Alaska State Legislature
News from the House Majority

Jerry Ritter, House Majority Press Secretary
State Capitol
Juneau, AK 99801
Phone: (907) 465-3804
web site: http://www.akrepublicans.org
Actuality line: 1-800-478-6540

Legislature OKs Rights of Dependents to Dividends

Measure Cancels Unfortunate Results of Court Ruling

For Immediate Release April 29, 1998 Contact: Rep. Pete Kott at (907) 465-3777.

Juneau -- The Alaska Senate today concurred with a conference committee's changes to House Bill 2, which permits certain spouses and dependents who leave Alaska to continue to receive Permanent Fund Dividends. The bill resolves the damage done by a court ruling which says that marriage cannot be the reason used to determine a person's residence eligibility.

"The wholly unintentional effect of this ruling has been to disrupt traditionally allowable absences, such as a spouse accompanying an individual for military service, medical treatment , or educational pursuits," said Representative Pete Kott (R-Eagle River), joint sponsor of HB 2. "For instance, if you're married to a student or a military member and you accompany your spouse outside the state on such an allowable absence, your spouse remains eligible for a dividend, but you do not," Kott said.

HB 2 excuses an individual for an absence from the state when the reason for an absence includes accompanying another eligible resident who is absent for a reason that is permitted. The accompanying individual can be a spouse, a minor dependent, or a disabled dependent of the eligible resident.

In addition, the bill will permit Alaskans who, because of the court ruling, did not previously qualify, to apply for a 1998 dividend providing they would otherwise have qualified. They must apply for the 1998 dividend during the 1998 application period or before the end of the 1999 application period.

"What is especially sad is that, through monetary incentives, the court ruling effectively encourages families to break apart for lengthy periods of time," said Representative Eldon Mulder (R-Anchorage), joint sponsor of HB 2. "This situation is deplorable and will be remedied by this bill."

House Bill 2 now goes to the Governor for his signature.

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Broadcasters note: Comments can be found on the House Majority Line at (800) 478-6540.
= Pete Kott, 70 K