Legislature(2023 - 2024)
2024-02-28 House Journal
Full Journal pdf2024-02-28 House Journal Page 1663 HJR 7 The following was before the House in second reading: CS FOR HOUSE JOINT RESOLUTION NO. 7(W&M) Proposing amendments to the Constitution of the State of Alaska relating to the permanent fund, relating to transfers out of the permanent fund, and requiring payment of a dividend to eligible state residents. Amendment No. 2 was offered by Representative Eastman: Page 1, line 1, following the second occurrence of "to" (title amendment): Insert "dedicated funds, relating to" Page 1, line 6: Delete "The proceeds of any state tax or license" Insert "State revenue, from any source, [THE PROCEEDS OF ANY STATE TAX OR LICENSE]" Page 1, line 8: Delete "out of" Insert "into and within" Page 1, line 9, following "to": Insert "transfers out of the permanent fund and to" Representative Eastman moved and asked unanimous consent that Amendment No. 2 be adopted. Representative Carpenter objected. The question being: "Shall Amendment No. 2 be adopted?" The roll was taken with the following result: 2024-02-28 House Journal Page 1664 CSHJR 7(W&M) Second Reading Amendment No. 2 YEAS: 1 NAYS: 39 EXCUSED: 0 ABSENT: 0 Yeas: Gray Nays: Allard, Armstrong, Baker, Carpenter, Carrick, Coulombe, Cronk, Dibert, Eastman, Edgmon, Fields, Foster, Galvin, Groh, Hannan, Himschoot, C.Johnson, D.Johnson, Josephson, McCabe, McCormick, McKay, Mears, Mina, Ortiz, Prax, Rauscher, Ruffridge, Saddler, Schrage, Shaw, Stapp, Story, Stutes, Sumner, Tilton, Tomaszewski, Vance, Wright And so, Amendment No. 2 was not adopted. Amendment No. 3 was offered by Representative Eastman: Page 2, lines 16 - 19: Delete "Each fiscal year, without appropriation, an amount determined by a formula set out in law shall be transferred from the earnings reserve account in the permanent fund to the general fund. The amount transferred from the earnings reserve account shall not exceed the balance of the earnings reserve account." Insert "Except as otherwise provided in this subsection, each fiscal year, without appropriation, an amount equal to 50 percent of 21 percent of the net income of the permanent fund for the last five fiscal years, including the fiscal year just ended, shall be transferred from the earnings reserve account in the permanent fund to the general fund. The amount transferred from the earnings reserve account shall not exceed the balance of the earnings reserve account plus the net income of the permanent fund for the fiscal year just ended." Page 2, line 21: Delete "from" Insert "equal to" Representative Eastman moved and asked unanimous consent that Amendment No. 3 be adopted. Representative Groh objected. 2024-02-28 House Journal Page 1665 The question being: "Shall Amendment No. 3 be adopted?" The roll was taken with the following result: CSHJR 7(W&M) Second Reading Amendment No. 3 YEAS: 3 NAYS: 37 EXCUSED: 0 ABSENT: 0 Yeas: Eastman, Foster, Tomaszewski Nays: Allard, Armstrong, Baker, Carpenter, Carrick, Coulombe, Cronk, Dibert, Edgmon, Fields, Galvin, Gray, Groh, Hannan, Himschoot, C.Johnson, D.Johnson, Josephson, McCabe, McCormick, McKay, Mears, Mina, Ortiz, Prax, Rauscher, Ruffridge, Saddler, Schrage, Shaw, Stapp, Story, Stutes, Sumner, Tilton, Vance, Wright And so, Amendment No. 3 was not adopted. Amendment No. 4 was offered by Representative Eastman: Page 2, lines 14 - 15: Delete "a new subsection" Insert "new subsections" Page 2, line 19: Delete "Each" Insert "Except as provided in (c) of this section, each" Page 2, line 20: Delete "a formula set out in law" Insert "the formula set out in law on January 1, 2018" Page 2, following line 22: Insert a new subsection to read: "(c) In a calendar year, if, in an act other than an act containing appropriations, a law that sets out the amount