the applicant's permanent 25 fund dividend for an applicant for energy assistance who fails to select a fuel 26 distributor or electric utility to receive the individual's energy assistance payment. 27 (c) The governor's report to the legislature under (a) of this section shall evaluate 28 (1) the estimated cost of the program for the first five years; 29 (2) the cost of administering the program compared to the assistance provided; 30 (3) whether the program provides the highest level of assistance to the 31 individuals with the highest heating costs; and

01 (4) whether the program can be structured so that energy assistance is not 02 subject to federal taxation. 03 (d) In this section, "heating degree days" means the average temperature for a day 04 minus the reference temperature of 65 degrees Fahrenheit. 05 * Sec. 3. The uncodified law of the State of Alaska is amended by adding a new section to 06 read: 07 EMERGENCY REGULATION AND PROCUREMENT PROVISIONS. 08 Notwithstanding AS 18.56.088, the Alaska Housing Finance Corporation may adopt 09 emergency regulations under AS 44.62.250 and 44.62.260 necessary to implement the Alaska 10 energy voucher program in sec. 1 of this Act without making written findings under 11 AS 44.62.250. The legislature finds that the adoption of emergency regulations is necessary to 12 implement this Act and for the immediate preservation of public health and general welfare. 13 In addition, the Alaska Housing Finance Corporation is exempt from AS 36.30, including 14 AS 36.30.015(f), for the purposes of implementing the Alaska energy voucher program. 15 * Sec. 4. This Act takes effect immediately under AS 01.10.070(c).