00 CS FOR SENATE BILL NO. 338(FIN) 01 "An Act relating to the issuance of revenue bonds for acquisition and 02 construction of the Northern Crossroads Discovery Center for the Ship Creek 03 Landings Project; relating to a study of the feasibility and financial viability of 04 the Northern Crossroads Discovery Center; relating to construction of the 05 Northern Crossroads Discovery Center; and providing for an effective date." 06 BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF ALASKA: 07 * Section 1. (a) In furtherance of the state policy under sec. 1(a)(1)(B), ch. 153, SLA 08 1984 to foster the long-term economic growth and development of the state, the Alaska 09 Railroad Corporation is authorized to issue revenue bonds in the principal amount of not more 10 than $55,000,000 for the construction and acquisition of the Northern Crossroads Discovery 11 Center for the Ship Creek Landings Project, if the board of directors of the Alaska Railroad 12 Corporation determines after completion of the study conducted under sec. 2 of this Act that 13 the Northern Crossroads Discovery Center is feasible and financially viable. This section 14 constitutes legislative approval of the issuance of bonds by the Alaska Railroad Corporation, 01 as required by AS 42.40.285. 02 (b) The Alaska Railroad Corporation may loan the proceeds from the sale of revenue 03 bonds authorized by this section to a public or private entity that the Alaska Railroad 04 Corporation considers appropriate to acquire, construct, and operate the Northern Crossroads 05 Discovery Center. The Alaska Railroad Corporation may enter into agreements, including 06 leases, with a public or private entity that the Alaska Railroad Corporation considers 07 appropriate to provide for and secure payment of a loan made from the proceeds from the sale 08 of the revenue bonds. 09 (c) The issuance of revenue bonds authorized by this section is subject to 10 AS 42.40.600 - 42.40.700, except that, notwithstanding AS 42.40.630, the bonds are special 11 nonrecourse obligations of the Alaska Railroad Corporation payable only from the revenues 12 and assets received by the corporation from the public or private entity that owns and operates 13 the Northern Crossroads Discovery Center. Notwithstanding AS 42.40.630 and 42.40.640, the 14 Alaska Railroad Corporation may not pledge, mortgage, or assign money, leases, revenue, 15 agreements, assets, or property of the corporation to the payment of the bonds, except as 16 expressly provided in this subsection. 17 * Sec. 2. The Alaska Railroad Corporation shall conduct a study of the feasibility and 18 financial viability of the proposed Northern Crossroads Discovery Center for the Ship Creek 19 Landings Project, if a private party, including a potential developer or lessee of the Northern 20 Crossroads Discovery Center, enters into an agreement with the Alaska Railroad Corporation 21 to pay the cost of the study. The Alaska Railroad Corporation shall select the person or firm 22 to conduct the study. Upon receipt of the completed study, the board of directors of the 23 Alaska Railroad Corporation shall determine whether the Northern Crossroads Discovery 24 Center is feasible and financially viable. 25 * Sec. 3. Before construction of the Northern Crossroads Discovery Center begins, the 26 Alaska Railroad Corporation shall require that the public or private entity authorized to design 27 and construct the Northern Crossroads Discovery Center post a payment and performance 28 bond in favor of the Alaska Railroad Corporation to assure completion of the Northern 29 Crossroads Discovery Center. 30 * Sec. 4. Each bond issued under sec. 1 of this Act shall contain on its face a statement 31 that 01 (1) the Alaska Railroad Corporation is not obligated to pay the bond or the 02 interest on the bond except from the revenue or assets received by the corporation from the 03 public or private entity that owns and operates the Northern Crossroads Discovery Center that 04 are pledged for the bond; 05 (2) neither the faith and credit nor the taxing power of the State of Alaska or 06 of a political subdivision of the state is pledged to the payment of the bond; and 07 (3) the issuance of the bonds does not create a legal or moral debt of the State 08 of Alaska and payment of the bond is not directly or indirectly dependent upon an 09 appropriation by the Alaska State Legislature. 10 * Sec. 5. This Act takes effect immediately under AS 01.10.070(c).