or a formula for calculating the amount of the dividend is enacted before the dividend is paid, the dividend shall be paid to eligible residents of the State in that amount or according to that formula during that calendar year." 2024-02-28 House Journal Page 1666 Representative Eastman moved and asked unanimous consent that Amendment No. 4 be adopted. There was objection. Representative Carpenter moved the previous question. Representative Eastman objected. The question being: "Shall the question be called?" The roll was taken with the following result: CSHJR 7(W&M) Second Reading Amendment No. 4/Call the question YEAS: 22 NAYS: 17 EXCUSED: 0 ABSENT: 1 Yeas: Allard, Baker, Carpenter, Coulombe, Cronk, Edgmon, Foster, C.Johnson, McCabe, McKay, Mears, Prax, Rauscher, Ruffridge, Saddler, Shaw, Stapp, Sumner, Tilton, Tomaszewski, Vance, Wright Nays: Armstrong, Carrick, Dibert, Eastman, Fields, Galvin, Gray, Groh, Hannan, Himschoot, D.Johnson, Josephson, Mina, Ortiz, Schrage, Story, Stutes Absent: McCormick And so, lacking the required 26 votes in accordance with Uniform Rule 32, the motion failed. The question being: "Shall Amendment No. 4 be adopted?" The roll was taken with the following result: CSHJR 7(W&M) Second Reading Amendment No. 4 YEAS: 1 NAYS: 39 EXCUSED: 0 ABSENT: 0 Yeas: Eastman 2024-02-28 House Journal Page 1667 Nays: Allard, Armstrong, Baker, Carpenter, Carrick, Coulombe, Cronk, Dibert, Edgmon, Fields, Foster, Galvin, Gray, Groh, Hannan, Himschoot, C.Johnson, D.Johnson, Josephson, McCabe, McCormick, McKay, Mears, Mina, Ortiz, Prax, Rauscher, Ruffridge, Saddler, Schrage, Shaw, Stapp, Story, Stutes, Sumner, Tilton, Tomaszewski, Vance, Wright And so, Amendment No. 4 was not adopted. Amendment No. 5 was offered by Representative Eastman: Page 1, lines 2 - 3 (title amendment): Delete "requiring payment of a dividend" Insert "relating to a program of required payments of dividends" Page 1, line 9: Delete "section 15(b)" Insert "Section 18" Page 2, line 7: Delete "(a)" Page 2, lines 12 - 13: Delete "an earnings reserve account in the fund" Insert "the dividend fund established in Section 18 of this article" Page 2, lines 14 - 22: Delete all material and insert: "* Sec. 4. Article IX, Constitution of the State of Alaska, is amended by adding a new section to read: Section 18. Dividend Fund; Dividends. There is established as a separate fund in the State treasury the dividend fund. The dividend fund may be used only for the payment of dividends to eligible state residents and for costs related to the dividend payment program. Each fiscal year, without appropriation, the State shall, according to a formula set out in law, pay a dividend to eligible residents of the State from the amount deposited into the dividend fund under this section. Each year, the legislature 2024-02-28 House Journal Page 1668 may appropriate an amount from the dividend fund sufficient to pay the costs of administering the dividend payment program." Page 2, lines 26 - 27: Delete "a dividend for state residents (art. IX, sec. 15) applies to payments and transfers" Insert "income of the permanent fund, the dividend fund, and dividends for state residents (art. IX, secs. 15 and 18) applies to payments, transfers, and appropriations" Page 2, lines 28 - 30: Delete all material and insert: "(b) On June 30, 2025, the unencumbered balance of the dividend fund established by law shall be deposited in the dividend fund established in Section 18 of Article IX." Representative Eastman moved and asked unanimous consent that Amendment No. 5 be adopted. Representative Stapp objected. Representative Eastman moved and asked unanimous consent to withdraw Amendment No. 5. There being no objection, it was so ordered. Amendment No. 6 was offered by Representative Hannan: Page 1, line 2 (title