SB 5: "An Act relating to management of certain municipal assets by the Alaska Permanent Fund Corporation."
00 SENATE BILL NO. 5 01 "An Act relating to management of certain municipal assets by the Alaska Permanent 02 Fund Corporation." 03 BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF ALASKA: 04 * Section 1. AS 37.13 is amended by adding a new section to article 2 to read: 05 Sec. 37.13.310. Management of municipal assets. (a) The corporation shall 06 manage the assets in an account of a municipality if 07 (1) the governing body of the municipality directs the corporation by 08 resolution to manage the assets; and 09 (2) the account 10 (A) was established by the municipality under an ordinance or 11 charter provision; 12 (B) is a savings or investment account for the municipality; 13 (C) consists of only cash or other financial assets belonging to 14 the municipality; and
01 (D) has an asset value of at least $50,000,000. 02 (b) In managing the assets of a municipality under (a) of this section, the 03 corporation shall 04 (1) hold and invest the assets subject to AS 37.13.120; 05 (2) at least quarterly, prepare, publish, and distribute to the governing 06 body of the municipality a financial report showing investment revenue and 07 expenditures, including the allocation of the assets in the account among investments; 08 (3) annually prepare, publish, and distribute to the governing body of 09 the municipality financial statements prepared in accordance with generally accepted 10 accounting principles consistently applied and an audit report prepared by a certified 11 public accountant; 12 (4) periodically advise the governing body of the municipality when 13 revisions to long-range investment policy, including asset allocation changes, are 14 contemplated and provide an opportunity for consultation and comment on the 15 changes before they are implemented; and 16 (5) if the governing body of the municipality requests by resolution 17 that the corporation transfer funds from the account to the municipality, transfer the 18 amount requested by the resolution, not to exceed the total value of the assets that the 19 corporation is managing for the municipality. 20 (c) A municipality with assets managed by the corporation under this section 21 shall pay to the corporation the amount determined by the corporation to be sufficient 22 to reimburse the corporation for the costs of managing the assets. 23 (d) Net income from assets managed by the corporation for a municipality 24 under this section may not be included in the computation of net income or market 25 value available for distribution or appropriation under AS 37.13.140.