HB 264

                                                                       34-GH2501\A
                                   HOUSE BILL NO. 264
                     IN THE LEGISLATURE OF THE STATE OF ALASKA
                 THIRTY-FOURTH LEGISLATURE - SECOND SESSION
    BY THE HOUSE RULES COMMITTEE BY REQUEST OF THE GOVERNOR
    Introduced: 1/23/26
    Referred: Finance
                                         A BILL
                                FOR AN ACT ENTITLED
1 "An Act making appropriations, including capital appropriations, supplemental
2 appropriations, and reappropriations; making appropriations to capitalize funds; and
3 providing for an effective date."
4 BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF ALASKA:
5(SECTION 1 OF THIS ACT BEGINS ON PAGE 2)
    HB0264a  -1-  HB 264
                        New Text Underlined [DELETED TEXT BRACKETED]
1  * Section 1. The following appropriations are for capital projects and grants from the general
2  fund or other funds as set out in sec. 2 of this Act by funding source to the agencies named for
3  the purposes expressed. They lapse under AS 37.25.020, unless otherwise noted.
4Appropriation       General  Other
5Allocations  Items  Funds  Funds
6*****  *****
7     * * * * * Department of Commerce, Community, and Economic Development * * * * *
8*****  *****
9  Community Block Grants (HD 1-40)  6,315,000  65,000       6,250,000
10 Alaska Energy Authority - Electrical  350,000        350,000
11  Emergencies Program (HD 1-40)
12 Alaska Energy Authority - Cruise Ship  15,300,000  15,300,000
13  Terminal Port Electrification (HD 1-40)
14*****  *****
15* * * * * Department of Environmental Conservation * * * * *
16*****  *****
17 Village Safe Water and Wastewater  272,500,000    18,000,000     254,500,000
18  Infrastructure Projects (HD 1-40)
19 Water Infrastructure Improvements for  628,100  628,100
20  the Nation Act (WIIN) Grants (HD 1-40)
21 Water Small System Assistance Grants  3,000,000  3,000,000
22  (HD 1-40)
23 Water Infrastructure Improvements for  9,457,000  9,457,000
24  the Nation Act (WIIN) Grants - Emerging
25  Contaminants (HD 1-40)
26 Clean Water Capitalization Grant  4,177,800  4,177,800
27  Subsidy (HD 1-40)
28 Clean Water Capitalization Grant  7,224,600  7,224,600
29  Subsidy - IIJA, Division J, Title VI (HD 1-
30  40)
31 Clean Water Capitalization Grant  1,273,000  1,273,000
HB 264, Sec. 1  HB0264a
                                               -2-
1Appropriation    General  Other
2Allocations  Items       Funds  Funds
3   Subsidy Emerging Contaminants - IIJA,
4   Division J, Title VI (HD 1-40)
5  Drinking Water Capitalization Grant  5,344,000  5,344,000
6   Subsidy (HD 1-40)
7  Drinking Water Capitalization Grant  12,200,100  12,200,100
8   Subsidy - IIJA, Division J, Title VI (HD 1-
9   40)
10 Drinking Water Capitalization Grant  7,640,000  7,640,000
11  Subsidy Emerging Contaminants- IIJA,
12  Division J, Title VI (HD 1-40)
13*****  *****
14* * * * * Department of Fish and Game * * * * *
15*****  *****
16 Alaska Marine Salmon Program (HD 1-  825,000     825,000
17  40)
18 Gulf of Alaska Chinook Salmon (HD 1-  3,300,000   3,300,000
19  40)
20 Wildlife Management, Research and  6,000,000  6,000,000
21  Hunting Access (HD 1-40)
22 Sport Fish Recreational Boating and  3,000,000  3,000,000
23  Angler Access (HD 1-40)
24 Pacific Coastal Salmon Recovery Fund  6,800,000  6,800,000
25  (HD 1-40)
26*****  *****
27* * * * * Department of Military and Veterans' Affairs * * * * *
28*****  *****
29 Public Protection and Infrastructure  5,000,000  5,000,000
30  Support (HD 1-40)
31 Air National Guard Modernization and  1,750,000  1,750,000
32  Sustainment (HD 1-40)
33 State Homeland Security Grant  26,765,900  26,765,900
HB0264a  HB 264, Sec. 1
                                                -3-
1Appropriation        General        Other
2Allocations  Items  Funds  Funds
3   Programs (HD 1-40)
4  DMVA Deferred Maintenance,  25,000,000  25,000,000
5   Replacement, and Renewal (HD 1-40)
6  National Guard Counterdrug Support (HD  200,000  200,000
7   1-40)
8*****  *****
9* * * * * Department of Natural Resources * * * * *
10*****  *****
