00                            HOUSE BILL NO. 495                                                                          
01 "An Act relating to the four dam pool joint action agency; and providing for an effective                               
02 date."                                                                                                                  
03 BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF ALASKA:                                                                
04    * Section 1.  AS 42.45.310(c) is amended to read:                                                                  
05            (c)  The agency is a body corporate and politic and an instrumentality of the                                
06       public utilities that form the agency, but has a separate and independent legal                                   
07       existence from the public utilities.  A debt, obligation, or liability of the agency does                         
08       not constitute a debt, obligation, or liability of a public utility or the state.  A liability                    
09       incurred by the agency shall be satisfied exclusively from the assets or revenue of the                           
10       agency, and a creditor of the agency or any other person does not have any right of                               
11       action or claim against a public utility or the state, because of a debt, obligation, or                          
12       liability of the agency.  The agency has the powers of a public utility under AS 42.05                            
13       and the immunities of a public utility.  In addition to the powers granted to the agency                          
14       under AS 42.45.300 and this section, the agency has the power                                                     

01                 (1)  to adopt bylaws of the agency;                                                                     
02                 (2)  to sue and be sued;                                                                                
03                 (3)  to carry out the authorized purposes of the agency;                                                
04                 (4)  subject to (e) of this section, to issue revenue bonds and other                                   
05       obligations that are not obligations of either the state or the public utilities that are                         
06       parties to the agency agreement to provide financing to carry out the authorized                                  
07       purposes of the agency; [AND]                                                                                     
08                 (5)  in addition to the powers of eminent domain in AS 42.05.631, to                                    
09       exercise the powers of eminent domain and a declaration of taking to acquire land or                              
10       materials within the boundaries of the power project purchased by the agency from the                             
11       Alaska Energy Authority under the procedures set out in AS 09.55.240 - 09.55.460 to                               
12       carry out the authorized purposes of a joint action agency; and                                               
13                 (6)  to use facilities, projects, and related assets owned, leased, or                              
14       operated by the joint action agency as security for bonds, notes, mortgages, credit                           
15       enhancement devices, or other obligations.                                                                    
16    * Sec. 2.  AS 42.45.310(h) is amended to read:                                                                     
17            (h)  An agency formed by, and that continues to include, one or more                                         
18       municipal public utilities is a political subdivision for purposes of AS 38.05.810, and                       
19       functions as a political subdivision in the acquisition and operation of the power                            
20       project under the agreement authorized by this section.                                                       
21    * Sec. 3.  AS 42.45.310 is amended by adding new subsections to read:                                              
22            (j)  The agency may not sell a project owned by the agency to any purchaser                                  
23       without the approval of the legislature in advance of the effective date of the sale,                             
24       except that a sale made to a public utility that is a party to the agreement does not                             
25       require legislative approval.                                                                                     
26            (k)  Notwithstanding (j) of this section, the project and related assets may be                              
27       transferred in connection with a foreclosure or other enforcement of a lien or security                           
28       interest to a party holding a lien or security interest acquired under (c)(6) of this                             
29       section without legislative approval.  A party obtaining a property interest under this                           
30       subsection may transfer that interest without the approval of the legislature.                                    
31    * Sec. 4.  This Act takes effect immediately under AS 01.10.070(c).