Title:

SENATE BILL NO. 197

NEW STATUTES RELATING TO ESTATE PLANNING 2006 LEGISLATIVE SESSION ALASKA HOUSE BILL 197

Enrolled HB 197 Relating to the issuance of shares of professional corporations to a trust, to trusts, to trustees, to the removal of a trustee, to the compensation of a trustee and a person employed by a trustee, to a trustee's accepting or rejecting a trusteeship, to co-trustees, to a vacancy in a trusteeship, to the resignation of a trustee, to delivery of trust property by former trustees, to the reimbursement of trustee expenses, to the certification of a trust, to the suitability of a trustee, to the place of administration of a trust, to a trustee's power to appoint property to another trust, to a change of the percentage of trust property to be considered principal, to the determination of the value of a trust, and to a settlor's intent when transferring property in trust; amending Rules 54 and 82, Alaska Rules of Civil Procedure; and providing for an effective date. 11 _______________ 12

* Section 1. AS 10.45.050 is amended to read: Sec. 10.45.050. Issuance of shares. A professional corporation may issue shares of its capital stock to persons licensed by a regulatory board of the state to render the professional service specified in the articles of incorporation, or to a revocable or joint revocable trust if a settlor of the trust is a person licensed by a regulatory board of the state to render the professional service specified in the articles of incorporation. It may not issue shares to any other person or trust.

* Sec. 2. AS 13.36.020 is amended to read: Sec. 13.36.020. Effect of failure to register. A trustee who fails to register a trust in a proper place as required by AS 13.36.005 - 13.36.025, for purposes of any proceedings initiated by a beneficiary of the trust before registration, is subject to the personal jurisdiction of any court in which the trust could have been registered. In addition, any trustee who, within 30 days after receipt of a written demand by a settlor or beneficiary of the trust, fails to register a trust as required by AS 13.36.005 - 14 13.36.025 is subject to removal under AS 13.36.076 and denial of compensation or to surcharge as the court may direct. A provision in the terms of the trust purporting to excuse the trustee from the duty to register, or directing that the trust or trustee is not subject to the jurisdiction of the court, is ineffective.

* Sec. 3. AS 13.36.035(a) is amended to read:

(a) The court has exclusive jurisdiction of proceedings initiated by interested parties concerning the internal affairs of trusts, including trusts covered by (c) of this section. Except as provided in (c) and (d) of this section, proceedings that may be maintained under this section are those concerning the administration and distribution of trusts, the declaration of rights, and the determination of other matters involving trustees and beneficiaries of trusts. These include proceedings to (1) appoint or remove a trustee under AS 13.36.076; (2) review trustees' fees and to review and settle interim or final accounts; (3) ascertain beneficiaries, determine any question arising in the administration or distribution of any trust including questions of construction of trust instruments, instruct trustees, and determine the existence or nonexistence of any immunity, power, privilege, duty, or right; and (4) release registration of a trust.

* Sec. 4. AS 13.36.035(d) is amended to read: (d) The validity, construction, and administration of a trust with a state jurisdiction provision are determined by the laws of this state, including the (1) capacity of the settlor; (2) powers, obligations, liabilities, and rights of the trustees and the appointment and removal of the trustees under AS 13.36.076; and (3) existence and extent of powers, conferred or retained, including a trustee's discretionary powers, the powers retained by a beneficiary of the trust, and the validity of the exercise of a power.

* Sec. 5. AS 13.36.055 is amended by adding a new subsection to read: (b) If the terms of a trust do not specify the compensation or method for determining the compensation of the trustee, the trustee is entitled to compensation that is reasonable under the circumstances. If the terms of a trust do not specify the compensation or method for determining the compensation of a person employed by the trustee, the person employed by the trustee is entitled to compensation that is reasonable under the circumstances. If the terms of a trust specify the compensation or method for determining the compensation of a trustee and if the trustee is compensated according to these terms, the compensation paid to the trustee is presumed to be reasonable. If the terms of a trust specify the compensation or method for determining the compensation of a person employed by the trustee and if the person employed by the trustee is compensated according to these terms, the compensation paid to the person employed by the trustee is presumed to be reasonable. If a trust specifies the compensation or method for determining the compensation paid to the trustee or person employed by the trustee and if the trustee or person employed by the trustee is compensated accordingly, an interested person who seeks review of the compensation has the burden of proving by a preponderance of the evidence that the compensation paid to the trustee or the person employed by the trustee is not reasonable.

* Sec. 6. AS 13.36 is amended by adding new sections to read: Sec. 13.36.071. Accepting or rejecting trusteeship. (a) Except as otherwise provided in (c) or (d) of this section, a person designated as a trustee accepts the trusteeship (1) by substantially complying with a method of acceptance provided by the terms of the trust; or (2) if the terms of the trust do not provide a method, or the method provided in the terms of the trust is not expressly made exclusive, and except as otherwise provided by the trust instrument, by accepting delivery of the trust property, exercising powers as a trustee, performing duties as a trustee, or otherwise indicating acceptance of the trusteeship. (b) A person designated as a trustee who has not yet accepted the trusteeship may reject the trusteeship. A person designated as a trustee who does not accept the trusteeship within a reasonable time after knowing of the designation is considered to have rejected the trusteeship. (c) A person designated as a trustee, without accepting the trusteeship, may act to preserve the trust property if, within a reasonable time after acting, the person sends a rejection of the trusteeship to the settlor or, if the settlor is dead or lacks capacity, to a qualified beneficiary. (d) A person designated as a trustee, without accepting the trusteeship, may inspect or investigate trust property to determine potential liability under environmental or other law or for another purpose. Sec. 13.36.072. Co-trustees. (a) Except as otherwise provided in the trust instrument, (1) co-trustees who are unable to reach a unanimous decision may decide to act by majority decision; (2) if a vacancy occurs in a co-trusteeship, the remaining co-trustee or co-trustees may continue to act for the trust with full authority; (3) a co-trustee shall participate in the performance of the co-trustee's function unless (A) the co-trustee is unavailable to perform the function because of absence, illness, disqualification under other law, or temporary incapacity; or (B) the co-trustee has properly delegated the performance of the function to another co-trustee; (4) if a co-trustee is unavailable to perform duties because of absence, illness, disqualification under other law, or temporary incapacity, and prompt action is necessary to achieve the purposes of the trust or to avoid injury to the trust property, the remaining co-trustee or a majority of the remaining co-trustees may act with full authority for the trust. (b) Except as prohibited by the terms of the trust, a co-trustee may, by a signed, written instrument, delegate to a co-trustee the performance of a function. Unless a delegation is irrevocable, a co-trustee may revoke a delegation. Sec. 13.36.073. Vacancy in trusteeship; appointment of successor. (a) Except as otherwise provided in the trust instrument, a vacancy in a trusteeship occurs if (1) a person designated as a trustee rejects the trusteeship or is considered to have rejected the trusteeship under AS 13.36.071; (2) a person designated as a trustee cannot be identified or does not exist; (3) a trustee resigns; (4) a trustee is disqualified or removed under AS 13.36.076; 19 (5) a trustee dies; (6) a guardian or conservator is appointed for an individual serving as a trustee. (b) Except as otherwise provided in the trust instrument, if one or more co- trustees remain in office, it is not necessary to fill a vacancy in a trusteeship, but a vacancy in a trusteeship shall be filled if the trust does not have a remaining trustee. (c) A vacancy in a trusteeship of a noncharitable trust that is required to be filled shall be filled in the following order of priority: (1) under the terms of the trust; (2) by a person, other than a beneficiary, appointed by unanimous agreement of the qualified beneficiaries; or (3) by a person appointed by the court. (d) A vacancy in a trusteeship of an exclusively charitable trust that is required 01 to be filled shall be filled in the following order of priority: (1) under the terms of the trust; (2) by a person selected by the unanimous consent of the charitable 04 organizations expressly designated to receive distributions under the terms of the trust; or (3) by a person appointed by the court. (e) Except as otherwise provided in the trust instrument, a qualified 08 beneficiary who may be represented and bound by another person under AS 13.06.120 09 may have the qualified beneficiary's consent to the appointment of a trustee as specified in this section given by the person who may represent the qualified 11 beneficiary under AS 13.06.120. 12 Sec. 13.36.074. Resignation of trustee. (a) Except as otherwise provided in the trust instrument, a trustee may resign (1) not less than 30 days after providing written notice of the intent to resign to the qualified beneficiaries and all co-trustees; or (2) with the approval of the court. (b) In approving the resignation of a trustee, the court may issue orders and impose conditions on the resigning trustee that are reasonably necessary for the protection of the trust property. (c) Except as otherwise provided in the trust instrument, a liability of a resigning trustee for acts or omissions of the trustee is not discharged or affected by the trustee's resignation.

