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HB 400: "An Act relating to welfare reform by establishing the Alaska Family Independence Program; repealing the aid to families with dependent children and job opportunity and basic skills programs; relating to an exemption to Alaska Wage and Hour Act for certain work activities of the Alaska Family Independence Program; relating to the duty to support children of minor parents; relating to certain licenses and applications for a license for persons who are not in substantial compliance with orders, judgments, or payment schedules for child support; relating to an exemption to the state procurement code for certain services for the general relief program and Alaska Family Independence Program; relating to eligibility for day care benefits administered by the Department of Community and Regional Affairs; authorizing the Department of Health and Social Services to operate a public assistance program consistent with the Alaska Family Independence Program under federal waivers and providing certain immunity from liability for activities of that program; amending Alaska Rule of Civil Procedure 90.3; and providing for an effective date."

00 HOUSE BILL NO. 400                                                                                                      
01 "An Act relating to welfare reform by establishing the Alaska Family                                                    
02 Independence Program; repealing the aid to families with dependent children and                                         
03 job opportunity and basic skills programs; relating to an exemption to Alaska                                           
04 Wage and Hour Act for certain work activities of the Alaska Family                                                      
05 Independence Program; relating to the duty to support children of minor                                                 
06 parents; relating to certain licenses and applications for a license for persons                                        
07 who are not in substantial compliance with orders, judgments, or payment                                                
08 schedules for child support; relating to an exemption to the state procurement                                          
09 code for certain services for the general relief program and Alaska Family                                              
10 Independence Program; relating to eligibility for day care benefits administered                                        
11 by the Department of Community and Regional Affairs; authorizing the                                                    
12 Department of Health and Social Services to operate a public assistance program                                         
13 consistent with the Alaska Family Independence Program under federal waivers                                            
14 and providing certain immunity from liability for activities of that program;                                           
01 amending Alaska Rule of Civil Procedure 90.3; and providing for an effective                                            
02 date."                                                                                                                  
03 BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF ALASKA:                                                                
04    * Section 1.  PURPOSE.  The purpose of this Act is to                                                                
05   (1)  establish the Alaska Family Independence Program;                                                                
06   (2) encourage the well-being of Alaska's children by maintaining a safety net                                         
07 for children living in poverty in this state by providing assistance to meet the basic needs of                         
08 Alaskan children and their families;                                                                                    
09   (3)  set limits on benefits and establish incentives to encourage public assistance                                   
10 recipients to become self-sufficient;                                                                                   
11   (4)  develop job opportunities and promote work as the best means to achieve                                          
12 family self-sufficiency;                                                                                                
13   (5)  prevent dependency by diverting eligible families receiving assistance to                                        
14 work and self-sufficiency;                                                                                              
15   (6)  integrate service delivery by colocating access to job training and                                              
16 placement services with family assistance offices;                                                                      
17   (7)  increase the effectiveness of the child support collection program to assist                                     
18 in family self-sufficiency and meet federal program requirements;                                                       
19   (8)  require coordination between state agencies, local communities, Alaska                                           
20 Native organizations, businesses, and the federal government to develop a program that will                             
21 move Alaska families to self-sufficiency; and                                                                           
22   (9)  enable the state to develop and maintain a family independence program                                           
23 that meets the requirements for federal financing.                                                                      
24    * Sec. 2.  AS 47 is amended by adding a new chapter to read:                                                         
25 CHAPTER 27.  ALASKA FAMILY INDEPENDENCE PROGRAM.                                                                        
26  Sec. 47.27.005.  DUTIES OF THE DEPARTMENT.  The department shall                                                      
27   (1)  administer the Alaska Family Independence Program (AFIP) by                                                     
28 providing assistance with basic living expenses and self-sufficiency services to needy                                  
29 children and their families under this chapter;                                                                         
30   (2)  establish, by regulation, program standards that will provide                                                   
31 incentives to work, incentives for financial planning, and opportunities to develop self-                               
01 sufficiency, while providing assistance with basic living expenses;                                                     
02   (3)  provide education and health-related services and referrals to reduce                                           
03 the number of out-of-wedlock births in the state;                                                                       
04   (4)  prepare, submit to the federal government, and amend, if necessary,                                             
05 a state plan designed to assure that federal money is available to the state for the                                    
06 operation of the program set out in this chapter to provide assistance for basic living                                 
07 expenses and self-sufficiency services to needy children and their families consistent                                  
08 with state objectives;                                                                                                  
09   (5)  adopt methods of program administration to assure consistency with                                              
10 the federal requirements under the federal Temporary Assistance for Needy Families                                      
11 (TANF) program or any successor federal law to the aid to families with dependent                                       
12 children program;                                                                                                       
13   (6)  make reports to the federal government as required under the                                                    
14 Temporary Assistance for Needy Families (TANF) program, in the form and                                                 
15 containing the information required, and comply with the provisions that the federal                                    
16 government determines are necessary to ensure correct and verifiable information on                                     
17 the program;                                                                                                            
18   (7)  conduct studies and research in order to evaluate and monitor the                                               
19 effectiveness of the state program; and                                                                                 
20   (8)  adopt regulations and take action to implement, interpret, and                                                  
21 administer the provisions of this chapter.                                                                              
22  Sec. 47.27.010.  ELIGIBLE FAMILIES.  (a)  The following families may apply                                            
23 for assistance under the AFIP:                                                                                          
24   (1)  a single parent who has the physical custody of one or more                                                     
25 dependent children;                                                                                                     
26   (2)  a caretaker of one or more dependent children who is a relative to                                              
27 at least the fifth degree;                                                                                              
28   (3)  a woman in the last trimester of pregnancy; or                                                                  
29   (4)  a two-parent family with physical custody of one or more dependent                                              
30 children.                                                                                                               
31  (b)  The department may limit the eligibility of two-parent families or may                                           
01 adjust the assistance and service  provided to two-parent families, taking into                                         
02 consideration the seasonal nature of the economy and the availability of work in this                                   
03 state.                                                                                                                  
04  Sec. 47.27.015.  DISQUALIFYING CONDITIONS.  (a)  A family is not                                                      
05 eligible for assistance under the AFIP if the family includes an adult who                                              
06   (1)  has received benefits under the AFIP, or a program of another state                                             
07 financed by a federal block grant for TANF, for a total of 60 months as the caretaker                                   
08 or spouse of a caretaker of a dependent child or as a pregnant woman, unless                                            
09 disqualification would impose an unreasonable hardship on the family as determined                                      
10 by the department in regulation; or                                                                                     
11   (2)  is determined to be fleeing to avoid prosecution, custody, or                                                   
12 confinement after conviction, in this or another jurisdiction, for a crime that is                                      
13 classified as a felony under AS 11 or the laws of the jurisdiction where the criminal                                   
14 activity was committed.                                                                                                 
15  (b)  A family is not eligible for assistance under this chapter  for a period of                                      
16 up to 120 months if the adult applicant is determined to have fraudulently                                              
17 misrepresented the applicant's residence in order to receive assistance in more than one                                
18 state under a program financed under a federal block grant for TANF.                                                    
19  (c)  The department may determine that a family is ineligible for up to six                                           
20 months if the family's demonstrated need for assistance is due to a refusal of or                                       
21 voluntary separation from suitable employment by the adult applicant, or a custodial                                    
22 parent or caretaker, without good cause.                                                                                
23  Sec. 47.27.020.  APPLICATION AND REQUIREMENTS FOR ASSISTANCE.                                                         
24 (a)  An applicant for assistance under the AFIP shall complete an application in                                        
25 writing, or by electronic means, and in a form specified by the department.  The                                        
26 applicant must be a pregnant woman or an individual who has physical custody of the                                     
27 dependent child or children.  The application must be complete and must provide all                                     
28 of the information about the family and the child or children that is requested by the                                  
29 department.  The applicant  shall provide all supporting documentation for verification                                 
30 that the department determines to be necessary to establish eligibility.                                                
31  (b)  On the application, each applicant shall attest to whether the family, at any                                    
01 time, has received assistance from another state program that was established under a                                   
02 federal block grant for TANF and whether the family has ever been disqualified from                                     
03 receiving assistance under a TANF program for the period for which the application                                      
04 has been submitted.                                                                                                     
05  (c)  An applicant shall agree to cooperate with the department to establish a                                         
06 family self-sufficiency plan and to participate in work activities if assigned by the                                   
07 department.                                                                                                             
08  (d)  An applicant shall acknowledge the assignment of support rights as                                               
09 required by AS 47.27.040 and shall agree to cooperate with the child support                                            
10 enforcement agency of the Department of Revenue in establishing paternity or                                            
11 establishing, modifying, or enforcing a child support order requiring the payment of                                    
12 support by the noncustodial parent for any dependent children for whom AFIP                                             
13 assistance is received.  The applicant shall agree to report all child support payments                                 
14 received directly by the family, during or for a period for which the family is receiving                               
15 assistance under this chapter, to the department within 15 days after receipt of those                                  
16 payments.                                                                                                               
17  (e)  An applicant shall update the information requested in the application at                                        
18 regular intervals as established by the department in regulation.  The department may                                   
19 conduct reviews of an application and audit the information provided as necessary to                                    
20 determine eligibility.                                                                                                  
21  Sec. 47.27.025.  FAMILY ASSISTANCE.  (a)  The department shall provide                                                
22 assistance for basic living expenses to families that establish eligibility  based on a                                 
23 determination of need that considers the family's available income, assets, and other                                   
24 resources, as established by the department in regulation.   Each dependent child in the                                
25 family is eligible for assistance under this chapter and assistance received as a                                       
26 dependent child will not count against eligibility for assistance under this chapter as                                 
27 a caretaker or spouse of a caretaker of a dependent child or as a pregnant woman.                                       
28  (b)  The amounts of assistance for basic living expenses may not exceed the                                           
