The House Resources Committee in Juneau, Alaska (KTUU) held a meeting on Monday to further discuss the potential for a significant one-time Permanent Fund dividend payment “buyout.”
Rep. Mike Cronk, R-Tok/Northway, has introduced the HB 359 proposal, which aims to give Alaskans the choice to receive a $15,000 dividend payment.
The committee made a significant update to the bill on Monday. The revised version now refers to it as a “buyout program” and provides further clarity on the distribution of payments. According to the new language, the payments will be disbursed over a period of three years.
Lawmakers deliberated over concerns about funding the payment.
According to Dave Stancliff, a staff member of Rep. Cronk, he believes that opting for a lump sum payment from the Permanent Fund dividend could be a more favorable option for older Alaskans or individuals looking to make significant purchases.
Stancliff, a 74-year-old individual, expressed his hesitation regarding the idea of betting on another 10 years. Instead, he contemplated the option of receiving a lump sum or a larger sum to exit the program.
There are concerns regarding the bill, particularly in terms of preventing recipients from taking the money and leaving the state.
Rep. Donna Mears, a Democrat from Anchorage, expressed her dissatisfaction with the adopted changes, stating that she did not believe they had resulted in an improved bill.
“I don’t think changing the payment structure from a single lump sum to three years, with additional PFD payouts along the way, would significantly alter the decision-making process for those who plan to use the money immediately,” Mears commented. “However, it would certainly impact individuals who are intending to use the payout for larger investments, such as buying a house or a vehicle.”
The bill’s deadline for amendments is still set for April 2. On March 27, the House Resources Committee will reconvene, and it is expected that further discussions regarding HB 359 will take place.
