CSHB 298(FIN): "An Act relating to the income of and appropriations from the Alaska permanent fund under art. IX, sec. 15(b), Constitution of the State of Alaska, and making conforming amendments; relating to the determination of net income of the mental health trust fund; and providing for an effective date."
00 CS FOR HOUSE BILL NO. 298(FIN) 01 "An Act relating to the income of and appropriations from the Alaska permanent fund 02 under art. IX, sec. 15(b), Constitution of the State of Alaska, and making conforming 03 amendments; relating to the determination of net income of the mental health trust 04 fund; and providing for an effective date." 05 BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF ALASKA: 06 * Section 1. AS 09.20.050(b) is amended to read: 07 (b) The jury list shall be based on a list prepared by the Department of 08 Revenue of all persons who filed an application for a [DISTRIBUTION OF 09 ALASKA] permanent fund dividend [INCOME] under AS 43.23 during the current 10 calendar year that shows an Alaska [ALASKAN] address, and of all persons who 11 volunteer for jury duty under (d) of this section. If considered necessary by the 12 administrative director of the Alaska Court System, the jury list shall incorporate a list 13 prepared by the Department of Administration of all persons who hold a valid Alaska 14 driver's license. The departments shall submit their respective lists to the Alaska
01 Court System not later than September 30 of each year. To the extent that it is 02 available, the departments shall include on the lists they submit the following 03 information for each person: first name, middle initial, and last name; mailing address, 04 including the zip code; and birth date. The lists shall be recorded on magnetic tape 05 compatible with Alaska Court System data processing equipment. 06 * Sec. 2. AS 24.20.206 is amended to read: 07 Sec. 24.20.206. Duties. The Legislative Budget and Audit Committee shall 08 (1) [REPEALED 09 (2)] annually review the long-range operating plans of all agencies of 10 the state that perform lending or investment functions; 11 (2) [(3)] review periodic reports from all agencies of the state that 12 perform lending or investment functions; 13 (3) [(4)] prepare a complete report of investment programs, plans, 14 performance, and policies of all agencies of the state that perform lending or 15 investment functions and notify the legislature within 30 days after the convening of 16 each regular session that the report is available; 17 (4) [(5)] in conjunction with the finance committee of each house, 18 recommend annually to the legislature the investment policy for the general fund 19 surplus and for the [INCOME FROM THE] permanent fund; 20 (5) [(6)] provide for an annual post audit and annual operational and 21 performance evaluation of the Alaska Permanent Fund Corporation investments and 22 investment programs; 23 (6) [(7)] provide for an annual operational and performance evaluation 24 of the Alaska Housing Finance Corporation and the Alaska Industrial Development 25 and Export Authority; the performance evaluation must include, but is not limited to, a 26 comparison of the effect on various sectors of the economy by public and private 27 lending, the effect on resident and nonresident employment, the effect on real wages, 28 and the effect on state and local operating and capital budgets of the programs of the 29 Alaska Housing Finance Corporation and the Alaska Industrial Development and 30 Export Authority; 31 (7) [(8)] provide assistance to the trustees of the trust established in
01 AS 37.14.400 - 37.14.450 in carrying out their duties under AS 37.14.415. 02 * Sec. 3. AS 37.13 is amended by adding a new section to read: 03 Sec. 37.13.143. Appropriations from the fund. (a) The total amount 04 available for appropriation from the fund for a specific fiscal year is determined under 05 art. IX, sec. 15(b), Constitution of the State of Alaska. However, if the annualized real 06 rate of return of the fund during the first 10 of the 11 fiscal years immediately 07 preceding the specific fiscal year was less than five percent, the amount available for 08 appropriation for that specific fiscal year may not exceed that 10-year annualized real 09 rate of return multiplied by the average of the fiscal year-end market values of the 10 fund for the first five of the six fiscal years immediately preceding that specific fiscal 11 year. For purposes of this subsection, "real rate of return" means the total rate of 12 return of the fund's investments for the period measured, minus the rate of inflation for 13 that period, stated on an annualized basis. 14 (b) The legislature may appropriate from the fund for each fiscal year the 15 amount for costs of the corporation associated with operating and investing the fund. 16 (c) After the appropriation under (b) of this section, appropriations by the 17 legislature for a specific fiscal year are limited as follows, based on the total amount 18 remaining available for appropriation under (a) of this section: 19 (1) not more than 50 percent may be appropriated for public education; 20 (2) not more than 50 percent may be appropriated to the dividend fund 21 established under AS 43.23.045. 22 (d) The corporation shall transfer money appropriated under this section from 23 the fund within 14 days after the effective date of the appropriation. 24 (e) For purposes of (a) of this section, the corporation shall calculate the rate 25 of inflation using the annual year over year change in the Consumer Price Index for all 26 urban consumers for the time period specified. 27 * Sec. 4. AS 37.13 is amended by adding a new section to read: 28 Sec. 37.13.148. Market value of the fund. For the purposes of art. IX, sec. 29 15(b), Constitution of the State of Alaska, the corporation shall determine the market 30 value of the fund annually as of the close of business on June 30 in accordance with 31 generally accepted accounting principles for the determination of fair value.