amendment): Delete "and" Page 1, line 3, following "residents": Insert ", and relating to the appointment of members of the board of the entity managing the permanent fund" Page 1, following line 4: Insert a new resolution section to read: "* Section 1. Article III, Constitution of the State of Alaska, is amended by adding a new section to read: Section 28. Alaska Permanent Fund Management Appointments. The members of the board of the entity that 2024-02-28 House Journal Page 1669 manages the Alaska permanent fund, created in Section 15 of Article IX, shall be appointed by the governor, subject to confirmation by a majority of the members of the legislature in joint session." Page 1, line 5: Delete "Section 1" Insert "Sec. 2" Renumber the following resolution sections accordingly. Representative Hannan moved and asked unanimous consent that Amendment No. 6 be adopted. Representative Carpenter objected. The question being: "Shall Amendment No. 6 be adopted?" The roll was taken with the following result: CSHJR 7(W&M) Second Reading Amendment No. 6 YEAS: 19 NAYS: 21 EXCUSED: 0 ABSENT: 0 Yeas: Armstrong, Dibert, Eastman, Edgmon, Fields, Foster, Galvin, Gray, Groh, Hannan, Himschoot, Josephson, McCormick, Mears, Mina, Ortiz, Schrage, Story, Stutes Nays: Allard, Baker, Carpenter, Carrick, Coulombe, Cronk, C.Johnson, D.Johnson, McCabe, McKay, Prax, Rauscher, Ruffridge, Saddler, Shaw, Stapp, Sumner, Tilton, Tomaszewski, Vance, Wright And so, Amendment No. 6 was not adopted. Amendment No. 7 was offered by Representative Groh: Page 2, following line 30: Insert a new subsection to read: "(c) Notwithstanding the requirement in Section 15(b) of Article IX that the State pay a dividend to eligible residents of the State by way of a transfer described in that Section, the State shall 2024-02-28 House Journal Page 1670 not pay a dividend by way of the transfer described in that Section until a fiscal year after a formula set out in law for determining the amount of the dividend has been adopted. The formula set out in law under this subsection must be adopted after the effective date of this amendment." Representative Groh moved and asked unanimous consent that Amendment No. 7 be adopted. Representative Carpenter objected. The question being: "Shall Amendment No. 7 be adopted?" The roll was taken with the following result: CSHJR 7(W&M) Second Reading Amendment No. 7 YEAS: 13 NAYS: 27 EXCUSED: 0 ABSENT: 0 Yeas: Armstrong, Eastman, Galvin, Gray, Groh, Hannan, Josephson, McCormick, Mina, Ortiz, Schrage, Story, Stutes Nays: Allard, Baker, Carpenter, Carrick, Coulombe, Cronk, Dibert, Edgmon, Fields, Foster, Himschoot, C.Johnson, D.Johnson, McCabe, McKay, Mears, Prax, Rauscher, Ruffridge, Saddler, Shaw, Stapp, Sumner, Tilton, Tomaszewski, Vance, Wright And so, Amendment No. 7 was not adopted. The Speaker stated that, without objection, the House would recess; and so, the House recessed at 5:17 p.m. HJR 7 The following was before the House in second reading: 2024-02-28 House Journal Page 1671 CS FOR HOUSE JOINT RESOLUTION NO. 7(W&M) Proposing amendments to the Constitution of the State of Alaska relating to the permanent fund, relating to transfers out of the permanent fund, and requiring payment of a dividend to eligible state residents. Amendment No. 8 was not offered. Amendment No. 9 was offered by Representative Fields: Page 2, line 22, following "subsection.": Insert "A resident is not eligible for a dividend under this subsection if, in the calendar year preceding the year the dividend is paid, the resident's adjusted gross income is more than $50,000, or, if the resident filed a joint federal income tax return, the combined adjusted gross income is more than $100,000. The income limits in this subsection do not apply to a resident under 18 years of age." Representative