* Sec. 7. AS 13.36 is amended by adding new sections to read: Sec. 13.36.076. Removal of trustee. (a) A trustee may be removed from office (1) by the decision of a trust protector under AS 13.36.370(b)(1); (2) by the decision of another person specified in the trust instrument; (3) under a procedure specified in the trust instrument; (4) by a court on petition by the settlor, a co-trustee, a qualified beneficiary, or the court on its own initiative, if (A) the court finds there is a basis for removal under (b) of this section, there is not a trust protector or another specified person who is currently acting and who may be contacted by the settlor, trustee, or qualified beneficiary in person, by mail, electronically, or by another means, and there is not a procedure for removal specified in the trust instrument; or (B) notwithstanding the appointment of a trust protector under AS 13.36.370 or the existence of a procedure for trustee removal specified in the trust instrument, there has been a serious breach of trust as specified under (b)(1) of this section. (b) A trustee may be removed from office under (a)(4) of this section if the court finds that removal would be in the best interests of all the beneficiaries and, (1) for (a)(4)(A) or (B) of this section, the trustee has committed a serious breach of trust under the terms of the trust and AS 13.36.070 - 13.36.290; or (2) for (a)(4)(A) of this section, (A) lack of cooperation among co-trustees substantially impairs the administration of the trust; (B) a trustee is unfit, is unwilling, or persistently fails to administer the trust effectively; or (C) there has been a substantial change of circumstances not anticipated by the settlor, removal is requested by all of the qualified beneficiaries, the court finds that removal of the trustee best serves the interests of all of the beneficiaries and is not inconsistent with a material purpose of the trust, and a suitable co-trustee or successor trustee is available. (c) When appointing a successor trustee, the court shall first consider the successor trustees named in the trust or, if the trust is a testamentary trust, in the testator's will, or, if a successor is not named, another procedure contained in the instrument for the appointment of a successor. When selecting a successor trustee, the court shall also consider the tax, creditor liability, and similar consequences of selecting a certain individual or institution. (d) Pending a final decision on a petition to remove a trustee, or instead of or in addition to removing a trustee, the court may order relief that is appropriate and necessary to protect the trust property or the interest of the beneficiaries. (e) A qualified beneficiary who may be represented and bound by another person under AS 13.06.120 may have the qualified beneficiary's consent to the removal of a trustee as specified in this section given by the person who may represent the qualified beneficiary under AS 13.06.120. Sec. 13.36.077. Delivery of property by former trustee. Except as otherwise provided in the trust instrument, (1) unless a co-trustee remains or the court otherwise orders, and until the trust property is delivered to a successor trustee or another person entitled to the trust property, a trustee who has resigned or been removed has the duties of a trustee and the powers necessary to protect the trust property; (2) a trustee who has resigned or been removed shall proceed expeditiously to deliver the trust property in the trustee's possession to a co-trustee, a successor trustee, or another person entitled to the trust property. Sec. 13.36.078. Reimbursement of expenses. Except as otherwise provided in the trust instrument, (1) a trustee is entitled to be reimbursed out of the trust property, with interest as appropriate, for (A) expenses that were properly incurred in the administration of the trust; and (B) expenses that were not properly incurred in the administration of the trust to the extent necessary to prevent unjust enrichment of the trust; (2) if the trustee advances money for the protection of the trust, the trustee has a lien against trust property to secure reimbursement of the money and payment of reasonable interest on the money. Sec. 13.36.079. Certification of trust; penalty. (a) Except as otherwise provided in the trust instrument, instead of furnishing a copy of the trust instrument to a person other than a beneficiary, the trustee may furnish to the person a certification of trust containing the following information: (1) that the trust exists and the date the trust instrument was executed; (2) the identity of the settlor; (3) the identity and address of the currently acting trustee; (4) the powers of the trustee; (5) the revocability or irrevocability of the trust and the identity of any person holding a power to revoke the trust; (6) the authority of co-trustees to sign or otherwise authenticate documents related to the trust and whether all or fewer than all co-trustees are required to exercise the trustee powers; (7) the trust's taxpayer identification number, if the trust has a taxpayer identification number; and (8) the manner of taking title to the property of the trust. (b) A certification of trust may be signed or otherwise authenticated by any trustee. (c) A certification of trust must state that the trust has not been revoked, modified, or amended in a manner that would cause the representations contained in the certification of trust to be incorrect. (d) A certification of trust is not required to contain the dispositive terms of a trust. (e) A recipient of a certification of trust may require the trustee to furnish copies of the excerpts from the original trust instrument, including amendments to the trust that designate the trustee and confer on the trustee the power to act in the pending transaction for which the certification of trust is being furnished. (f) A person who acts in reasonable reliance on a certification of trust without knowledge that the representations contained in the certification of trust are incorrect is not liable to another person for acting in reasonable reliance on the certification of trust and may assume without inquiry the existence of the facts contained in the certification. Knowledge of the terms of the trust may not be inferred solely because the person relying on the certification is holding a copy of part of the trust instrument. (g) A person who in good faith enters into a transaction in reasonable reliance on a certification of trust may enforce the transaction against the trust property as if the representations contained in the certification were correct. (h) A person making a demand for the trust instrument in addition to a certification of trust or excerpts from the trust instrument is liable to the state for a civil penalty not to exceed $1,000, plus the actual damages associated with the demand for the trust instrument, if a court determines that the person did not act in good faith in demanding the trust instrument. (i) A person who is found liable for a civil penalty under (h) of this section shall also be liable for actual court costs and attorney fees associated with a demand made under (h) of this section. (j) This section does not limit the right of a person to obtain a copy of the trust instrument in a judicial proceeding concerning the trust.

* Sec. 8. AS 13.36.090 is amended to read: Sec. 13.36.090. Trustee's duties; appropriate place of administration; deviation. A trustee is under a continuing duty to administer the trust at a place appropriate to the purposes of the trust and to its sound, efficient management. If the principal place of administration becomes inappropriate for any reason, the court may enter any order furthering efficient administration and the interests of beneficiaries, including, if appropriate, release of registration, removal of the trustee under AS 13.36.076, and appointment of a trustee in another state. Trust provisions relating to the place of administration and to changes in the place of administration or of trustee control unless compliance would be contrary to efficient administration or the purposes of the trust. [VIEWS OF ADULT BENEFICIARIES SHALL BE GIVEN WEIGHT IN DETERMINING THE SUITABILITY OF THE TRUSTEE AND THE PLACE OF ADMINISTRATION.]

* Sec. 9. AS 13.36.157(b) is amended to read: (b) This section applies to a trust governed by the laws of this state, including a trust (1) whose governing jurisdiction is transferred to this state; or (2) that has a trustee who is a qualified person, if the majority of the trustees sign an instrument that (A) provides that the primary administration of the trust 29 will be located in this state; and (B) is acknowledged under AS 09.63 or the equivalent provision of the laws of another jurisdiction. \

* Sec. 10. AS 13.36.198 is amended to read: Sec. 13.36.198. Liability for violations. If a trustee violates a provision of AS 13.36.105 - 13.36.220, the trustee may be removed as trustee under AS 13.36.076 and denied compensation in whole or in part, and a beneficiary, co-trustee, or successor trustee may treat the violation as a breach of trust.

* Sec. 11. AS 13.36.390 is amended by adding a new paragraph to read: (5) "qualified beneficiary" means a beneficiary who (A) on the date the beneficiary's qualification is determined, is entitled or eligible to receive a distribution of trust income or principal; or (B) would be entitled to receive a distribution of trust income or principal if the event causing the trust's termination occurs.

