SB 164 - MUN INCORP/RECLASSIFICATION/DISSOLUTION                             
                                                                               
  Number 033                                                                   
                                                                               
  CHAIRMAN OLBERG brought forth CSSB 164.                                      
                                                                               
  DAN BOCKHORST, SUPERVISOR, LOCAL BOUNDARY COMMISSION STAFF,                  
  DEPARTMENT OF COMMUNITY AND REGIONAL AFFAIRS (DCRA),                         
  testified in support of CSSB 164.  He said, "Both the DCRA                   
  and the Local Boundary Commission (LBC) strongly support                     
  this bill.  The bill makes fundamental improvements to the                   
  laws that the state of Alaska regarding local government                     
  structure.  In many respects, it accommodates the needs of                   
  Alaskans that have been expressed to the DCRA or to the LBC                  
  over the past many years at various hearings and meetings                    
  throughout the state.  For example, it permits incorporation                 
  of home rule cities and unified municipalities.  It affirms                  
  that home rule cities and boroughs may be permitted through                  
  merger or consolidation.  The bill permits first class                       
  cities and home rule cities to reclassify as second class                    
  cities.  It establishes standards for city reclassification,                 
  provides that the LBC will review city reclassification                      
  proposals.  Additionally, the bill affirms the commission's                  
  (LBC) authority to approve or amend petitions and to adopt                   
  regulations for matters that come before it..."                              
                                                                               
  REPRESENTATIVE ED WILLIS joined the committee at 1:09 p.m.                   
                                                                               
  Number 091                                                                   
                                                                               
  REPRESENTATIVE TOOHEY asked how the Alaska Municipal League                  
  felt about this legislation.                                                 
                                                                               
  CHAIRMAN OLBERG said, "I would say they are neutral, based                   
  on their lack of attendance (here)."                                         
                                                                               
  REPRESENTATIVE WILLIS asked, "On page 4, line 20...what's                    
  the difference between the `must' and the `shall'"?                          
                                                                               
  MR. BOCKHORST said, "This was a preference that was                          
  expressed by Tam Cook."                                                      
                                                                               
  Number 125                                                                   
                                                                               
  REPRESENTATIVE DAVIES asked what the "motivations" and                       
  "implications" are for having home rule cities defined as                    
  school districts.                                                            
                                                                               
  MR. BOCKHORST said, "It doesn't change the law.  Home rule                   
  cities and first class cities are already recognized as                      
  being school districts if they are in the unorganized                        
  borough.  And the purpose of the amendment provision of                      
  Section 1 is simply to make Title 14, Chapter 12 of the                      
  state statutes comply with what is already stated in Title                   
  29, Chapter 35, Section 260.  Section 260 already says, that                 
  home rule cities in an unorganized borough are city school                   
  districts."                                                                  
                                                                               
  Number 165                                                                   
                                                                               
  REPRESENTATIVE TOOHEY moved to pass CSSB 164 out of                          
  committee with individual recommendations.                                   
                                                                               
  There were no objections.