29 following:                                                                                                              
30   (1)  for a dependent child living with a non-needy relative caretaker,                                               
31 $452 per month, plus $102 for each additional child;                                                                    
01   (2)  for a dependent child living with at least one needy parent or                                                  
02 relative caretaker, $821 per month, plus $102 for each additional child; or                                             
03   (3)  for a family consisting solely of an eligible pregnant woman, $514                                              
04 per month.                                                                                                              
05  (c)  The department shall provide additional assistance as work-related services                                      
06 or referrals to eligible families.  Work-related services and referrals may include one                                 
07 or more of the following:                                                                                               
08   (1)  job-readiness assessments;                                                                                      
09   (2)  employment testing and counseling;                                                                              
10   (3)  job-readiness training;                                                                                         
11   (4)  job referral and job search;                                                                                    
12   (5)  education and vocational training;                                                                              
13   (6)  community service work assignments;                                                                             
14   (7)  child care assistance;                                                                                          
15   (8)  family planning services; and                                                                                   
16   (9)  other services to facilitate the transition to work.                                                            
17  Sec. 47.27.026.  DIVERSION PAYMENTS.  (a)  The department may offer                                                   
18 a lump-sum diversion payment in place of ongoing assistance and services to an                                          
19 applicant who applies for assistance under AS 47.27.020 if the applicant is job-ready                                   
20 and is determined to need only short-term financial assistance to meet critical needs                                   
21 in order to secure employment and support for the applicant's family.  The department                                   
22 shall set standards and conditions for diversion payments by regulation.                                                
23  (b)  The department may pay diversion benefits to an applicant's family only                                          
24 if that family appears to be eligible for benefits and to include a job-ready individual                                
25 based on the information provided to the department in the application completed                                        
26 under AS 47.27.020.  The department may offer to an applicant with the potential to                                     
27 participate in the diversion program a choice between                                                                   
28   (1)  having the AFIP application processed under AS 47.27.020 and the                                                
29 regulations adopted by the department; or                                                                               
30   (2)  having the AFIP application denied and applying for diversion                                                   
31 project benefits under this section.                                                                                    
01  (c)  The amount of the diversion payment must be sufficient to meet the                                               
02 family's immediate needs as determined by the department and the participant.  A                                        
03 diversion payment may not exceed the amount the family would be eligible to receive                                     
04 in the first two months of eligibility under AS 47.27.020 if the family did not elect to                                
05 receive a diversion payment.                                                                                            
06  (d)  As a condition of a family  receiving a diversion payment under this                                             
07 section, the participant must sign an agreement that                                                                    
08   (1)  specifies the amount of the diversion payment and the needs it is                                               
09 intended to cover;                                                                                                      
10   (2)  provides that, during the three-month period beginning with the                                                 
11 month in which the diversion payment was received, child support collected on behalf                                    
12 of a child whose needs were considered in determining the diversion payment shall be                                    
13 paid to the family; and                                                                                                 
14   (3)  provides that if the family reapplies for AFIP assistance under                                                 
15 AS 47.27.020 during the three months beginning with the month in which the family                                       
16 received a diversion payment, the diversion payment shall be treated as unearned                                        
17 income, prorated over the three-month period, and deducted from any AFIP benefit the                                    
18 family may be eligible for under the new application.                                                                   
19  (e)  A family that receives a diversion payment may not receive another                                               
20 diversion payment before the twelfth month following the month in which it last                                         
21 received a diversion payment.                                                                                           
22  (f)  To the extent that a provision of this section is inconsistent with                                              
23 AS 25.27.120 or 25.27.130, or with a provision of this chapter, the provision of this                                   
24 section governs.                                                                                                        
25  Sec. 47.27.027.  ASSISTANCE TO MINORS.  (a)  If an applicant under                                                    
26 AS 47.27.020 is not married, is under the age of 18, and has not been previously                                        
27 emancipated under AS 09.55.590, the applicant must                                                                      
28   (1)  live in a home maintained by the applicant's parent, legal guardian,                                            
29 or other adult relative, unless the applicant establishes that there is good cause, as                                  
30 established by the department in regulation, to waive this requirement;  if the                                         
31 department waives this requirement, the applicant must live in an adult-supervised                                      
01 supportive living environment;                                                                                          
02   (2)  agree that assistance for basic living expenses on behalf of the                                                
03 applicant's family may be paid to the applicant's parent, legal guardian, or other adult                                
04 relative, or, if applicable, to the adult head of the adult-supervised supportive living                                
05 environment in which the applicant resides; and                                                                         
06   (3)  maintain attendance in a secondary school or other equivalent                                                   
07 training program until the applicant achieves a high school diploma or the equivalent.                                  
08  Sec. 47.27.030.  FAMILY SELF-SUFFICIENCY PLAN.  (a)  A participant in                                                 
09 the AFIP shall cooperate with the department, or its designee, to develop and sign a                                    
10 family self-sufficiency plan that includes                                                                              
11   (1)  the steps the family will take towards the self-sufficiency of the                                              
12 family;                                                                                                                 
13   (2)  the employment-related services the department will provide to                                                  
14 assist the family to attain self-sufficiency;                                                                           
15   (3)  specific benchmarks to indicate the steps toward successful                                                     
16 completion of the family plan;                                                                                          
17   (4)  a statement that the family may be subject to benefit reductions or                                             
18 other sanctions if the family fails to comply with the family plan; and                                                 
19   (5)  a statement that describes the necessary conditions and the steps                                               
20 that must be taken to renegotiate the terms of the family plan.                                                         
21  (b)  The family self-sufficiency plan will set a time period for the achievement                                      
22 of self-sufficiency from assistance under the AFIP.  That time period may not provide                                   
23 for any more than a total of 60 months of assistance under the AFIP.                                                    
24  (c)  The department may establish in regulation the circumstances in which a                                          
25 family may be exempt from the requirement that the family have a self-sufficiency                                       
26 plan under this section.                                                                                                
27  Sec. 47.27.035.  PARTICIPATION IN WORK ACTIVITIES.  (a)  An AFIP                                                      
28 participant shall participate in work activities upon assignment by the department or                                   
29 its designee in order for the family to continue to receive assistance or services from                                 
30 the department under the AFIP, unless the participant is exempt from the work                                           
31 participation requirements under one or more of the exemptions set out in (b) or (c)                                    
01 of this section and any regulations adopted by the department.                                                          
02  (b)  A parent or caretaker with a dependent child of up to 12 months of age                                           
03 may be exempt from work participation requirements for up to 12 months, as                                              
04 established in the family self-sufficiency plan.                                                                        
05  (c)  A parent or caretaker may be exempt from work participation requirements                                         
06 in the family self-sufficiency plan if                                                                                  
07   (1)  the parent or caretaker is providing home care for a child with a                                               
08 developmental disability or a related, disabled person who requires 24-hour care;                                       
09   (2)  the parent or caretaker establishes an inability to participate for                                             
10 medical reasons supported by  documentation from a physician or other licensed                                          
11 medical professional;                                                                                                   
12   (3)  the participation would impose an unreasonable hardship on the                                                  
13 family; or                                                                                                              
14   (4) there is a dependent child in the home that has not yet attained six                                             
15 years of age and the parent or caretaker demonstrates an inability to obtain needed                                     
16 child care because appropriate child care is not available.                                                             
17  (d) A participant in work activities under this section is not a state employee                                       
18 for purposes of the State Personnel Act (AS 39.25).                                                                     
19  (e) A participant in work activities under this section is not considered an                                          
20 employee of the state or other public employer for purposes of the Public Employment                                    
21 Relations Act (AS 23.40.070 - 23.40.260) nor shall any provision of a collective                                        
22 bargaining agreement entered into under the Public Employment Relations Act be                                          
23 construed to interfere with participation in the work activities authorized under this                                  
24 section.                                                                                                                
25  Sec. 47.27.040.  ASSIGNMENT OF SUPPORT RIGHTS; COOPERATION                                                            
26 WITH CHILD SUPPORT ENFORCEMENT AGENCY.  (a)  An AFIP applicant is                                                       
27 considered to have assigned to the state, through the child support enforcement agency                                  
28 of the Department of Revenue, all rights to accrued and continuing child support, from                                  
29 all sources, that is due for the support of any individuals in the family for whom                                      
30 support is sought .  The assignment takes effect upon a determination that the                                          
31 applicant's family is eligible for assistance under this chapter.  Except with respect to                               
01 the amount of any unpaid support obligation accrued under the assignment, the                                           
02 assignment terminates when the family ceases to be a participant in the AFIP.                                           
03  (b)  An AFIP participant shall cooperate with the child support enforcement                                           
04 agency of the Department of Revenue in establishing paternity or establishing,                                          
05 modifying, or enforcing a child support order requiring the payment of support by the                                   
06 noncustodial parent for any dependent children for whom AFIP assistance is received                                     
07 unless the participant establishes good cause for refusing to cooperate.                                                
08  (c) The department may distribute to an AFIP participant up to $50 per month                                          
09 from a monthly child support payment received by the child support enforcement                                          
10 agency for the support of a child for whom AFIP assistance is paid.                                                     
11  Sec. 47.27.045.  ALIENATION AND ATTACHMENT.  Assistance granted                                                       
12 under this chapter is inalienable by assignment or transfer and is exempt from                                          
13 garnishment, levy, or execution as is provided in AS 09.38.                                                             
14  Sec. 47.27.050.  GRANTS AND CONTRACTS FOR SERVICES.  (a) The                                                          
15 department may contract with or award grants to municipalities or qualified entities in                                 
16 the state to administer an AFIP or a distinct part of the AFIP.  The department may                                     
17 establish standards for the administration of services under the grant or contract,                                     
18 including any fees to be charged to applicants for or recipients of those services.                                     