Fields moved and asked unanimous consent that Amendment No. 9 be adopted. Representative Vance objected. The question being: "Shall Amendment No. 9 be adopted?" The roll was taken with the following result: CSHJR 7(W&M) Second Reading Amendment No. 9 YEAS: 8 NAYS: 32 EXCUSED: 0 ABSENT: 0 Yeas: Fields, Galvin, Gray, Hannan, Himschoot, McCormick, Ortiz, Schrage Nays: Allard, Armstrong, Baker, Carpenter, Carrick, Coulombe, Cronk, Dibert, Eastman, Edgmon, Foster, Groh, C.Johnson, D.Johnson, Josephson, McCabe, McKay, Mears, Mina, Prax, Rauscher, Ruffridge, Saddler, Shaw, Stapp, Story, Stutes, Sumner, Tilton, Tomaszewski, Vance, Wright And so, Amendment No. 9 was not adopted. 2024-02-28 House Journal Page 1672 Amendment No. 10 was offered by Representative Fields: Page 2, line 22, following "subsection.": Insert "A resident is not eligible for a dividend under this subsection unless the resident works, including self-employment or employment as an employee or independent contractor, or engages in subsistence activities. The work or subsistence requirement in this subsection does not apply to a resident under 18 years of age or over 65 years of age." Representative Fields moved and asked unanimous consent that Amendment No. 10 be adopted. Representative Tomaszewski objected. The question being: "Shall Amendment No. 10 be adopted?" The roll was taken with the following result: CSHJR 7(W&M) Second Reading Amendment No. 10 YEAS: 5 NAYS: 35 EXCUSED: 0 ABSENT: 0 Yeas: Fields, Ortiz, Schrage, Stapp, Sumner Nays: Allard, Armstrong, Baker, Carpenter, Carrick, Coulombe, Cronk, Dibert, Eastman, Edgmon, Foster, Galvin, Gray, Groh, Hannan, Himschoot, C.Johnson, D.Johnson, Josephson, McCabe, McCormick, McKay, Mears, Mina, Prax, Rauscher, Ruffridge, Saddler, Shaw, Story, Stutes, Tilton, Tomaszewski, Vance, Wright And so, Amendment No. 10 was not adopted. Amendment No. 11 was not offered. Amendment No. 12 was offered by Representative Ortiz: Page 2, lines 16 - 17: Delete "an amount determined by a formula set out in law" Insert "five percent of the average market value of the fund for the first five of the preceding six fiscal years, including the fiscal year just ended," 2024-02-28 House Journal Page 1673 Page 2, line 20: Delete ", according to a formula set out in law," Page 2, line 21: Delete "from" Insert "using at least five percent but not more than twenty-five percent of" Representative Ortiz moved and asked unanimous consent that Amendment No. 12 be adopted. Representative Saddler objected. Amendment No. 1 to Amendment No. 12 was offered by Representative Gray: Page 1, line 11 of the amendment: Delete "twenty-five" Insert "fifty" Representative Gray moved and asked unanimous consent that Amendment No. 1 to Amendment No. 12 be adopted. There was objection. The question being: "Shall Amendment No. 1 to Amendment No. 12 be adopted?" The roll was taken with the following result: CSHJR 7(W&M) Second Reading Amendment No. 1 to Amendment No. 12 YEAS: 12 NAYS: 28 EXCUSED: 0 ABSENT: 0 Yeas: Carpenter, Cronk, Eastman, Galvin, Gray, Josephson, McCabe, Ortiz, Prax, Rauscher, Ruffridge, Tomaszewski Nays: Allard, Armstrong, Baker, Carrick, Coulombe, Dibert, Edgmon, Fields, Foster, Groh, Hannan, Himschoot, C.Johnson, D.Johnson, McCormick, McKay, Mears, Mina, Saddler, Schrage, Shaw, Stapp, Story, Stutes, Sumner, Tilton, Vance, Wright And so, Amendment No. 1 to Amendment No. 12 was not adopted. 