"An Act authorizing municipalities to provide for economic development and authorizing municipalities to expend revenue collected on an areawide or nonareawide basis to provide for economic development."
"This legislation is proposed at the request of the Fairbanks North Star Borough as well as the Cities of Fairbanks and North Pole."
- Sen. Seekins
Current state law places a limitation on second-class boroughs with respect to expending funds designated for economic development purposes.
Presently, second-class boroughs may only use these funds on a non-areawide basis. This means that the Fairbanks North Star Borough can only deploy these funds on projects located outside the city limits of Fairbanks and North Pole.
It is desirable for the Borough to have the ability to utilize economic development funds on an areawide basis. In this way, worthy projects can be funded irrespective of their location--within, or without, municipal boundaries--so long as the project remains within the greater Borough boundary. Such projects will benefit the entire Borough community while physical location, whether within city boundaries or not, is considered immaterial to this greater good.
This legislation is proposed at the request of the Fairbanks North Star Borough as well as the Cities of Fairbanks and North Pole. In summary, it will facilitate the development of economically attractive projects throughout the entire Fairbanks North Star Borough without regard to internal municipal boundaries. Senate Bill 183's companion is HB 126.