19  (b) Contracts authorized under this section are to be administered in accordance                                      
20 with AS 47.05.015.  Grants authorized under this section are to be awarded using                                        
21 requirements, established in regulation, that are  substantially similar to those set out                               
22 in AS 47.05.015 for contracts.                                                                                          
23  Sec. 47.27.055.  AGENCY COLLABORATION.  (a)  The department shall                                                     
24 coordinate with other state agencies that provide assistance, benefits, or services to                                  
25 applicants that are eligible for and to participants in the AFIP, in order to facilitate the                            
26 application for and delivery of assistance, benefits, or services to promote family self-                               
27 sufficiency.  Subject to appropriations, state agencies may colocate their facilities and                               
28 operations in order to improve service delivery.                                                                        
29  (b)  The department may provide information received under this chapter to                                            
30 other state agencies in order to facilitate the delivery of services.  Information received                             
31 from an applicant for or participant in the AFIP is to be treated as confidential by all                                
01 state agencies that share the information under this section and is not open to public                                  
02 inspection.  Misuse of public assistance lists or information is punishable as provided                                 
03 in AS 47.05.030.                                                                                                        
04  (c) Departments in the executive branch shall cooperate in fulfilling the                                             
05 purposes of this chapter, including, subject to appropriations,  the establishment of                                   
06 temporary positions that will provide job opportunities for families participating in the                               
07 AFIP.  Temporary positions established for this purpose are in the exempt service                                       
08 under AS 39.25.110.  An individual participating in the AFIP who holds a temporary                                      
09 position established for  purposes of this subsection is not a public employee for                                      
10 purposes of  AS 23.40.070 - 23.40.260.                                                                                  
11  Sec. 47.27.060.  JOB DEVELOPMENT.  The department may establish                                                       
12 cooperative agreements with the Department of Labor, Department of Community and                                        
13 Regional Affairs, Department of Education, and Department of Commerce and                                               
14 Economic Development, and with other public or private sector organizations for the                                     
15 purpose of developing job, training, and educational opportunities for families eligible                                
16 for assistance under this chapter.                                                                                      
17  Sec. 47.27.065.  FEDERAL-STATE COOPERATION.  (a)  In the                                                              
18 administration of this chapter, the department shall cooperate with the secretary of the                                
19 United States Department of Health and Human Services and shall take actions                                            
20 necessary to comply with the requirements of federal law to obtain public assistance                                    
21 block grants.  The department shall make reports in the form and containing the                                         
22 information required to the secretary of the United States Department of Health and                                     
23 Human Services.  The department may cooperate with federal agencies charged with                                        
24 the administration of the federal public assistance block grants.                                                       
25   (b)  Notwithstanding any other provisions of this chapter, and if the conditions                                     
26 in this subsection are met, the department may implement modifications to the AFIP                                      
27 that are not directly authorized in this chapter, or that may be contrary to a provision                                
28 of this chapter, by providing notification to the legislature and by adopting regulations.                              
29 A program modification implemented under this subsection is repealed two years after                                    
30 the date on which the modification took effect unless its implementation is achieved                                    
31 by statutory changes.  A program modification  under this subsection may be                                             
01 implemented only if                                                                                                     
02   (1)  states are authorized by the secretary of the United States                                                     
03 Department of Health and Human Services to undertake the program;                                                       
04   (2)  the governor approves the implementation in writing;                                                            
05   (3)  the commissioner determines that the implementation of the                                                      
06 program modification will result in the receipt of additional federal money to carry out                                
07 the purposes of this chapter and will produce a net monetary gain to the state; and                                     
08   (4)  the program modification will not require general fund expenditures,                                            
09 other than the outlay of money received from the federal government for the program.                                    
10  Sec. 47.27.070.  COORDINATION WITH ALASKA NATIVE                                                                      
11 ORGANIZATIONS WITH TRIBAL FAMILY ASSISTANCE PROGRAMS.  (a)  The                                                         
12 department shall coordinate with Alaska Native organizations in the development of                                      
13 tribal family assistance programs to assure that all individuals in the state are eligible                              
14 to participate in comparable family assistance programs.  The department shall                                          
15 cooperate with Alaska Native organizations to propose program criteria to the secretary                                 
16 of the United States Department of Health and Human Services designed to offer a                                        
17 program comparable to the state program to tribal families living within tribal family                                  
18 assistance areas for which federal money has been awarded to the Alaska Native                                          
19 organizations and has been deducted from the state's allocation of federal money.                                       
20  (b)  The department shall enter into agreements with Alaska Native                                                    
21 organizations with approved tribal family assistance programs to provide for the timely                                 
22 exchange of applicant information as necessary for the determination and delivery of                                    
23 assistance and services to applicants who may be eligible for both state and tribal                                     
24 family assistance programs.  An agreement for the exchange of information must                                          
25 provide that applicant and participant information is confidential and is not open to                                   
26 public inspection.                                                                                                      
27  (c)  If the commissioner determines it to be necessary in order to promote                                            
28 comparable programs within the state, the department may provide grant money to                                         
29 Alaska Native organizations that operate tribal family assistance programs with federal                                 
30 money deducted from the state's allocation.  Grant money awarded under this                                             
31 subsection is subject to the terms of the grant agreement and to  program criteria                                      
01 proposed under (a) of this section and approved by the secretary of the United States                                   
02 Department of Health and Social Services.  Grant money awarded under this                                               
03 subsection is not subject to AFIP regulations adopted under this chapter.                                               
04  (d)  The department may contract with Alaska Native organizations that operate                                        
05 tribal family assistance programs in order to provide AFIP services to eligible families                                
06 within a tribal family assistance area that are not served by the tribal family assistance                              
07 program.  The administration of money awarded under this subsection is subject to                                       
08 AFIP regulations.                                                                                                       
09  Sec. 47.27.075.  EMERGENCY ACCOUNT ESTABLISHED.  (a)  There is                                                        
10 established within the general fund the AFIP emergency account.  The account consists                                   
11 of appropriations from any appropriate source of money, including lapsing money that                                    
12 was appropriated for the AFIP but was not expended or obligated in the fiscal year for                                  
13 which it was appropriated.                                                                                              
14  (b)  The account shall be administered by the commissioner, and shall be used                                         
15 to provide assistance authorized under this chapter upon a determination by the                                         
16 commissioner that the current year's appropriation is not sufficient to pay for the AFIP                                
17 due to an unanticipated increase in the number of eligible families.  Money                                             
18 appropriated to the account does not lapse under AS 37.25.010.                                                          
19  (c)  By December 15 of each year, the commissioner shall report to the                                                
20 governor and the  legislature on the use of money from the AFIP emergency account                                       
21 during the preceding fiscal year.                                                                                       
22  Sec. 47.27.080.  APPEALS; DISPUTE RESOLUTION.  (a)  An applicant or                                                   
23 participant  who receives a determination from the department that denies, limits, or                                   
24 modifies the assistance or services provided under this chapter may request a hearing                                   
25 before the department or a representative of the department appointed for that purpose.                                 
26 If a representative is appointed, the representative shall conduct the hearing under the                                
27 regulations adopted by the department.  The appeal is not subject to AS 44.62.330 -                                     
28 44.62.630.                                                                                                              
29  (b)  The department may require an applicant or participant to participate in an                                      
30 informal dispute resolution process before a formal hearing.  The department may                                        
31 adopt regulations establishing the informal dispute resolution process.                                                 
01  Sec. 47.27.085.  SANCTIONS; RECOVERY OF COSTS.  (a)  An AFIP                                                          
02 applicant or participant  who makes a false statement or misrepresentation knowing it                                   
03 is false, or who knowingly fails to disclose a material fact, in order to obtain or                                     
04 increase assistance or services under this chapter is ineligible to receive assistance                                  
05 under this chapter for a period of not less than one nor more than 12 months, as                                        
06 determined by the department, unless a disqualification set out at AS 47.27.015(b)                                      
07 applies.  An AFIP applicant or participant who is determined ineligible for a third or                                  
08 subsequent time under this subsection may be permanently disqualified from receiving                                    
09 assistance or services under this chapter.                                                                              
10  (b)  An AFIP applicant or participant who, without good cause, fails to comply                                        
11 with a condition of the family self-sufficiency plan or who fails to participate in work                                
12 activities required as a part of the AFIP is subject to a reduction in assistance and                                   
13 services as determined under regulations adopted by the department.                                                     
14  (c)  An AFIP applicant or participant who, without good cause, fails to                                               
15 cooperate  with establishment of paternity or the establishment, modification, or                                       
16 enforcement of a support order for a child for whom assistance is received is subject                                   
17 to a reduction or limitation in assistance or services for the term of non-cooperation                                  
18 as required by federal law and as specified in regulations adopted by the department.                                   
