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SB 18: "An Act relating to third class boroughs."

00                             SENATE BILL NO. 18                                                                          
01 "An Act relating to third class boroughs."                                                                              
02 BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF ALASKA:                                                                
03    * Section 1. AS 14.08.011(a) is amended to read:                                                                   
04            (a)  It is the purpose of this chapter to provide for public education in the                                
05       unorganized borough, third class boroughs, and the military reservations in the state.                        
06    * Sec. 2. AS 14.08.031(a) is amended to read:                                                                      
07 (a)  The Department of Commerce, Community, and Economic Development,                                               
08 in consultation with the Department of Education and Early Development and local                                        
09 communities, shall divide the area comprising the unorganized borough and third                             
10 class boroughs into educational service areas using the boundaries or sub-boundaries                                
11 of the regional corporations established under the Alaska Native Claims Settlement                                      
12 Act, unless by referendum a community votes to merge with another community                                             
13 contiguous to it but within the boundaries or sub-boundaries of another regional                                        
14       corporation.                                                                                                      
15    * Sec. 3. AS 14.08.031(b) is amended to read:                                                                      
01 (b)  An educational service area established in the area comprising the                                             
02 unorganized borough and third class boroughs under (a) of this section constitutes a                                
03 regional educational attendance area. As far as practicable, each regional educational                                  
04 attendance area shall contain an integrated socio-economic, linguistically and                                          
05 culturally homogeneous area. In the formation of the regional educational attendance                                    
06 areas, consideration shall be given to the transportation and communication network to                                  
07 facilitate the administration of education and communication between communities                                        
08 that comprise the area. Whenever possible, municipalities, other governmental or                                        
09 regional corporate entities, drainage basins, and other identifiable geographic features                                
10       shall be used in describing the boundaries of the regional school attendance areas.                               
11    * Sec. 4. AS 14.08.071(a) is amended to read:                                                                      
12 (a)  In each regional educational attendance area in the area comprising the                                        
13 unorganized borough and third class boroughs, the lieutenant governor, within not                                   
14 less than 60, nor more than 90, days after the establishment of the regional educational                            
15       attendance area, shall provide for the election of a regional school board.                                       
16    * Sec. 5. AS 14.12.010 is amended to read:                                                                         
17 Sec. 14.12.010. Districts of state public school system. The districts of the                                         
18       state public school system are as follows:                                                                        
19 (1)  each home rule and first class city in the unorganized borough or                                              
20       in a third class borough is a city school district;                                                           
21 (2)  each first class, second class, or home rule [ORGANIZED]                                                       
22       borough is a borough school district;                                                                             
23 (3)  the area outside first class, second class, or home rule                                                       
24 [ORGANIZED] boroughs and outside home rule and first class cities is divided into                                       
25       regional educational attendance areas.                                                                            
26    * Sec. 6. AS 14.12.110 is amended to read:                                                                         
27 Sec. 14.12.110. Single body as assembly and school board. Notwithstanding                                             
28 the provisions of this chapter or other law, a single body may serve as both the                                        
29 assembly and school board in the manner provided under (b) of this section [FOR                                     
30       THIRD CLASS BOROUGHS UNDER AS 29.20.300(b)], if                                                                   
31 (1)  an ordinance for that purpose is approved by the assembly and                                                      
01       ratified by a referendum of a majority of the qualified borough voters voting on the                              
02       question at a regular or special election; and                                                                    
03                 (2)  the public school population within the borough is 500 pupils or                                   
04       less.                                                                                                             
05    * Sec. 7. AS 14.12.110 is amended by adding a new subsection to read:                                              
06            (b)  When a single body serves as both the assembly and the school board, the                                
07       mayor is the presiding officer of the assembly and president of the school board.                                 
