A. 
False claims and failure to make required payments penalized. Subject to the provisions of subsection B of this section, a person shall be liable to the municipality for a civil penalty of not less than $2,000.00 and not more than $10,000.00, plus three times the amount of all damages, including consequential damages, which the municipality sustains because of the act(s) of that person who:
1. 
Knowingly presents, or causes to be presented a false or fraudulent claim for payment or approval;
2. 
Knowingly makes, uses, or causes to be made or used, a false record or statement material to a false or fraudulent claim;
3. 
Conspires to commit a violation of subsection A.1, A.2, A.4, A.5, A.6, or A.7 of this section;
4. 
Has possession, custody, or control of property or money used, or to be used, by the municipality and knowingly delivers, or causes to be delivered, less than all of that money or property;
5. 
Is authorized to make or deliver a document certifying receipt of property used, or to be used, by the municipality and, intending to defraud the municipality, makes or delivers the receipt without completely knowing that the information on the receipt is true;
6. 
Knowingly buys, or receives as a pledge of an obligation or debt, public property from an officer or employee of the municipality knowing that the officer or employee violates a provision of law when selling or pledging such property; for purposes of this subsection A.6, an "obligation" can be an obligation of any person and does not have to be an obligation of the person who knowingly makes, uses, or causes to be made or used, a false record or statement material to such obligation to pay or transmit money or property to the municipality;
7. 
Knowingly makes, uses, or causes to be made or used, a false record or statement material to an obligation to pay or transmit money or property to the municipality; or
8. 
Knowingly conceals or knowingly and improperly avoids or decreases an obligation to pay or transmit money or property to the municipality, or conspires to do the same; for purposes of this subsection A.8, an "obligation" can be an obligation of any person and does not have to be an obligation of the person who knowingly conceals or who knowingly and improperly avoids or decreases such obligation to pay or transmit money or property to the municipality, or who conspires to do the same.
B. 
Reduction in damages for cooperation. A court may assess not more than two times the amount of damages sustained because of the act of the person described in subsection A, if the court finds that:
1. 
The person committing the violation of this section had furnished all information known to such person about the violation, to those officials responsible for investigating false claims violations on behalf of the municipality, within 30 days after the date on which such person first obtained the information;
2. 
Such person fully cooperated with any government investigation of such violation; and
3. 
At the time such person furnished information about the violation, no criminal prosecution, civil action, or administrative action had commenced with respect to such violation, or the person did not have actual knowledge of the existence of an investigation into such violation.
C. 
Application of the damage multiplier. The municipality's damages shall be trebled or doubled pursuant to this section before any subtractions are made for compensatory payments received by the municipality from any source, including but not limited to the defendant, or before any subtractions are otherwise made because of any offset or credit received by the municipality from any source, including but not limited to the defendant.
D. 
Exclusion of tax claims under $10,000.00 and property tax claims.
1. 
This section shall apply to claims, records, or statements made under Title 12 of this Code or failure to remit taxes, only if the damages pleaded in such action exceed $10,000.00.
2. 
This section shall not apply to the failure to remit property taxes.
(AO No. 2016-48, § 1, 5-10-2016)
A. 
Civil enforcement actions. The municipal attorney shall have the authority to investigate violations of section 1.60.100. If the municipal attorney believes that a person has violated or is violating such section, then the municipal attorney may bring a civil action against such person. No action may be filed pursuant to this section against the federal government, the state, or any officer or employee thereof acting in his or her official capacity.
B. 
Civil actions initiated by private parties.
1. 
Private complaints authorized; initial procedure. Any person may submit a proposed civil complaint to the municipal attorney alleging violations of section 1.60.100. Proposed civil complaints shall be signed and verified and shall include all material evidence and information possessed by such person in support of the allegations in such proposed civil complaints. The municipality shall diligently investigate all such proposed civil complaints. The municipality may request such additional information as it deems necessary from the person submitting a proposed civil complaint.
2. 
Municipal action on proposed complaint within 180 days. Within one hundred eighty days of receipt of a proposed civil complaint, the municipality shall, in writing, notify the person who submitted the proposed civil complaint that the municipal attorney intends to proceed according to one of the following options:
a. 
Action to be brought by municipality within 90 days. The municipal attorney may notify the person who submitted the proposed civil complaint that the municipal attorney intends to commence a civil enforcement action based on the facts alleged in the proposed civil complaint against one or more of the defendants named in the proposed civil complaint, in which case he or she shall commence such action within ninety days of such notification, provided that if the municipal attorney determines that a delay in commencing such action is warranted, he or she may delay such commencement, upon notice to the person who submitted the proposed civil complaint, for an additional ninety days at which time he or she shall commence such action.
b. 
