Note: This page will be updated in real time as any new information becomes available each year including dates and times of any announcements.
Does this page look familiar? That’s because it probably is. I’ve been updating this PFD information page since 2008. As a life-long Alaskan, the PFD is, of course, on my list of interest. As a website owner, I thought, what the heck, why not add a news and update page for the PFD? At the very top of the page you’ll always see a “last updated” message to verify all info is current and from this year.
When will the 2016 PFD be announced?
The PFD has been capped at $1,000 this year, however, a pre-recorded announcement of the actual amount was made Friday, September 23rd. On average, the amount of the Alaska permanent fund dividend is usually announced in mid-September, typically the 18th to 22nd sometime. This year there was delay as a result of the unprecedented veto by the Governor as well as his out-of-state travel. This announcement did include what the PFD would have been. Speaking of which, if you have no idea why I said would have been…
Walker Got His Way.
While the speeches at the 2015’s PFD amount announcement should have given residents a hint something was coming, as the state faces a budget “crisis,” Governor Walker previously proposed restructuring the PFD program to fund the government along with an income tax. His proposal, SB 128, aimed to cap the PFD at $1,000 to $1,500 (depending on the version of the bill you are reading) for a number of years before converting to a new calculation formula based on land and resource royalties. On June 7, an amended version of SB 128 passed in the Senate, but failed to pass in the House and was deemed “dead” as the session ended. However, Walker was bent on cutting into the PFD…
On June 29, he vetoed a portion of the PFD funding on the state budget limiting the 2016 PFD to $1,000. This has never been done before, but any veto can be overridden by the legislature with a majority vote. There was a deadline of Friday (July 15) to hold this vote. A request for said vote was made by Senator Bill Wielechowski of Anchorage. This request was ruled out of order by the majority leader, John Coghill of North Pole, who stated that, traditionally, the request was made by the House.
The House issued said request, but the Senate rejected it, stating that the last meeting before the deadline would be a “technical session” with only enough members present to keep the special session alive, but not enough to move on any legislative action (What?!?). With the deadline now passed, this means that the veto stands, and the 2016 PFD will be capped at $1,000.
There is currently a campaign to recall Walker as well as a law suit.
Updates on the Walker Recall:
Signature drives are ongoing across the state, though the group has been unavailable to provide a current signature count to me. You can find dates and times for events near you via the recall walker Facebook page found here or the recall Walker website.
Updates on the court case:
Wielechowski, along with former Republican Alaska Senate presidents, Clem Tillion and Rick Halford, filed a suit September 16, which was later ruled in the State’s favor on November 17, 2016 by Judge William Morse. This means for the time being, the veto continues to stand. Wielechowski has stated that there will be an appeal to the Supreme court.
Updates can be viewed in Courtview using the case number below.
Case No. 3AN-16-08940CI
How much is the 2016 PFD as a result?
The 2016 PFD is $1,022, just over the $1,000 cap.
How much would have the 2016 PFD have been without the cap?
As many of us know, the PFD amount is usually calculated using the last five years of the fund’s returns by:
-Adding the fund’s Statutory Net Income from the last 5 years.
-Multiplying by 21%.
-Dividing by 2.
-Subtracting the prior year obligations, expenses and PFD program operations.
-Dividing by the number of eligible applicants.
The fund did well in 2011 and 2013 gaining 20.6 percent and 10.5 percent respectfully, but in 2012, not so much. Volatile global stock markets added this extremely low year to the mix. It was that low year that dropped the PFD amount below $1,000 in 2013 as the high year in 2008 dropped off. Luckily, in 2014 and 2015, the fund had rebounded and the PFD amount came back up with it. Last years numbers were as follows:
(expressed as millions rounded)
FY 2011 2,143 -dropping off this year
FY 2012 1,568
FY 2013 2,928
FY 2014 3,531
FY 2015: 2,907
As low years begin to fall away, the fund should have offered high returns for residents over the next few years.
Just how high?
The actual 2016 PFD amount should have been $2,052. This means Walker robbed each and every Alaskan of about $1,022 or half their PFD.
(Below are estimates previously released.)
In a piece discussing Walker’s proposed change to the fund, ADN listed an estimate of $2,100. In a more recent estimate this September, KTUU projected a similar $2,084. The funds statuary net income ended at $2.1 billion.
Here is my own estimate based on the PFD calculation formula above.
FY 2016: 2,198
13,186 x .21=2757/2=1,378.5- 49.2 (using last year’s numbers)=1,329,300,000/642,339 (this year’s applicants)= $2,069.46
The 2016 Alaska Permanent Fund Dividend is scheduled to begin disbursement October 6, 2016.
Why does my PFD status say PAID before October 6?
The PFD always says paid before the actual drop date. This is because the funds have been released for processing, but not yet fully processed (deposited into your bank account for example). This is perfectly normal.