08       However, the mayor may not veto an action of the school board.                                                    
09    * Sec. 8. AS 14.60.010(7) is amended to read:                                                                      
10 (7)  "regional educational attendance area" means an educational                                                        
11 service area in the area comprising the unorganized borough and third class                                     
12 boroughs, which may [OR MAY NOT] include a military reservation, and that                                           
13 contains one or more public schools with one or more grade levels of [GRADE                                         
14 LEVELS] K-12 [OR ANY PORTION OF THOSE GRADE LEVELS THAT ARE TO                                                          
15       BE] operated under the management and control of a single regional school board;                                  
16    * Sec. 9. AS 23.40.250(8) is amended to read:                                                                      
17 (8)  "regional educational attendance area" means an educational                                                        
18 service area in the area comprising the unorganized borough and third class                                     
19 boroughs, which [THAT] may [OR MAY NOT] include a military reservation, and                                         
20 that contains one or more public schools with one or more grade levels of [GRADE                                    
21 LEVELS] K - 12 [OR ANY PORTION OF THOSE GRADE LEVELS THAT ARE                                                           
22 TO BE] operated under the management and control of a single regional school board;                                     
23    * Sec. 10. AS 29.04.060(a) is amended to read:                                                                     
24 (a)  A third class borough may reclassify as a first or second class borough in                                         
25 the manner provided by AS 29.35.320 - 29.35.330 for the addition of an areawide                                         
26 power by a first or second class borough, except the petition or proposal requests                                      
27 reclassification instead of requesting addition of a power. [AT THE TIME OF                                             
28 VOTING ON RECLASSIFICATION OF A THIRD CLASS BOROUGH TO FIRST                                                            
29 OR SECOND CLASS STATUS, VOTERS SHALL VOTE ALSO ON WHETHER                                                               
30 THE BOROUGH SHALL, ON RECLASSIFICATION, RETAIN A COMBINED                                                               
31 ASSEMBLY AND SCHOOL BOARD OR ELECT A SEPARATE ASSEMBLY                                                                  
01       AND BOARD AS OTHERWISE PROVIDED FOR FIRST AND SECOND CLASS                                                        
02       BOROUGHS.]                                                                                                      
03    * Sec. 11. AS 29.05.031(a) is amended to read:                                                                     
04            (a)  An area that meets the following standards may incorporate as a home rule,                              
05       first class, [OR] second class, or third class borough, or as a unified municipality:                         
06                 (1)  the population of the area is interrelated and integrated as to its                                
07       social, cultural, and economic activities, and is large and stable enough to support                              
08       borough government;                                                                                               
09                 (2)  the boundaries of the proposed borough or unified municipality                                     
10 conform generally to natural geography and include all areas necessary for full                                         
11       development of municipal services;                                                                                
12 (3)  the economy of the area includes the human and financial resources                                                 
13 capable of providing municipal services; evaluation of an area's economy includes                                       
14 land use, property values, total economic base, total personal income, resource and                                     
15 commercial development, anticipated functions, expenses, and income of the proposed                                     
16       borough or unified municipality;                                                                                  
17 (4)  land, water, and air transportation facilities allow the                                                           
18 communication and exchange necessary for the development of integrated borough                                          
19       government.                                                                                                       
20    * Sec. 12. AS 29.05.190(c) is amended to read:                                                                     
21 (c)  This [EXCEPT AS PROVIDED IN (d) OF THIS SECTION, THIS]                                                         
22 section does not apply to a borough incorporated by consolidation or to a unified                                       
23       municipality that occupies the area formerly occupied by a borough.                                               
24    * Sec. 13. AS 29.06.090(a) is amended to read:                                                                     
25 (a)  Two or more municipalities may merge or consolidate to form a single                                               
26 general law or home rule municipality [, EXCEPT A THIRD CLASS BOROUGH                                                   
27       MAY NOT BE FORMED THROUGH MERGER OR CONSOLIDATION].                                                               
28    * Sec. 14. AS 29.06.470(a) is amended to read:                                                                     
29 (a)  Except as provided in (b) of this section, voters of a municipality may                                            
30 petition for dissolution when the municipality is free of debt, or, if in debt, each of its                             
31       creditors is satisfied with a method of repayment and                                                             
01                 (1)  the municipality no longer meets the minimum standards                                             
02       prescribed for incorporation by AS 29.05 [, OR FORMER AS 29.18.030 IF IT IS A                                     
03       THIRD CLASS BOROUGH];                                                                                             
04                 (2)  the municipality ceases to use each of its mandatory powers; or                                    
05                 (3)  the dissolution petition filed under AS 29.06.460 is signed by a                                   
06       number of voters of the municipality proposed to be dissolved greater than 50 percent                             
07       of the number of votes cast in the last regular election in that municipality.                                    
