00                      CS FOR SENATE BILL NO. 359(FIN)                                                                   
01 "An Act relating to organization grants for mergers, consolidations, or unifications                                    
02 involving third class boroughs; and relating to identification by the Local Boundary                                    
03 Commission of areas that meet the standards for borough incorporation."                                                 
04 BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF ALASKA:                                                                
05    * Section 1.  AS 29.05.190(c) is amended to read:                                                                  
06            (c)  Except as provided in (d) of this section, this [THIS] section does not                             
07       apply to a borough incorporated by consolidation or to a unified municipality that                                
08       occupies the area formerly occupied by a borough.                                                                 
09    * Sec. 2.  AS 29.05.190 is amended by adding a new subsection to read:                                             
10            (d)  For the purpose of defraying the cost of government transition, each third                              
11       class borough that merges or consolidates with a city after January 1, 2002, and each                             
12       municipality that unifies after January 1, 2002, in an area formerly occupied by a third                          
13       class borough is entitled to organization grants as follows:                                                      
14                 (1)  $200,000 for the municipality's first full or partial fiscal year after                            

01       the merger or consolidation or after unification;                                                                 
02                 (2)  $200,000 for the municipality's second fiscal year after the merger                                
03       or consolidation or after unification.                                                                            
04    * Sec. 3.  The uncodified law of the State of Alaska is amended by adding a new section to                         
05 read:                                                                                                                   
06       NEW BOROUGH INCORPORATION.  The Local Boundary Commission shall                                                   
07 review conditions in the unorganized borough.  By the 10th day of the First Regular Session                             
08 of the Twenty-Third Alaska State Legislature, the commission shall report to the legislature                            
09 the areas it has identified that meet the standards for incorporation and the basis for its                             
10 determination and make recommendations for legislative consideration.