04/26/1996 01:37 PM Senate CRA

                                                                               
              CSHB 192(FIN) am AHFC HOUSING LOANS                             
                                                                              
   CHAIRMAN TORGERSON  called the Senate Community & Regional Affairs          
 Committee meeting to order at 1:37 p.m., and brought CSHB 192(FIN)            
 am back before the committee as the first order of business.  He              
 directed atention to an amendment being proposed by Senator Kelly.            
                                                                               
 SENATOR KELLY, in addressing the proposed amendment, stated a                 
 conflict of interest.  He said the amendment would affect the                 
 Chester Park Condominium group in Anchorage and his in-laws own a             
 unit there.                                                                   
                                                                               
 Explaining the amendment, Senator Kelly noted the Senate State                
 Affairs Committee changed the age limit for senior housing in                 
 Alaska from 60 years down to 55 years, however, that amendment                
 faces serious opposition in the House and might kill the bill.  He            
 pointed out the Chester Park residential cooperative is a senior              
 condominium project that is privately financed in Alaska.  The                
 cooperative has a full-term taxable loan from AHFC, but receives no           
 subsidy from them.  By restricting this for persons 55 years of age           
 or older in residential cooperatives organized under AS 10.15 or AS           
 34.08, it only relates to the Chester Park cooperative and leaves             
 the age at 60 for other facilities.                                           
                                                                               
 SENATOR RANDY PHILLIPS also stated a conflict of interest.                    
                                                                               
 Number 112                                                                    
                                                                               
 JOHN BITTNEY, representing Alaska Housing Finance Corporation,                
 stated AHFC's position on legislation is neutral, but by narrowing            
 the definition it will narrow down a lot of the impact that it                
 could potentially have and alleviate some of the concerns that have           
 come up.                                                                      
                                                                               
 Number 140                                                                    
                                                                               
 SENATOR RANDY PHILLIPS moved the following amendment to CSHB
(FIN) am:                                                                  
                                                                              
 Amendment No. 1                                                              
                                                                               
 Page 8, line 16-22:  Delete all material and insert:                          
                                                                               
  "(A) means construction or improvement undertaken primarily to               
 provide dwelling accommodations                                               
   (i)  for persons 55 years of age or older in residential                   
 cooperatives organized under AS 10.15 or AS 34.08; and                       
   (ii)  for persons 60 years of age or older in [,                        
 INCLUDING] conventional housing, housing for frail elderly, group             
 homes, congregate housing, residential horizontal property regimes            
 organized under AS 34.07, [RESIDENTIAL COOPERATIVES ORGANIZED UNDER           
 as 10.15 or as 34.08,] residential condominiums organized under AS            
 34.08, and other housing that meets special needs of the elderly;"            
                                                                               
 Page 8, line 29:  Delete "55" [60] years of age or older."                  
                   Insert "of the age set by law to qualify for               
 senior housing[60 YEARS OF AGE OR OLDER]."                                   
                                                                               
 Hearing no objection, the Chairman stated the amendment was                 
 adopted.                                                                      
                                                                               
 Number 145                                                                    
                                                                               
 BRYCE EDGMON, staff to Representative Richard Foster who is prime             
 sponsor of HB 192, stated the sponsor supports the amendment.                 
                                                                               
 Number 149                                                                    
                                                                               
 There being no further testimony on CSHB 192(FIN) am, SENATOR                 
 TORGERSON asked for the pleasure of the committee.                            
                                                                               
 SENATOR KELLY moved that SCS CSHB 192(CRA) be passed out of                   
 committee with individual recommendations.  Hearing no objection,             
 it was so ordered.