Legislature(2009 - 2010)
2010-01-19 House JournalFull Journal pdf
2010-01-19 House Journal Page 1293 HB 296 HOUSE BILL NO. 296 by the House Rules Committee by request of the Governor, entitled: "An Act authorizing and relating to the issuance of bonds by the Alaska Housing Finance Corporation; establishing the Alaska energy efficiency revolving loan fund and relating to the fund; authorizing municipalities and the State of Alaska to borrow money from the Alaska Housing Finance Corporation for the purposes of the Alaska energy efficiency revolving loan fund; and providing for an effective date." was read the first time and referred to the House Special Committee on Energy and the Finance Committee. The following fiscal note(s) apply: 1. Zero, Dept. of Revenue 2. Zero, Dept. of Transportation & Public Facilities The Governor's transmittal letter dated January 15, 2010, follows: "Dear Speaker Chenault: Under the authority of Art. III, Sec. 18, of the Alaska Constitution, I am transmitting a bill authorizing and relating to the issuance of bonds by the Alaska Housing Finance Corporation (AHFC); establishing the Alaska Energy Efficiency Revolving Loan Fund and relating to the fund; and authorizing municipalities and the State of Alaska to borrow 2010-01-19 House Journal Page 1294 money from the Alaska Housing Finance Corporation for the purposes of the Alaska Energy Efficiency Revolving Loan Fund. The Federal American Recovery and Reinvestment Act of 2009 appropriated $28.3 million to Alaska for the State Energy Program. Of that, I recommended spending $18 million to make energy efficiency improvements to public buildings. The bill leverages that $18 million by allowing AHFC to issue up to $250 million in bonds for the purpose of financing energy efficiency improvements to State and municipal buildings in the state. The bill creates the Alaska energy efficiency revolving loan fund within AHFC. All earnings and loan payments will be retained by the fund for future loans. Money and other assets of the Alaska energy efficiency revolving loan fund may be used to make loans to municipal governments or to State agencies for the purpose of financing energy efficiency improvements to buildings owned by municipalities in the state or by the State of Alaska. As an example, a municipal government or school district will have an energy audit performed on its building. That audit might determine that $120,000 in work will make the building more energy efficient and that those improvements will reduce energy costs by $20,000 a year. The local government can take out a loan with the AHFC to do the work and then repay the loan with the funds made available due to the savings achieved through the energy efficiency improvements. After the debt is settled, those funds will be available to that government for other purposes or to reduce the size of the budget. This program will result in less energy used by public buildings as well as ultimately saving public money. Alaska's economy will also benefit from contracted projects, and will put Alaskans to work. I urge your prompt and favorable consideration of this bill. Sincerely, /s/ Sean Parnell Governor"