19  (d)  An AFIP  applicant or participant who receives assistance or services when                                       
20 not entitled to them under this chapter because the information provided by the                                         
21 applicant or participant was inaccurate or incomplete, is liable to the department for                                  
22 the value of the assistance and services improperly provided to the applicant or                                        
23 participant.                                                                                                            
24  (e)  In a civil action brought by the state to recover the value of assistance or                                     
25 services improperly provided under this chapter, the state may recover costs of                                         
26 investigation and prosecution of the civil action, including attorney fees as determined                                
27 under court rules.                                                                                                      
28  Sec. 47.27.090.  DEFINITIONS.  In this chapter,                                                                       
29   (1)  "AFIP" means the Alaska Family Independence Program;                                                            
30   (2) "Alaska Native organizations" means the organizations designated                                                 
31 under federal law to operate tribal family assistance programs in Alaska;                                               
01   (3)  "assistance for basic living expenses" means  assistance provided                                               
02 under the AFIP that may include cash, vouchers, or third-party vendor payments;                                         
03   (4)  "child care assistance" means payments made by the Department                                                   
04 of Health and Social Services or the Department of Community and Regional Affairs                                       
05 to AFIP participant families or to providers, for the care of children of the participant                               
06 families;                                                                                                               
07   (5)  "child support" includes court-ordered or administratively-ordered                                              
08 child support, medical support, and spousal support;                                                                    
09   (6) "child support enforcement agency" means the child support                                                       
10 enforcement agency in the Department of Revenue;                                                                        
11   (7) "commissioner" means the commissioner of the Department of                                                       
12 Health and Social Services;                                                                                             
13   (8)  "department" means the Department of Health and Social Services;                                                
14   (9)  "dependent child" means an individual who                                                                       
15   (A)  has not attained                                                                                               
16   (i)  18 years of age; or                                                                                           
17   (ii)  19 years of age and is a full-time student in a                                                              
18 secondary school or in the equivalent level of vocational or technical                                                  
19 training; and                                                                                                           
20   (B)  is not an applicant under AS 47.27.020;                                                                        
21   (10)  "self-sufficiency services" means job-related services, community                                              
22 service work referrals, child care assistance, and other services determined by the                                     
23 department in regulation to promote family self-sufficiency;                                                            
24   (11)  "TANF" means the federal Temporary Assistance for Needy                                                        
25 Families program; and                                                                                                   
26   (12)  "work activities" includes job-readiness assessments, on-the-job                                               
27 training, education and vocational training,  job sampling, job search requirements,                                    
28 subsidized and unsubsidized work, and community work service.                                                           
29    * Sec. 3.  AS 15.07.055(a) is amended to read:                                                                       
30  (a)  The following agencies are designated voter registration agencies:                                               
31   (1)  the Department of Public Safety, division of motor vehicles;                                                    
01   (2)  divisions of the Department of Health and Social Services that                                                  
02 provide public assistance through the food stamp program, Medicaid program, Special                                     
03 Supplemental Food Program for Women, Infants, and Children (WIC), and Alaska                                           
04 Family Independence Program (AFIP) [AID TO FAMILIES WITH DEPENDENT                                                     
05 CHILDREN (AFDC) PROGRAM];                                                                                               
06   (3)  the division of the Department of Community and Regional Affairs                                                
07 that is responsible for municipal and regional assistance programs; and                                                 
08   (4)  all recruitment offices of the armed forces of the United States                                                
09 located in Alaska.                                                                                                      
10     * Sec. 4.  AS 23.10.055 is amended by adding a new paragraph to read:                                               
11   (14)  an individual engaged in activities for a nonprofit religious,                                                 
12 charitable, civic, cemetery, recreational, or educational organization where the                                        
13 employer-employee relationship does not, in fact, exist, and where services are                                         
14 rendered to the organization under a work activity requirement of the Alaska Family                                     
15 Independence Program (AS 47.27).                                                                                        
16    * Sec. 5.  AS 25.20.050(f) is amended to read:                                                                       
17  (f)  If the child support enforcement agency is a party in an action in which                                         
18 paternity is contested, the agency shall request the court to order the tests and                                       
19 procedures described in (e) of this section. The agency may recover the costs of tests                                  
20 as a cost of the action, except that costs may not be recovered from a person who is                                    
21 a recipient of assistance [AID] under AS 47.27 (Alaska Family Independence                                           
22 Program) [AS 47.25.310 - 47.25.420 (AID TO FAMILIES WITH DEPENDENT                                                     
23 CHILDREN)].                                                                                                             
24   * Sec. 6.  AS 25.27.040(a) is amended to read:                                                                        
25  (a) The agency may appear on behalf of minor children or their mother or legal                                        
26 custodian or the state and initiate efforts to have the paternity of children born out of                               
27 wedlock determined by the court. When the agency is a party to a court action in                                        
28 which paternity is contested, it shall request and pay for genetic testing and procedures                               
29 under AS 25.20.050(f). The agency may recover the costs of the tests as a cost of the                                   
30 court action, except that costs may not be recovered from a person who is a recipient                                   
31 of assistance [AID] under AS 47.27 (Alaska Family Independence Program) [AS                                         
01 47.25.310 - 47.25.420 (AID TO FAMILIES WITH DEPENDENT CHILDREN)].                                                       
02    * Sec. 7.  AS 25.27.060 is amended by adding new subsections to read:                                                
03  (e)  If the child's parents are both unmarried minors who have not had the                                            
04 disabilities of minority removed under AS 09.55.590, an order of child support issued                                   
05 by a court or agency shall be based on the                                                                              
06   (1)  percentages of physical custody exercised by the child's parents; a                                             
07 minor parent's custody of the child shall be imputed to the parents of the minor parent,                                
08 regardless of where the minor parent lives, except that                                                                 
09   (A)  if the minor parent and child live with a parent of the                                                        
10 noncustodial minor parent, the minor parent's custody of the child shall be                                             
11 imputed to the parent of the noncustodial minor parent; and                                                             
12   (B)  a minor parent's custody of a child may not be imputed to                                                      
13 the parents of the minor parent if the minor parent and child do not live with                                          
14 a parent of the minor parent because                                                                                    
15   (i)  neither parent will allow the minor and child to live                                                         
16 in the residence of the minor's parent; or                                                                              
17   (ii)  the physical or emotional health or safety of the                                                            
18 minor parent or the minor's child would be jeopardized if the minor and                                                 
19 the minor's child lived in the same residence with the minor's parent;                                                  
20 and                                                                                                                     
21   (2)  incomes of the child's grandparents and parents.                                                                
22  (f)  To the extent that (e) of this section applies,                                                                  
23   (1)  the child's grandparents are considered to have a duty to support                                               
24 the child and are subject to statutes, regulations, and court rules relating to support of                              
25 the child; and                                                                                                          
26   (2)  a grandparent who is determined under applicable agency                                                         
27 regulations and court rules to be the obligor for purposes of paying child support on                                   
28 behalf of a grandchild is subject to all statutes, regulations, and court rules applicable                              
29 to child support obligors.                                                                                              
30  (g)  An order of support against a child's grandparent under (e) of this section                                      
31 and a grandparent's duty to support a child under (f) of this section is terminated,                                    
01 without the need for obtaining a modification of a child support order, when one of                                     
02 the child's parents reaches the age of majority or has the disabilities of minority                                     
03 removed under AS 09.55.590, whichever occurs earlier.  However, to the extent that                                      
04 a grandparent may have accrued arrearages, the grandparent remains an obligor subject                                   
05 to this chapter.                                                                                                        
06    * Sec. 8.  AS 25.27.065(b) is amended to read:                                                                       
07  (b) When the right to receive child support has been assigned to a governmental                                       
08 entity, an agreement under (a) of this section that has not been adopted as an                                          
09 administrative order of the agency is not effective during a period when the obligee                                    
10 is receiving assistance under AS 47.07 or AS 47.27 [AS 47.25.310 - 47.25.420].                                        
11   * Sec. 9.  AS 25.27.120(a) is amended to read:                                                                        
12  (a)  An obligor is liable to the state in the amount of assistance granted under                                      
13 AS 47.07 and AS 47.27 [AS 47.25.310 - 47.25.420] to a child to whom the obligor                                       
14 owes a duty of support except that, if a support order has been entered, the liability                                  
15 of the obligor for assistance granted under AS 47.27 [AS 47.25.310 - 47.25.420] may                                   
16 not exceed the amount of support provided for in the support order, and, if a medical                                   
17 order of support has been entered, the liability of the obligor for assistance granted                                  
18 under AS 47.07 may not exceed the amount of support provided for in the medical                                         
19 order of support.                                                                                                       
20   * Sec. 10.  AS 25.27.125(b) is amended to read:                                                                       
21  (b)  The annual estimated balance in the account maintained by the                                                    
22 commissioner of administration under AS 37.05.142 may be used by the legislature to                                     
23 make appropriations to the Department of Health and Social Services to carry out the                                    
24 purposes of AS 47.10.230 - 47.10.260 and AS 47.27 [AS 47.25.310 - 47.25.420].                                         
25    * Sec. 11.  AS 25.27.130(c) is amended to read:                                                                      
26  (c)  The recovery of any amount for which the obligor is liable that exceeds the                                      
27 total assistance granted under AS 47.07 and AS 47.27 [AS 47.25.310 - 47.25.420] shall                                 
28 be paid to the obligee.                                                                                                 
29    * Sec. 12.  AS 25.27.130(d) is amended to read:                                                                      
30  (d)  Except as provided in (f) of this section, if the obligee is not receiving                                       
31 assistance under AS 47.07 or AS 47.27 [AS 47.25.310 - 47.25.420] at the time the                                      
01 state recovers money in an action under this section, the recovery of any amount for                                    
02 which the obligor is liable shall be distributed to the obligee for support payments,                                   
03 including medical support payments, that have become due and unpaid since the                                           
04 termination of assistance under AS 47.07 or AS 47.27 [AS 47.25.310 - 47.25.420]                                       
05 under a support order in favor of the obligee.                                                                          
06    * Sec. 13.  AS 25.27.130(e) is amended to read:                                                                      
07  (e)  After payment to the obligee under (d) of this section, the state may retain                                     
08 an amount not to exceed the total unreimbursed assistance paid on behalf of the                                         
09 obligee under AS 47.07 or AS 47.27 [AS 47.25.310 - 47.25.420].                                                        
10    * Sec. 14.  AS 25.27.130(f) is amended to read:                                                                      
11  (f)  Notwithstanding (d) of this section, the state shall, if required under federal                                  
12 law or regulations, distribute amounts recovered through offset of the obligor's federal                                
13 tax refund as past due support with first distribution to the state for unpaid support                                  
14 assigned to the state under AS 47.07.025 and AS 47.27.040 [AS 47.25.345].                                             
15    * Sec. 15.  AS 25.27.165(i) is amended to read:                                                                     
16  (i) The agency may recover any costs it pays for genetic tests required by this                                      
17 section, except that costs may not be recovered from a person who is a recipient of                                    
18 assistance [AID] under AS 47.27 (Alaska Family Independence Program)                                                 
19 [AS 47.25.310 - 47.25.420 (AID TO FAMILIES WITH DEPENDENT CHILDREN)].                                                   
20    * Sec. 16.  AS 25.27 is amended by adding new sections to read:                                                      
21  Sec. 25.27.244.  ADVERSE ACTION AGAINST DELINQUENT OBLIGOR'S                                                          
22 OCCUPATIONAL LICENSE.  (a)  The agency shall compile and maintain a list of                                             
23 obligors who are not in substantial compliance with a support order or payment                                          
24 schedule negotiated under (g)(1) of this section.  The list must include the names,                                     
25 social security numbers, dates of birth, and last known addresses of the obligors.  The                                 
26 list shall be updated by the agency on a monthly basis.                                                                 
27  (b)  The agency shall, on a monthly basis, provide a copy of the list to each                                         
28 licensing entity through a computer-readable magnetic medium.  A licensing entity                                       
29 subject to this section shall implement procedures to accept and process the list.                                      