2024-02-28 House Journal Page 1674 Representative C. Johnson moved and asked unanimous consent that the House rescind previous action in failing to adopt Amendment No. 1 to Amendment No. 12. Representative Eastman objected and withdrew the objection. There being no further objection, it was so ordered. The question being: "Shall Amendment No. 1 to Amendment No. 12 be adopted?" The roll was taken with the following result: CSHJR 7(W&M) Second Reading Amendment No. 1 to Amendment No. 12 YEAS: 21 NAYS: 19 EXCUSED: 0 ABSENT: 0 Yeas: Allard, Carpenter, Coulombe, Cronk, Eastman, Gray, C.Johnson, D.Johnson, Josephson, McCabe, Prax, Rauscher, Ruffridge, Saddler, Shaw, Stapp, Sumner, Tilton, Tomaszewski, Vance, Wright Nays: Armstrong, Baker, Carrick, Dibert, Edgmon, Fields, Foster, Galvin, Groh, Hannan, Himschoot, McCormick, McKay, Mears, Mina, Ortiz, Schrage, Story, Stutes Shaw changed from "NAY" to "YEA" And so, Amendment No. 1 to Amendment No. 12 was adopted. The question being: "Shall Amendment No. 12 as amended be adopted?" The roll was taken with the following result: CSHJR 7(W&M) Second Reading Amendment No. 12 as amended YEAS: 10 NAYS: 30 EXCUSED: 0 ABSENT: 0 Yeas: Armstrong, Edgmon, Galvin, Gray, Himschoot, Josephson, Ortiz, Schrage, Story, Stutes 2024-02-28 House Journal Page 1675 Nays: Allard, Baker, Carpenter, Carrick, Coulombe, Cronk, Dibert, Eastman, Fields, Foster, Groh, Hannan, C.Johnson, D.Johnson, McCabe, McCormick, McKay, Mears, Mina, Prax, Rauscher, Ruffridge, Saddler, Shaw, Stapp, Sumner, Tilton, Tomaszewski, Vance, Wright And so, Amendment No. 12 as amended was not adopted. Amendment No. 13 was offered by Representative Schrage: Page 1, line 1, following the second occurrence of "to" (title amendment): Insert "education funding, relating to" Page 1, line 7: Delete "section 15(a) [15]" Insert "Section 18 of this article, related to education funding, Section 15(a) [SECTION 15]" Page 1, line 9: Delete "section" Insert "Section" Page 1, line 15: Delete "section" Insert "Section 18 of this article, related to education funding, and Section" Page 2, following line 22: Insert a new resolution section to read: "* Sec. 5. Article IX, Constitution of the State of Alaska, is amended by adding a new section to read: Section 18. Education Funding. Each fiscal year, without appropriation, an amount determined by a formula set out in law establishing a minimum amount of education funding shall be transferred from the general fund to a public education fund established by law. Each fiscal year, without appropriation, the State shall pay state aid to each school district in the State from the amount deposited into the public education fund under this section, distributed proportionately to each school district according to a formula set out in law." 2024-02-28 House Journal Page 1676 Renumber the following resolution sections accordingly. Page 2, lines 23 - 24: Delete "a new section" Insert "new sections" Page 2, following line 30: Insert new material to read: "Section 31. Education Funding Amendment: Transition. The 2024 amendment relating to education funding (art. IX, sec. 18) applies to transfers made for the fiscal year ending June 30, 2026, and thereafter." Representative Schrage moved and asked unanimous consent that Amendment No. 13 be adopted. Representative McKay objected. The question being: "Shall Amendment No. 13 be adopted?" The roll was taken with the following result: CSHJR 7(W&M) Second Reading Amendment No. 13 YEAS: 14 NAYS: 26 EXCUSED: 0 ABSENT: 0 Yeas: Armstrong, Dibert, Edgmon, Fields, Galvin, Gray, Hannan, Josephson, McCormick, Mina, Ortiz, Schrage, Story, Stutes Nays: Allard, Baker, Carpenter, Carrick, Coulombe, Cronk, Eastman, Foster, Groh, Himschoot, C.Johnson, D.Johnson, McCabe, McKay, Mears, Prax, Rauscher, Ruffridge, Saddler, Shaw, Stapp, Sumner, Tilton, Tomaszewski, Vance, Wright And so, Amendment No. 13 was not adopted. Representative Saddler moved and asked unanimous consent that CSHJR 7(W&M) be considered engrossed, advanced to third reading, and placed on final passage. There was objection. 2024-02-28 House Journal Page 1677 CSHJR 7(W&M) will advance to third reading on the March 1 calendar.