* Sec. 12. AS 13.38.460(a) is amended to read: (a) After a trustee has elected under AS 13.38.440 for the trust to be governed by AS 13.38.440 - 13.38.490, the trustee shall, in a writing maintained as part of the permanent records of the trust, select the percentage of the value of the trust that will be considered income and determine that it is consistent with the long-term preservation of the real value of the principal of the trust, but the percentage may not be less than two percent or more than seven percent each year of the principal value of the trust. The trustee may elect to change a percentage whenever [PREVIOUSLY SELECTED IF] the trustee determines that the new percentage is necessary and prudent [CONSISTENT WITH THE LONG-TERM PRESERVATION OF THE REAL VALUE OF THE PRINCIPAL OF THE TRUST, BUT MAY NOT CHANGE THE PERCENTAGE MORE FREQUENTLY THAN ONCE EVERY 10 YEARS].

* Sec. 13. AS 13.38.480 is amended to read: Sec. 13.38.480. Value determination. For the purposes of applying AS 13.38.440 - 13.38.490, the value of the trust is the fair market value of the cash and other assets held by the trustee with respect to the trust, whether these assets would be considered income or principal under the other provisions of this chapter, determined at least annually. In the discretion of the trustee, the value of the trust may be averaged over a period of three or more preceding years, except that, if [WHEN] the trust has been in existence less than [ADMINISTERED AS A UNITRUST UNDER THIS SECTION FOR AT LEAST] three years and the trustee decides to average the value, the average shall be determined over the period during which the trust has been in existence.

* Sec. 14. AS 34.40.110(b) is amended to read: (b) If a trust contains a transfer restriction allowed under (a) of this section, the transfer restriction prevents a creditor existing when the trust is created or a person who subsequently becomes a creditor from satisfying a claim out of the beneficiary's interest in the trust, unless the creditor is a creditor of the settlor and (1) the settlor's transfer of property in trust was made with the intent to defraud that creditor, and a cause of action or claim for relief with respect to the fraudulent transfer complies with the requirements of (d) of this section; however, a settlor's expressed intention to protect trust assets from a beneficiary's potential future creditors is not evidence of an intent to defraud; (2) the trust, except for an eligible individual retirement account trust, provides that the settlor may revoke or terminate all or part of the trust without the consent of a person who has a substantial beneficial interest in the trust and the interest would be adversely affected by the exercise of the power held by the settlor to revoke or terminate all or part of the trust; in this paragraph, "revoke or terminate" does not 19 include a power to veto a distribution from the trust, a testamentary nongeneral power of appointment or similar power, or the right to receive a distribution of income, principal, or both in the discretion of a person, including a trustee, other than the settlor, or a right to receive a distribution of income or principal under (3)(A), (B), (C), or (D) of this subsection; (3) the trust, except for an eligible individual retirement account trust, requires that all or a part of the trust's income or principal, or both, must be distributed to the settlor; however, this paragraph does not apply to a settlor's right to receive the following types of distributions, which remain subject to the restriction provided by (a) of this section until the distributions occur: (A) income or principal from a charitable remainder annuity trust or charitable remainder unitrust; in this subparagraph, "charitable remainder annuity trust" and "charitable remainder unitrust" have the meanings given in 26 U.S.C. 664 (Internal Revenue Code) as that section reads on October 8, 2003, and as it may be amended; (B) a percentage of the value of the trust each year as determined from time to time under the trust instrument, but not exceeding the amount that may be defined as income under AS 13.38 or under 26 U.S.C. 06 643(b)(Internal Revenue Code) as that subsection reads on October 8, 2003, and as it may be amended; 08 (C) the transferor's potential or actual use of real property held 09 under a qualified personal residence trust within the meaning of 26 U.S.C. 10 2702(c)(Internal Revenue Code) as that subsection reads on September 15, 11 2004, or as it may be amended in the future; or (D) income or principal from a grantor retained annuity trust or grantor retained unitrust that is allowed under U.S.C. 2702 (Internal Revenue Code) as that section reads on September 15, 2004, or as it may be 15 amended in the future; or (4) at the time of the transfer, the settlor is in default by or more days of making a payment due under a child support judgment or order.

* Sec. 15. AS 13.36.360(d) is repealed.

* Sec. 16. The uncodified law of the State of Alaska is amended by adding a new section to read: INDIRECT COURT RULE CHANGE. The provisions of AS 13.36.079(i), enacted by sec. of this Act, have the effect of amending (1) Rule 54, Alaska Rules of Civil Procedure, by changing the award of court costs in certain cases; and (2) Rule 82, Alaska Rules of Civil Procedure, by changing the award of attorney fees in certain cases.

* Sec. 17. The uncodified law of the State of Alaska is amended by adding a new section to read: APPLICABILITY. Sections 2 - 8, 10, 11, and 15 of this Act apply to trusts in existence on and after the effective date of this Act.

* Sec. 18. The uncodified law of the State of Alaska is amended by adding a new section to read: CONDITIONAL EFFECT. AS 13.36.079(i), enacted by sec. of this Act, takes effect only if sec. of this Act receives the two-thirds majority vote of each house required by art. 0IV, sec. , Constitution of the State of Alaska.

* Sec. 19. This Act takes effect immediately under AS 01.10.070(c).

 

 

ALASKA HOUSE BILL 19600 SENATE CS FOR CS FOR HOUSE BILL NO. 196

(JUD) am "An Act relating to the handling of matters after a person's death, to the Uniform 02 Anatomical Gift Act, to anatomical gifts, to the anatomical gift awareness fund, to a registry of anatomical gifts, and to organizations that handle the procurement, 04 distribution, or storage of all or a part of an individual's body." BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF ALASKA:

* Section 1. AS 13.16.680(a) is amended to read: (a) Thirty days after the death of a decedent, any person indebted to the decedent or having possession of tangible personal property or an instrument evidencing a debt, obligation, stock, or chose in action belonging to the decedent shall make payment of the indebtedness or deliver the tangible personal property or an instrument evidencing a debt, obligation, stock, or chose in action to a person claiming to be the successor of the decedent upon being presented an affidavit made by or on behalf of the successor stating that (1) the [VALUE OF THE] entire estate, wherever located, less liens and encumbrances, consists only of not more than (A) vehicles subject to registration under AS 28.10.011 with a total value that does not exceed $100,000; and (B) personal property, other than vehicles described in (A) of this paragraph, that does not exceed $50,000 [$15,000]; (2) 30 days have elapsed since the death of the decedent; (3) no application or petition for the appointment of a personal representative is pending or has been granted in any jurisdiction; and (4) the claiming successor is entitled to payment or delivery of the property.

* Sec. 2. AS 13.16.700 is amended to read: Sec. 13.16.700. Settlement directed by court. When a judge receives information that a person has died in the judge's judicial district leaving an estate with property limited to the property described under AS 13.16.680(a)(1) [OF $15,000] or less and no qualified person has appeared to take charge of the assets, the judge may immediately appoint a person, corporation, or attorney to settle the estate in the manner provided for in AS 13.16.680 - 13.16.695.