01 * Sec. 5. AS 37.13.150 is amended to read: 02 Sec. 37.13.150. Corporation budget. The [REVENUE GENERATED BY 03 THE FUND'S INVESTMENTS MUST BE IDENTIFIED AS THE SOURCE OF 04 THE] operating budget of the corporation shall be included in the state's operating 05 budget under AS 37.07 (Executive Budget Act). [THE UNEXPENDED BALANCE 06 OF THE CORPORATION'S ANNUAL OPERATING BUDGET DOES NOT LAPSE 07 AT THE END OF THE FISCAL YEAR BUT SHALL BE TREATED AS INCOME 08 UNDER AS 37.13.140.] 09 * Sec. 6. AS 37.14.031(c) is amended to read: 10 (c) The net income of the fund shall be determined by the Alaska Permanent 11 Fund Corporation annually as of the last day of the fiscal year in accordance with 12 generally accepted accounting principles [IN THE SAME MANNER THE 13 CORPORATION DETERMINES THE NET INCOME OF THE ALASKA 14 PERMANENT FUND UNDER AS 37.13.140]. 15 * Sec. 7. AS 43.23.025(a) is amended to read: 16 (a) By October 1 of each year, the commissioner shall determine the value of 17 each permanent fund dividend for that year by 18 (1) determining the total amount available for dividend payments, 19 which equals 20 (A) the amount of money appropriated from [INCOME OF] 21 the Alaska permanent fund [TRANSFERRED] to the dividend fund under 22 AS 37.13.143 [AS 37.13.145(b)] during the current year; 23 (B) plus the unexpended and unobligated balances of prior 24 fiscal year appropriations that lapse into the dividend fund under 25 AS 43.23.045(d); 26 (C) less the amount necessary to pay prior year dividends from 27 the dividend fund in the current year under AS 43.23.005(h) and under 28 AS 43.23.055(3) and (7); 29 (D) less the amount necessary to pay dividends from the 30 dividend fund due to eligible applicants who, as determined by the department, 31 filed for a previous year's dividend by the filing deadline but who were not
01 included in a previous year's dividend computation; 02 (E) less appropriations from the dividend fund during the 03 current year, including amounts to pay costs of administering the dividend 04 program and the hold harmless provisions of AS 43.23.075; 05 (2) determining the number of individuals eligible to receive a 06 dividend payment for the current year and the number of estates and successors 07 eligible to receive a dividend payment for the current year under AS 43.23.005(h); and 08 (3) dividing the amount determined under (1) of this subsection by the 09 amount determined under (2) of this subsection. 10 * Sec. 8. AS 43.23.028(a) is amended to read: 11 (a) By October 1 of each year, the commissioner shall give public notice of 12 the value of each permanent fund dividend for that year and notice of the information 13 required to be disclosed under (3) of this subsection. In addition, the stub attached to 14 each individual dividend check and direct deposit advice must 15 (1) disclose the amount of each dividend attributable to [INCOME 16 EARNED BY THE PERMANENT FUND FROM] deposits to that fund required 17 under art. IX, sec. 15, Constitution of the State of Alaska; 18 (2) disclose the amount of each dividend attributable to all [INCOME 19 EARNED BY THE PERMANENT FUND FROM] appropriations to that fund plus 20 [AND FROM] amounts added to that fund before January 1, 2005, to offset the 21 effects of inflation; 22 (3) disclose the amount by which each dividend has been reduced due 23 to each appropriation from the dividend fund, including amounts to pay the costs of 24 administering the dividend program and the hold harmless provisions of 25 AS 43.23.075; 26 (4) include a statement that an individual is not eligible for a dividend 27 when 28 (A) during the qualifying year, the individual was convicted of 29 a felony; 30 (B) during all or part of the qualifying year, the individual was 31 incarcerated as a result of the conviction of a
01 (i) felony; or 02 (ii) misdemeanor if the individual has been convicted of 03 a prior felony or two or more prior misdemeanors; 04 (5) include a statement that the legislative purpose for making 05 individuals listed under (4) of this subsection ineligible is to 06 (A) obtain reimbursement for some of the costs imposed on the 07 state criminal justice system related to incarceration or probation of those 08 individuals; 09 (B) provide funds for services for and payments to crime 10 victims and for grants for the operation of domestic violence and sexual assault 11 programs; 12 (6) disclose the total amount that would have been paid during the 13 previous fiscal year to individuals who were ineligible to receive dividends under 14 AS 43.23.005(d) if they had been eligible; 15 (7) disclose the total amount appropriated for the current fiscal year 16 under (b) of this section for each of the funds and agencies listed in (b) of this section. 17 * Sec. 9. AS 37.13.140, 37.13.145, and 37.13.300(c) are repealed. 18 * Sec. 10. The uncodified law of the State of Alaska is amended by adding a new section to 19 read: 20 CONDITIONAL EFFECT. This Act takes effect only if an amendment to art. IX, sec. 21 15, Constitution of the State of Alaska, relating to and limiting appropriations from the Alaska 22 permanent fund based on an averaged percent of the fund market value, is approved by the 23 voters during the 2004 general election and takes effect. 24 * Sec. 11. If this Act takes effect under sec. 10 of this Act, it takes effect on January 1, 25 2005.