Designation of private party as special assistant municipal counsel. The municipal attorney may notify the person who submitted the proposed civil complaint that the municipal attorney designate the person or, if the person is not an attorney, the attorney for such person, as a special assistant municipal counsel for limited purposes of filing a civil enforcement action against one or more of the defendants named in the proposed civil complaint.
c. 
No designation or civil enforcement action. The municipal attorney may notify the person who submitted the proposed civil complaint that the municipal attorney intends to decline to commence a civil enforcement action or to designate such person to commence a civil enforcement action in which case the municipal attorney shall state in the notification his or her reason for doing so.
3. 
Standards for declining to either bring a civil enforcement action or designate special counsel. The municipal attorney shall commence a civil enforcement action or designate the person who submitted the proposed civil complaint or, if the person is not an attorney, his or her attorney, to commence a civil enforcement action unless:
a. 
The proposed civil complaint is barred for the reasons set forth in subdivision D. of this section;
b. 
The municipal attorney has determined that the proposed civil complaint is based upon an interpretation of law or regulation which if adopted, would result in significant cost to the municipality;
c. 
The municipal attorney has determined that commencing a civil enforcement action would interfere with a contractual relationship between the municipality and an entity providing goods or services which would significantly interfere with the provision of important goods or services, or would jeopardize the health and safety of the public; or
d. 
The municipal attorney has determined that the complaint, if filed in a court of competent jurisdiction, would be dismissed for failure to state a claim upon which relief may be based.
C. 
Interference with other investigation. If the municipal attorney determines that a civil enforcement action may interfere with or jeopardize an investigation by a governmental agency, then the municipal attorney may decline to commence a civil enforcement action based on a proposed civil complaint or to designate the person who submitted such proposed civil complaint to commence such action, provided that the municipal attorney notifies the person who submitted the proposed civil complaint of such determination within 90 days of receipt by the municipality of such proposed civil complaint and every one hundred eighty days thereafter until such time as the municipal attorney determines that such civil enforcement action would no longer interfere with or jeopardize a governmental investigation, at which time the municipal attorney shall provide to the person who submitted the proposed complaint the notification required in subsection A.2. The determination by the municipal attorney shall be final.
D. 
Certain actions barred. The following types of proposed civil complaints may not be brought under subsection B:
1. 
Small claims. Subsection B shall not apply to proposed civil complaints based upon one or more false claims with a cumulative value of less than the amount that is allowed for small claims as set forth in AS 22.15.040.
2. 
Claims already at issue in a proceeding. Subsection B shall not apply to proposed civil complaints based upon allegations or transactions which are the subject of any pending criminal or civil action or proceeding, including a civil enforcement action, or an administrative action in which the municipality is already a party.
3. 
Publicly disclosed allegations, except by original sources. Subsection B shall not apply to proposed civil complaints if substantially the same allegations or transactions as alleged in the proposed complaint were publicly disclosed:
a. 
In a criminal, civil or administrative hearing;
b. 
In a legislative or administrative report, hearing, audit or investigation that is made on the public record or disseminated broadly to the general public; provided that such information shall not be deemed "publicly disclosed" in a report or investigation because it was disclosed or provided pursuant to chapter 3.90, or under any other federal, state or local law, rule or program enabling the public to request, receive or view documents or information in the possession of public officials or public agencies;
c. 
By the news media and likely to be seen by the municipality officials responsible for addressing false claims, unless the person who submitted the proposed complaint is an original source of the information, and provided that such allegations or transactions are not "publicly disclosed" in the "news media" merely because information of allegations or transactions have been posted on the internet or on a computer network. The municipal attorney may, in his or her absolute discretion, waive the application of this paragraph;
d. 
Based upon information discovered by an employee of the municipality, state or federal government in the course of his or her employment unless:
i. 
Such employee first reported such information to the department of investigation; and
ii. 
The municipality failed to act on the information within six months of its receipt of such information;
4. 
Suits against governments and government actors. Subsection B shall not apply to proposed civil complaints against the federal government, the State of Alaska, other municipalities or political subdivisions of the state, the municipality or any officer or employee of such governments acting within the scope of his or her employment.
E. 
Representation of the municipality. Nothing herein shall be construed as authorizing anyone other than the municipal attorney and a person or attorney authorized pursuant to this chapter to commence a civil enforcement action to represent the Municipality of Anchorage in legal proceedings.
F. 
Pending and related actions.
1. 