* Sec. 3. AS 13.33.101 is amended by adding new subsections to read: (d) The money or other benefits paid under a provision for a nonprobate transfer on death in a life insurance contract or a retirement plan are not subject to (1) the debts of the individual who was insured under the life insurance contract or who was a participant in the retirement plan; or (2) the claims of the creditors of the individual who was insured under the life insurance contract or who was a participant in the retirement plan. (e) The provisions of (d) of this section apply even if (1) the provision for a nonprobate transfer on death is contained in the life insurance contract or the retirement plan and designates the person to whom the money or other benefits are to be paid if the person who is the owner or insured under the life insurance policy or the participant in the retirement plan does not select a beneficiary; (2) the life insurance contract, retirement plan, or a provision for a nonprobate transfer on death in the life insurance contract or retirement plan, makes the money or other benefits payable, directly or indirectly, to (A) a decedent's estate or the personal representative of a decedent's estate, except that if the decedent owes money for child support arrearages, for spousal support arrearages, or under AS 47.07.055, the provisions of (d) of this section do not apply; in this subparagraph, "personal representative" has the meaning given in AS 13.06.050; (B) a trustee of a trust established under a will, except that if the decedent owes money for child support arrearages, for spousal support arrearages, or under AS 47.07.055, the provisions of (d) of this section do not apply; or (C) a trustee of a trust instrument that is separate from the life insurance contract or retirement plan and that designates the ultimate beneficiary; (3) a trust to which the money or other benefits are payable may be amended, revoked, or both amended and revoked, or is funded or unfunded; or (4) the settlor of the trust to which the money or other benefits are payable has reserved all rights of ownership in the life insurance contract or under the retirement plan. (f) The provisions of (d) of this section do not limit the rights of the owner of a life insurance contract to pledge or assign by contract the money or other benefits from a life insurance contract as collateral for the debts of the owner. (g) In (d) of this section, (1) "life insurance contract" means a life insurance policy, an annuity contract, an endowment contract, and a contract entered into by an insurance company in connection with, supplemental to, or in settlement of a life insurance policy, an annuity contract, or an endowment contract; (2) "retirement plan" means (A) a retirement plan that is qualified under 26 U.S.C. 401(a), 30 26 U.S.C. 403(a), 26 U.S.C. 403(b), 26 U.S.C. 408, 26 U.S.C. 408A, or 26 31 U.S.C. 409 (Internal Revenue Code); and (B) the amounts held in the teachers' retirement system under AS 14.25, judicial retirement system under AS 22.25, public employees' retirement system under AS 39.35, or elected public officers' retirement system under former AS 39.37.

* Sec. 4. AS 13.50.140 is amended to read: Sec. 13.50.140. Notification of cancellation. (a) A donor whose motor vehicle or identification document information is on a registry shall notify a procurement organization or the department of the destruction or mutilation of the motor vehicle or identification document or revocation of the gift under AS 13.52.183 [AS 13.52.170] in order to remove the donor's name from a registry. If the procurement organization that is notified does not maintain a registry, the organization shall notify all procurement organizations that do maintain a registry. (b) The failure of a donor to make the notification under (a) of this section does not affect the revocation of a gift under AS 13.52.183 [AS 13.52.170].

* Sec. 5. AS 13.50.150(a) is amended to read: (a) An applicant for a motor vehicle or identification document may donate $1 or more to the fund to promote in the state the donation of body parts under AS 13.52 (Health Care Decisions Act). The donation is voluntary and may be declined by the applicant. The department shall make available to all applicants information on the importance of making gifts.

* Sec. 6. AS 13.50.160(b) is amended to read: (b) The purposes of the fund are to promote gifts in the state under AS 13.52 and to administer the donation program established under AS 13.50.150.

* Sec. 7. AS 13.50.160 is amended by adding a new subsection to read: (e) Money appropriated to the fund may be spent for the purposes of the fund without further appropriation. Money appropriated to the fund does not lapse.

* Sec. 8. AS 13.50.190(3) is amended to read: (3) "donor" has the meaning given in AS 13.52.268 [AS 13.52.390];

* Sec. 9. AS 13.50.190(8) is amended to read: (8) "procurement organization" has the meaning given in AS 13.52.390 [AS 13.52.200(i)];

* Sec. 10. AS 13.52.010(a) is amended to read: (a) Except as provided in AS 13.52.173 [AS 13.52.170(a)], an adult may give an individual instruction. Except as provided in AS 13.52.177 [AS 13.52.170(b)], the instruction may be oral or written. The instruction may be limited to take effect only if a specified condition arises.

* Sec. 11. AS 13.52.010(k) is amended to read: (k) Except as provided in AS 13.52.247(a), an [AN] advance health care directive, including an advance health care directive that is made in compliance with the laws of another state, is valid for purposes of this chapter if it complies with this chapter, regardless of where or when it was executed or communicated.

* Sec. 12. AS 13.52.020(b) is amended to read: (b) Except in the case of mental illness under (c) of this section and except as provided by AS 13.52.183, a principal may revoke all or part of an advance health care directive, other than the designation of an agent, at any time and in any manner that communicates an intent to revoke.

* Sec. 13. AS 13.52.030(a) is amended to read: (a) Except in the case of mental health treatment and except as provided by AS 13.52.173 and 13.52.193 [AS 13.52.180(a) AND (b)], a surrogate may make a health care decision for a patient who is an adult if an agent or guardian has not been appointed or the agent or guardian is not reasonably available, and if the patient has been determined by the primary physician to lack capacity.

* Sec. 14. AS 13.52.030(c) is amended to read: (c) Except as provided for anatomical gifts in AS 13.52.173 [AS 13.52.170(b)], an adult may designate an individual to act as surrogate for that adult by personally informing the supervising health care provider. Except as provided by AS 13.52.173 or 13.52.193 [AS 13.52.180(a) AND (b)], in the absence of a designation, or if the designee is not reasonably available, a member of the following classes of the patient's family who is reasonably available, in descending order of priority, may act as surrogate: (1) the spouse, unless legally separated; (2) an adult child; (3) a parent; or (4) an adult sibling.

* Sec. 15. AS 13.52.030(d) is amended to read: (d) Except as provided by (l) of this section or AS 13.52.173 or 13.52.193 [AS 13.52.180(a) OR (b)], if none of the individuals eligible to act as surrogate under (c) of this section is reasonably available, an adult who has exhibited special care and concern for the patient, who is familiar with the patient's personal values, and who is reasonably available may act as surrogate.

* Sec. 16. AS 13.52.040(a) is amended to read: (a) Subject to AS 13.52.183, 13.52.193, and 13.52.203, a [A] guardian shall comply with the ward's individual instructions and may not revoke a ward's advance health care directive executed before the ward's incapacity unless a court expressly authorizes the revocation.

* Sec. 17. AS 13.52.060(d) is amended to read: (d) Except as provided in (e), (f), and (i) of this section and by AS 13.52.253, a health care provider, health care institution, or health care facility providing care to a patient shall comply with (1) an individual instruction of the patient and with a reasonable interpretation of that instruction made by a person then authorized to make health care decisions for the patient; and (2) a health care decision for the patient made by a person then authorized to make health care decisions for the patient to the same extent as if the decision had been made by the patient while having capacity.

* Sec. 18. AS 13.52 is amended by adding new sections to read: Sec. 13.52.173. Who may make anatomical gift before donor's death. Subject to AS 13.52.193, an anatomical gift of a donor's body or part may be made during the life of the donor for the purpose of transplantation, therapy, research, or education in the manner provided in AS 13.52.177 by (1) the donor, if the donor is an adult or if the donor is a minor and is (A) emancipated; or (B) authorized under state law to apply for a driver's license because the donor is at least 16 years of age; (2) an agent of the donor, unless a durable power of attorney for health care or another record prohibits the agent from making an anatomical gift; (3) a parent of the donor, if the donor is an unemancipated minor; (4) the donor's guardian; or (5) a surrogate. Sec. 13.52.177. Manner of making anatomical gift before donor's death. (a) A donor may make an anatomical gift (1) by authorizing a statement or symbol indicating that the donor has made an anatomical gift to be imprinted on the donor's driver's license or identification card; (2) in a will; (3) during a terminal condition of the donor, by any form of communication addressed to at least two adults, at least one of whom is a disinterested witness; or (4) as provided in (b) of this section. (b) A donor or other person authorized to make an anatomical gift under AS 13.52.173 may make a gift by a donor card or another record signed by the donor or another person making the gift or by authorizing that a statement or symbol indicating that the donor has made an anatomical gift be included on a donor registry. If the donor or another person is physically unable to sign a record, the record may be signed by another individual at the direction of the donor or the other person and must (1) be witnessed by at least two adults, at least one of whom is a disinterested witness, who have signed at the request of the donor or the other person; and (2) state that the record has been signed and witnessed as provided in (1) of this subsection. (c) Revocation, suspension, expiration, or cancellation of a driver's license or an identification card on which an anatomical gift is indicated does not invalidate the gift. (d) An anatomical gift made by will takes effect upon the donor's death whether or not the will is probated. Invalidation of the will after the donor's death does not invalidate the gift.

