00HOUSE BILL NO. 8                                                                                                        
01 "An Act relating to personal permanent fund dividend accounts; and providing                                            
02 for an effective date."                                                                                                 
03 BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF ALASKA:                                                                
04    * Section 1.  AS 43.23 is amended by adding a new section to read:                                                   
05  Sec. 43.23.018.  Personal permanent fund dividend accounts.  (a)  The                                                 
06 department shall prepare the permanent fund dividend application to allow an applicant                                  
07 to elect to have the dividend paid into a personal permanent fund dividend account.                                     
08 The money in a personal account shall be invested by the Alaska Permanent Fund                                          
09 Corporation subject to AS 37.13.120, but the money is not part of the Alaska                                            
10 permanent fund and the income may not be included in the computation of net income                                      
11 under AS 37.13.140.  Income earned on the investment of money in a personal account                                     
12 shall be retained in the personal account and reinvested until it is withdrawn under (b)                                
13 or (c) of this section.                                                                                                 
14  (b)  Five years after an individual elects to have a dividend paid into a personal                                    

01 account, the department shall allow that individual to elect to withdraw the dividend                                   
02 together with income earned on investment of the dividend or to direct that the money                                   
03 be retained in the personal account and invested for an additional five-year period.  If                                
04 an individual elects to have a dividend and income earned on it retained in the                                         
05 personal account, at the end of each five-year period thereafter until the money is                                     
06 withdrawn, the department shall provide the individual the choice of withdrawing the                                    
07 money or having the money again retained in the personal account.                                                       
08  (c)  If an individual dies without withdrawing all money in the personal                                              
09 account, the personal representative of the individual's estate may file a claim for the                                
10 money on behalf of the individual's estate.  The department shall pay the money to the                                  
11 personal representative within 60 days after receiving a claim under this subsection.                                   
12 The department shall prescribe and furnish an application form for claiming money                                       
13 under this subsection.                                                                                                  
14    * Sec. 2.  This Act takes effect January 1, 1998.