THE PERMANENT FUND

"Protect it for the generations to come"

HJR 1 will ELIMINATE guaranteed inflation proofing;

and the PFD program as we know it.

HJR 1, Gives the legislature up to 6% of the PERMANENT FUND five year average value to spend as they see fit. 

 

Sponsored by Representative Rokeberg, an Anchorage Republican,  HJR 1 will eliminate guaranteed inflation proofing of the permanent fund principle and the PFD program as we know it.

 

HJR 1 is the "endowment program" that Republican gubernatorial candidate Frank Murkowski endorsed prior to the 2002 elections.

 

Because HJR 1 will require a change to the Alaska Constitution, the promise, "I will not spend your PFD without a vote of the people", was a carefully crafted and calculated statement.  HJR 1 is the direct result of Governor Murkowski's election promise!

 

Click here to see actual text of HJR 1. 

 

The first change from the existing system is, "all earnings will go into the permanent fund".  The earnings reserve account where inflation proofing and PFD's come from under the current program, will be completely ELIMINATED by HJR 1. 

 

The last sentence of section 1, clearly states, "Appropriations from the permanent fund may be made only under (b) and (c) of this section."

 

(b) and (c) will allow the legislature to appropriate up to 6% of the permanent fund PRINCIPLE's 5 year average  value.  There is NO provision for guaranteed inflation proofing or for paying PFD's!

 

If the fund fails to increase more than 6% in market value, such as a few years of down markets, the legislature will be spending PRINCIPLE and not earnings!  Which will cause even further erosion of the funds total value.

 

HJR 26 & SJR 18 will give more money to the legislature and ELIMINATE the PFD!!!

 

HJR 26 and companion resolution SJR 18, are the latest version of Governor Murkowski's "Endowment Plan". These will allow the legislature access to the Permanent Fund principle, and eliminate the PFD.
 

Click here to see actual text of HJR 26

Click here to see actual text of SJR 18

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The size and cost of Alaska's State Government is NOT sustainable at current levels.  We are now spending MORE than in the 1980's, when North Slope oil fields were producing at 100%.  With oil production decline comes a reduction of revenues to the state.  We are currently at about 50% of the peak oil production years, and the resulting revenues become less each year by a corresponding amount. 

 

There is not enough personal wealth in Alaska to replace the revenues generated by the North Slope oil fields, but that is EXACTLY what the legislature and Governor Murkowski are proposing to do.  The permanent fund will extend the spending spree, but will not eliminate the fundamental problem: THE SIZE AND COST OF ALASKA'S STATE GOVERNMENT IS NOT SUSTAINABLE AT THIS LEVEL!!!

 

HJR 1, HJR 26, and SJR 18 promote continued government spending at the expense of every Alaskan resident's PFD, and really doesn't solve the problem.  The only practical solution is to cut, cut, and CUT SOME MORE.

 

 

Click here to send your message to SAVE the PFD

 

Click HERE and send a donation to the Alaska Voters "save the permanent fund" information campaign.

 

There are volunteer opportunities available in just about every village, town, and city in Alaska to help educate voters on this important issue.  If you have any additional questions, please contact the Alaska Voters Organization. 

 

Click here to see which legislators have sponsored or co-sponsored HJR 3 and/or SJR 19

 

Click here and review contributor list for the 1999 advisory vote campaign.  Remember, the vote YES committee wanted to take the PFD away.

 

Click here for general information about the Permanent Fund issue