04/10/2008 05:51 PM Senate FIN

CS FOR HOUSE BILL NO. 325(FIN)                                                                                                
                                                                                                                                
     "An  Act  relating  to the  teachers'  and  health  care                                                                   
     professionals'  housing   loan  program  in  the  Alaska                                                                   
     Housing  Finance  Corporation;   and  providing  for  an                                                                   
     effective date."                                                                                                           
                                                                                                                                
7:08:31 PM                                                                                                                    
                                                                                                                                
BRIAN  BUTCHER,  PUBLIC  AFFAIRS   DIRECTOR,  ALASKA  HOUSING                                                                   
FINANCE CORPORATION  provided an  overview of the  bill which                                                                   
will  repeal  the  sunset  provision  of  the  teacher's  and                                                                   
nurses'  housing  loan  program  and expand  the  program  to                                                                   
teachers and  health care professionals. This  program allows                                                                   
100  percent  financing,  which   does  not  require  a  down                                                                   
payment,  to assist  entry  level  teachers and  health  care                                                                   
professionals   become  home  owners   where  they   may  not                                                                   
otherwise have the opportunity.  The ability to own a home is                                                                   
an important factor in recruiting  and retaining teachers and                                                                   
health care professionals. This  bill would extend the sunset                                                                   
for five  more years and expand  the program to  teachers and                                                                   
health care professionals.                                                                                                      
                                                                                                                                
7:10:34 PM                                                                                                                    
                                                                                                                                
Co-Chair Stedman  reviewed the one zero fiscal  note from the                                                                   
Department of Revenue.                                                                                                          
                                                                                                                                
Co-Chair  Hoffman remarked  that this  bill refers to  single                                                                   
family homes  and wondered what  would happen to  the program                                                                   
if it was expanded to cover purchasing a duplex.                                                                                
                                                                                                                                
Mr. Butcher  answered that this  was always intended  for the                                                                   
owner  occupied  single family  and  never intended  for  the                                                                   
purchase of an investment property.                                                                                             
                                                                                                                                
7:11:36 PM                                                                                                                    
                                                                                                                                
Co-Chair  Hoffman  MOVED to  REPORT  CSHB  325 (FIN)  out  of                                                                   
committee    with   individual    recommendations   and    an                                                                   
accompanying fiscal  note. There  being NO OBJECTION,  it was                                                                   
so ordered.                                                                                                                     
                                                                                                                                
CSHB  325 (FIN)  was REPORTED  out  of Committee  with a  "do                                                                   
pass" recommendation  and a previously published  zero fiscal                                                                   
note from the Department of Revenue.