Legislative inaction, a Juneau Empire story nicely points out, has cost the Permanent Fund, and Alaskans, millions of dollars as fund managers hold back investments, awaiting action by lawmakers.
The story, headlined “A shaken titan: How the Alaska Legislature is harming the Alaska Permanent Fund,” and written by James Brooks, points out the problem likely will only get worse next year as the Constitutional Budget Reserve circles the drain and lawmakers running out of revenue options more than likely turn to the Permanent Fund to run government.
Using the corpus of the Permanent Fund to fund government, as the story points out, would require a vote of Alaskans. The $13 billion earnings reserve, money made from corpus investments, is altogether different. It can be spent by a simple vote of the Legislature, but lawmakers have been antsy about touching the earnings because that is where dividends come from.