11 Forest Inventory Initiative - Susitna and  1,850,000       1,850,000
12  Tanana Valleys (HD 1-40)
13 Land Sales New Subdivision  600,000  600,000
14  Development (HD 1-40)
15 Statewide Parks Safety, Sanitation, and  1,000,000       1,000,000
16  Access Improvements (HD 1-40)
17 Land and Water Conservation Fund  4,800,000       1,900,000    2,900,000
18  (LWCF) Grant Program (HD 1-40)
19 Cooperative Water Resource Program  400,000  400,000
20  Pass-through to USGS for Stream
21  Gauging Projects (HD 1-40)
22 Cooperative Forestry and Fire Programs  12,000,000  12,000,000
23  (HD 1-40)
24 Abandoned Mine Lands Reclamation  4,330,000  4,330,000
25  Federal Program (HD 1-40)
26*****  *****
27* * * * * Department of Revenue * * * * *
28*****  *****
29 Alaska Housing Finance Corporation
30 AHFC Rental Assistance for Persons  1,500,000       1,500,000
31  Displaced Due to Domestic Violence -
32  Empowering Choice Housing Program
33  (ECHP) (HD 1-40)
HB 264, Sec. 1  HB0264a
                                              -4-
1Appropriation        General  Other
2Allocations  Items  Funds  Funds
3  AHFC Rural Professional Housing (HD 1-  5,000,000     4,000,000  1,000,000
4   40)
5  AHFC Affordable Housing Development  15,000,000  15,000,000
6   Program (HD 1-40)
7  AHFC Senior Citizens Housing  3,000,000     3,000,000
8   Development Program (HD 1-40)
9  AHFC Housing and Urban Development  4,750,000       750,000  4,000,000
10  Federal HOME Grant (HD 1-40)
11 AHFC Housing and Urban Development  3,750,000  3,750,000
12  Capital Fund Program (HD 1-40)
13 AHFC Federal and Other Competitive  7,500,000     1,500,000  6,000,000
14  Grants (HD 1-40)
15 AHFC Competitive Grants for Public  1,350,000       350,000  1,000,000
16  Housing (HD 1-40)
17 AHFC Supplemental Housing  4,000,000     4,000,000
18  Development Program (HD 1-40)
19 AHFC Energy Programs Weatherization  5,000,000     2,000,000  3,000,000
20  (HD 1-40)
21 AHFC Federal and Other Competitive  35,000,000  35,000,000
22  Grants - Alaska Sustainable Energy
23  Corporation (HD 1-40)
24*****  *****
25* * * * * Department of Transportation and Public Facilities * * * * *
26*****  *****
27 Federal Program Match (HD 1-40)  130,859,460   109,759,960        21,099,500
28 Federal-Aid Highway  1,000,000
29  Project Title 23 Receipts
30  (HD 1-40)
31 Federal-Aid Highway State  93,258,500
32  Match (HD 1-40)
33 Other Federal Program  1,681,460
HB0264a  HB 264, Sec. 1
                                               -5-
1Appropriation     General  Other
2Allocations  Items        Funds  Funds
3   Match (HD 1-40)
4  Federal-Aid Highway  1,000,000
5   Project Match Credits (HD 1-
6   40)
7  Federal-Aid Aviation State  33,919,500
8   Match (HD 1-40)
9  Alaska Marine Highway System Vessel  27,500,000   27,500,000
10  Overhaul, Annual Certification and
11  Shoreside Facilities Rehabilitation (HD 1-40)
12 Public Building Fund Deferred  6,000,000  6,000,000
13  Maintenance, Renovation, Repair and
14  Equipment (HD 1-40)
15 Surface Transportation Program (HD 1-  890,212,300  890,212,300
16  40)
17 Airport Improvement Program (HD 1-40)  344,438,386  344,438,386
18 Rural Airport Improvement  165,000,000
19  Program (HD 1-40)
20 Alaska International Airport      179,438,386
21  System (HD 1-40)
22 Statewide Federal Programs (HD 1-40)  64,677,800  64,677,800
23 Cooperative Reimbursable  15,000,000
24  Projects (HD 1-40)
25 Federal Transit  20,757,800
26  Administration Grants (HD 1-
27  40)
28 Highway Safety Grants  10,920,000
29  Program (HD 1-40)
30 Commercial Vehicle  3,000,000
31  Enforcement Program (HD 1-
32  40)
33 Emergency Relief Funding  15,000,000
HB 264, Sec. 1  HB0264a
                                             -6-
1Appropriation   General  Other
2Allocations  Items     Funds  Funds
3  (HD 1-40)
4 State Equipment Fleet Replacement (HD  39,000,000  39,000,000
5  1-40)
6 Winter Trail Grooming Grants (HD 1-40)  120,000    120,000
7(SECTION 2 OF THIS ACT BEGINS ON THE NEXT PAGE)
    HB0264a  HB 264, Sec. 1
                                        -7-
1  * Sec. 2. The following sets out the funding by agency for the appropriations made in sec. 1
2  of this Act.
