02/10/1995 01:04 PM House JUD

 HJUD - 2/10/95                                                                
 CSHB 4(STA) PERMANENT FUND DIVIDEND ELIGIBILITY                             
                                                                               
 Number 440                                                                    
                                                                               
 ROD MOURANT, Legislative Aide to Representative Pete Kott,                    
 presented the sponsor statement for CSHB 4(STA).  It reads as                 
 follows:                                                                      
                                                                               
 "This legislation would remedy a problem as a result of a                    
 recent court ruling.  That ruling declared spouses of a                       
 Permanent Fund Dividend (PFD) recipient from being considered                 
 eligible to receive a dividend if they were accompanying an                   
 eligible spouse out of state on an allowable absence.                         
                                                                               
 "This legislation would allow individuals who accompany an                   
 eligible spouse out of state on an allowable absence to retain                
 their eligibility for a PFD if that was the only reason that                  
 they would have been disallowed.                                              
                                                                               
 "This correction applies retroactively to January 1, 1994, the               
 first time the Permanent Fund Dividend Division disallowed                    
 dividends for that reason.  It makes provision for those                      
 individuals to receive the previously denied dividend.                        
                                                                               
 "I encourage you to support this legislation."                               
                                                                               
 Number 530                                                                    
                                                                               
 JUDY ERICKSON, Juneau resident, described her ex-husband's                    
 experience with his permanent fund dividend.  He was denied his               
 dividend because of an unexpected absence outside of Alaska, due to           
 a medical emergency.  He has lived in Juneau for years, and                   
 maintains a home here.  He can only get his experimental treatment            
 for advanced kidney cancer in Seattle.  Because they have two                 
 children, it is very important for him to go through any kind of              
 treatment he can, to prolong his life.  His wife has been denied              
 her PFD also because her staying in Seattle with him was not an               
 allowable absence.  He is on pain medication 24 hours a day, should           
 not drive, needs constant care, and he needs her there to help.  He           
 already has tremendous medical expenses and it does not seem right            
 to withhold her dividend because of this.                                     
                                                                               
 Number 555                                                                    
                                                                               
 THOMAS WILLIAMS, Director, Permanent Fund Dividend Division,                  
 Department of Revenue, introduced Nancy Jones, who will be the new            
 director starting next Thursday.  He said the department strongly             
 supports the reinstatement of the "piggyback" allowable absence,              
 which had been available in the past, up until the inadvertent                
 conflict between statute and regulation;  which caused the                    
 regulation to fall, as ruled by the court a little over a year ago.           
 He said they have taken steps to append applications so they can be           
 easily identified, should corrective legislation be enacted.  Then            
 they can go ahead and pay folks who would have received their                 
 dividends had it not been for this regulation conflict.                       
                                                                               
 Number 650                                                                    
                                                                               
 REPRESENTATIVE FINKELSTEIN asked Mr. Williams if it would be                  
 practical and manageable for the Permanent Fund Dividend Division             
 to hold people's dividends, and then gave them to the people when             
 they returned to the state.                                                   
                                                                               
 MR. WILLIAMS answered there was a mechanism by which that could               
 work.  We could administer a system that would hold the dividends             
 of anyone who was absent for 180 consecutive days during the                  
 qualifying year, until they returned and lived in the state for 90            
 days, basically qualifying for dividends during that time.                    
                                                                               
 Number 700                                                                    
                                                                               
 REPRESENTATIVE VEZEY moved to adopt draft F of the committee                  
 substitute.  Hearing no objection, CSHB 4, version F was adopted.             
                                                                               
 Number 780                                                                    
                                                                               
 REPRESENTATIVE CON BUNDE said he would like to see some future                
 exploration on the possibility of holding juveniles' dividend                 
 checks until they turn 18.                                                    
                                                                               
 REPRESENTATIVE TOOHEY made a motion to pass the bill from committee           
 with individual recommendations and the zero fiscal note.  Seeing             
 no objection, it was so ordered.