CSHB 359(RES): "An Act relating to the permanent fund dividend and a permanent fund dividend buy-out; and providing for an effective date."
00 CS FOR HOUSE BILL NO. 359(RES) 01 "An Act relating to the permanent fund dividend and a permanent fund dividend buy- 02 out; and providing for an effective date." 03 BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF ALASKA: 04 * Section 1. AS 43.23.025(a) is amended to read: 05 (a) By October 1 of each year, the commissioner shall determine the value of 06 each permanent fund dividend for that year by 07 (1) determining the total amount available for dividend payments, 08 which equals 09 (A) the amount of income of the Alaska permanent fund 10 transferred to the dividend fund under AS 37.13.145(b) during the current year; 11 (B) plus the unexpended and unobligated balances of prior 12 fiscal year appropriations that lapse into the dividend fund under 13 AS 43.23.045(d); 14 (C) less the amount necessary to pay prior year dividends from
01 the dividend fund in the current year under AS 43.23.005(h), 43.23.021, and 02 43.23.055(3) and (7); 03 (D) less the amount necessary to pay dividends from the 04 dividend fund due to eligible applicants who, as determined by the department, 05 filed for a previous year's dividend by the filing deadline but who were not 06 included in a previous year's dividend computation; 07 (E) less appropriations from the dividend fund during the 08 current year, including amounts to pay costs of administering the dividend 09 program and the hold harmless provisions of AS 43.23.240; 10 (2) determining the number of individuals eligible to receive a 11 dividend payment for the current year, the number of individuals who received all 12 three permanent fund dividend buy-out payments under AS 43.23.031, and the 13 number of estates and successors eligible to receive a dividend payment for the current 14 year under AS 43.23.005(h); and 15 (3) dividing the amount determined under (1) of this subsection by the 16 amount determined under (2) of this subsection. 17 * Sec. 2. AS 43.23 is amended by adding a new section to article 1 to read: 18 Sec. 43.23.031. Permanent fund dividend buy-out. (a) An individual who is 19 eligible to receive a permanent fund dividend during calendar year 2026 may opt to 20 receive a permanent fund dividend buy-out under this section. If an individual opts to 21 receive a permanent fund dividend buy-out, the department shall, subject to 22 appropriation by the legislature, pay to the individual 23 (1) $5,000 in calendar year 2026, in addition to the amount of the 24 permanent fund dividend calculated under AS 43.23.025; 25 (2) $5,000 in calendar year 2027, in addition to the amount of the 26 permanent fund dividend calculated under AS 43.23.025, if the individual applies for 27 and is eligible for the permanent fund dividend in 2027 and was eligible for a 28 permanent fund dividend in 2026; 29 (3) $5,000 in calendar year 2028, in addition to the amount of the 30 permanent fund dividend calculated under AS 43.23.025, if the individual applies for 31 and is eligible for the permanent fund dividend in 2028 and applied for and was
01 eligible for a permanent fund dividend in 2026 and in 2027. 02 (b) Notwithstanding AS 43.23.005, for a calendar year after 2028, an 03 individual who receives all three permanent fund dividend buy-out payments shall 04 receive a permanent fund dividend payment equal to $0. 05 (c) This section does not prohibit an individual from applying for a permanent 06 fund dividend, or the department from determining the eligibility of the individual, for 07 the purpose of qualifying for another state program or benefit, or determining the 08 individual's residency. 09 (d) Each year, the commissioner shall transfer from the dividend fund to the 10 general fund an amount equal to the amount that would have been paid to individuals 11 who received all three permanent fund dividend buy-out payments. 12 (e) The department shall adopt regulations to implement this section. 13 * Sec. 3. The uncodified law of the State of Alaska is amended by adding a new section to 14 read: 15 2026 DIVIDEND APPLICATION. The Department of Revenue shall prepare the 16 application for a permanent fund dividend filed during the application period that begins 17 January 1, 2026, to allow an eligible individual to opt to receive the permanent fund dividend 18 buy-out under AS 43.23.031. 19 * Sec. 4. This Act takes effect January 1, 2026.