00 SPONSOR SUBSTITUTE FOR SENATE JOINT RESOLUTION NO. 1
01 Proposing amendments to the Constitution of the State of Alaska relating to the Alaska
02 permanent fund and appropriations from the Alaska permanent fund.
03 BE IT RESOLVED BY THE LEGISLATURE OF THE STATE OF ALASKA:
04 * Section 1. Article IX, sec. 15, Constitution of the State of Alaska, is amended to read:
05 Section 15. Alaska Permanent Fund. (a) At least twenty-five percent of all
06 mineral lease rentals, royalties, royalty sale proceeds, federal mineral revenue sharing
07 payments and bonuses received by the State shall be placed in a permanent fund,
08 [THE PRINCIPAL OF] which shall be used [ONLY] for [THOSE] income-producing
09 investments specifically designated by law as eligible for permanent fund investments.
10 All income from the permanent fund shall be retained [DEPOSITED] in the
11 [GENERAL] fund [UNLESS OTHERWISE PROVIDED BY LAW].
12 * Sec. 2. Article IX, sec. 15, Constitution of the State of Alaska, is amended by adding new
13 subsections to read:
14 (b) At the end of each fiscal year, the following shall be determined in
15 accordance with generally accepted accounting principles:
16 (1) five percent of the average market value of the fund for the first
01 five of the preceding six fiscal years, including the fiscal year just ended, including
02 any unrealized gains or losses;
03 (2) twenty-one percent of the net income of the fund for the preceding
04 five fiscal years, including the fiscal year just ended, excluding any unrealized gains or
06 (c) Each year, fifty percent of the amount determined under (b)(1) of this
07 section, or fifty percent of the amount determined under (b)(2) of this section,
08 whichever is greater, shall be transferred for use in a program of dividend payments to
09 State residents as provided by law.
10 (d) After the transfer in (c) of this section, the remainder of the amount
11 calculated under (b)(1) of this section may be appropriated to the general fund for the
12 costs and expenses of State government.
13 * Sec. 3. Article XV, Constitution of the State of Alaska, is amended by adding a new
14 section to read:
15 Section 30. Permanent Fund Amendments: Transition. (a) On June 30,
16 2021, the unencumbered balance of the earnings reserve account established by law
17 shall be deposited in the Alaska permanent fund and become part of the principal of
18 the fund.
19 (b) The 2020 amendments relating to the Alaska permanent fund (art. IX, sec.
20 15) apply to appropriations made for the fiscal year ending June 30, 2022, and
22 * Sec. 4. The amendments proposed by this resolution shall be placed before the voters of
23 the state at the next general election in conformity with art. XIII, sec. 1, Constitution of the
24 State of Alaska, and the election laws of the state.