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Proposal to enshrine Permanent Fund dividend in Alaska Constitution fails to clear House

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Proposal to enshrine Permanent Fund dividend in Alaska Constitution fails to clear House


JUNEAU — A proposal to enshrine the Permanent Fund dividend in the Alaska Constitution failed to be approved by the House on Thursday.

House Joint Resolution 7 would pay out whatever dividend was set in state law. The 1982 dividend formula still exists in state law, but it has not been followed by the Legislature since 2016. That statute would dictate that Alaskans receive a dividend this year of roughly $3,400. But such a payment would require spending over $1 billion more than the state has in revenue.

Two-thirds of the House and Senate need to vote in support of a constitutional amendment to put it before voters.

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The amendment, proposed by Nikiski Republican Rep. Ben Carpenter, failed on a 22-18 vote. It needed 27 votes to advance to the Senate.

Members of the Legislature have long advocated for a comprehensive fiscal plan that could include a new dividend formula, a spending cap, budget reductions and new sources of state revenue.

Carpenter said enshrining the dividend formula in the constitution would compel legislators to enact a fiscal plan to balance revenues and expenditures.

“This is the first step,” he said, adding, “What it does do is something very simple. It just says, ‘We’re going to follow the law.’”

Supporters said that legislators should put the proposal before Alaska voters and trust them to decide whether it should be approved.

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Opponents of the measure said enshrining the dividend in the constitution would lead to a fiscal crisis and not necessarily compel any further action to reform the statute governing the annual dividend size, or other elements of a fiscal plan.

“Those who are tempted to vote for this need to ask themselves: Do the supporters of this proposal genuinely in their hearts and in their souls intend to renegotiate and reform the formula?” Rep. Andy Josephson, an Anchorage Democrat, said in a floor speech.

But even if lawmakers were successful in reforming the dividend formula, Josephson said that Gov. Mike Dunleavy — who has supported large dividend payouts during his tenure — would be unlikely to sign a bill changing the formula.

“I think that those who support this proposal are morally obligated … to be the leaders to fix the dividend,” said Josephson. “They cannot say, ‘Well, jeez, you know, someone else will do it.’”

[Alaska House passes operating budget with dividend around $2,300, extra school funding]

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Dunleavy has repeatedly used his veto pen to nix pieces of legislation. He has shown openness to reforming the dividend formula, and in 2021 proposed a plan that would change the dividend formula, reserving half the Permanent Fund earnings draw for state services. Without additional revenue sources, that plan would still leave the state with hundreds of millions of dollars in annual deficits.

Jeff Turner, a spokesman for the governor’s office, said Dunleavy has repeatedly said that the first step in a fiscal plan is to resolve the dividend formula.

The Senate has favored a statute that would reserve three-quarters of annual Permanent Fund earnings to pay for state services, which itself could become unaffordable without new revenue, according to some projections, but neither the House nor the governor have signaled support for that idea.

Josephson said that the only way to afford the annual dividends as they’re currently written into statute without triggering a fiscal crisis would be to impose a billion-dollar sales or income tax. Alaska is the only state that has neither a statewide sales tax nor a statewide income tax.

Carpenter’s constitutional amendment proposal advanced to the House floor in February. For almost two months, it had not come up for a final vote or floor debates.

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After marathon floor sessions to debate and pass the operating budget, several legislators said they were surprised the dividend amendment was brought up for a vote Thursday. The debates spanned over three interrupted hours. There were long breaks, and unusual procedural motions to advance other fiscal plan bills from legislative committees.

House members voted 37-3 to advance Senate Bill 107 from the Finance Committee. That would change the dividend formula to the 75-25 model. If that formula was followed this year, the PFD would be around $1,360.

In a brief interview after the floor session ended, Carpenter said he was not surprised by the outcome. But, he said that he thought there would be more votes in support of the amendment.

”It was pretty clear over the last couple of weeks that people were not confident that components of a fiscal plan were actually going to move,” he said. But, he added, there could still be time this legislative session to vote on the amendment again.

• • •

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How they voted:

Rep. Jamie Allard, R-Eagle River (Y)

Rep. Jennie Armstrong, D-Anchorage (N)

Rep. Thomas Baker, R-Kotzebue (Y)

Rep. Ben Carpenter, R-Nikiski (Y)

Rep. Ashley Carrick, D-Fairbanks (N)

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Rep. Julie Coulombe, R-Anchorage (Y)

Rep. Mike Cronk, R-Tok (Y)

Rep. Maxine Dibert, D-Fairbanks (N)

Rep. David Eastman, R-Wasilla (Y)

Rep. Bryce Edgmon, I-Dillingham (N)

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Rep. Zack Fields, D-Anchorage (N)

Rep. Neal Foster, D-Nome (Y)

Rep. Alyse Galvin, I-Anchorage (N)

Rep. Andrew Gray, D-Anchorage (N)

Rep. Cliff Groh, D-Anchorage (N)

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Rep. Sara Hannan, D-Juneau (N)

