Legislature(2025 - 2026)BARNES 124
01/27/2026 08:00 AM House COMMUNITY & REGIONAL AFFAIRS
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| Audio | Topic |
|---|---|
| Start | |
| HB255 | |
| Adjourn |
* first hearing in first committee of referral
+ teleconferenced
= bill was previously heard/scheduled
+ teleconferenced
= bill was previously heard/scheduled
| *+ | HB 255 | TELECONFERENCED | |
| + | TELECONFERENCED |
HB 255-SENIOR CITIZEN GRANTS DIVIDEND RAFFLE
8:05:30 AM
CO-CHAIR MEARS announced that the only order of business would
be HOUSE BILL NO. 255, "An Act relating to permanent fund
dividend raffles; creating the senior citizen grants endowment
fund and the senior citizen grants dividend raffle fund;
authorizing donations from permanent fund dividends for grants
to organizations that provide support for senior citizens and
for entry into the senior citizen grants dividend raffle;
relating to transfers from the senior citizen grants endowment
fund and the senior citizen grants dividend raffle fund;
relating to the duties of the Department of Revenue; and
relating to the definition of 'gambling.'"
8:06:08 AM
REPRESENTATIVE G. NELSON introduced himself as a new member of
the committee, highlighting his seven years of service on the
Sutton Community Council. He said he's honored to be part of
the committee.
8:06:49 AM
REPRESENTATIVE ST. CLAIR introduced himself as a new member of
the committee, highlighting his 20 years of military service, as
well as his experience as a legislative staffer for then
Representative Cathy Tilton and former Representative Thomas
Baker.
8:07:52 AM
REPRESENTATIVE WILL STAPP, Alaska State Legislature, as prime
sponsor, presented HB 255. He paraphrased the sponsor statement
[included in the committee file], which read as follows
[original punctuation provided]:
House Bill 255 creates a new, voluntary way for
Alaskans to support senior services across the state
by establishing the Senior Citizen Grants Endowment
Fund and the Senior Citizen Grants Dividend Raffle
Fund.
HB 255 allows Alaskans to donate a portion of their
Permanent Fund Dividend, on a voluntary basis, to
support grants for nonprofit organizations that serve
Alaska's senior citizens. To encourage participation,
the bill also establishes a dividend raffle, providing
contributors with an opportunity to win prizes while
supporting a meaningful public purpose.
The bill is designed to be self-funding and voluntary.
It does not require new general fund appropriations
and instead relies on individual choice and private
contributions. Funds collected would be administered
by the Department of Revenue and used to support
organizations that provide critical services to
seniors, including assistance that helps older
Alaskans remain independent, healthy, and connected to
their communities.
As Alaska's population continues to age, many senior
service providers are facing increased demand and
rising costs. HB 255 offers a creative, Alaska-
specific solution that builds on an existing system
Alaskans are familiar with the Permanent Fund
Dividend to strengthen long-term support for seniors
without increasing taxes or mandatory fees.
This legislation gives Alaskans a new opportunity to
invest directly in the wellbeing of our seniors and
the organizations that serve them, while ensuring
transparency, accountability, and voluntary
participation.
8:10:46 AM
ELIZABETH REXFORD, Staff, Representative Will Stapp, Alaska
State Legislature, on behalf of Representative Stapp, prime
sponsor, presented the sectional analysis for HB 255 [included
in the committee file], which read as follows [original
punctuation provided]:
Section 1
Amends the statutory definition of "gambling" in AS
11.66.280(3) to explicitly exclude permanent fund
dividend raffles authorized under AS 43.23.230 and AS
43.23.238.
Section 2
Updates the duties of the Department of Revenue
outlined in AS 43.23.055 to reflect administration of
multiple PFD donation and raffle options, including
prioritization of contributions when a donor's
elections exceed the amount of the dividend.
Sections 3-4-5-6: (Technical Conforming Changes)
Section 3
Updates existing statute AS 43.23.230(a) governing the
education dividend raffle fund to conform with
terminology and structure used throughout the bill.
Section 4
Reaffirms language in AS 43.23.230(b) governing
voluntary PFD donations for education purposes and
entry into the education dividend raffle.
Section 5
Reaffirms in AS 43.23.230(c) the allocation of
education-related PFD donations between the education
endowment fund, the education dividend raffle fund,
and supplemental grants to school districts.
Section 6
Reaffirms provisions in AS 43.23.230(d), which governs
the annual raffle drawing and prize structure for the
education dividend raffle.