30 Notwithstanding any other law to the contrary, a licensing entity may not issue or                                      
31 renew a license for a person on the list except as provided in this section.                                            
01  (c)  Promptly after receiving an application from an applicant and before                                             
02 issuing or renewing a license, a licensing entity shall determine whether the applicant                                 
03 is on the most recent list provided by the agency.  If the applicant is on the list, the                                
04 licensing entity shall immediately serve notice under (e) of this section of the licensing                              
05 entity's intent to withhold issuance or renewal of the license.  The notice shall be                                    
06 considered given when delivered personally to the applicant or deposited in the United                                  
07 States mail addressed to the applicant's last known mailing address on file with the                                    
08 licensing entity.                                                                                                       
09  (d)  A licensing entity shall issue a temporary license valid for a period of 150                                     
10 days to an applicant whose name is on the list if the applicant is otherwise eligible for                               
11 a license.  The temporary license may not be extended.  Only one temporary license                                      
12 may be issued during a regular license term and its validity shall coincide with the first                              
13 150 days of that license term.  A license for the full or remainder of the license term                                 
14 may be issued or renewed only upon compliance with this section.  If a license or                                       
15 application is denied under this section, money paid by the applicant or licensee shall                                 
16 be refunded by the licensing entity after retention of the temporary license fee, if any.                               
17  (e)  Notices for use under (c) of this section shall be developed by each                                             
18 licensing entity under guidelines provided by the agency and are subject to approval                                    
19 by the agency.  The notice must include the address and telephone number of the                                         
20 agency and shall emphasize the necessity of obtaining a release from the agency as a                                    
21 condition for the issuance or renewal of a license.  The notice must inform an                                          
22 applicant whose license is governed by (d) of this section that the licensing entity shall                              
23 issue a temporary license for 150 calendar days under (d) of this section if the                                        
24 applicant is otherwise eligible and that, upon expiration of that time period, the license                              
25 will be denied unless the licensing entity has received a release from the agency.  The                                 
26 agency shall also develop a form that the applicant may use to request a review by the                                  
27 agency.  A copy of this form shall be included with each notice sent under (c) of this                                  
28 section.                                                                                                                
29  (f)  The agency shall establish review procedures consistent with this section                                        
30 to allow an applicant to have the underlying arrearages and relevant defenses                                           
31 investigated, to provide an applicant information on the process of obtaining a                                         
01 modification of a support order, or to provide an applicant assistance in the                                           
02 establishment of a payment schedule on arrearages if the circumstances warrant.                                         
03  (g)  If the applicant wishes to challenge being included on the list, the applicant                                   
04 shall submit to the agency a written request for review within 30 days after receiving                                  
05 the notice under (c) of this section by using the form developed under (e) of this                                      
06 section.  Within 30 days after receiving a written request for review, the agency shall                                 
07 inform the applicant in writing of the agency's findings.  The agency shall immediately                                 
08 send a release to the appropriate licensing entity and the applicant if any of the                                      
09 following conditions is met:                                                                                            
10   (1)  the applicant is found to be in substantial compliance with each                                                
11 support order applicable to the applicant or has negotiated an agreement with the                                       
12 agency for a payment schedule on arrearages and is in substantial compliance with the                                   
13 negotiated agreement; if the applicant fails to be in substantial compliance with an                                    
14 agreement negotiated under this paragraph, the agency shall send to the appropriate                                     
15 licensing entity a revocation of any release previously sent to the entity for that                                     
16 applicant;                                                                                                              
17   (2)  the applicant has submitted a timely request for review to the                                                  
18 agency, but the agency will be unable to complete the review and send notice of                                         
19 findings to the applicant in sufficient time for the applicant to file a timely request for                             
20 judicial relief within the 150-day period during which the applicant's temporary license                                
21 is valid under (d) of this section; this paragraph applies only if the delay in completing                              
22 the review process is not the result of the applicant's failure to act in a reasonable,                                 
23 timely, and diligent manner upon receiving notice from the licensing entity that the                                    
24 applicant's name is on the list;                                                                                        
25   (3)  the applicant has, within 30 days after receiving the agency's                                                  
26 findings following a request for review under (2) of this subsection, filed and served                                  
27 a request for judicial relief under this section, but a resolution of that relief will not                              
28 be made within the 150-day period of the temporary license under (d) of this section;                                   
29 this paragraph applies only if the delay in completing the judicial relief process is not                               
30 the result of the applicant's failure to act in a reasonable, timely, and diligent manner                               
31 upon receiving the agency's notice of findings; or                                                                      
01   (4)  the applicant has obtained a judicial finding of substantial                                                    
02 compliance.                                                                                                             
03  (h)  An applicant is required to act with diligence in responding to notices from                                     
04 the licensing entity and the agency with the recognition that the temporary license                                     
05 granted under (d) of this section will lapse after 150 days and that the agency and,                                    
06 where appropriate, the court must have time to act within that 150-day period.  An                                      
07 applicant's delay in acting, without good cause, that directly results in the inability of                              
08 the agency to complete a review of the applicant's request or the court to hear the                                     
09 request for judicial relief within the required period does not constitute the diligence                                
10 required under this section that would justify the issuance of a release.                                               
11  (i)  Except as otherwise provided in this section, the agency may not issue a                                         
12 release if the applicant is not in substantial compliance with the order for support or                                 
13 is not in substantial compliance with an agreement negotiated under (g)(1) of this                                      
14 section.  The agency shall notify the applicant in writing that the applicant may request                               
15 any or all of the following:  (1) judicial relief from the agency's decision not to issue                               
16 a release or the agency's decision to revoke a release under (g)(1) of this section; (2)                                
17 a judicial determination of substantial compliance; (3) a modification of the support                                   
18 order.  The notice must also contain the name and address of the court in which the                                     
19 applicant may file the request for relief and inform the applicant that the applicant's                                 
20 name shall remain on the list if the applicant does not request judicial relief within 30                               
21 days after receiving the notice.  The applicant shall comply with all statutes and rules                                
22 of court implementing this section.  This section does not limit an applicant's authority                               
23 under other law to request an order to show cause or notice of motion to modify a                                       
24 support order or to fix a payment schedule on arrearages accruing under a support                                       
25 order or to obtain a court finding of substantial compliance with a support order.                                      
26  (j)  A request for judicial relief from the agency's decision must state the                                          
27 grounds on which relief is requested and the judicial action shall be limited to those                                  
28 stated grounds.  Judicial relief under this subsection is not an appeal, and shall be                                   
29 governed by court rules adopted to implement this section.  Unless otherwise provided                                   
30 by court rule, the court shall hold an evidentiary hearing within 20 calendar days after                                
31 the filing of service on the opposing party.  The court's decision shall be limited to a                                
01 determination of each of the following issues:                                                                          
02   (1)  whether there is a support order or a payment schedule on                                                       
03 arrearages;                                                                                                             
04   (2)  whether the petitioner is the obligor covered by the support order;                                             
05 and                                                                                                                     
06   (3)  whether the obligor is in substantial compliance with the support                                               
07 order or payment schedule.                                                                                              
08  (k)  If the court finds that the obligor is in substantial compliance with the                                        
09 support order or payment schedule, the agency shall immediately send a release under                                    
10 (g) of this section to the appropriate licensing entity and the applicant.                                              
11  (l)  When the obligor is in substantial compliance with a support order or                                            
12 payment schedule, the agency shall mail to the applicant and the appropriate licensing                                  
13 entity a release stating that the applicant is in substantial compliance.  The receipt of                               
14 a release shall serve to notify the applicant and the licensing entity that, for the                                    
15 purposes of this section, the applicant is in substantial compliance with the support                                   
16 order or payment schedule unless the agency, under (a) of this section, certifies                                       
17 subsequent to the issuance of a release that the applicant is once again not in                                         
18 substantial compliance with a support order or payment schedule.                                                        
19  (m)  The agency may enter into interagency agreements with the state agencies                                         
20 that have responsibility for the administration of licensing entities as necessary to                                   
21 implement this section to the extent that it is cost effective to implement the                                         
22 interagency agreements.  The agreements shall provide for the receipt by the other                                      
23 state agencies and licensing entities of federal money to cover that portion of costs                                   
24 allowable in federal law and regulation and incurred by the state agencies and licensing                                
25 entities in implementing this section.                                                                                  
26  (n)  Notwithstanding any other provision of law, the licensing entities subject                                       
27 to this section shall assess a fee for issuance of a temporary license under this section.                              