Rep. Rebecca Himschoot, I-Sitka (N)

Rep. Craig Johnson, R-Anchorage (Y)

Rep. DeLena Johnson, R-Palmer (Y)

Rep. Andy Josephson, D-Anchorage (N)

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Rep. Kevin McCabe, R-Big Lake (Y)

Rep. CJ McCormick, D-Bethel (N)

Rep. Tom McKay, R-Anchorage (Y)

Rep. Donna Mears, D-Anchorage (N)

Rep. Genevieve Mina, D-Anchorage (N)

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Rep. Dan Ortiz, I-Ketchikan (N)

Rep. Mike Prax, R-North Pole (Y)

Rep. George Rauscher, R-Sutton (Y)

Rep. Justin Ruffridge, R-Soldotna (Y)

Rep. Dan Saddler, R-Eagle River (Y)

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Rep. Calvin Schrage, I-Anchorage (N)

Rep. Laddie Shaw, R-Anchorage (Y)

Rep. Will Stapp, R-Fairbanks (Y)

Rep. Andi Story, D-Juneau (N)

Rep. Louise Stutes, R-Kodiak (N)

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Rep. Jesse Sumner, R-Wasilla (Y)

Rep. Cathy Tilton, R-Wasilla (Y)

Rep. Frank Tomaszewski, R-Fairbanks (Y)

Rep. Sarah Vance, R-Homer (Y)

Rep. Stanley Wright, R-Anchorage (Y)

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• • •

Sean Maguire reported from Juneau and Iris Samuels from Anchorage.





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‘We never forgot her’: Friends, family of longtime Alaska teacher gather for 100th birthday celebration

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‘We never forgot her’: Friends, family of longtime Alaska teacher gather for 100th birthday celebration


ANCHORAGE, Alaska (KTUU) – Phyllis Sullivan has certainly led a life worth celebrating.

Born in 1926, Sullivan moved to Alaska with her husband and three children in 1959 to teach, first in the village of Kwethluk in Western Alaska and later at Wendler and Mears Middle Schools in Anchorage.

All the while, she left strong impressions with countless students and acquaintances, some of whom gathered in the basement of Anchor Park United Methodist Church in Anchorage Saturday to celebrate Sullivan’s century of life.

“Education has been the primary thing in her entire life,” her son Dennis Sullivan said. “She’s always been a school teacher and she’s been one of the sweetest people in the entire world.”

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As a slideshow featuring vintage photos from her life and time in Alaska played, Phyllis, wheelchair-bound but high in spirit, stopped to chat with every new person who entered the room, some of whom she hadn’t seen in years.

“It’s impressive that this many people are here,” she said. “That’s very encouraging. Makes me think maybe I did something right along the way.”

Aside from family members, most visitors were there because of the impression Phyllis Sullivan left on them during her many years in the classroom.

“She gave us this one assignment: to memorize a poem,” former Mears student Tina Arend recalled. She said Phyllis Sullivan was her 8th grade English teacher.

“And when she gave us the assignment, she said, ‘I’ve had students come back many, many, many years later and recite the poem to me.’ And we actually still remember the poem,” Arend said of her and her husband, who was also in attendance. They both went on to become teachers at Mears as well.

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Matthew Nicolai, whom Phyllis Sullivan taught in Kwethluk, has similarly fond memories.

“The Bureau had ordered that teachers do corporal punishment for speaking Yup’ik,” Nicolai remembered. “Even though we spoke Yup’ik, she never did that, never cracked our hands. Other teachers did, but not her. That’s why we never forgot her.”

In addition to teaching, Phyllis Sullivan also found time to open her home to those in need. She and her husband once took in a family with seven kids who had been displaced by flooding in Fairbanks in 1967.

“It touched our heart because they bought us a lot of stuff that we needed because we lost a lot of stuff during the flood,” David Solomon, one of those seven kids, said. “We stayed there for over three years.”

Phyllis Sullivan said she is enjoying life and is doing fine.

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“My mother made it to 103,” she said. “So, I’ve got a while yet.”

See a spelling or grammar error? Report it to web@ktuu.com

Copyright 2026 KTUU. All rights reserved.



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Alaska Senate committee advances draft capital budget, boosting funds for school maintenance

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Alaska Senate committee advances draft capital budget, boosting funds for school maintenance


The Alaska Senate Finance committee advanced a draft capital budget on Tuesday that would put nearly $250 million toward state facilities and maintenance projects next year.

The draft budget adds $88 million to Gov. Mike Dunleavy’s proposed capital budget of $159 million, with the largest additions going toward K-12 schools and university facilities maintenance.

That was a focused effort by the finance committee, said co-chair Sen. Bert Stedman, R-Sitka, who called funding for education facilities maintenance a “heavy concentration” on Wednesday.

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Earlier this year, students and school officials testified to lawmakers that decades of deferred maintenance has reached crisis levels — with many rural school districts in particular grappling with deteriorating facilities, failing water and sewer systems — which they say is degrading student and staff morale. Lawmakers have expressed support and increased funding in recent years, but point to Gov. Mike Dunleavy’s history of vetoes as a roadblock for funding education.

