Yesterday, I introduced SB 75 an act appropriating $900 million from the Permanent Fund earnings reserve account to education: K-12 foundation and pupil transportation programs; school construction debt match; and the University of Alaska. Generally speaking, permanent fund earnings would replace the present general fund dollars to fund education.

Many elected officials have made recent commitments that they would not support any changes to our current Permanent Fund earnings policy without voter approval. That makes voter approval the essential driving force to any plan that can be agreed to by the Legislature and the Governor. I believe education is the issue that has the best chance of achieving this result.

Much work, number crunching, and adjusting remains to be done, but I am convinced of one thing: the additional use of permanent fund earnings for education is the one approach that has a very good chance of being accepted by a majority of Alaskans. A companion bill, SB 76, calls for a special election on September 14, 1999 (a school day on primary, secondary, and University campuses). The advisory question restricts the use of Permanent Fund earnings to inflation proofing, dividend checks, and education.

Every serious plan I've seen this session to erase Alaska's budget gap and develop a workable long-range plan incorporates some form of Permanent Fund earnings use. I believe a plan can be developed, acceptable to the public, without imposing a state income tax.

Outside of health and safety, nothing is more important to present and future generations of Alaskans than the best education we can provide. Insuring a stable and growing funding source for as long as the Alaskan Permanent Fund exists is, in my mind, the most important thing we can do this session for future generations.

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