00 HOUSE BILL NO. 397                                                                                                      
01 "An Act relating to the power to levy property taxes in second class cities."                                           
02 BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF ALASKA:                                                                
03    * Section 1.  AS 29.45.590 is amended to read:                                                                       
04  Sec. 29.45.590.  [LIMITED] PROPERTY TAXING POWER FOR SECOND                                                           
05 CLASS CITIES.  A second class city may by ordinance approved by the voters                                            
06 [REFERENDUM] levy property taxes as provided for first class cities [.  HOWEVER,                                        
07 LEVY BY A SECOND CLASS CITY MAY NOT EXCEED ONE-HALF OF ONE                                                              
08 PERCENT OF THE ASSESSED VALUE OF THE PROPERTY TAXED], except that                                                       
09 the requirement of voter approval [LIMIT] does not apply to a levy necessary to                                       
10 avoid a default upon payment of principal and interest of bonded or other indebtedness                                  
11 that is secured by a pledge to levy ad valorem or other taxes without limit to meet debt                                
12 payments.