1997-01-15                     House Journal                      Page 0068
HB 70                                                                        
The following fiscal note applies:                                             
                                                                               
                                                                               
Zero fiscal note, Dept. of Revenue, 1/15/97                                    
                                                                               
                                                                               
The Governor's transmittal letter, dated January 15, 1997, appears             
below:                                                                         
                                                                               
                                                                               
Dear Speaker Phillips:                                                         
                                                                               
One of the goals of my Administration is to provide safe, healthy              
communities for all Alaskans.  The bill I am transmitting to you today         
is a step toward that goal by attempting to better meet the housing            
needs in small communities, especially in rural Alaska.                        
                                                                               
                                                                               
This bill modifies the rural loan programs of  the Alaska Housing              
Finance Corporation (AHFC) and regional housing authorities to                 
substantially improve the delivery of housing services.  It recognizes         
that there are unique circumstances in our rural areas that must be            
taken into account to ensure that our housing programs are                     
administered practically and fairly for all Alaskans.  It also recognizes      
and relies on the role that regional housing authorities play in the           
implementation of our housing programs.                                        
                                                                               
                                                                               
Among the changes contained in this legislation are: 1) An expansion           
of permitted uses of supplemental housing development grants to                
regional housing authorities to allow money to be expended on                  
improvements to a communitys water and sewer infrastructure                    
necessitated by the development of a housing project; 2) Modifying the         
Building Material Loan Program to meet rural housing market                    
conditions;  3) Permitting of refinancing of housing loans in small            
communities similar to that now offered borrowers in urban areas; and          
4) Allowing loans to pay for the installation of building materials by         
third-party contractors to ensure installation by qualified professionals.