3   Funding Source  Amount
4  Department of Commerce, Community, and Economic Development
5   1002 Federal Receipts  6,250,000
6   1003 General Fund Match  65,000
7   1169 Power Cost Equalization Endowment Fund  350,000
8   1205 Berth Fees for the Ocean Ranger Program  15,300,000
9     * * * Total Agency Funding * * *  $21,965,000
10 Department of Environmental Conservation
11  1002 Federal Receipts  267,085,100
12  1003 General Fund Match  18,000,000
13  1075 Alaska Clean Water Fund  12,675,400
14  1100 Alaska Drinking Water Fund  25,184,100
15  1108 Statutory Designated Program Receipts  500,000
16    * * * Total Agency Funding * * *  $323,444,600
17 Department of Fish and Game
18  1002 Federal Receipts  13,050,000
19  1004 Unrestricted General Fund Receipts  4,125,000
20  1024 Fish and Game Fund  2,750,000
21    * * * Total Agency Funding * * *  $19,925,000
22 Department of Military and Veterans' Affairs
23  1002 Federal Receipts  58,715,900
24    * * * Total Agency Funding * * *  $58,715,900
25 Department of Natural Resources
26  1002 Federal Receipts  19,230,000
27  1003 General Fund Match  1,900,000
28  1005 General Fund/Program Receipts  1,000,000
29  1108 Statutory Designated Program Receipts  400,000
30  1153 State Land Disposal Income Fund  600,000
31  1155 Timber Sale Receipts  1,850,000
HB 264, Sec. 2  HB0264a
                                              -8-
1    * * * Total Agency Funding * * *  $24,980,000
2  Department of Revenue
3   1002 Federal Receipts  63,250,000
4   1108 Statutory Designated Program Receipts  5,500,000
5   1139 Alaska Housing Finance Corporation Dividend  17,100,000
6    * * * Total Agency Funding * * *  $85,850,000
7  Department of Transportation and Public Facilities
8   1002 Federal Receipts  1,245,618,331
9   1003 General Fund Match  107,759,960
10  1005 General Fund/Program Receipts  2,000,000
11  1026 Highways Equipment Working Capital Fund  39,000,000
12  1027 International Airports Revenue Fund  59,877,805
13  1076 Alaska Marine Highway System Fund  27,500,000
14  1108 Statutory Designated Program Receipts  10,000,000
15  1147 Public Building Fund  6,000,000
16  1179 Passenger Facility Charges  4,931,850
17  1195 Snow Machine Registration Receipts  120,000
18   * * * Total Agency Funding * * *  $1,502,807,946
19 * * * Total Budget * * *  $2,037,688,446
20(SECTION 3 OF THIS ACT BEGINS ON THE NEXT PAGE)
HB0264a  HB 264, Sec. 2
                                              -9-
1  * Sec. 3. The following sets out the statewide funding for the appropriations made in sec. 1
2  of this Act.