* Sec. 19. AS 13.52 is amended by adding new sections to read: Sec. 13.52.183. Amending or revoking anatomical gift before donor's death. (a) Except in the case of mental illness under AS 13.52.020(c), and subject to AS 13.52.193, a donor or another person authorized to make an anatomical gift under AS 13.52.173 may amend or revoke an anatomical gift by (1) a record signed by (A) the donor; (B) the other person; or (C) subject to (b) of this section, another individual acting at the direction of the donor or the other person if the donor or other person is physically unable to sign; or (2) a later-executed document of gift that amends or revokes a previous anatomical gift or portion of an anatomical gift, either expressly or by inconsistency. (b) A record signed under (a)(1)(C) of this section must (1) be witnessed by at least two adults, at least one of whom is a disinterested witness, who have signed at the request of the donor or the other person; and (2) state that it has been signed and witnessed as provided in (1) of this subsection. (c) Subject to AS 13.52.193, a donor or another person authorized to make an anatomical gift under AS 13.52.173 may revoke an anatomical gift by the destruction or cancellation of the document of gift, or the portion of the document of gift used to make the gift, with the intent to revoke the gift. (d) A donor may amend or revoke an anatomical gift that was not made in a will by any form of communication during a terminal condition addressed to at least two adults, at least one of whom is a disinterested witness. (e) A donor who makes an anatomical gift in a will may amend or revoke the gift in the manner provided for amendment or revocation of wills or as provided in (a) of this section. Sec. 13.52.187. Refusal to make anatomical gift; effect of refusal. (a) An individual may refuse to make an anatomical gift of the individual's body or part by (1) a record signed by (A) the individual; or (B) subject to (b) of this section, another individual acting at the direction of the individual if the individual is physically unable to sign; (2) the individual's will, whether or not the will is admitted to probate or invalidated after the individual's death; or (3) any form of communication made by the individual during the individual's terminal condition addressed to at least two adults, at least one of whom is a disinterested witness. (b) A record signed under (a)(1)(B) of this section must (1) be witnessed by at least two adults, at least one of whom is a disinterested witness, who have signed at the request of the individual; and (2) state that it has been signed and witnessed as provided in (1) of this subsection. (c) An individual who has made a refusal may amend or revoke the refusal (1) in the manner provided in (a) of this section for making a refusal; (2) by subsequently making an anatomical gift under AS 13.52.177 that is inconsistent with the refusal; or (3) by destroying or canceling the record evidencing the refusal, or the portion of the record used to make the refusal, with the intent to revoke the refusal. (d) Except as otherwise provided in AS 13.52.193(h), in the absence of an express, contrary indication by the individual set out in the refusal, an individual's unrevoked refusal to make an anatomical gift of the individual's body or part bars all other persons from making an anatomical gift of the individual's body or part.

* Sec. 20. AS 13.52 is amended by adding new sections to read: Sec. 13.52.193. Preclusive effect of anatomical gift, amendment, or revocation. (a) Except as otherwise provided in (g) of this section and subject to (f) of this section, in the absence of an express, contrary indication by the donor, a person other than the donor is barred from making, amending, or revoking an anatomical gift of a donor's body or part if the donor made an anatomical gift of the donor's body or part under AS 13.52.177 or an amendment to an anatomical gift of the donor's body or part under AS 13.52.183. (b) A donor's revocation of an anatomical gift of the donor's body or part under AS 13.52.183 is not a refusal and does not bar another person specified in AS 13.52.173 or 13.52.197 from making an anatomical gift of the donor's body or part under AS 13.52.177 or 13.52.203. (c) If a person other than the donor makes an unrevoked anatomical gift of the donor's body or part under AS 13.52.177 or an amendment to an anatomical gift of the donor's body or part under AS 13.52.183, another person may not make, amend, or revoke the gift of the donor's body or part under AS 13.52.203. (d) A revocation of an anatomical gift of a donor's body or part under AS 13.52.183 by a person other than the donor does not bar another person from making an anatomical gift of the body or part under AS 13.52.177 or 13.52.203. (e) In the absence of an express, contrary indication by the donor or another person authorized to make an anatomical gift under AS 13.52.173, an anatomical gift of a part is not a refusal to give another part or a limitation on the making of an anatomical gift of another part at a later time by the donor or another person. (f) In the absence of an express, contrary indication by the donor or another person authorized to make an anatomical gift under AS 13.52.173, an anatomical gift of a part for one or more of the purposes set out in AS 13.52.173 is not a limitation on the making of an anatomical gift of the part for any of the other purposes by the donor or any other person under AS 13.52.177 or 13.52.203. (g) If a donor who is an unemancipated minor dies, a parent of the donor who is reasonably available may revoke or amend an anatomical gift of the donor's body or part. (h) If an unemancipated minor who signed a refusal dies, a parent of the minor who is reasonably available may revoke the minor's refusal. Sec. 13.52.197. Who may make anatomical gift of decedent's body or part. (a) Subject to (b) and (c) of this section and unless barred by AS 13.52.187 or 13.52.193, an anatomical gift of a decedent's body or part for the purpose of transplantation, therapy, research, or education may be made by any member of the following classes of persons who is reasonably available, in the order of priority listed: (1) an agent of the decedent at the time of death who could have made an anatomical gift under AS 13.52.173(2) immediately before the decedent's death; (2) the spouse of the decedent; (3) adult children of the decedent; (4) parents of the decedent; (5) adult siblings of the decedent; (6) adult grandchildren of the decedent; (7) grandparents of the decedent; (8) an adult who exhibited special care and concern for the decedent; (9) the persons who were acting as the guardians of the person of the decedent at the time of death; and (10) any other person having the authority to dispose of the decedent's body. (b) If there is more than one member of a class listed in subsection (a)(1), (3), (4), (5), (6), (7), or (9) of this section entitled to make an anatomical gift, an anatomical gift may be made by a member of the class unless that member or a person to whom the gift may pass under AS 13.52.207 knows of an objection by another member of the class. If an objection is known, the gift may be made only by a majority of the members of the class who are reasonably available. (c) A person may not make an anatomical gift if, at the time of the decedent's death, a person in a prior class under (a) of this section is reasonably available to make or to object to the making of an anatomical gift.