Section 7
Establishes the statutory authority in AS 43.23.235
and AS 43.23.238 for the Permanent Fund Dividend (PFD)
Senior Citizen Grants Endowment Fund. It also creates
the donation structure, raffle entry mechanism, grant
allocation percentages and annual public drawing
requirements for the Senior Citizen Grants Dividend
Raffle Fund.
Section 8
Specifies when the Act becomes effective if enacted:
January 1, 2027.
8:14:46 AM
CO-CHAIR MEARS announced that the committee would hear invited
testimony on HB 255.
8:14:59 AM
VIVIAN STIVER, representing self, gave invited testimony in
support of HB 255. She reported that Alaska's elder residents
consistently identify (indisc.), transportation, and housing
among their top concerns, and the legislation would address this
by establishing stable, ongoing funding to meet these needs.
She said the bill is intended as an additional revenue source,
not a replacement for existing funds to help meet the increasing
demand for service and the rising cost. She shared relevant
statistics and said currently, there are two sources of income
for senior services: flat federal funding and constrained state
funding depending on the year. A third option is needed to
address increases in cost of food, labor, transportation, and
the expansion of services. She urged the legislature to prepare
for seniors' needs to allow for dignity in the aging process.
8:19:00 AM
CO-CHAIR MEARS sought questions from members of the committee.
8:19:34 AM
REPRESENTATIVE HOLLAND asked where the senior citizen grants
dividend raffle fund sits in the "fabric" and ethos of
supporting senior citizen programs, as opposed to
Pick.Click.Give, which puts the money directly into the
beneficiaries' hands.
REPRESENTATIVE STAPP explained that the raffle concept is an
incentive structure to encourage more participants in the
program.
REPRESENTATIVE HOLLAND shared his understanding that as
proposed, the fund would need to reach $1 billion before
distribution. He asked by this number was chosen.
REPRESENTATIVE STAPP said the figure is more of a benchmark;
however, it's probably unrealistic to think that the fund would
capitalize at $1 billion. He added that he would be open to
adjusting the threshold.
8:23:33 AM
REPRESENTATIVE HOLLAND asked whether a parallel program like the
Permanent Fund Dividend Education Raffle Fund could offer
insight into anticipated costs for the fiscal note.
REPRESENTATIVE STAPP said he could not answer the question
without consulting with the Department of Revenue (DOR) to
figure out their methodology. He reported an initial startup
cost of $4,400.
REPRESENTATIVE HOLLAND requested real numbers rather than
estimates.
8:26:44 AM
REPRESENTATIVE PRAX stated his support for the bill's intent.
He sought clarity on how the bill would work in terms of the
statutory split.
REPRESENTATIVE STAPP explained that 25 percent would go to the
senior citizen grants endowment fund, 25 percent would go to the
senior citizen grants dividend raffle fund, and the remaining 50
percent would be distributed through grant facilitation by the
Department of Health (DOH). He reiterated that he would be open
to changing the formula.
REPRESENTATIVE PRAX asked what would happen [if someone were to
donate more than the declared dividend amount.]
MS. REXFORD referenced Section 2 of the bill, and explained that
prioritization would be given to Pick.Click.Give, followed by
the existing Permanent Fund Dividend Education Raffle Fund, and
finally, the senior citizen grants dividend raffle fund.
8:30:59 AM
REPRESENTATIVE HIMSCHOOT questioned how the funds would be
distributed geographically.
REPRESENTATIVE STAPP clarified that DOH distributes the funds to
third parties via grants. He deferred questions about the
selection of programs to the department.
8:32:02 AM
TONY NEWMAN, Director, Division of Senior and Disabilities
Services, Department of Health (DOH), reported that the division
distributes approximately $18 million in grants for seniors and
other populations with disabilities. One of the largest grant
programs is the Nutrition Transportation and Support Services
(NTS) Grant, which is a combination of federal and state funding
totaling around $7 million. He added that the division follows
a funding formula to ensure statewide distribution.
REPRESENTATIVE HIMSCHOOT shared her understanding that without a
specific entity making meals in a certain community, that
community would not benefit from home delivered meals.
MR. NEWMAN clarified that there are a variety of agencies that
receive these funds. Some meals are distributed in congregate
settings while other services are offered by local agencies.
REPRESENTATIVE HIMSCHOOT sought to confirm that there are a
variety of programs and a wider range of services than those
listed on the funding flow chart [included in the committee
file].
MR. NEWMAN offered to follow up with the requested information.
8:34:56 AM
REPRESENTATIVE HALL asked what qualified as supportive housing
services for seniors.
MR. NEWMAN offered to follow up after further discussion with
the bill sponsor.
