ALASKA VOTERS ORGANIZATION
RESOLUTION 2004-01
A Resolution to the 23rd Alaska State Legislature in SUPPORT OF HJR 3, which authorizes an election to decide if the voters of Alaska wish to approve a Constitutional Amendment, which will protect the Permanent Fund Dividend program and inflation proofing of the fund’s principal.
WHEREAS, during the special statewide advisory election held in 1999, the voters of Alaska expressed overwhelming opposition to the Legislature’s proposed “Balanced Budget Plan ”by a margin of over 4 to 1; and
WHEREAS, the Legislature put this clear question on the 1999 ballot: “After paying annual dividends to residents and inflation-proofing the permanent fund; should a portion of Permanent Fund earnings be used to help balance the state budget?” 83% of Alaska’s voters answered with a resounding NO; and
WHEREAS, most candidates elected in November 2002 promised they would not touch the Permanent Fund, without a vote of the people; and
WHEREAS, the Legislature and Governor are proposing appropriations from the Permanent Fund earnings, which is in opposition to the intent of the 1999 advisory vote and election promises made during the 2002 election campaign; and
WHEREAS, government spending in Alaska currently exceeds the average 1980’s budget level when the North Slope was at 100% oil production; and
WHEREAS, North Slope oil production is currently only 50% of the 1980’s peak, with oil royalty payments to the state reduced by the same amount; and
WHEREAS, the legislature has failed to recognize the direct correlation between increased state spending and reduced oil royalty payments being the underlying reason for the growing budget deficit; and
WHEREAS, the legislature has continued to fund our state government at an unsustainable level, by making annual withdrawals from the Constitutional Budget Reserve; and
WHEREAS, the legislature continues to deplete our Constitutional Budget Reserve and has failed to submit any plan to repay this “rainy day account”,
as required in the Alaska State Constitution, Article 9, Section 17 (d), in order to continue funding state government at an unsustainable level; and
WHEREAS
, by failing to address the growing budget deficit, the legislature has fewer options available with each passing year, other than tapping the Permanent Fund earnings; and
WHEREAS, the annual Permanent Fund Dividend has become a huge economic engine that most business owners and Alaskan citizens rely on each winter; and
WHEREAS, if approved by the legislature, HJR 3 will put the question of whether the Permanent Fund Dividend program should be Constitutionally protected on the ballot for all citizens of Alaska to vote on; and
WHEREAS, HJR 3 would insure that the fund’s principal remains protected through inflation proofing; and
WHEREAS, HJR 3 would provide the people of Alaska an opportunity to vote on this important issue, and would give the legislature much needed direction to solve the most serious problem currently facing our state;
NOW, THEREFORE, BE IT RESOLVED by the Alaska Voters Organization, Board of Directors, that Sponsor Substitute for HJR 3 as introduced on February 7, 2003, be approved without amendment by the 23rd Alaska State Legislature and put on the fall 2004 ballot for a vote of the people; and be it
FURTHER RESOLVED that the legislature should prioritize spending and make the necessary cuts required to obtain a government of the size and cost that Alaska can afford, without compromising the constitutional mandates of Education, Transportation, Public Health & Safety;
Adopted by the Alaska Voters Organization Board of Directors; this 17th day of March 2004.
Alaska Voters Organization, Inc.
P. O. Box 2016
Kenai, Alaska
99611-2016
(907) 776-8008
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