Permission required. No person, other than the municipal attorney, may intervene in or bring a related action based upon the facts underlying a civil enforcement action, unless such other person has first obtained the permission of the municipal attorney to intervene or to bring such related action, provided that nothing in this subdivision shall be deemed to deny persons the right, upon leave of court, to file briefs amicus curiae, or take any other action permitted by the Alaska Rules of Court.
2. 
Additional action by municipal attorney and other remedies not preempted; private entitlement to recovery. Regardless of whether the municipal attorney has commenced a civil enforcement action or another party has been designated to do so, the municipality may elect to pursue any alternate civil or criminal action with respect to the presentation of false claims, provided that the person who submitted the proposed civil complaint upon which such alternate action is based, if any, shall be entitled to the same percentage share of any proceeds recovered by the municipality as such person would have been entitled to if such alternate action was a civil enforcement action.
G. 
Rights of the parties to participate in action.
1. 
Enforcement action brought by municipal attorney. If the municipal attorney elects to commence a civil enforcement action, then the municipality shall have the sole authority for prosecuting, and settling the action and may move to dismiss the action, or may settle the action notwithstanding the objections of the person who submitted the proposed civil complaint upon which such civil enforcement action is based.
2. 
Enforcement action brought by designated special municipal counsel. If a person who submitted a proposed complaint or his or her attorney has been designated to commence a civil enforcement action, then the municipal attorney and such authorized person or attorney shall share authority for prosecuting the case. However, the municipal attorney may move to dismiss the action notwithstanding the objection of the person who submitted the proposed civil complaint provided such person has been served with an appropriate motion and the court has provided such person with an opportunity to be heard. The municipal attorney may also settle the action notwithstanding the objection of the person who submitted the proposed civil complaint if the court determines, after providing such person with an opportunity to be heard, that the proposed settlement is fair, adequate, and reasonable. The person who submitted the proposed civil complaint may offer to settle the action only with the consent of the municipal attorney.
3. 
Restricted participation. The municipal attorney may apply to the court for and the court may issue an order restricting the participation of a person designated to commence a civil enforcement action in such litigation notwithstanding the objections of such person if the court determines, after providing such person an opportunity to be heard, that such person's unrestricted participation during the course of the litigation would interfere with or unduly delay the prosecution of the case, or would be repetitious or irrelevant, or upon a showing by the defendant that such person's unrestricted participation during the course of the litigation would be for purposes of harassment or would cause the defendant undue burden. Such restrictions may include, but need not be limited to:
a. 
Limiting the number of witnesses such person may call,
b. 
Limiting the length of the testimony of such witnesses,
c. 
Limiting such person's cross-examination of witnesses; or
d. 
Otherwise limiting such person's participation in the litigation.
4. 
Stay for effect on other proceedings. The municipal attorney may apply to the court for a stay of any civil enforcement action if it will interfere with any investigation or prosecution of a civil or criminal matter arising out of the same facts.
H. 
Municipality not bound by private persons acts. Under no circumstances shall the municipality be bound by an act of a person designated to commence a civil enforcement action.
I. 
Awards from proceeds.
1. 
Action brought by municipal attorney. If the municipal attorney has elected to commence a civil enforcement action based on a proposed civil complaint, then the person or persons who submitted such proposed civil complaint collectively shall be entitled to receive between fifteen and 25 percent of the proceeds recovered in such civil enforcement action or in settlement of such action. Where the court finds that the action was based primarily on disclosures of specific information (other than information provided by the person bringing the action) relating to allegations or transactions the subject of a criminal, civil or administrative hearing, in a legislative or administrative report, hearing, audit or investigation, or from the news media, the court may award such sums as it considers appropriate, but in no case more than ten percent of the proceeds, taking into account the significance of the information and the role of the person or persons who submitted the proposed civil complaint in advancing the case to litigation.
2. 
Action brought by designated assistant municipal counsel. If a person, or such person's attorney has been designated to commence a civil enforcement action based on such person's proposed civil complaint, then such person shall be entitled to receive between 25 and 30 percent of the proceeds recovered in such civil enforcement action or in settlement of such action.
3. 
Factors affecting the award of proceeds. The court shall determine the share of the proceeds to which a person submitting a proposed complaint is entitled, and may take into account the following factors:
a. 
The extent to which the person who submitted the proposed civil complaint contributed to the prosecution of the action, either in time, effort or finances;
b. 
Whether the civil enforcement action was based primarily on information provided by the person who submitted the proposed civil complaint, rather than information derived from public sources such as allegations or transactions in a criminal, civil or administrative hearing, in a legislative or administrative report, hearing, audit or investigation, or from the news media;
c. 