28 The licensing entity shall set the amount of the fee so that the fees collected under this                              
29 section, to the extent reasonable, cover the costs of implementing and administering                                    
30 this section.                                                                                                           
31  (o)  The process described in (g) of this section is the sole administrative                                          
01 remedy for contesting the issuance to the applicant of a temporary license or the denial                                
02 of a license under this section.  The procedures specified in AS 44.62.330 - 44.62.630                                  
03 do not apply to the denial or failure to issue or renew a license under this section.                                   
04  (p)  The agency and licensing entities, as appropriate, shall adopt regulations                                       
05 necessary to implement this section.                                                                                    
06  (q)  In this section,                                                                                                 
07   (1)  "applicant" means a person applying for issuance or renewal of a                                                
08 license;                                                                                                                
09   (2)  "license"                                                                                                       
10   (A)  means, except as provided in (B) of this paragraph, a                                                          
11 license, certificate, permit, registration, or other authorization that, at the time                                    
12 of issuance, will be valid for more than 150 days and that may be acquired                                              
13 from a state agency to perform an occupation, including the following:                                                  
14   (i)  license relating to boxing or wrestling under AS                                                              
15 05.10;                                                                                                                  
16   (ii)  authorization to perform an occupation regulated                                                             
17 under AS 08;                                                                                                            
18   (iii)  teacher certificate under AS 14.20;                                                                         
19   (iv)  authorization under AS 18.08  to perform                                                                     
20 emergency medical services;                                                                                             
21   (v)  asbestos worker certification under AS 18.31;                                                                 
22   (vi)  boiler operator's license under AS 18.60.395;                                                                
23   (vii)  certificate of fitness under AS 18.62;                                                                      
24   (viii)  hazardous painting certification under AS 18.63;                                                           
25   (ix)  security guard license under AS 18.65.400 -                                                                  
26 18.65.490;                                                                                                              
27   (x)  license relating to insurance under AS 21.27;                                                                 
28   (xi)  employment agency permit under AS 23.15.330 -                                                                
29 23.15.520;                                                                                                              
30   (xii)  registration as a broker-dealer, agent, or investment                                                       
31 adviser under AS 45.55.030;                                                                                             
01   (xiii)  certification as a pesticide applicator under AS                                                           
02 46.03.320;                                                                                                              
03   (xiv) certification as a storage tank worker or contractor                                                         
04 under AS 46.03.375; and                                                                                                 
05   (xv) certification as a water and wastewater works                                                                 
06 operator under AS 46.30;                                                                                                
07   (B)  does not include                                                                                               
08   (i)  a vessel license issued under AS 16.05.490 or                                                                 
09 16.05.530;                                                                                                              
10   (ii)  a commercial fishing license under AS 16.05.480,                                                             
11 including a crew member fishing license;                                                                                
12   (iii)  an entry permit or interim-use permit issued under                                                          
13 AS 16.43;                                                                                                               
14   (iv)  a license issued under AS 47.35;                                                                             
15   (v)  a business license issued under AS 43.70; or                                                                  
16   (vi)  a driver's license issued under AS 28.15;                                                                    
17   (3)  "licensee" means a person holding a license or applying to renew                                                
18 a license;                                                                                                              
19   (4)  "licensing entity" means the state agency that issues or renews a                                               
20 license; in the case of a license issued or renewed by the Department of Commerce                                       
21 and Economic Development after an applicant's qualifications are determined by                                          
22 another agency, "licensing entity" means the department;                                                                
23   (5)  "list" means the list of obligors compiled and maintained under (a)                                             
24 of this section;                                                                                                        
25   (6)  "substantial compliance with a support order or payment schedule"                                               
26 means that, with respect to a support order or a negotiated payment schedule under (g)                                  
27 of this section, whichever is applicable, the obligor has no more than $2,500 past due                                  
28 and has cumulatively paid an amount equal to or greater than the amount due for eight                                   
29 months during the past 12 months; with respect to a support order or payment schedule                                   
30 that has been in effect for less than one year, "substantial compliance" means that the                                 
31 obligor has no more than $2,500 past due and has cumulatively paid an amount equal                                      
01 to or greater than 67 percent of the amount due during the period the support order or                                  
02 payment schedule has been in effect.                                                                                    
03  Sec. 25.27.246.  ADVERSE ACTION AGAINST DELINQUENT OBLIGOR'S                                                          
04 DRIVER'S LICENSE.  (a)  The agency shall compile and maintain a list of obligors                                        
05 who have a driver's license and are not in substantial compliance with a support order                                  
06 or payment schedule negotiated under (f)(1) of this section.  The list must include the                                 
07 names, social security numbers, dates of birth, and last known addresses of the                                         
08 obligors.  The list shall be updated by the agency on a monthly basis.                                                  
09  (b)  The agency shall serve notice under (d) of this section to each person on                                        
10 the list that the person's driver's license will be suspended in 150 days, and will not                                 
11 be reissued or renewed the next time it is applied for if the person's name is on the                                   
12 list at the time of the subsequent application, unless the licensee receives a release                                  
13 from the agency.  The notice shall be considered given when delivered personally to                                     
14 the obligor or deposited in the United States mail addressed to the obligor's last known                                
15 mailing address on file with the agency.                                                                                
16  (c)  If the licensee fails to obtain a release during the 150-day period following                                    
17 notice under (b) and (d) of this section, the agency shall notify the department that the                               
18 licensee's driver's license should be suspended and further renewals or applications                                    
19 should be denied until the agency sends the department a release for the licensee.                                      
20 Upon receiving the agency's notice under this subsection, the department shall suspend                                  
21 the licensee's driver's license and may not issue or renew a driver's license for the                                   
22 licensee until the department receives a release to do so from the agency.  If a license                                
23 is suspended or an application is denied under this section, money paid by the                                          
24 applicant or licensee may not be refunded by the department.                                                            
25  (d)  The notice under (b) of this section must include the address and telephone                                      
26 number of the agency and shall emphasize the necessity of obtaining a release from                                      
27 the agency as a condition for avoiding suspension or denial of the person's driver's                                    
28 license.  The notice must also inform the licensee that, if a license is suspended or an                                
29 application is denied under this section, money paid by the licensee will not be                                        
30 refunded by the department.  The agency shall also develop a form that the licensee                                     
31 may use to request a review by the agency.  A copy of this form shall be included                                       
01 with each notice sent under (b) of this section.                                                                        
02  (e)  The agency shall establish review procedures consistent with this section                                        
03 to allow a licensee to have the underlying arrearages and relevant defenses                                             
04 investigated, to provide a licensee with information on the process of obtaining a                                      
05 modification of a support order, or to provide a licensee with assistance in the                                        
06 establishment of a payment schedule on arrearages if the circumstances warrant.                                         
07  (f)  If a licensee wishes to challenge being included on the list, the licensee                                       
08 shall submit to the agency a written request for review within 30 days after the notice                                 
09 under (b) of this section was personally delivered or postmarked by using the form                                      
10 developed under (d) of this section.  Within 30 days after receiving a written request                                  
11 for review, the agency shall inform the licensee in writing of the agency's findings.                                   
12 The agency shall immediately send a release to the department and the licensee if any                                   
13 of the following conditions is met:                                                                                     
14   (1)  the licensee is found to be in substantial compliance with each                                                 
15 support order applicable to the licensee or has negotiated an agreement with the agency                                 
16 for a payment schedule on arrearages and is in substantial compliance with the                                          
17 negotiated agreement; if the licensee fails to be in substantial compliance with an                                     
18 agreement negotiated under this paragraph, the agency shall send to the department a                                    
19 revocation of any release previously sent to the entity for that licensee;                                              
20   (2)  the licensee has submitted a timely request for review to the                                                   
21 agency, but the agency will be unable to complete the review and send notice of                                         
22 findings to the licensee in sufficient time for the licensee to file a timely request for                               
23 judicial relief within the 150-day period before the licensee's license will be suspended                               
24 under (c) of this section; this paragraph applies only if the delay in completing the                                   
25 review process is not the result of the licensee's failure to act in a reasonable, timely,                              
26 and diligent manner upon receiving notice from the agency that the licensee's driver's                                  
27 license will be suspended in 150 days;                                                                                  
28   (3)  the licensee has, within 30 days after receiving the agency's                                                   
29 findings following a request for review under (2) of this subsection, filed and served                                  
30 a request for judicial relief under this section, but a resolution of that relief will not                              
31 be made within the 150-day period before license suspension under (c) of this section;                                  
01 this paragraph applies only if the delay in completing the judicial relief process is not                               
02 the result of the licensee's failure to act in a reasonable, timely, and diligent manner                                
03 upon receiving the agency's notice of findings; or                                                                      
04   (4)  the licensee has obtained a judicial finding of substantial                                                     
05 compliance.                                                                                                             
06  (g)  A licensee is required to act with diligence in responding to notices from                                       
07 the agency with the recognition that the person's driver's license will be suspended                                    
08 after 150 days or that a subsequent license will not be issued and that the agency and,                                 
09 where appropriate, the court must have time to act within that 150-day period or before                                 
10 the subsequent license is needed, as applicable.  A licensee's delay in acting, without                                 
11 good cause, that directly results in the inability of the agency to complete a review of                                
12 the licensee's request or the court to hear the request for judicial relief within the                                  
13 required period does not constitute the diligence required under this section that would                                
14 justify the issuance of a release.                                                                                      
15  (h)  Except as otherwise provided in this section, the agency may not issue a                                         
16 release if the applicant is not in substantial compliance with the order for support or                                 
17 is not in substantial compliance with an agreement negotiated under (f)(1) of this                                      
18 section.  The agency shall notify the licensee in writing that the licensee may request                                 
19 any or all of the following: (1) judicial relief from the agency's decision not to issue                                
20 a release or the agency's decision to revoke a release under (f)(1) of this section; (2)                                
21 a judicial determination of substantial compliance; (3) a modification of the support                                   
22 order.  The notice must also contain the name and address of the court in which the                                     
23 licensee may file the request for relief and inform the licensee that the licensee's name                               
24 shall remain on the list if the licensee does not request judicial relief within 30 days                                
25 after receiving the notice.  The licensee shall comply with all statutes and rules of                                   
26 court implementing this section.  This section does not limit a licensee's authority                                    
27 under other law to request an order to show cause or notice of motion to modify a                                       
28 support order or to fix a payment schedule on arrearages accruing under a support                                       
29 order or to obtain a court finding of substantial compliance with a support order.                                      