* Sec. 21. AS 13.52 is amended by adding new sections to read: Sec. 13.52.203. Manner of making, amending, or revoking anatomical gift of decedent's body or part. (a) Notwithstanding AS 13.52.020, a person authorized to make an anatomical gift under AS 13.52.197 may make an anatomical gift by a document of gift signed by the person making the gift or by that person's oral communication that is electronically recorded or is contemporaneously reduced to a record and signed by the individual receiving the oral communication. (b) Subject to (c) of this section, an anatomical gift by a person authorized under AS 13.52.197 may be amended or revoked orally or in a record by any member of a prior class who is reasonably available. If more than one member of the prior class is reasonably available, the gift made by a person authorized under AS 13.52.197 may be (1) amended only if a majority of the reasonably available members agree to the amending of the gift; or (2) revoked only if a majority of the reasonably available members agree to the revoking of the gift or if they are equally divided as to whether to revoke the gift. (c) Notwithstanding AS 13.52.020, a revocation under (b) of this section is effective only if, before an incision has been made to remove a part from the donor's body or before invasive procedures have begun to prepare the recipient, the procurement organization, transplant hospital, or physician or technician knows of the revocation. Sec. 13.52.207. Persons who may receive anatomical gift; purpose of anatomical gift. (a) An anatomical gift may be made to the following persons named in the document of gift: (1) a hospital, an accredited medical school, a dental school, a college, a university, an organ procurement organization, or another appropriate person, for research or education; (2) subject to (b) of this section, an individual designated by the person making the anatomical gift if the individual is the recipient of the part; (3) an eye bank or a tissue bank. (b) If an anatomical gift to an individual under (a)(2) of this section cannot be transplanted into the individual, the part passes under (g) of this section in the absence of an express, contrary indication by the person making the anatomical gift. (c) If an anatomical gift of one or more specific parts or of all parts is made in a document of gift that does not name a person described in (a) of this section but identifies the purpose for which an anatomical gift may be used, the following rules apply: (1) if the part is an eye and the gift is for the purpose of transplantation or therapy, the gift passes to the appropriate eye bank; (2) if the part is tissue and the gift is for the purpose of transplantation or therapy, the gift passes to the appropriate tissue bank; (3) if the part is an organ and the gift is for the purpose of transplantation or therapy, the gift passes to the appropriate organ procurement organization as custodian of the organ; (4) if the part is an organ, an eye, or tissue and the gift is for the purpose of research or education, the gift passes to the appropriate procurement organization. (d) For the purpose of (c) of this section, if there is more than one purpose of an anatomical gift set out in the document of gift but the purposes are not set out in any priority, the gift shall be used for transplantation or therapy, if suitable. If the gift cannot be used for transplantation or therapy, the gift may be used for research or education. (e) If an anatomical gift of one or more specific parts is made in a document of gift that does not name a person described in (a) of this section and does not identify the purpose of the gift, the gift may be used only for transplantation or therapy, and the gift passes under (g) of this section. (f) If a document of gift specifies only a general intent to make an anatomical gift by words such as "donor," "organ donor," or "body donor," or by a symbol or statement of similar import, the gift may be used only for transplantation or therapy, and the gift passes under (g) of this section. (g) For purposes of (b), (e), and (f) of this section, the following rules apply: (1) if the part is an eye, the gift passes to the appropriate eye bank; (2) if the part is tissue, the gift passes to the appropriate tissue bank; (3) if the part is an organ, the gift passes to the appropriate organ procurement organization as custodian of the organ. (h) An anatomical gift of an organ for transplantation or therapy, other than an anatomical gift under (a)(2) of this section, passes to the organ procurement organization as custodian of the organ. (i) If an anatomical gift does not pass under (a) - (h) of this section or the decedent's body or part is not used for transplantation, therapy, research, or education, custody of the body or part passes to the person under obligation to dispose of the body or part. (j) A person may not accept an anatomical gift if the person knows that the gift was not effectively made under AS 13.52.177 or 13.52.203 or if the person knows that the decedent made a refusal under AS 13.52.187 that was not revoked. For purposes of this subsection, if a person knows that an anatomical gift was made on a document of gift, the person is considered to know of any amendment or revocation of the gift or any refusal to make an anatomical gift on the same document of gift. (k) Except as otherwise provided in (a)(2) of this section, nothing in 13 AS 13.52.173 - 13.52.268 affects the allocation of organs for transplantation or therapy.

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* Sec. 22. AS 13.52 is amended by adding new sections to read: Sec. 13.52.213. Search and notification. (a) The following persons shall make a reasonable search of an individual who the person reasonably believes is dead or near death for a document of gift or other information identifying the individual as a donor or as an individual who made a refusal: (1) a law enforcement officer, a fire fighter, a paramedic, or another emergency rescuer finding the individual; and (2) if another other source of the information is not immediately available, a hospital, as soon as practical after the individual's arrival at the hospital. (b) If a document of gift or a refusal to make an anatomical gift is located by the search required by (a)(1) of this section and the individual or deceased individual to whom it relates is taken to a hospital, the person responsible for conducting the search shall send the document of gift or refusal to the hospital. (c) Except as provided by AS 13.52.080 - 13.52.090, a person is not subject to criminal or civil liability for failing to discharge the duties imposed by this section but may be subject to administrative sanctions. Sec. 13.52.217. Delivery of document of gift not required; right to examine. (a) A document of gift need not be delivered during the donor's lifetime to be effective. (b) On or after an individual's death, a person in possession of a document of gift or a refusal to make an anatomical gift with respect to the individual shall allow examination and copying of the document of gift or refusal by a person authorized to make or object to the making of an anatomical gift with respect to the individual or by a person to whom the gift could pass under AS 13.52.207.

* Sec. 23. AS 13.52 is amended by adding new sections to read: Sec. 13.52.223. Rights and duties of procurement organization and others. (a) When a hospital refers an individual at or near death to a procurement organization, the organization shall make a reasonable search of the records of the department and a donor registry. (b) A procurement organization shall be allowed reasonable access to information in the records of the department to ascertain whether an individual at or near death is a donor. (c) Except as provided by AS 13.52.253, when a hospital refers an individual at or near death to a procurement organization, the organization may conduct any reasonable examination necessary to ensure the medical suitability of a part that is or could be the subject of an anatomical gift for transplantation, therapy, research, or education from a donor or a prospective donor. Except as provided by AS 13.52.055 or 13.52.253, during the examination period, measures necessary to ensure the medical suitability of the part may not be withheld or withdrawn, unless the hospital or 23 procurement organization knows that the individual expressed a contrary intent. (d) Unless prohibited by law other than AS 13.52.173 - 13.52.268, at any time after a donor's death, the person to whom a part passes under AS 13.52.207 may conduct any reasonable examination necessary to ensure the medical suitability of the body or part for its intended purpose. (e) Unless prohibited by law other than AS 13.52.173 - 13.52.268, an examination under (c) or (d) of this section may include an examination of all medical and dental records of the donor or prospective donor. (f) Upon the death of a minor who was a donor or had signed a refusal, unless a procurement organization knows the minor is emancipated, the procurement organization shall conduct a reasonable search for the parents of the minor and provide the parents with an opportunity to revoke or amend the anatomical gift or revoke the refusal. (g) Upon referral by a hospital under (a) of this section, a procurement organization shall make a reasonable search for any person listed in AS 13.52.197 having priority to make an anatomical gift on behalf of a prospective donor. If a procurement organization receives information that an anatomical gift to any other person was made, amended, or revoked, it shall promptly advise the other person of all relevant information. (h) Subject to AS 13.52.207(i) and 13.52.257, the rights of the person to whom a part passes under AS 13.52.207 are superior to the rights of all others with respect to the part. The person may accept or reject an anatomical gift in whole or in part. Subject to the terms of the document of gift and AS 13.52.173 - 13.52.268, a person who accepts an anatomical gift of an entire body may allow embalming, burial, or cremation, and use of remains in a funeral service. If the gift is of a part, the person to whom the part passes under AS 13.52.207, on the death of the donor and before embalming, burial, or cremation, shall cause the part to be removed without unnecessary mutilation. (i) The physician who attends the decedent at death and the physician who determines the time of the decedent's death may not participate in the procedures for removing or transplanting a part from the decedent. (j) A physician or technician may remove a donated part from the body of a donor that the physician or technician is qualified to remove. Sec. 13.52.227. Coordination of procurement and use. A hospital in this state shall enter into agreements or affiliations with procurement organizations for coordination of procurement and use of anatomical gifts.

* Sec. 24. AS 13.52 is amended by adding a new section to read: Sec. 13.52.233. Sale or purchase of parts prohibited; charges allowed. (a) Except as otherwise provided in (b) of this section, a person who, for valuable consideration, knowingly purchases or sells a part for transplantation or therapy if removal of a part from an individual is intended to occur after the individual's death commits a class C felony. (b) A person may charge a reasonable amount for the removal, processing, preservation, quality control, storage, transportation, implantation, or disposal of a part.

* Sec. 25. AS 13.52 is amended by adding new sections to read: Sec. 13.52.243. Immunity. (a) Except as provided by AS 13.52.080 - 13.52.090, a person who acts under AS 13.52.173 - 13.52.268 or with the applicable anatomical gift law of another state, or attempts in good faith to act under AS 13.52.173 - 13.52.268 or with the applicable anatomical gift law of another state, is not liable for the act in a civil action, a criminal prosecution, or an administrative proceeding. (b) Except as provided by AS 13.52.080 - 13.52.090, a person making an anatomical gift and the donor's estate are not liable for any injury or damage that results from the making or use of the gift. (c) In determining whether an anatomical gift has been made, amended, or revoked under AS 13.52.173 - 13.52.268, a person may rely on representations of an individual listed in AS 13.52.197(a)(2) - (8) relating to the individual's relationship to the donor or prospective donor unless the person knows that the representation is untrue. Sec. 13.52.247. Law governing validity; choice of law as to execution of document of gift; presumption of validity. (a) Notwithstanding AS 13.52.010(k), a document of gift is valid if executed under (1) AS 13.52.173 - 13.52.268; (2) the laws of the state or country where it was executed; or (3) the laws of the state or country where the person making the anatomical gift was domiciled, has a place of residence, or was a national at the time the document of gift was executed. (b) If a document of gift is valid under this section, the law of this state governs the interpretation of the document of gift. (c) A person may presume that a document of gift or amendment of an anatomical gift is valid unless that person knows that it was not validly executed or was revoked.