The Senate draft includes $57.8 million in additional funding toward K-12 school maintenance through the Alaska Department of Education and Early Development and $17 million toward the University of Alaska. It also includes $5.7 million for the Alaska Court System’s facilities and $8 million for community infrastructure and workforce development programs through the Alaska Department of Commerce, Community, and Economic Development.

The Legislature relies on state ranked lists to prioritize where to direct funding to capital projects for K-12 schools, the university system and the court system.

For K-12 schools, the state’s current major maintenance list totals over $400 million needed for 103 school projects and repairs. Stedman said he recognized this year’s capital budget will only fund a fraction of those.

“Hopefully we get a quarter of it done, or something like that, but it’d be nice to retire the entire list,” Stedman said.

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The draft budget would fund the top 15 school projects on the list, plus funds for three other schools in need of emergency fuel tank repairs. The top projects range from roof and boiler replacements to septic systems, fire suppression and safety upgrades in schools from Fairbanks to the Aleutian Islands.

In order to distribute funds more widely, members of the finance committee reduced funding for one project in Galena, in the Western Interior of Alaska, from roughly $35 million to $5 million for renovations to the Sydney C. Huntington Elementary and High Schools. They also allocated $17 million towards rebuilding the school in Stebbins in Western Alaska, after it burned down in 2024.

The Senate draft also adds nearly $14 million in funding for the state-run Mt. Edgecumbe High School, which has been the focus of public attention and concern after a quarter of students disenrolled this year. The additional facilities dollars include $10 million to remodel the dining hall, $3.1 million to replace dorm windows, $460,000 to replace dorm furniture, $50,000 to replace mattresses and $125,000 to replace aging laundry machines.

Finance members added $17 million to fund the top nine projects across the University of Alaska system — three projects each within the three major campuses.

Sen. Jesse Kiehl, D-Juneau, serves on the finance committee and his district includes University of Alaska Southeast. He described the proposed funds as a “nickel” compared to the “colossal” deferred maintenance needs of the university system.

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“That’s been built by Legislatures and Boards of Regents for 40 years,” he said on Wednesday, adding that it is a shared responsibility to put funding towards repairs and upgrades.

“The Constitution makes them a separate body within the executive branch that puts a lot of responsibility on them, too, more than the general state government,” he said “So university major maintenance is its own huge problem.”

The draft budget also includes $5.7 million for upgrades to state court facilities, mostly targeted to Anchorage and Sitka. It contains nearly $10 million for workforce development programs geared at the construction and oil and gas sectors, including for the Fairbanks Pipeline Training Center and Alaska Vocational Technical Center in Seward.

An amendment to add $25 million to the draft budget for the Port of Anchorage, sponsored by Sen. Kelly Merrick, R-Eagle River, was voted down on Tuesday by a 5 to 2 vote.

Before voting against the proposal, finance co-chair Sen. Lyman Hoffman, D-Bethel, said during committee deliberations the priority this year is to fund as many school maintenance projects on the list as possible, saying “schools are falling apart” and must be maintained to prevent further deterioration.

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“Students that are trying to learn deserve better,” Hoffman said. “And if we are not able to provide this major maintenance, we are going to see these schools continue to crumble, and the financial burden to the state of Alaska will be hundreds of millions of dollars to rebuild schools.”

More funding for school maintenance and other capital projects could be added by the Alaska House of Representatives, who will take up the draft budget bill after it’s approved by the Senate in the coming weeks.



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Bear injures two US soldiers during military training in Alaska | The Jerusalem Post

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Bear injures two US soldiers during military training in Alaska | The Jerusalem Post


Two US soldiers were wounded by a brown bear during a training exercise in Alaska on Thursday, the US Army stated.

Anchorage Daily News reported that the soldiers were from the 11th Airborne Division, and that the exercise had been a “land navigation training event” near Joint Base Elmendorf-Richardson.

State wildlife officials said that the bear attack seemed to be a defensive one, from a bear which had recently emerged from its den. Staff members from the Alaska Department of Fish and Game collected evidence at the scene in an attempt to learn more about the bear, such as its species and gender.

“The incident is currently under investigation, and we are working closely with installation authorities and local wildlife officials to gather all relevant information and ensure the safety of all personnel in the area,” the 11th Airborne Division said in a statement, reported ABC News.

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ABC News also cited an 11th Airborne Division spokesperson, Lt.-Col. Jo Nederhoed, who said that the two soldiers had been seriously wounded, but were receiving care at a hospital in Anchorage, and had shown improvement by Saturday morning.

“We hope both individuals have a full and quick recovery, and our thoughts are with them during this time,” Fish and Game Regional Supervisor Cyndi Wardlow said in a statement reported by Anchorage Daily News. “In this case, having bear spray with them in the field may have saved their lives.” 

Both of the soldiers reportedly had and used bear spray during the attack.

The bear’s condition and whereabouts are currently unknown.





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