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HB 32: "An Act relating to reimbursement of school construction debt; and providing for an effective date."

00HOUSE BILL NO. 32 01 "An Act relating to reimbursement of school construction debt; and providing for 02 an effective date." 03 BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF ALASKA: 04 * Section 1. AS 14.11.100(a) is amended to read: 05  (a) During each fiscal year, the state shall allocate to a municipality that is a 06 school district, the following sums: 07  (1) payments made by the municipality during the fiscal year two years 08 earlier for the retirement of principal and interest on outstanding bonds, notes, or other 09 indebtedness incurred before July 1, 1977, to pay costs of school construction; 10  (2) 90 percent of 11  (A) payments made by the municipality during the fiscal year 12 two years earlier for the retirement of principal and interest on outstanding 13 bonds, notes, or other indebtedness incurred after June 30, 1977, and before 14 July 1, 1978, to pay costs of school construction;

01  (B) cash payments made after June 30, 1976, and before July 1, 02 1978, by the municipality during the fiscal year two years earlier to pay costs 03 of school construction; 04  (3) 90 percent of 05  (A) payments made by the municipality during the fiscal year 06 two years earlier for the retirement of principal and interest on outstanding 07 bonds, notes, or other indebtedness incurred after June 30, 1978, and before 08 January 1, 1982, to pay costs of school construction projects approved under 09 AS 14.07.020(a)(11); 10  (B) cash payments made after June 30, 1978, and before July 1, 11 1982, by the municipality during the fiscal year two years earlier to pay costs 12 of school construction projects approved under AS 14.07.020(a)(11); 13  (4) subject to (h) and (i) of this section, up to 90 percent of 14  (A) payments made by the municipality during the current fiscal 15 year for the retirement of principal and interest on outstanding bonds, notes, or 16 other indebtedness incurred after December 31, 1981, and authorized by the 17 qualified voters of the municipality before July 1, 1983, to pay costs of school 18 construction, additions to schools, and major rehabilitation projects that exceed 19 $25,000 and are approved under AS 14.07.020(a)(11); and 20  (B) cash payments made after June 30, 1982, and before July 1, 21 1983, by the municipality during the fiscal year two years earlier to pay costs 22 of school construction, additions to schools, and major rehabilitation projects 23 that exceed $25,000 and are approved under AS 14.07.020(a)(11); and 24  (C) payments made by the municipality during the current fiscal 25 year for the retirement of principal and interest on outstanding bonds, notes, or 26 other indebtedness to pay costs of school construction, additions to schools, and 27 major rehabilitation projects that exceed $25,000 and are submitted to the 28 department for approval under AS 14.07.020(a)(11) before July 1, 1983, and 29 approved by the qualified voters of the municipality before October 15, 1983, 30 not to exceed a total project cost of (i) $6,600,000 if the annual growth rate of 31 average daily membership of the municipality is more than 7 percent but less

01 than 12 percent, or (ii) $20,000,000 if the annual growth rate of average daily 02 membership of the municipality is 12 percent or more; payments made by a 03 municipality under this paragraph on total project costs that exceed the amounts 04 set out in (i) and (ii) of this paragraph are subject to (5)(A) of this subsection; 05  (5) subject to (h), (i), and (j) of this section, 80 percent of 06  (A) payments made by the municipality during the fiscal year 07 for the retirement of principal and interest on 08  (i) outstanding bonds, notes, or other indebtedness 09 authorized by the qualified voters of the municipality after June 30, 10 1983, but before March 31, 1990, to pay costs of school construction, 11 additions to schools, and major rehabilitation projects that exceed 12 $25,000 and are approved under AS 14.07.020(a)(11); 13  (ii) outstanding bonds, notes, or other indebtedness 14 authorized by the qualified voters of the municipality before July 1, 15 1989, and reauthorized before November 1, 1989, to pay costs of school 16 construction, additions to schools, and major rehabilitation projects that 17 exceed $25,000 and are approved under AS 14.07.020(a)(11); and 18  (B) cash payments made after June 30, 1983, by the 19 municipality during the fiscal year two years earlier to pay costs of school 20 construction, additions to schools, and major rehabilitation projects that exceed 21 $25,000 and are approved by the department before July 1, 1990, under 22 AS 14.07.020(a)(11); 23  (6) subject to (h), (i), and (j) of this section, 70 percent of 24  (A) payments made by the municipality during the fiscal 25 year for the retirement of principal and interest on outstanding bonds, 26 notes, or other indebtedness authorized by the qualified voters of the 27 municipality after March 30, 1990, to pay costs of school construction, 28 additions to schools, and major rehabilitation projects that exceed $50,000 29 and are approved under AS 14.07.020(a)(11); and 30  (B) cash payments made by the municipality during the 31 fiscal year two years earlier to pay costs of school construction, additions

01 to schools, and major rehabilitation projects that exceed $50,000 and are 02 approved by the department under AS 14.07.020(a)(11). 03 * Sec. 2. AS 14.11.102 is amended by adding a new subsection to read: 04  (b) The department shall evaluate projects for which retirement of school 05 construction debt is requested. In evaluating projects the department shall consider at 06 least the following factors: 07  (1) emergency requirements; 08  (2) number of unhoused students; 09  (3) new elementary or secondary programs; 10  (4) existing regional, community, and school facilities, and their 11 condition; 12  (5) alternate education program options for accomplishing the project's 13 objectives; and 14  (6) economic and social stability of the community. 15 * Sec. 3. This Act takes effect immediately under AS 01.10.070(c).