00HOUSE BILL NO. 361                                                                                                      
01 "An Act relating to municipal capital project matching grants for a municipality                                        
02 organized under federal law as an Indian reserve; and providing for an effective                                        
03 date."                                                                                                                  
04 BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF ALASKA:                                                                
05    * Section 1.  AS 37.06 is amended by adding a new section to read:                                                   
06  Sec. 37.06.040.  MUNICIPALITIES ORGANIZED UNDER FEDERAL LAW.                                                          
07 A municipality organized under federal law as an Indian reserve that existed before                                     
08 enactment of 43 U.S.C. 1618(a) and is continued in existence under that subsection is                                   
09 a municipality for purposes of AS 37.06.010 - 37.06.090 and may not receive a grant                                     
10 under AS 37.06.020.  In addition to other eligibility requirements applicable to                                        
11 municipalities, to qualify to receive a grant under AS 37.06.010, a municipality                                        
12 organized under federal law as an Indian reserve shall form a community development                                     
13 corporation with authority to determine how the grant money will be used.  The                                          
14 corporation's charter must require that the governing board of the corporation shall be                                 

01 elected at an annual election open to all residents of the municipality who are                                         
02 registered and qualified to vote in state elections.  The Department of Administration                                  
03 may distribute money for the municipality only to a corporation organized in                                            
04 accordance with this section and only after the corporation has delivered a written                                     
05 waiver of sovereign immunity from legal action by the state to recover all or a portion                                 
06 of the money distributed under AS 37.06.010.                                                                            
07    * Sec. 2.  TRANSITION.  Money in an individual grant account established under                                       
08 AS 37.06.020 before the effective date of this Act for a municipality organized under federal                           
09 law as an Indian reserve that existed before enactment of 43 U.S.C. 1618(a) and is continued                            
10 in existence under that subsection shall be transferred by the Department of Community and                              
11 Regional Affairs to the Department of Administration and allocated to the individual grant                              
12 account established for that municipality under AS 37.06.010.                                                           
13    * Sec. 3.  This Act takes effect July 1, 1996.