00 SENATE JOINT RESOLUTION NO. 7                                                                                           
01 Proposing amendments to the Constitution of the State of Alaska creating a                                              
02 permanent endowment for education.                                                                                      
03 BE IT RESOLVED BY THE LEGISLATURE OF THE STATE OF ALASKA:                                                               
04    * Section 1.  Section 7, Article IX, Constitution of the State of Alaska, is amended to read:                        
05  SECTION 7.  DEDICATED FUNDS.  The proceeds of  any state tax or                                                       
06 license shall not be  dedicated to any special purpose, except as provided in Section                                   
07 15 and Section 18 of this article or when required by the federal government for state                                
08 participation in federal programs. This  provision shall not prohibit  the continuance                                  
09 of any  dedication for  special purposes  existing upon  the date  of ratification of  this                             
10 section  by the  people of  Alaska.                                                                                     
11    * Sec. 2.  Article IX, Constitution of the State of Alaska, is amended by adding a new                               
12 section to read:                                                                                                        
13  SECTION 18.  EDUCATION FUND.  There is established an education fund                                                  
14 to endow public education.  The education fund shall be invested as required by law                                     
01 for permanent fund investments.  Income from the education fund may be appropriated                                     
02 only to finance public elementary and secondary education in the State.                                                 
03 Notwithstanding Section 7 of this article, annual income that is not appropriated shall                                 
04 be retained in the principal of the education fund.                                                                     
05    * Sec. 3.  Article XV, Constitution of the State of Alaska, is amended by adding new                                 
06 sections to read:                                                                                                       
07  SECTION 29.  EDUCATION FUND DEPOSITS.  After January 1, 1995, forty                                                   
08 percent of the income of the permanent fund shall be placed annually in the education                                   
09 fund.  Deposits shall be made annually through December 31, 2009.  Deposits made                                        
10 under this section are not subject to the prohibition on dedicated funds under Section                                  
11 7 of Article IX.                                                                                                        
12  SECTION 30.  RECONSIDERATION OF EDUCATION FUND DEPOSITS.                                                              
13 If the 1994 amendment establishing education fund deposits (Art. XV, Sec. 29) is                                        
14 adopted, the lieutenant governor shall cause the ballot proposition for the amendment                                   
15 to be placed on the ballot again at the general election in 1998.  If the amendment is                                  
16 rejected by a majority of those voting on the proposition in 1998, the amendment shall                                  
17 be repealed.                                                                                                            
18    * Sec. 4.  The amendments proposed by this resolution shall be placed before the voters of                           
19 the state at the next general election in conformity with art. XIII, sec. 1, Constitution of the                        
20 State of Alaska, and the election laws of the state.