3   Funding Source  Amount
4  Unrestricted General Funds
5   1003 General Fund Match  127,724,960
6   1004 Unrestricted General Fund Receipts  4,125,000
7   1139 Alaska Housing Finance Corporation Dividend  17,100,000
8   * * * Total Unrestricted General Funds * * *  $148,949,960
9  Designated General Funds
10  1005 General Fund/Program Receipts  3,000,000
11  1076 Alaska Marine Highway System Fund  27,500,000
12  1153 State Land Disposal Income Fund  600,000
13  1155 Timber Sale Receipts  1,850,000
14  1169 Power Cost Equalization Endowment Fund  350,000
15  1195 Snow Machine Registration Receipts  120,000
16  * * * Total Designated General Funds * * *  $33,420,000
17 Other Non-Duplicated Funds
18  1024 Fish and Game Fund  2,750,000
19  1027 International Airports Revenue Fund  59,877,805
20  1108 Statutory Designated Program Receipts  16,400,000
21  1179 Passenger Facility Charges  4,931,850
22  1205 Berth Fees for the Ocean Ranger Program  15,300,000
23  * * * Total Other Non-Duplicated Funds * * *  $99,259,655
24 Other Duplicated Funds
25  1026 Highways Equipment Working Capital Fund  39,000,000
26  1075 Alaska Clean Water Fund  12,675,400
27  1100 Alaska Drinking Water Fund  25,184,100
28  1147 Public Building Fund  6,000,000
29  * * * Total Other Duplicated Funds * * *  $82,859,500
30 Federal Receipts
31  1002 Federal Receipts  1,673,199,331
HB 264, Sec. 3  HB0264a
                                              -10-
1  * * * Total Federal Receipts * * *  $1,673,199,331
2 * * * Total Budget * * *  $2,037,688,446
3(SECTION 4 OF THIS ACT BEGINS ON THE NEXT PAGE)
    HB0264a  HB 264, Sec. 3
                                     -11-
1  * Sec. 4. The following appropriations are for capital projects and grants from the general
2  fund or other funds as set out in sec. 5 of this Act by funding source to the agencies named for
3  the purposes expressed. They lapse under AS 37.25.020, unless otherwise noted.
4Appropriation        General  Other
5Allocations  Items  Funds  Funds
6*****  *****
7* * * * * Department of Transportation and Public Facilities * * * * *
8*****  *****
9  Statewide Federal Programs (HD 1-40)  459,000  459,000
10 Highway Safety Grants  59,000
11  Program (HD 1-40)
12 Federal Transit  400,000
13  Administration Grants (HD 1-
14  40)
15 Federal Program Match (HD 1-40)  69,695,087     69,695,087
16 Other Federal Program  1,611,548
17  Match (HD 1-40)
18 Federal-Aid Highway State  58,276,155
19  Match (HD 1-40)
20 Federal-Aid Aviation State  9,807,384
21  Match (HD 1-40)
22(SECTION 5 OF THIS ACT BEGINS ON THE NEXT PAGE)
HB 264, Sec. 4  HB0264a
                                              -12-
1 * Sec. 5. The following sets out the funding by agency for the appropriations made in sec. 4
2 of this Act.
3  Funding Source  Amount
4 Department of Transportation and Public Facilities
5  1003 General Fund Match  69,695,087
6  1004 Unrestricted General Fund Receipts  459,000
7    * * * Total Agency Funding * * *  $70,154,087
8 * * * Total Budget * * *  $70,154,087
9(SECTION 6 OF THIS ACT BEGINS ON THE NEXT PAGE)
    HB0264a  HB 264, Sec. 5
                                           -13-
1  * Sec. 6. The following sets out the statewide funding for the appropriations made in sec. 4
2  of this Act.
3   Funding Source  Amount
4  Unrestricted General Funds
5   1003 General Fund Match  69,695,087
6   1004 Unrestricted General Fund Receipts  459,000
7   * * * Total Unrestricted General Funds * * *  $70,154,087
8  Designated General Funds
9   * * * Total Designated General Funds * * *  $0
10 Other Non-Duplicated Funds
11  * * * Total Other Non-Duplicated Funds * * *  $0
12 Other Duplicated Funds
13  * * * Total Other Duplicated Funds * * *  $0
14 Federal Receipts
15  * * * Total Federal Receipts * * *  $0
16 * * * Total Budget * * *  $70,154,087
17(SECTION 7 OF THIS ACT BEGINS ON THE NEXT PAGE)
HB 264, Sec. 6  HB0264a
                                              -14-
                                                                                 34-GH2501\A
1   * Sec. 7. SUPPLEMENTAL DEPARTMENT OF COMMERCE, COMMUNITY, AND
2  ECONOMIC DEVELOPMENT. The unexpended and unobligated balance, estimated to be
3  $650,000, of the appropriation made in sec. 14, ch. 11, SLA 2022, page 117, lines 19 - 20,
4  (Alaska Energy Authority - Electric Vehicle Infrastructure Plan - $1,500,000), is
5  reappropriated to the Department of Commerce, Community, and Economic Development,
