HB 400: "An Act providing that the Alaska Railroad Corporation is subject to the Executive Budget Act; providing that expenditures of the Alaska Railroad Corporation are subject to appropriation; and providing for an effective date."
00 HOUSE BILL NO. 400 01 "An Act providing that the Alaska Railroad Corporation is subject to the Executive 02 Budget Act; providing that expenditures of the Alaska Railroad Corporation are subject 03 to appropriation; and providing for an effective date." 04 BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF ALASKA: 05 * Section 1. The uncodified law of the State of Alaska is amended by adding a new section 06 to read: 07 PURPOSE. The purpose of this Act is to direct the Alaska Railroad Corporation to be 08 responsible for the management of the financial and legal obligations of the Alaska Railroad, 09 subject to AS 37.07 (Executive Budget Act), and to be responsible for the operating, capital, 10 and debt service expenditures of the corporation in accordance with appropriations made by 11 the legislature. 12 * Sec. 2. AS 37.07.120(1) is amended to read: 13 (1) "agency" means a department, officer, institution, board, 14 commission, bureau, division, or other administrative unit forming the state
01 government and includes the Alaska Railroad Corporation, the Alaska Pioneers' 02 Home, the Alaska Veterans' Home, and the University of Alaska, but does not include 03 the legislature or the judiciary; 04 * Sec. 3. AS 40.25.115(i) is amended to read: 05 (i) A public agency other than a municipality [OR THE ALASKA 06 RAILROAD CORPORATION] shall separately account for the fees received by the 07 agency under this section and deposited in the general fund. The annual estimated 08 balance in the account may be used by the legislature to make appropriations to the 09 agency to carry out the activities of the agency. 10 * Sec. 4. AS 42.40.540 is amended to read: 11 Sec. 42.40.540. Appropriations. The corporation shall [MAY] request, in 12 accordance with AS 37.07, appropriations [THE CONCURRENCE OF THE 13 GOVERNOR, A DIRECT APPROPRIATION OR GRANT] from the legislature to 14 carry [ASSIST IN CARRYING] out the provisions of this chapter. 15 * Sec. 5. AS 42.40 is amended by adding a new section to article 6 to read: 16 Sec. 42.40.545. Compliance with Executive Budget Act. (a) The operating 17 budget of the corporation and a subsidiary of the corporation are subject to AS 37.07 18 (Executive Budget Act). 19 (b) To further ensure effective budgetary decision making by the legislature, 20 the corporation shall 21 (1) annually review the corporation's assets to determine whether 22 assets of the corporation exceed an amount required to fulfill the purposes of the 23 corporation as defined in this chapter; in making its review, the board shall determine 24 whether, and to what extent, assets in excess of the amount required to fulfill the 25 purposes of the corporation during the next fiscal year are available without 26 (A) breaching an agreement entered into by the corporation; 27 (B) materially impairing the operations or financial integrity of 28 the corporation; or 29 (C) materially affecting the ability of the corporation to fulfill 30 the purposes of the corporation as defined in this chapter; 31 (2) specifically identify in the corporation's assets the amounts that the
01 board believes are necessary to meet the requirements of (1)(C) of this subsection; and 02 (3) present to the legislature by January 10 of each year a complete 03 accounting of all assets of the corporation and a report of the review and determination 04 made under (1) and (2) of this subsection; the accounting shall be audited by an 05 independent outside auditor. 06 * Sec. 6. AS 42.40.100(4) and 42.40.920(b)(6) are repealed. 07 * Sec. 7. The uncodified law of the State of Alaska is amended by adding a new section to 08 read: 09 PREPARATION AND SUBMISSION OF FIRST ANNUAL BUDGET OF THE 10 ALASKA RAILROAD CORPORATION UNDER AS 37.07. The Alaska Railroad 11 Corporation shall prepare its first agency program and financial plan under AS 37.07 for 12 consideration by the governor in the development of the governor's recommended operating 13 and capital improvements programs and financial plans that are submitted to the legislature at 14 the next regular session of the legislature that convenes following the effective date of this 15 Act. 16 * Sec. 8. This Act takes effect immediately under AS 01.10.070(c).