8:35:43 AM
REPRESENTATIVE G. NELSON asked why the meal delivery service is
being prioritized.
MR. NEWMAN deferred to the bill sponsor.
8:36:28 AM
REPRESENTATIVE HOLLAND asked where Mr. Newman would distribute
this funding first if it were up to him, and whether the Rural
Health Transformation Program (RHTP) money is used for senior
services.
MR. NEWMAN opined that the bill sponsor and Ms. Stiver have done
a good job at prioritizing the services that are needed.
8:38:01 AM
REPRESENTATIVE PRAX asked whether the selection of programs has
already been predetermined.
MR. NEWMAN confirmed that the division would need to determine
whether to supplement existing programs or create a new type of
grant.
REPRESENTATIVE PRAX asked whether the decision would be
formulaic.
MR. NEWMAN acknowledged that a formula would be needed to ensure
a consistent and transparent process.
8:39:20 AM
REPRESENTATIVE STAPP, in response to Representative G. Nelson,
stated that changing the distribution formula would not affect
the mechanics of the bill.
REPRESENTATIVE G. NELSON asked whether home-delivered meals are
the highest priority and greatest need.
REPRESENTATIVE STAPP deferred to Ms. Stiver.
8:40:32 AM
REPRESENTATIVE HOLLAND referred to Section 7, subsection (c) of
the bill, which clarifies the formulaic structure of
distribution: 50 to the home delivery of meals, 25 percent to
transportation services, and 25 to housing services.
REPRESENTATIVE STAPP agreed, reiterating that he's not "married"
to this formula, but he and Ms. Stiver determined that it's the
best way to meet the need.
8:41:53 AM
REPRESENTATIVE HIMSCHOOT asked whether the bill sponsor would be
amenable to directing the funds to the Senior Benefits Program.
REPRESENTATIVE STAPP stated that the Senior Benefits Program has
more stringent financial requirements compared to other grant
programs. He expressed a desire to empower private sector
organizations as opposed to government agencies.
REPRESENTATIVE HIMSCHOOT asked why eligibility for the raffle
starts at age 18.
REPRESENTATIVE STAPP did not know the answer.
8:45:40 AM
CO-CHAIR MEARS asked how much the education raffle raises each
year.
REPRESENTATIVE STAPP deferred the question to DOR.
REPRESENTATIVE HOLLAND reported approximately $1 million per
year.
CO-CHAIR MEARS discussed the capitalization of the endowment
fund and opined that the bill would grow the state's wealth
without benefitting anyone until the fund gets large enough.
She asked for the bill sponsor's philosophy on it.
REPRESENTATIVE STAPP shared his philosophy on endowments, which
usually includes target capitalization and a healthy corpus. He
stated that the goal is to augment existing services, not
replace them, so he would be open to amending it.
CO-CHAIR MEARS asked for the bill sponsor's opinion on removing
the endowment portion of HB 255 entirely.
REPRESENTATIVE STAPP said he would follow up after further
consideration.
CO-CHAIR MEARS commented on the philosophy of holding money in
state coffers rather than distributing it to services or
recipients directly. Ultimately, she said it's a math problem,
and something to consider further.
8:49:56 AM
CO-CHAIR MEARS announced that HB 255 would be held over.
| Document Name | Date/Time | Subjects |
|---|---|---|
| HB 255 Version I.pdf |
HCRA 1/27/2026 8:00:00 AM HCRA 3/19/2026 8:00:00 AM |
HB 255 |
| HB 255 Sponsor Statement.pdf |
HCRA 1/27/2026 8:00:00 AM HCRA 3/19/2026 8:00:00 AM |
HB 255 |
| HB 255 Sectional Analysis.pdf |
HCRA 1/27/2026 8:00:00 AM HCRA 3/19/2026 8:00:00 AM |
HB 255 |
| HB 255 Funding Flow Chart.pdf |
HCRA 1/27/2026 8:00:00 AM HCRA 3/19/2026 8:00:00 AM |
HB 255 |
| HB 255 Fiscal Note PFD.pdf |
HCRA 1/27/2026 8:00:00 AM HCRA 3/19/2026 8:00:00 AM |
HB 255 |
| HB 255 Fiscal Note DOR.pdf |
HCRA 1/27/2026 8:00:00 AM HCRA 3/19/2026 8:00:00 AM |
HB 255 |
| HB 255 Fiscal Note DOH.pdf |
HCRA 1/27/2026 8:00:00 AM HCRA 3/19/2026 8:00:00 AM |
HB 255 |