6  Alaska Energy Authority, for federal matching of the United States Department of Energy
7  State Energy Program.
8   * Sec. 8. FEDERAL AND OTHER PROGRAM RECEIPTS. Federal receipts, designated
9  program receipts under AS 37.05.146(b)(3), information services fund program receipts under
10 AS 44.21.045(b), Exxon Valdez oil spill trust receipts under AS 37.05.146(b)(4), receipts of
11 the Alaska Housing Finance Corporation, receipts of the Alaska marine highway system fund
12 under AS 19.65.060(a), receipts of the vaccine assessment account (AS 18.09.230), receipts
13 of the University of Alaska under AS 37.05.146(b)(2), receipts of the highways equipment
14 working capital fund under AS 44.68.210, and receipts of commercial fisheries test fishing
15 operations under AS 37.05.146(c)(20) that are received during the fiscal year ending June 30,
16 2027, and that exceed the amounts appropriated by this Act are appropriated conditioned on
17 compliance with the program review provisions of AS 37.07.080(h).
18  * Sec. 9. INSURANCE CLAIMS. The amounts to be received in settlement of insurance
19 claims for losses and the amounts to be received as recovery for losses are appropriated from
20 the general fund to the
21(1) state insurance catastrophe reserve account (AS 37.05.289(a)); or
22(2) appropriate state agency to mitigate the loss.
23  * Sec. 10. DEPARTMENT OF COMMERCE, COMMUNITY, AND ECONOMIC
24 DEVELOPMENT.  (a) The amount received for Community Development Block Grant
25 Disaster Recovery programs is appropriated to the Department of Commerce, Community,
26 and Economic Development for Disaster Recovery Programs.
27(b) Tax credits available from the federal government for certain renewable energy
28 projects funded by the Alaska Energy Authority, estimated to be $0, are appropriated to the
29 Alaska Energy Authority for continued funding of renewable energy projects or matching
30 funds for federal grants.
31  * Sec. 11. DEPARTMENT OF FISH AND GAME. (a) The proceeds received by the
HB0264a  -15-  HB 264
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                                                                                    34-GH2501\A
1  Department of Fish and Game during the fiscal year ending June 30, 2027, from the sale of
2  state-owned vessels and aircraft purchased without using federal funds, estimated to be
3  $150,000, are appropriated to the Department of Fish and Game for renewal, replacement, and
4  maintenance of vessels and aircraft.
5(b) The proceeds received by the Department of Fish and Game during the fiscal year
6  ending June 30, 2027, from the sale of state-owned equipment purchased by the Department
7  of Fish and Game for federal projects using federal funds, estimated to be $200,000, are
8  appropriated to the Department of Fish and Game for renewal, replacement, and maintenance
9  of equipment to facilitate the same federal projects.
10  * Sec. 12. DEPARTMENT OF PUBLIC SAFETY. (a) The proceeds received by the
11 Department of Public Safety during the fiscal year ending June 30, 2027, from the sale of
12 state-owned vessels and surplus vessel parts and accessories, estimated to be $150,000, are
13 appropriated to the Department of Public Safety for renewal, replacement, and maintenance of
14 vessels.
15(b) The proceeds received by the Department of Public Safety during the fiscal year
16 ending June 30, 2027, from the sale of state-owned aircraft and surplus aircraft parts and
17 accessories, estimated to be $150,000, are appropriated to the Department of Public Safety for
18 renewal, replacement, and maintenance of aircraft.
19  * Sec. 13. DEPARTMENT OF TRANSPORTATION AND PUBLIC FACILITIES. The
20 amount appropriated to the Alaska capital income fund (AS 37.05.565) for the fiscal year
21 ending June 30, 2027, estimated to be $26,312,800, is appropriated from the Alaska capital
22 income fund to the Department of Transportation and Public Facilities for statewide critical
23 deferred maintenance, renovation, and repair.
24  * Sec. 14. LAPSE (a) The appropriations made in secs. 1, 4, 7, 8, 9(2), and 10 - 13 of this
25 Act are for capital projects and lapse under AS 37.25.020.
26(b) The appropriation made in sec. 9(1) of this Act is for the capitalization of a fund
27 and does not lapse.
28  * Sec. 15. Sections 4 - 7 of this Act take effect June 30, 2026.
29  * Sec. 16. Except as provided in sec. 15 of this Act, this Act takes effect July 1, 2026.
HB 264  -16-  HB0264a
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