* Sec. 26. AS 13.52 is amended by adding new sections to read: Sec. 13.52.253. Effect of anatomical gift on advance health care directive. Except as provided by AS 13.52.055, if a prospective donor has an advance health care directive, and the terms of the directive and the express terms of a potential anatomical gift are in conflict with regard to the administration of measures necessary to ensure the medical suitability of a part for transplantation or therapy, the prospective donor's attending physician and prospective donor shall confer to resolve the conflict. If the prospective donor is incapable of resolving the conflict, an agent acting under the prospective donor's declaration or directive, or, if none or the agent is not reasonably available, another person authorized by law other than AS 13.52.173 - 13.52.268 to make health care decisions on behalf of the prospective donor, shall act for the donor to resolve the conflict. The conflict shall be resolved as expeditiously as possible. Information relevant to the resolution of the conflict may be obtained from the appropriate procurement organization and any other person authorized to make an anatomical gift for the prospective donor under AS 13.52.173 - 13.52.268. Before resolution of the conflict, measures necessary to ensure the medical suitability of the part may not be withheld or withdrawn from the prospective donor unless withholding or withdrawing the measures conflicts with appropriate end-of-life care. Sec. 13.52.255. Cooperation between coroner, state medical examiner, and procurement organization. (a) A coroner and a state medical examiner shall cooperate with procurement organizations to maximize the opportunity to recover anatomical gifts for the purpose of transplantation, therapy, research, or education. (b) If a coroner or a state medical examiner receives notice from a procurement organization that an anatomical gift might be available or was made with respect to a decedent whose body is under the jurisdiction of the coroner or state medical examiner and a postmortem examination is going to be performed, unless the coroner or state medical examiner denies recovery under AS 13.52.257, the coroner, the state medical examiner, or a designee shall conduct a postmortem examination of the body or the part in a manner and within a period compatible with its preservation for the purposes of the gift. (c) A part may not be removed from the body of a decedent under the jurisdiction of a coroner or a state medical examiner for transplantation, therapy, research, or education unless the part is the subject of an anatomical gift. The body of a decedent under the jurisdiction of the coroner or state medical examiner may not be delivered to a person for research or education unless the body is the subject of an anatomical gift. This subsection does not preclude a coroner or the state medical examiner from performing the medicolegal investigation on the body or parts of a decedent under the jurisdiction of the coroner or state medical examiner. Sec. 13.52.257. Facilitation of anatomical gift from decedent whose body is under jurisdiction of coroner or state medical examiner. (a) On request of a procurement organization, a coroner or the state medical examiner may release to the procurement organization the name, contact information, and available medical and social history of a decedent whose body is under the jurisdiction of the coroner or state medical examiner. If the decedent's body or part is medically suitable for transplantation, therapy, research, or education, the coroner or state medical examiner shall release postmortem examination results to the procurement organization. The procurement organization may make a subsequent disclosure of the postmortem examination results or other information received from the coroner or state medical examiner only if relevant to transplantation or therapy. (b) The coroner or state medical examiner may conduct a medicolegal examination by reviewing all medical records, laboratory test results, x-rays, other diagnostic results, and other information that any person possesses about a donor or prospective donor whose body is under the jurisdiction of the coroner or state medical examiner that the coroner or state medical examiner determines may be relevant to the investigation. (c) A person who has any information requested by a coroner or the state medical examiner under (b) of this section shall provide that information as expeditiously as possible to allow the coroner or state medical examiner to conduct the medicolegal investigation within a period compatible with the preservation of parts for the purpose of transplantation, therapy, research, or education. (d) If an anatomical gift has been or might be made of a part of a decedent whose body is under the jurisdiction of the coroner or state medical examiner and a postmortem examination is not required, or the coroner or state medical examiner determines that a postmortem examination is required but that the recovery of the part that is the subject of an anatomical gift will not interfere with the examination, the coroner or state medical examiner and the procurement organization shall cooperate in the timely removal of the part from the decedent for the purpose of transplantation, therapy, research, or education. (e) If an anatomical gift of a part from the decedent under the jurisdiction of the coroner or state medical examiner has been or might be made, but the coroner or state medical examiner initially believes that the recovery of the part could interfere with the postmortem investigation into the decedent's cause or manner of death, the coroner or state medical examiner may consult with the procurement organization, or the physician or technician designated by the procurement organization, about the proposed recovery. After consultation, the coroner or state medical examiner may allow the recovery. (f) If the coroner, the state medical examiner, or a designee denies recovery of a part, the coroner, state medical examiner, or designee shall (1) explain in a record the specific reasons for not allowing recovery of the part; (2) include the specific reasons in the records of the coroner or state medical examiner; and (3) provide a record with the specific reasons to the procurement organization. (g) If the coroner, the state medical examiner, or a designee allows recovery of a part under (d) or (e) of this section, the procurement organization, on request, shall cause the physician or technician who removes the part to provide the coroner or state medical examiner with a record describing the condition of the part, a biopsy, a photograph, and any other information and observations that would assist in the postmortem examination. (h) If a coroner, state medical examiner, or designee elects to be present at a removal procedure, on request, the procurement organization requesting the recovery of the part shall reimburse the coroner, state medical examiner, or designee for the additional costs incurred in complying with this section.

* Sec. 27. AS 13.52 is amended by adding a new section to read: Sec. 13.52.263. Relation to Electronic Signatures in Global and National Commerce Act. AS 13.52.173 - 13.52.267 modify, limit, and supersede 15 U.S.C. 07 7001 - 7031 (Electronic Signatures in Global and National Commerce Act), except that AS 13.52.173 - 13.52.267 do not modify, limit or supersede 15 U.S.C. 7001, or authorize electronic delivery of any of the notices described in 15 U.S.C. 7003(b).