08    * Sec. 15. AS 29.20.300(a) is amended to read:                                                                     
09            (a)  Each municipal school district has a school board. Members [EXCEPT                                  
10 AS PROVIDED IN (b) OF THIS SECTION, MEMBERS] of a school board are                                                      
11 elected at the regular election for three-year terms and until their successors take                                    
12 office. Members are elected at large unless a different method of election has been                                     
13       approved by the voters in a regular election.                                                                     
14    * Sec. 16. AS 29.35.160(a) is amended to read:                                                                     
15 (a)  Each first class, second class, and home rule borough constitutes a                                            
16 borough school district and establishes, maintains, and operates a system of public                                     
17 schools on an areawide basis as provided in AS 14.14.060. A military reservation in a                                   
18 borough is not part of the borough school district until the military mission is                                        
19 terminated or until inclusion in the borough school district is approved by the                                         
20 Department of Education and Early Development. However, operation of the military                                       
21 reservation schools by the borough school district may be required by the Department                                    
22 of Education and Early Development under AS 14.14.110. If the military mission of a                                     
23 military reservation terminates or continued management and control by a regional                                       
24 educational attendance area is disapproved by the Department of Education and Early                                     
25 Development, operation, management, and control of schools on the military                                              
26 reservation transfers to the borough school district in which the military reservation is                               
27       located.                                                                                                          
28    * Sec. 17. AS 29.35.220 is repealed and reenacted to read:                                                         
29 AS 29.35.220. Third class borough powers. (a) Notwithstanding any other provision                                     
30 of law, a third class borough has only the following powers:                                                          
31 (1)  to levy a property tax and impose a lien for its enforcement as                                                    
01       provided in AS 29.45.020 - 29.45.500;                                                                             
02                 (2)  to enter into an agreement with a taxpayer for the taxpayer to make                                
03       a payment to the borough in lieu of taxes;                                                                        
04                 (3)  to issue bonds to finance an energy infrastructure project in the                                  
05       borough; the borough may only borrow money and issue evidence of indebtedness for                                 
06       this purpose;                                                                                                     
07                 (4)  to enact and enforce an ordinance necessary to carry out its powers                                
08       under this subsection and to prescribe a civil penalty for violation of an ordinance.                             
09            (b)  The legislative power of a third class borough shall be vested in the                                   
10 assembly under AS 29.20.050 - 29.20.180. The assembly shall enact and enforce                                           
11 ordinances under AS 29.25.010 - 29.25.075, except that a third class borough may not                                    
12       prescribe or enforce a penalty of imprisonment for violation of an ordinance.                                     
13 (c)  Notwithstanding any other provision of law, a third class borough may not                                          
14       acquire or exercise any power not listed under (a) of this section.                                               
15    * Sec. 18. AS 38.05.037(a) is amended to read:                                                                     
16 (a)  In areas of the state outside first or [,] second [, OR THIRD] class                                           
17 boroughs where there is no municipality with a zoning power, the division of lands                                      
18       shall exercise the zoning power by adopting zoning regulations.                                                   
19    * Sec. 19. AS 46.14.400(a) is amended to read:                                                                     
20 (a)  With the approval of the department, a municipality may establish and                                              
21 administer within its jurisdiction a local air quality control program that operates in                                 
22 lieu of and is consistent with all or part of the department's air quality program as                                   
23 established under this chapter. A first or second class borough may administer an air                                   
24 quality control program approved by the department under this subsection on an                                          
25 areawide basis and is not subject to the restrictions for acquiring additional areawide                                 
26 powers specified in AS 29.35.300 - 29.35.350. [A THIRD CLASS BOROUGH MAY                                                
27 ADMINISTER A LOCAL AIR QUALITY CONTROL PROGRAM APPROVED BY                                                              
28 THE DEPARTMENT UNDER THIS SUBSECTION ONLY IN A SERVICE AREA                                                             
29       FORMED UNDER AS 29.35.490(b) OR (c).]                                                                             
30    * Sec. 20. AS 14.12.110; AS 29.04.060(b), 29.04.060(c); AS 29.05.031(b), 29.05.190(d);                             
31 AS 29.10.080(b); and AS 29.20.300(b) are repealed.