30  (i)  A request for judicial relief from the agency's decision must state the                                          
31 grounds on which relief is requested and the judicial action shall be limited to those                                  
01 stated grounds.  Judicial relief under this subsection is not an appeal, and shall be                                   
02 governed by court rules adopted to implement this section.  Unless otherwise provided                                   
03 by court rule, the court shall hold an evidentiary hearing within 20 calendar days after                                
04 the filing of service on the opposing party.  The court's decision shall be limited to a                                
05 determination of each of the following issues:                                                                          
06   (1)  whether there is a support order or a payment schedule on                                                       
07 arrearages;                                                                                                             
08   (2)  whether the petitioner is the obligor covered by the support order;                                             
09 and                                                                                                                     
10   (3)  whether the obligor is in substantial compliance with the support                                               
11 order or payment schedule.                                                                                              
12  (j)  If the court finds that the obligor is in substantial compliance with the                                        
13 support order or payment schedule, the agency shall immediately send a release under                                    
14 (f) of this section to the department and the licensee.                                                                 
15  (k)  When the obligor is in substantial compliance with a support order or                                            
16 payment schedule, the agency shall mail to the applicant and the department a release                                   
17 stating that the licensee is in substantial compliance.  The receipt of a release shall                                 
18 serve to notify the licensee and the department that, for the purposes of this section,                                 
19 the applicant is in substantial compliance with the support order or payment schedule                                   
20 unless the agency, under (a) of this section, certifies subsequent to the issuance of a                                 
21 release that the licensee is once again not in substantial compliance with a support                                    
22 order or payment schedule.                                                                                              
23  (l)  The process described in (f) of this section is the sole administrative                                          
24 remedy for contesting the suspension or the denial of a driver's license under this                                     
25 section.  The procedures specified in AS 28 or AS 44.62.330  - 44.62.630 do not apply                                   
26 to the suspension or failure to issue or renew a license under this section.                                            
27  (m)  The agency and department, as appropriate, shall adopt regulations                                               
28 necessary to implement this section.                                                                                    
29  (n)  In this section,                                                                                                 
30   (1)  "department" means the Department of Public Safety;                                                             
31   (2)  "driver's license" or "license" means a driver's license, as defined                                            
01 in AS 28.40.100;                                                                                                        
02   (3)  "licensee" means a person holding or requesting a driver's license;                                             
03   (4)  "list" means the list of obligors compiled and maintained under (a)                                             
04 of this section;                                                                                                        
05   (5)  "substantial compliance with a support order or payment schedule"                                               
06 means that, with respect to a support order or a negotiated payment schedule under (f)                                  
07 of this section, whichever is applicable, the obligor has no more than $2,500 past due                                  
08 and has cumulatively paid an amount equal to or greater than the amount due for eight                                   
09 months during the past 12 months; with respect to a support order or payment schedule                                   
10 that has been in effect for less than one year, "substantial compliance" means that the                                 
11 obligor has no more than $2,500 past due and has cumulatively paid an amount equal                                      
12 to or greater than 67 percent of the amount due during the period the support order or                                  
13 payment schedule has been in effect.                                                                                    
14    * Sec. 17.  AS 36.30.850(b)(11)is amended to read:                                                                   
15   (11)  agreements with providers of services under AS 44.47.250; AS                                                   
16 47.07; AS 47.08; AS 47.10; AS 47.17; AS 47.24; AS 47.25.130(b); and AS 47.27 [AS                                      
17 47.25.195 AND 47.25.310];                                                                                               
18    * Sec. 18.  AS 39.25.110 is amended by adding a new paragraph to read:                                               
19   (31)  a participant in the Alaska Family Independence Program                                                        
20 (AS 47.27) who holds a temporary position with the state in order to obtain job                                         
21 training or experience.                                                                                                 
22    * Sec. 19.  AS 44.19.626(a)is amended to read:                                                                       
23  (a)  As the lead state planning and coordinating entity, the Alaska Human                                             
24 Resource Investment Council has responsibility, to the extent authorized by federal and                                 
25 state law, for planning and coordinating federal, state, and local efforts in human                                     
26 resource programs in this state related to employment training, including the work                                     
27 activities of the Alaska Family Independence Program under AS 47.27.                                                   
28    * Sec. 20.  AS 44.29.020(a)is amended to read:                                                                       
29  (a)  The Department of Health and Social Services shall administer the state                                          
30 programs of public health and social services, including                                                                
31   (1)  maternal and child health services;                                                                             
01   (2)  preventive medical services;                                                                                    
02   (3)  public health nursing services;                                                                                 
03   (4)  nutrition services;                                                                                             
04   (5)  health education;                                                                                               
05   (6)  laboratories;                                                                                                   
06   (7)  mental health treatment and diagnosis;                                                                          
07   (8)  management of state institutions, except for adult penal institutions;                                          
08   (9)  medical facilities;                                                                                             
09   (10)  adult public assistance;                                                                                       
10   (11) Alaska Family Independence Program [AID TO FAMILIES                                                           
11 WITH DEPENDENT CHILDREN];                                                                                               
12   (12) child welfare services;                                                                                         
13   (13) general relief; and                                                                                             
14   (14) licensing and supervision of child care facilities.                                                             
15    * Sec. 21.  AS 44.47.280 is amended to read:                                                                         
16  Sec. 44.47.280. ELIGIBILITY OF FAMILIES FOR BENEFITS.  The                                                            
17 department shall determine the eligibility of families for day care benefits on the basis                               
18 of the following factors:                                                                                               
19   (1) [NET] income of the family including salary, alimony, child support,                                             
20 retirement benefits, social security, and any other source of income;                                                   
21   (2) number of children in the family;                                                                                
22   (3) whether there is one parent or guardian solely responsible for the                                               
23 care of the family;                                                                                                     
24   (4)  [Repealed                                                                                                       
25   (5)]  other factors found relevant by the department.                                                                
26    * Sec. 22.  AS 47.05.010(1) is amended to read:                                                                      
27   (1)  administer adult public assistance, the Alaska Family                                                          
28 Independence Program [AID TO FAMILIES WITH DEPENDENT CHILDREN], and                                                    
29 all other assistance programs, and receive and spend money [FUNDS] made available                                     
30 to it;                                                                                                                  
31    * Sec. 23.  AS 47.05.010(2) is amended to read:                                                                      
01   (2)  adopt regulations necessary for the conduct of its business and for                                             
02 carrying out federal and state laws granting adult public assistance, temporary                                        
03 assistance for needy families under the Alaska Family Independence Program                                             
04 [AID TO FAMILIES WITH DEPENDENT CHILDREN], and other assistance;                                                        
05    * Sec. 24.  AS 47.05.010(5) is amended to read:                                                                      
06   (5)  cooperate with the federal government in matters of mutual concern                                              
07 pertaining to adult public assistance, the Alaska Family Independence Program [AID                                    
08 TO FAMILIES WITH DEPENDENT CHILDREN], and other forms of public                                                         
09 assistance;                                                                                                             
10    * Sec. 25.  AS 47.05.030 is amended to read:                                                                         
11  Sec. 47.05.030.  MISUSE OF PUBLIC ASSISTANCE LISTS AND                                                                
12 RECORDS.  Except for purposes directly connected with the administration of general                                     
13 assistance, adult public assistance, the day care assistance program authorized under                                   
14 AS 44.47.250 - 44.47.310, or the Alaska Family Independence Program [AID TO                                           
15 FAMILIES WITH DEPENDENT CHILDREN], and in accordance with the regulations                                               
16 of the department, a person may not solicit, disclose, receive, make use of, or                                         
17 authorize, knowingly permit, participate in, or acquiesce in the use of, a list of or                                   
18 names of, or information concerning, persons applying for or receiving the assistance                                   
19 directly or indirectly derived from the records, papers, files, or communications of the                                
20 department or subdivisions or agencies of the department, or acquired in the course of                                  
21 the performance of official duties.                                                                                     
22    * Sec. 26.  AS 47.05.080 is amended to read:                                                                         
23  Sec. 47.05.080.  RECOVERY OF OVERPAYMENTS.  Benefit overpayments                                                      
24 collected by the department in administering programs under AS 47.25.120 - 47.25.300                                    
25 (general relief), [AS 47.25.310 - 47.25.420 (AID TO FAMILIES WITH DEPENDENT                                             
26 CHILDREN),] AS 47.25.430 - 47.25.615 (adult public assistance), [AND]                                                   
27 AS 47.25.975 - 47.25.990 (food stamps), and AS 47.27 (Alaska Family                                                    
28 Independence Program shall be remitted to the Department of Revenue under                                              
29 AS 37.10.050(a).                                                                                                        
