00                              HOUSE BILL NO. 49                                                                          
01 "An Act relating to municipal aid grants; and providing for an effective date."                                         
02 BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF ALASKA:                                                                
03    * Section 1.  AS 29.60 is amended by adding a new section to read:                                                 
04                     Article 10.  Municipal Aid Grants.                                                                
05            Sec. 29.60.720.  Municipal aid grants.  (a)  Each fiscal year, the department                              
06       shall pay a municipal aid grant of $50,000 to every municipality.  An application is not                          
07       required for a municipality to be eligible for a grant under this subsection.                                     
08            (b)  If appropriations are not sufficient to fully fund municipal aid grants for a                           
09       fiscal year, the department shall calculate a reduced grant amount based on the                                   
10       available funding and distribute equal grants in the reduced amount to all                                        
11       municipalities.                                                                                                   
12            (c)  In this section, "municipality" includes a municipality organized under                                 
13       federal law as an Indian reserve that existed before enactment of 43. U.S.C. 1618(a)                              
14       and is continued in existence under that subsection.                                                              
15    * Sec. 2.  This Act takes effect July 1, 2005.