txt

CSSB 287(CRA): "An Act relating to the unincorporated community capital project matching grant program; and providing for an effective date."

00CS FOR SENATE BILL NO. 287(CRA) 01 "An Act relating to the unincorporated community capital project matching grant 02 program; and providing for an effective date." 03 BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF ALASKA: 04 * Section 1. AS 37.06.020(b) is amended to read: 05  (b) The unincorporated community capital project matching grant fund is 06 established in the department and consists of appropriations to the fund. Appropriations 07 to the fund do not lapse except as provided in (h) of this section. The money in the fund 08 is held by the department in custody under this subsection for each unincorporated 09 community eligible for an allocation under this subsection. The department shall 10 establish an individual grant account within the fund for each eligible unincorporated 11 community [THAT WAS ENTITLED TO RECEIVE STATE AID UNDER 12 AS 29.60.140 DURING THE PRECEDING FISCAL YEAR]. As provided in this 13 subsection, each fiscal year the department shall allocate, to the individual grant 14 accounts, appropriations to the fund. An unincorporated community is eligible for an

01 allocation in a fiscal year if the requirements of (d) are met and the community was 02 a place in the state in which 25 or more individuals resided as a social unit 03 [ELIGIBLE TO RECEIVE STATE AID UNDER AS 29.60.140] during the preceding 04 fiscal year. The department shall credit interest earned on money in an individual grant 05 account to that account. Except as provided in (c) of this section, the amount allocated 06 under this subsection to an individual grant account in a fiscal year is the amount 07 needed to fund the projects presented to the legislature under (e) of this section 08 [DETERMINED BY DIVIDING THE TOTAL AMOUNT APPROPRIATED TO THE 09 FUND DURING THAT FISCAL YEAR BY THE NUMBER OF UNINCORPORATED 10 COMMUNITIES ELIGIBLE FOR AN ALLOCATION DURING THAT FISCAL 11 YEAR]. 12 * Sec. 2. AS 37.06.020(c) is amended to read: 13  (c) A maximum [MINIMUM] of $25,000 may [SHALL] be allocated to each 14 eligible unincorporated community's grant account each fiscal year under (b) of this 15 section. If appropriations are not sufficient to fully fund the [MINIMUM] amount for 16 each eligible unincorporated community, the amount appropriated shall be allocated on 17 a pro rata basis [EQUALLY] among the eligible unincorporated communities. If 18 appropriations exceed the amount necessary to fully fund the amount for each 19 eligible unincorporated community, the excess amount lapses into the general fund. 20 * Sec. 3. AS 37.06.020(d) is amended to read: 21  (d) The department shall designate, in each eligible unincorporated community, 22 a [AN INCORPORATED] nonprofit corporation [ENTITY] or a Native village council 23 that agrees to receive and spend grant money allocated to the unincorporated 24 community's individual grant account under (b) of this section. If the community is 25 located in a borough or a unified municipality, the department may only designate 26 the entity that has been approved by the assembly and the department must have 27 written evidence of that approval. If there is more than one qualified entity in a 28 community in the unorganized borough, the department shall designate the entity that 29 the department finds most qualified to make draws from that unincorporated 30 community's individual grant account and spend the money. If there is no qualified 31 [INCORPORATED] nonprofit corporation [ENTITY] or Native village council in an

01 unincorporated community that will agree to receive and spend money allocated to the 02 community under (b) of this section, draws may not be made from the unincorporated 03 community's individual grant account and the amount allocated to the account lapses into 04 the general fund. An entity qualifies for designation under this subsection only if it 05  (1) was formed to serve a public or civic purpose; 06  (2) is registered and in good standing with the Department of 07 Commerce and Economic Development if it is a nonprofit corporation; 08  (3) agrees to use the grant money for a public purpose; 09  (4) provides the residents of the community with a public facility or 10 service; 11  (5) has held a public meeting to give residents of the community the 12 opportunity to express their preferences and ideas for use of the grant money; and 13  (6) agrees to make a facility provided with grant money available to 14 every person in the community. 15 * Sec. 4. AS 37.06.020(e) is amended to read: 16  (e) By October 1 of each fiscal year, the [INCORPORATED] nonprofit 17 corporation [ENTITY] or Native village council designated by the department under (d) 18 of this section shall submit to the governor a prioritized list of capital projects and 19 estimated costs to be financed with money from the community's individual grant 20 account established under (b) of this section. The list must include the amount and 21 source of the local share required by AS 37.06.030. If the community is located in a 22 borough or unified municipality, the list is subject to approval of the assembly and 23 must be accompanied by written evidence of that approval. The governor shall 24 include in the capital improvements program presented to the legislature under 25 AS 37.07.060 the projects submitted by designated entities under this subsection that the 26 governor recommends for funding. If, in the capital improvements program, the 27 governor includes projects in other than the priority order submitted by a designated 28 entity, the governor shall provide the legislature with a written statement of the reasons 29 for that action. 30 * Sec. 5. AS 37.06.020(h) is amended to read: 31  (h) An entity designated by the department under (d) of this section shall repay

01 to the department money it has drawn from an unincorporated community's individual 02 grant account if substantial, ongoing work on the project is not started within four 03 [FIVE] years after the effective date of the appropriation from which the draw is funded. 04 Money repaid shall be deposited into the general fund. Money from an allocation to an 05 unincorporated community's individual grant account that has not been drawn out by a 06 designated entity within four [FIVE] years after the effective date of the appropriation 07 from which the allocation is funded lapses into the general fund. 08 * Sec. 6. AS 37.06.030(b) is amended to read: 09  (b) For each draw made by an entity [OR COUNCIL] under AS 37.06.020, the 10 nonprofit corporation [INCORPORATED ENTITY] or Native village council that 11 makes the draw shall contribute a local share of the cost of the capital project for which 12 the draw is made. The amount of the local share for an unincorporated community 13 in a borough or unified municipality is the amount of the local share for that 14 borough or unified municipality as calculated under (a) of this section. The amount 15 of the local share for an unincorporated community in the unorganized borough 16 equals the local share percentage as calculated under (1) of this subsection, divided by 17 the state share percentage as calculated under (2) of this subsection, multiplied by the 18 amount of the draw. For purposes of this subsection, 19  (1) the local share percentage is five percent; 20  (2) the state share percentage equals one minus the local share 21 percentage; 22  (3) the local share may be satisfied from (A) federal or local money; (B) 23 labor, materials, or equipment used directly in the construction of the project, or land, 24 including land transferred by the state; the department shall determine the value of a 25 contribution under this subparagraph; (C) money from another nonstate source; (D) 26 money received by the unincorporated community under AS 29.60.010 - 29.60.375; or 27 (E) money obtained from the sale or lease of land or other assets transferred by the state; 28 except as provided in this paragraph, the local share may not be satisfied with money 29 from, or with the portion of an asset that was obtained with money from, an 30 appropriation, allocation, entitlement, grant, or other payment from the state. 31 * Sec. 7. TRANSITION. Notwithstanding AS 37.06.020(h) as amended by sec. 5 of this Act,

01 money from an allocation deposited into an unincorporated community's individual grant account 02 before the effective date of sec. 5 must be repaid or lapse in accordance with AS 37.06.020(h) 03 as it read immediately before the effective date of sec. 5. 04 * Sec. 8. This Act takes effect July 1, 1996.