Legislature(2001 - 2002)

2002-02-01 House Journal

Full Journal pdf

2002-02-01                     House Journal                      Page 2117
HB 370                                                                                            
HOUSE BILL NO. 370 by the House Rules Committee by request of                                       
the Governor, entitled:                                                                             
                                                                                                    
    "An Act relating to the issuance of state-guaranteed revenue bonds                              
    by the Alaska Housing Finance Corporation to finance mortgages                                  
    for qualifying veterans; and providing for an effective date."                                  
                                                                                                    
was read the first time and referred to the House Special Committee on                              
Military and Veterans' Affairs and the State Affairs and Finance                                    
Committees.                                                                                         

2002-02-01                     House Journal                      Page 2118
The following fiscal note(s) apply:                                                                 
                                                                                                    
1.  Zero, Dept. of Revenue                                                                          
2.  Fiscal, Office of the Governor                                                                  
                                                                                                    
                                                                                                    
The Governor's transmittal letter dated January 29, 2002, appears                                   
below:                                                                                              
                                                                                                    
"Dear Speaker Porter:                                                                               
                                                                                                    
Alaska has the highest per capita percentage of veterans of any state in                            
the nation.  We must send the clear message that our state recognizes                               
and appreciates those who have served.  This bill I am transmitting is                              
one in a package of legislation I am introducing this year to offer                                 
tribute to our veterans.  It continues the state's history of authorizing                           
bonds for guaranteed veteran housing loans.                                                         
                                                                                                    
                                                                                                    
The State of Alaska is one of only five states that receives favorable                              
treatment under the Internal Revenue Code for guaranteed veterans                                   
bonds.  This program is designed to provide the lowest possible                                     
interest rates to our veterans, without any income limitations.                                     
                                                                                                    
                                                                                                    
The accompanying bill is the first step in allowing the state to continue                           
to take advantage of this worthwhile program.  It would provide for a                               
statewide vote at the next general election on authorizing $500 million                             
in Alaska Housing Finance Corporation (AHFC) bonds for qualifying                                   
veterans.  This would be the fifth such bond approval; the voters                                   
authorized a total of $2.2 billion in state-guaranteed AHFC veterans                                
bonds in four separate elections between 1982 and 1986. The AHFC                                    
has issued nearly all of those bonds, requiring a new authorization.                                
                                                                                                    
                                                                                                    
The need for continuing this guaranteed housing loan program for                                    
veterans may well increase.  Congress is considering expanding the                                  
current Internal Revenue Service Code definition of "qualified                                      
veterans," which now limits participants to those who served in the                                 
military before January 1, 1977 and were honorably discharged within                                
the last 30 years.  I support extending the program to veterans who                                 
have served in more recent years.  If this effort succeeds, the veteran's                           

2002-02-01                     House Journal                      Page 2119
mortgage program in this state would see a dramatic increase in home                                
loans to qualifying individuals -- all the more reason to allow this                                
question to be placed on the statewide ballot.                                                      
                                                                                                    
                               Sincerely,                                                          
                               /s/                                                                  
                               Tony Knowles                                                         
                                Governor"