Any unreasonable delay by such person in submitting the proposed civil complaint;
d. 
The extent to which the allegations involve a significant safety issue;
e. 
Whether the person who submitted the proposed civil complaint that formed the basis of the civil enforcement action had initially engaged in a violation of section 1.60.100 alleged in such action; in which case the percentage share of the proceeds of the action that such person would otherwise receive under this section may be reduced below the minimum percentages set forth above, taking into account the role of such person in advancing the case to litigation and any relevant circumstances including those pertaining to the violation;
f. 
Whether the person who submitted the proposed civil complaint that formed the basis of the civil enforcement action has been charged with criminal conduct arising from his or her role in the alleged violation of section 1.60.100, in which case such person shall not receive any share of the proceeds of the action if convicted on such charges; and
g. 
Fundamental fairness and any other factors the municipal attorney and the court deem appropriate.
J. 
Costs, expenses and attorneys' fees.
1. 
To plaintiffs. In any civil enforcement action commenced pursuant to this chapter, the municipal attorney, or a person designated to commence such civil enforcement action, if applicable, may apply for an amount of reasonable expenses, reasonable attorneys' fees, and costs, as provided by the Alaska Rules of Court. All such expenses, attorneys' fees and costs shall be awarded directly against the defendant and shall not be charged from the proceeds.
2. 
To defendant. In a civil enforcement action commenced by a designated person or such person's attorney the defendant may apply for an amount of reasonable expenses, plus reasonable attorneys' fees, plus costs and the court may award such expenses, attorneys' fees and costs, according to the Alaska Rules of Court. All such expenses, attorneys' fees and costs shall be awarded directly against the person that commenced the action, which arrangement such person shall been deemed to have expressly consented to by virtue of his or her filing, or directing his or her attorney to file, a civil action on behalf of the municipality.
3. 
No municipal liability to designated counsel's expenses, fees or costs. The municipality shall not be liable for any expenses, attorneys' fees or costs that a person or a person's attorney incurs in submitting a proposed civil complaint or commencing or litigating a civil enforcement action pursuant to this section.
(AO No. 2016-48, § 1, 5-10-2016; AO No. 2019-146, § 1, 12-17-2019)
A. 
Any current or former employee, contractor, or agent of any private or public employer who is discharged, demoted, suspended, threatened, harassed or in any other manner discriminated against in the terms and conditions of employment, or otherwise harmed or penalized by an employer, or a prospective employer, because of lawful acts done by the employee, contractor, agent, or associated others in furtherance of an action brought under this chapter or other efforts to stop one or more violations of this chapter, shall be entitled to all relief necessary to make the employee, contractor or agent whole. Such relief shall include but not be limited to:
1. 
An injunction to restrain continued discrimination;
2. 
Hiring, contracting or reinstatement to the position such person would have had but for the discrimination or to an equivalent position;
3. 
Reinstatement of full fringe benefits and seniority rights;
4. 
Payment of two times back pay, plus interest; and
5. 
Compensation for any special damages sustained as a result of the discrimination, including litigation costs and reasonable attorneys' fees.
B. 
For purposes of this section, a "lawful act" shall include, but not be limited to, obtaining or transmitting to the municipality, a person designated as special assistant municipal counsel, or private counsel solely employed to investigate, potentially file, or file a cause of action under this chapter, documents, data, correspondence, electronic mail, or any other information, even though such act may violate a contract, employment term, or duty owed to the employer or contractor, so long as the possession and transmission of such documents are for the sole purpose of furthering efforts to stop one or more violations of this chapter. Nothing in this title shall be interpreted to prevent any law enforcement authority from bringing a civil or criminal action against any person for violating any provision of law.
C. 
An employee, contractor or agent described in subsection A may bring an action in the appropriate court for the relief provided in this section.
(AO No. 2016-48, § 1, 5-10-2016)
A. 
A civil action under this chapter shall be commenced no later than three years after the date on which the violation of this article is committed, or after the date on which the facts constituting the fraudulent false claim were discovered or should have been discoverable. Notwithstanding any other provision of law, for the purposes of this chapter, an action under this chapter is commenced by the filing of the complaint.
B. 
In any action brought under this chapter, the municipality, if it participates as a party in the action, or the designated special municipal counsel bringing the civil action, shall be required to prove all essential elements of the cause of action, including damages, by a preponderance of the evidence.
(AO No. 2016-48, § 1, 5-10-2016)
A. 
This chapter shall not:
1. 
Preempt the authority, or relieve the duty, of other law enforcement agencies to investigate and prosecute suspected violations of law;
2. 