* Sec. 28. AS 13.52 is amended by adding new sections to read: Sec. 13.52.267. Uniformity of application and construction. In applying and construing AS 13.52.173 - 13.52.263, consideration shall be given to the need to promote uniformity of the law with respect to its subject matter among states that enact it. Sec. 13.52.268. Definitions for AS 13.52.173 - 13.52.268. Notwithstanding AS 13.52.390, in AS 13.52.173 - 13.52.268, (1) "adult" means an individual who is at least 18 years of age; (2) "decedent" means a deceased individual whose body or part is or may be the source of an anatomical gift; the term includes a stillborn infant and, subject to restrictions imposed by law other than AS 13.52.173 - 13.52.168, a fetus; (3) "department" means the Department of Administration; (4) "disinterested witness" means a witness who is not (A) the spouse, child, parent, sibling, grandchild, grandparent, or guardian of the individual who makes, amends, revokes, or refuses to make an anatomical gift; (B) an adult who exhibited special care and concern for the individual; or (C) a person to whom an anatomical gift could pass under AS 13.52.207; (5) "document of gift" means a donor card or other record used to make an anatomical gift, and includes a statement or symbol on a driver's license, an identification card, or a donor registry; (6) "donor" means an individual whose body or part is the subject of an anatomical gift; (7) "donor registry" means the donor registry created under AS 13.50.110; (8) "driver's license" means a license or permit issued by the department under AS 28.15 to operate a vehicle, whether or not conditions are attached to the license or permit; (9) "eye bank" means a person who is licensed, accredited, or regulated under federal or state law to engage in the recovery, screening, testing, processing, storage, or distribution of human eyes or portions of human eyes; (10) "guardian" means a person appointed by a court to make decisions regarding the support, care, education, health, or welfare of an individual; the term does not include a guardian ad litem; (11) "hospital" means a facility licensed as a hospital under the law of any state or a facility operated as a hospital by the United States, a state, or a subdivision of a state; (12) "identification card" means an identification card issued by the Department of Administration under AS 18.65.310; 20 (13) "know" means to have actual knowledge; (14) "minor" means an individual who is under 18 years of age; (15) "organ procurement organization" means a person designated by the United States Secretary of Health and Human Services as an organ procurement organization; (16) "parent" means a parent whose parental rights have not been terminated; (17) "person" means an individual, corporation, business trust, estate, trust, partnership, limited liability company, association, joint venture, public corporation, government or governmental subdivision, agency, or instrumentality, or any other legal or commercial entity; (18) "physician" means an individual authorized to practice medicine 01 or osteopathy under the law of any state; (19) "procurement organization" means an eye bank, an organ procurement organization, or a tissue bank; (20) "prospective donor" means an individual who is dead or near death and has been determined by a procurement organization to have a part that could be medically suitable for transplantation, therapy, research, or education; the term does not include an individual who has made a refusal; (21) "reasonably available" means able to be contacted by a procurement organization without undue effort and willing and able to act in a timely manner consistent with existing medical criteria necessary for the making of an anatomical gift; (22) "recipient" means an individual into whose body a decedent's part has been or is intended to be transplanted; (23) "record" means information that is inscribed on a tangible medium or that is stored in an electronic or another medium and is retrievable in perceivable form; (24) "refusal" means a record created under AS 13.52.187 that expressly states an intent to bar other persons from making an anatomical gift of an individual's body or part; (25) "sign" means, with the present intent to authenticate or adopt a record, (A) to execute or adopt a tangible symbol; or (B) to attach to or logically associate with the record an electronic symbol, sound, or process; (26) "state" means a state of the United States, the District of Columbia, Puerto Rico, the United States Virgin Islands, or any territory or insular possession subject to the jurisdiction of the United States; (27) "state medical examiner" means the state medical examiner appointed under AS 12.65.015(a); (28) "technician" means an individual determined to be qualified to remove or process parts by an appropriate organization that is licensed, accredited, or regulated under federal or state law; the term includes an enucleator; (29) "tissue" means a portion of the human body other than an organ or an eye; the term does not include blood unless the blood is donated for the purpose of research or education; (30) "tissue bank" means a person who is licensed, accredited, or regulated under federal or state law to engage in the recovery, screening, testing, processing, storage, or distribution of tissue; (31) "transplant hospital" means a hospital that furnishes organ 09 transplants and other medical and surgical specialty services required for the care of transplant patients.

* Sec. 29. AS 13.52.390(3) is amended to read: (3) "anatomical gift" means [AN INDIVIDUAL INSTRUCTION THAT MAKES] a donation of all or a part of a human [AN INDIVIDUAL'S] body to take effect [UPON OR] after the donor's death for the purpose of transplantation, therapy, research, or education;

* Sec. 30. AS 13.52.390(30) is amended to read: (30) "part" means an organ, tissue, or an eye [, A BONE, AN ARTERY, BLOOD, FLUID, OR ANOTHER PORTION] of a human being [BODY], except fetal tissue; the term does not include the whole body;

* Sec. 31. AS 18.65.311(b) is amended to read: (b) An employee of the department who processes an identification card application, other than an application received by mail, shall ask the applicant orally whether the applicant wishes to execute an anatomical gift. The department shall, by placement of posters and brochures in the office where the application is taken, and by oral advice, if requested, make known to the applicant the method by which the cardholder may make an anatomical gift under AS 13.52. The department shall inform each applicant for an identification card in writing that, if the applicant executes a gift under AS 13.52 and if the gift is made with the registration, the department will transmit the information on the identification card to a donor registry created under AS 13.50.110. The department shall also direct the applicant to notify a procurement organization or the department under AS 13.50.140 if the identification card is destroyed or mutilated or the gift is revoked under AS 13.52.183 [AS 13.52.170]. The department shall carry out the requirements of AS 13.50.100 - 13.50.190.

* Sec. 32. AS 28.10.021(c) is amended to read: (c) An employee of the department who processes an application for registration or renewal of registration, other than an application received by mail or an application for registration under AS 28.10.152, shall ask the applicant orally whether the applicant wishes to execute an anatomical gift. The department shall make known to all applicants the procedure for executing an anatomical gift under AS 13.52 (Health Care Decisions Act) by displaying posters in the offices in which applications are taken, by providing a brochure or other written information to each person who applies in person or by mail, and, if requested, by providing oral advice. The department shall inform each applicant in writing that, if the applicant executes a gift under AS 13.52 and if the gift is made with the registration application, the department will transmit the information on the registration to a donor registry created under AS 13.50.110. The department shall also direct the applicant to notify a procurement organization or the department under AS 13.50.140 if the registration is destroyed or mutilated or the gift is revoked under AS 13.52.183 [AS 13.52.170]. The department shall carry out the requirements of AS 13.50.100 - 13.50.190.

* Sec. 33. AS 28.15.061(d) is amended to read: (d) An employee of the department who processes a driver's license application, other than an application received by mail, shall ask the applicant orally whether the applicant wishes to execute an anatomical gift. The department shall make known to all applicants the procedure for executing an anatomical gift under AS 13.52 (Health Care Decisions Act) by displaying posters in the offices in which applications are taken, by providing a brochure or other written information to each person who applies in person or by mail, and, if requested, by providing oral advice. The department shall inform each applicant in writing that, if the applicant executes a gift under AS 13.52 and if the gift is made with the driver's license application, the department will transmit the information on the license to a donor registry created under AS 13.50.110. The department shall also direct the applicant to notify a procurement organization or the department under AS 13.50.140 if the license is destroyed or mutilated or the gift is revoked under AS 13.52.183 [AS 13.52.170]. The department shall carry out the requirements of AS 13.50.100 - 13.50.190.

* Sec. 34. AS 28.15.111(b) is amended to read: (b) The department shall provide a method, at the time that an operator's license is issued, by which the owner of a license may make an anatomical gift under AS 13.52. The method must provide a means by which the owner may cancel the anatomical gift. The department shall inform each applicant in writing that, if the applicant executes a gift under AS 13.52 and if the gift is made with the license, the department will transmit the information on the license to a donor registry created under AS 13.50.110. The department shall also direct the applicant to notify a procurement organization or the department under AS 13.50.140 if the license is destroyed or mutilated or the gift is revoked under AS 13.52.183 [AS 13.52.170]. The department shall carry out the requirements of AS 13.50.100 - 13.50.190.

* Sec. 35. AS 37.05.146(c) is amended by adding a new paragraph to read: (82) donations to the anatomical gift awareness fund under AS 13.50.150.

* Sec. 36. AS 13.52.170, 13.52.180, 13.52.190, 13.52.200, 13.52.210, 13.52.220, 13.52.230, 13.52.240, 13.52.250, 13.52.260, 13.52.265, 13.52.270, 13.52.280, 13.52.390(10),13.52.390(12), 13.52.390(13), and 13.52.390(41) are repealed.

* Sec. 37. The uncodified law of the State of Alaska is amended by adding a new section to read: APPLICABILITY. (a) AS 13.16.680(a), as amended by sec. 1 of this Act, and AS 13.16.700, as amended by sec. 2 of this Act, apply to a decedent if the decedent dies on or after the effective date of this Act. (b) AS 13.33.101(d), (e), (f), and (g), as added by sec. 3 of this Act, apply to provisions for a nonprobate transfer on death in a life insurance contract or a retirement plan that are made before, on, or after the effective date of this Act. In this subsection, "life insurance contract" and "retirement plan" have the meanings given in AS 13.33.101(g), added by sec. 3 of this Act.

* Sec. 38. The uncodified law of the State of Alaska is amended by adding a new section to read: CONTINUING EFFECT OF EXISTING ANATOMICAL GIFTS. An anatomical gift made under AS 13.52.170 - 13.52.280, repealed by this Act, continues in effect under AS 13.52.173 - 13.52.268, enacted by secs. 18 - 28 of this Act, until the anatomical gift is 04 revoked under AS 13.52.173 - 13.52.268.