2015-03-04                     Senate Journal                      Page 0379
SB 67                                                                                                                         
SENATE BILL NO. 67 BY THE SENATE RULES COMMITTEE                                                                                
BY REQUEST OF THE GOVERNOR, entitled:                                                                                           
                                                                                                                                
             "An Act establishing a Roth contribution program for                                                              
                 the public employees' deferred compensation                                                                   
          program; and providing for an effective date."                                                                        
                                                                                                                                
was read the first time and referred to the State Affairs and Finance                                                           
Committees.                                                                                                                     
                                                                                                                                
The following fiscal information was published today:                                                                           
 Fiscal Note No. 1, zero, Department of Administration                                                                          
                                                                                                                                
Governor's transmittal letter dated March 3:                                                                                    
                                                                                                                                
Dear President Meyer:                                                                                                           
                                                                                                                                
Under the authority of Article III, Section 18 of the Alaska                                                                    
Constitution, I am transmitting a bill relating to the establishment of a                                                       
Roth contribution program for the public employees' deferred                                                                    
compensation program.                                                                                                           
                                                                                                                                
Currently, AS 39.45.050 only allows deferred tax contributions to be                                                            
made on behalf of participating employees under the public                                                                      
employees' deferred compensation program (program). Deferred                                                                    
contributions are contributions that are not taxed until the participating                                                      
employee begins receiving benefits under the program. The bill would                                                            
allow Roth contributions in addition to deferred tax contributions.                                                             
Roth contributions are contributions made post-tax, thereby                                                                     
eliminating the tax liability at the time of retirement.                                                                        
                                                                                                                                
I urge your prompt and favorable action on this measure.                                                                        
                                                                                                                                
Sincerely,                                                                                                                      
/s/                                                                                                                             
Bill Walker                                                                                                                     
Governor