Prevent or prohibit a person from voluntarily disclosing any information concerning a violation of this chapter to any law enforcement agency; or
3. 
Limit any of the powers otherwise granted to the municipal attorney or to the municipality to investigate possible violations of this chapter and take appropriate action against wrongdoers.
(AO No. 2016-48, § 1, 5-10-2016)
A. 
CIDs authorized. Whenever the municipal attorney has reason to believe that any person may be in possession, custody, or control of any documentary material or information relevant to a possible violation of section 1.60.100, the municipal attorney is authorized to investigate such violations by taking proof, making a determination of the relevant facts, and issuing civil investigative demands (CIDs) requiring such person:
1. 
To produce such documentary material for inspection and copying,
2. 
To answer in writing written interrogatories with respect to such documentary material or information,
3. 
To give oral testimony concerning such documentary material or information, or
4. 
To furnish any combination of such material, answers, or testimony.
Such authorization shall not abate or terminate by reason of any action or proceeding brought under this chapter by the municipal attorney, or any person, including designated special municipal counsel.
B. 
Protected material or information. A civil investigative demand issued under subsection A may not require the production of any documentary material, the submission of any answers to written interrogatories, or the giving of any oral testimony if such material, answers, or testimony would be protected from disclosure under:
1. 
The standards applicable to subpoenas or subpoenas duces tecum issued by a court of the State of Alaska to aid in a grand jury investigation; or
2. 
The standards applicable to discovery requests under the Alaska Rules of Civil Procedure, to the extent that the application of such standards to any such demand is appropriate and consistent with the provisions and purposes of this section.
C. 
Failure to comply. If a person is directed to respond to a civil investigative demand under this section as part of an inquiry related to a violation of this chapter fails to obey the command of the civil investigative demand without reasonable cause, or if a person in attendance upon such inquiry shall without reasonable cause refuse to be sworn or to be examined or to answer a question or to produce a book or paper or data when ordered so to do by the officer conducting such inquiry, or if a person fails to perform any act required to be performed, the municipal attorney may institute civil contempt proceedings, move a court to compel compliance, or take any other action authorized by law.
(AO No. 2016-48, § 1, 5-10-2016)
A. 
The following words, terms and phrases, when used in this chapter, shall have the meanings ascribed to them in this section, except where the context clearly indicates a different meaning:
"Claim"
1. 
Means any request or demand, whether under a contract or otherwise, for money or property that:
a. 
Is presented to an officer, employee or agent of the municipality; or
b. 
Is made to a contractor, grantee, or other recipient, if the money or property is to be spent or used on the municipality's behalf or to advance a municipal program or interest, and if the municipality;
i. 
Provides or has provided any portion of the money or property requested or demanded; or
ii. 
Will reimburse such contractor, grantee, or other recipient for any portion of the money or property which is requested or demanded;
2. 
Does not include requests or demands for money or property that the municipality has already paid to an individual as compensation for government employment or as an income subsidy with no restrictions on that individual's use of the money or property.
"False claim"
means any claim which is, either in whole or part, false or fraudulent.
"Knowing and knowingly"
has the meaning in AS 11.81.900(a) with respect to conduct or to a circumstance, and
1. 
Means that a person, with respect to information:
a. 
Has actual knowledge of the information;
b. 
Acts in deliberate ignorance of the truth or falsity of the information; or
c. 
Acts in reckless disregard of the truth or falsity of the information; and
2. 
Requires no proof of specific intent to defraud; provided, however that acts occurring by mistake or as a result of mere negligence are not covered by this chapter.
"Material"
means having a natural tendency to influence, or be capable of influencing the payment or receipt of money or property.
"Municipal attorney"
means the municipal attorney or his or her deputies, designees, assistants or special assistants.
"Municipality"
means the Municipality of Anchorage and any municipal department, board, bureau, division, commission, committee, public benefit corporation, public authority, council, office or other governmental entity performing a governmental or proprietary function for the municipality.
"Obligation"
means an established duty, whether or not fixed, arising from an express or implied contractual, grantor-grantee, or licensor-licensee relationship, from a fee-based or similar relationship, from statute or regulation, or from the retention of any overpayment.
"Original source"
means a person who:
1. 
Prior to a public disclosure has voluntarily disclosed to the municipality the information on which allegations or transactions in a cause of action are based; or
2. 
Who has knowledge that is independent of and materially adds to the publicly disclosed allegations or transactions, and who has voluntarily provided the information to the municipality before or simultaneous with filing an action under this chapter.
"Person"
means any natural person, partnership, corporation, association or any other legal entity or individual, other than the municipality.
(AO No. 2016-48, § 1, 5-10-2016)