30    * Sec. 27.  AS 47.07.020(b)(1) is amended to read:                                                                   
31   (1)  persons eligible for but not receiving assistance under any plan of                                             
01 the state approved under 42 U.S.C. 601 - 615 (Title IV-A, Social Security Act,                                         
02 Temporary Assistance for Needy Families), [AID TO FAMILIES WITH                                                        
03 DEPENDENT CHILDREN) OR] 42 U.S.C. 1381 - 1383c (Title XVI, Social Security                                              
04 Act, Supplemental Security Income), or a federal program designated as the                                             
05 successor to the aid to families with dependent children program;                                                      
06    * Sec. 28.  AS 47.07.020(b)(7) is amended to read:                                                                   
07   (7)  persons under age 21 who are receiving active treatment in a                                                    
08 psychiatric hospital and who are financially eligible as determined by the standards of                                 
09 42 U.S.C. 601 - 615 (Title IV-A, Social Security Act, Temporary Assistance for                                         
10 Needy Families, or a federal program designated as the successor to the aid to                                          
11 families with dependent children program [AID TO FAMILIES WITH                                                         
12 DEPENDENT CHILDREN]);                                                                                                   
13    * Sec. 29.  AS 47.07.035(26) is amended to read:                                                                     
14   (26)  individuals under age 21 who are not eligible for benefits under                                               
15 the federal temporary assistance for needy families [AID TO FAMILIES WITH                                             
16 DEPENDENT CHILDREN] program, or a federal program designated as the                                                    
17 successor to the aid to families with dependent children program, because they are                                     
18 not deprived of one or more of their natural or adoptive parents;                                                       
19    * Sec. 30.  AS 47.25.130(b) is amended to read:                                                                      
20  (b) The department may enter into contracts or [COMPETITIVELY                                                       
21 AWARDED] group service agreements with providers or local governments, and may                                        
22 require needy persons under AS 47.25.120 - 47.25.300 to obtain services from these                                      
23 designated providers.  The department may establish by regulation program                                              
24 standards designed to meet local circumstances for services provided under                                              
25 contracts or group service agreements entered into under this subsection.                                              
26    * Sec. 31.  AS 47.25.310, 47.25.320, 47.25.330, 47.25.340, 47.25.345, 47.25.350, 47.25.360,                          
27 47.25.365, 47.25.370, 47.25.380, 47.25.395, 47.25.400, 47.25.410, 47.25.420, 47.25.421,                                 
28 47.25.423, 47.25.425, 47.25.427, and 47.25.429 are repealed.                                                            
29    * Sec. 32.  COURT RULE CHANGE.  (a)  AS 25.27.060(e) - (g), added by sec. 7 of this                                  
30 Act, have the effect of amending Alaska Rule of Civil Procedure 90.3 by requiring                                       
31 consideration of the income of the grandparents of a child when determining a child support                             
01 obligation under certain circumstances and by providing that a child's grandparents are                                 
02 obligated to support the child under certain circumstances.                                                             
03  (b)  Under art. IV, sec. 15, Constitution of the State of Alaska, AS 25.27.060(e) - (g),                               
04 added by sec. 7 of this Act, and this section may become law with the affirmative vote of a                             
05 majority of the membership of each house because the court rule being amended is not a rule                             
06 governing practice or procedure.                                                                                        
07    * Sec. 33.  REPORT.  (a)  In furtherance of the public policy of increasing child support                            
08 enforcement and collections, on or before January 1, 1999, the child support enforcement                                
09 agency shall make a report to the governor based on data collected by the licensing entities                            
10 and the agency in a format prescribed by the agency.  The report must contain                                           
11   (1)  the number of delinquent obligors on the lists maintained by the agency                                          
12 under AS 25.27.244 - 25.27.246, enacted by sec. 16 of this Act;                                                         
13   (2)  the number of delinquent obligors who also were applicants or licensees                                          
14 subject to AS 25.27.244 - 25.27.246, enacted by sec. 16 of this Act;                                                    
15   (3)  the number of new licenses and renewals that were delayed or denied and                                          
16 temporary licenses issued subject to AS 25.27.244 and the number of new licenses and                                    
17 renewals granted following receipt by licensing entities of releases under AS 25.27.244 by                              
18 July 1, 1998;                                                                                                           
19   (4)  the number of licenses under AS 28.15 that were suspended under                                                  
20 AS 25.27.246 and the number of licenses under AS 28.15 that were reinstated following                                   
21 receipt by the Department of Public Safety of releases under AS 25.27.246 by July 1, 1998;                              
22 and                                                                                                                     
23   (5)  the costs incurred in the implementation and enforcement of AS 25.27.244                                         
24 - 25.27.246, enacted by sec. 16 of this Act.                                                                            
25  (b)  A licensing entity receiving an inquiry from the agency under (a) of this section                                 
26 shall cooperate with the agency.  When queried as to the licensed status of an applicant who                            
27 has had a license denied or suspended under AS 25.27.244 or 25.27.246 or has been granted                               
28 a temporary license under AS 25.27.244, the licensing entity shall respond only that the                                
29 license was denied or suspended or that the temporary license was issued.                                               
30    * Sec 34.  WAIVER OF AFDC PROGRAM REQUIREMENTS.  (a) If the federal aid to                                           
31 families with dependent children (AFDC) program has not been repealed by October 1, 1996,                               
01 the Department of Health and Social Services may implement changes to the AFDC program,                                 
02 notwithstanding the provisions of AS 47.25.310 - 47.25.429, that are consistent with the                                
03 Alaska Family Independence Program established in sec. 2 of this Act, by operating waiver                               
04 projects with the approval of the federal government.  All waiver projects must be within the                           
05 scope of the program set out at sec. 2 of this Act and must be designed to promote family                               
06 self-sufficiency.                                                                                                       
07  (b) If the federal AFDC program has not been repealed by October 1, 1996, the                                          
08 Department of Health and Social Services shall report to the governor its recommendation for                            
09 changes in its statutory authority that are needed to address conflicting legal authority to                            
10 operate the waiver projects.                                                                                            
11    * Sec. 35.  COOPERATION.  State agencies designated by the governor shall cooperate                                  
12 with the Department of Health and Social Services to the extent necessary to implement                                  
13 waivers under sec. 34 of this Act.                                                                                      
14    * Sec. 36.  IMMUNITY FROM LIABILITY.  (a) The Department of Health and Social                                        
15 Services, and its employees, agents, and grantees, are not liable for civil damages as a result                         
16 of an act or omission in the implementation, operation, or administration of an authorized                              
17 waiver project under sec. 34 of this Act.                                                                               
18  (b) The provisions of (a) of this section do not preclude liability for civil damages as                               
19 a result of recklessness or intentional misconduct.                                                                     
20  (c)  The provisions of (b) of this section do not constitute a waiver or limitation of                                 
21 sovereign or other immunity.                                                                                            
22    * Sec. 37.  REGULATIONS FOR WAIVER PROGRAMS.   The Department of Health and                                          
23 Social Services may adopt regulations necessary to implement sec. 34 of this Act.  The                                  
24 regulations adopted by the department may include                                                                       
25   (1) eligibility criteria for waiver projects that differ from eligibility requirements                                
26 in AS 47.25.310 - 47.25.429 and the regulations adopted under those statutes;                                           
27   (2)  exemptions from requiring participation in the projects because of                                               
28 exceptional circumstances;                                                                                              
29   (3)  provisions for financial or non-financial sanctions for applicants who fail                                      
30 to cooperate with project requirements or a provision of a plan; and                                                    
31   (4)  additional program standards and procedures to implement or interpret sec.                                       
01 2 of this Act in order to promote family self-sufficiency.                                                              
02    * Sec. 38.  TRANSITION.  (a)  The Department of Health and Social Services, the                                      
03 Department of Revenue, child support enforcement agency, and any department that issues a                               
04 license affected by sec. 16 of this Act, may proceed to adopt regulations necessary to                                  
05 implement this Act.  Regulations to implement a provision of this Act take effect under                                 
06 AS 44.62 (Administrative Procedure Act), but not before the effective date of the relevant                              
07 provision of this Act.                                                                                                  
08  (b)  Regulations adopted by the Department of Health and Social Services under the                                     
09 authority of AS 47.25.310 - 47.25.420 before the effective date of secs. 2 and 37 of this Act                           
10 remain in effect, and may be implemented and enforced to the extent that the regulations are                            
11 not inconsistent with AS 47.27, until the department has made regulation changes under                                  
12 AS 44.62 (Administrative Procedure Act) to conform to this Act.                                                         
13  (c)  An application for assistance filed under AS 47.25  remains effective as an                                       
14 application for the Alaska Family Independence Program following the effective dates of secs.                           
15 2 and 37 of this Act and until the Department of Health and Social Services requires a new                              
16 application with the development of the family self-sufficiency plan; new  applications shall                           
17 be required  no later than one year following the effective date of sec. 2 of this Act.                                 
18  (d)  Litigation, hearings, investigations, collection actions, and other proceedings                                   
19 pending under a law amended or repealed by this Act continue in effect and may be                                       
20 completed by the Department of Health and Social Services notwithstanding the repeal or                                 
21 amendment under the Act.                                                                                                
22    * Sec. 39.  Section 38(a) of this Act takes effect immediately.                                                      
23    * Sec. 40.  Sections 1 - 6, 8 - 15, 17 - 31 of this Act take effect October 1, 1996, except                          
24 that if the federal law providing for the aid to families with dependent children (AFDC)                                
25 program has not been repealed by that date, those sections  take effect on the first day after                          
26 October 1, 1996 that the repeal of the federal AFDC program is effective.  The commissioner                             
27 of health and social services shall notify the revisor of statutes and the lieutenant governor of                       
28 the effective date of the repeal of the federal law providing for the AFDC program.                                     
29    * Sec. 41.  Sections 7, 16, and 32 - 37, 38(b), (c), and (d) of this Act take effect                                 
30 October 1, 1996.