CSHB 411(STA): "An Act relating to the market value of the permanent fund and to distribution of income of the permanent fund; and providing for an effective date."
00CS FOR HOUSE BILL NO. 411(STA) 01 "An Act relating to the market value of the permanent fund and to distribution 02 of income of the permanent fund; and providing for an effective date." 03 BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF ALASKA: 04 * Section 1. AS 37.13.140 is amended to read: 05 Sec. 37.13.140. Income available for distribution . The market value [NET 06 INCOME] of the fund includes the market value [INCOME] of the earnings reserve 07 account established under AS 37.13.145. The market value [NET INCOME] of the 08 fund shall be computed annually as of the last day of the fiscal year in accordance 09 with generally accepted accounting principles [, EXCLUDING ANY UNREALIZED 10 GAINS OR LOSSES]. Income available for distribution equals 5.3 [21] percent of the 11 average year-end market value [NET INCOME] of the fund for the last three 12 [FIVE] fiscal years, including the fiscal year just ended, but may not exceed [NET 13 INCOME OF THE FUND FOR THE FISCAL YEAR JUST ENDED PLUS] the 14 balance in the earnings reserve account described in AS 37.13.145.
01 * Sec. 2. AS 37.13.145(b) is amended to read: 02 (b) By October 1 [AT THE END OF] each [FISCAL] year, the corporation 03 shall transfer from the earnings reserve account to the dividend fund established under 04 AS 43.23.045, 75 [50] percent of the income available for distribution under 05 AS 37.13.140 , or the balance in the account, whichever is less . 06 * Sec. 3. AS 37.13.145 is amended by adding a new subsection to read: 07 (e) By October 1 each year after the transfer under (b) of this section, the 08 corporation shall transfer from the earnings reserve account to the general fund 25 09 percent of the income available for distribution under AS 37.13.140, or the balance in 10 the account, whichever is less. 11 * Sec. 4. AS 37.13.300(c) is amended to read: 12 (c) Income or other money [NET INCOME] from the mental health trust 13 fund may not be included in the computation of [NET] income available for 14 distribution under AS 37.13.140. 15 * Sec. 5. AS 37.14.031(c) is amended to read: 16 (c) The net income of the fund shall be determined by the Alaska Permanent 17 Fund Corporation annually as of the last day of the fiscal year in accordance with 18 generally accepted accounting principles, excluding any unrealized gains or losses 19 [IN THE SAME MANNER THE CORPORATION DETERMINES THE NET 20 INCOME OF THE ALASKA PERMANENT FUND UNDER AS 37.13.140]. 21 * Sec. 6. AS 37.17.020(b) is amended to read: 22 (b) The endowment shall be held and invested by the Alaska Permanent Fund 23 Corporation subject to AS 37.13.120; however, net income from the endowment shall 24 be distributed under AS 37.17.010 - 37.17.110 and 37.17.225. Income or other 25 money [NET INCOME] from the endowment may not be included in the computation 26 of [NET] income available for distribution under AS 37.13.140. 27 * Sec. 7. AS 37.17.440(b) is amended to read: 28 (b) The principal and income of the endowment shall be held and invested by 29 the Alaska Permanent Fund Corporation subject to AS 37.13.120; however, net income 30 from the endowment and subsequent income earned on net income from the 31 endowment shall be held in a separate account until appropriated by the legislature.
01 Income or other money [NET INCOME] from the endowment may not be included 02 in the computation of [NET] income available for distribution under AS 37.13.140. 03 * Sec. 8. AS 37.13.145(c) is repealed. 04 * Sec. 9. The uncodified law of the State of Alaska is amended by adding a new section 05 to read: 06 TRANSITION. Notwithstanding AS 37.13.140, as amended in sec. 1 of this Act, 07 income available for distribution following the end of fiscal year 08 (1) 2000 is equal to 5.3 percent of the year-end market value of the fund, but 09 may not exceed the balance in the earnings reserve account; 10 (2) 2001 is equal to 5.3 percent of the average of the year-end market value 11 of the fund for the last two fiscal years, including the fiscal year just ended, but may not 12 exceed the balance in the earnings reserve account. 13 * Sec. 10. This Act takes effect June 30, 2000.