HB 3002: "An Act relating to the earnings of the Alaska permanent fund and the earnings reserve account; relating to the mental health trust fund; and providing for an effective date."
00 HOUSE BILL NO. 3002 01 "An Act relating to the earnings of the Alaska permanent fund and the earnings reserve 02 account; relating to the mental health trust fund; and providing for an effective date." 03 BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF ALASKA: 04 * Section 1. AS 37.13.145(c) is amended to read: 05 (c) After the transfer under (b) [AND AN APPROPRIATION UNDER (e)] of 06 this section, the corporation shall transfer from the earnings reserve account to the 07 principal of the fund an amount sufficient to offset the effect of inflation on the 08 principal of the fund during that fiscal year. However, none of the amount transferred 09 shall be applied to increase the value of that portion of the principal attributed to the 10 settlement of State v. Amerada Hess, et al., 1JU-77-847 Civ. (Superior Court, First 11 Judicial District) on July 1, 2004. The corporation shall calculate the amount to 12 transfer to the principal under this subsection by 13 (1) computing the average of the monthly United States Consumer 14 Price Index for all urban consumers for each of the two previous calendar years;
01 (2) computing the percentage change between the first and second 02 calendar year average; and 03 (3) applying that rate to the value of the principal of the fund on the 04 last day of the fiscal year just ended, including that portion of the principal attributed 05 to the settlement of State v. Amerada Hess, et al., 1JU-77-847 Civ. (Superior Court, 06 First Judicial District). 07 * Sec. 2. AS 37.13.145(d) is amended to read: 08 (d) Notwithstanding (b) of this section, income earned on money awarded in 09 or received as a result of State v. Amerada Hess, et al., 1JU-77-847 Civ. (Superior 10 Court, First Judicial District), including settlement, summary judgment, or adjustment 11 to a royalty-in-kind contract that is tied to the outcome of this case, or interest earned 12 on the money, or on the earnings of the money shall be treated in the same manner as 13 other income of the Alaska permanent fund, except that it is not available for 14 distribution to the dividend fund or [,] for transfers to the principal under (c) of this 15 section, [OR FOR AN APPROPRIATION UNDER (e) OF THIS SECTION,] and 16 shall be annually deposited into the Alaska capital income fund (AS 37.05.565). 17 * Sec. 3. AS 37.13.150 is amended to read: 18 Sec. 37.13.150. Corporation budget. The revenue generated by the fund's 19 investments must be identified as the source of the operating budget of the corporation 20 in the state's operating budget under AS 37.07 (Executive Budget Act). The 21 unexpended balance of the corporation's annual operating budget does not lapse at the 22 end of the fiscal year but shall be treated as income [AND PART OF THE MARKET 23 VALUE OF THE FUND] under AS 37.13.140. 24 * Sec. 4. AS 37.13.300(c) is amended to read: 25 (c) Net income from the mental health trust fund may not be included in the 26 computation of net income [OR MARKET VALUE] available for distribution [OR 27 APPROPRIATION] under AS 37.13.140. 28 * Sec. 5. AS 37.13.140(b), 37.13.145(e), and 37.13.145(f) are repealed. 29 * Sec. 6. This Act takes effect July 1, 2022.