This photo shows Gov. Mike Dunleavy speaking at a July 2021 news conference.In a statement on Tuesday, Dunleavy said he would not veto the $1,100 Permanent Fund dividend passed by the Legislature. (Peter Segall / Juneau Empire File)

This photo shows Gov. Mike Dunleavy speaking at a July 2021 news conference.In a statement on Tuesday, Dunleavy said he would not veto the $1,100 Permanent Fund dividend passed by the Legislature. (Peter Segall / Juneau Empire File)

Dunleavy says he won’t veto ‘partial’ PFD, calls fourth special session

Legislature is set to meet in Juneau on Oct. 1.

Gov. Mike Dunleavy says he won’t veto the $1,100 Permanent Fund dividend passed by the state Legislature on Tuesday.

In a statement, Dunleavy expressed displeasure with the amount appropriated by the Legislature and noted the Alaska Permanent Fund’s recent growth and the harm the pandemic has done to the state’s economy. Dunleavy had called for an amount of about $2,300 based on a proposed formula supported by the governor and some lawmakers.

Previously, Dunleavy vetoed a $550 PFD passed by the Legislature earlier in the budget-making process. At the time, the Legislature OK’d a plan that split funding for a $1,100 PFD from different sources, which resulted in different vote thresholds for partially funding and fully funding the dividend. The Legislature was unable to pass the fully funded amount.

“While we continue to debate the fiscal future of this state, the people of Alaska need help now,” Dunleavy said in the statement. “On one hand, a veto of this half measure would seem appropriate, but at this stage of the game that would aid and abet those that don’t care about individual Alaskans, small businesses and the economy.”

Dunleavy said that is why he was opting not to veto “this partial PFD,” but is calling the Legislature back to Juneau for a fourth special session “to get the rest of this year’s PFD” and to complete a long-term fiscal plan. In an executive proclamation issued at 5:35 p.m. Tuesday, Dunleavy called for the session to begin at 10 a.m., Oct. 1 in Juneau.

Dividend size and the state’s long-term financial outlook were both subject matters that have loomed over recent legislative sessions.

In mid-August, a bipartisan, bicameral working group released recommendations for solving fiscal problems.

Elements of the comprehensive solution recommended by the group, include changing the formula for dividends based on the Permanent Fund’s percent of market value; a constitutional, single-account structure for the fund with draws limited by POMV, budget reductions, new revenues, a spending-cap reform and a several-year transition period among other policy suggestions.

• Contact Ben Hohenstatt at (907)308-4895 or bhohenstatt@juneauempire.com. Follow him on Twitter at @BenHohenstatt

More in News

Brad Hogarth, one of four finalists to be the new music director of the Juneau Symphony, guides the ensemble through a rehearsal at Juneau-Douglas High School: Yadaa.at Kalé. (Mark Sabbatini / Juneau Empire file photo)
A pink peony blooms in Chris Urata’s garden on Saturday, July 5, 2025. (Ellie Ruel / Juneau Empire)
Master Gardeners Tour showcases excellence in landscaping

Annual fundraising event features gardens on 11 properties

(Michael Penn / Juneau Empire file photo)
Police calls for Saturday, July 5, 2025

This report contains public information from law enforcement and public safety agencies.

(Michael Penn / Juneau Empire file photo)
Police calls for Friday, July 4, 2025

This report contains public information from law enforcement and public safety agencies.

Seven- and 8-year-olds compete in the watermelon-eating contest at Savviko Park on Thursday, July 3, 2025. (Ellie Ruel / Juneau Empire)
Douglas picnic marks the beginning of 4th of July celebrations

Community members enjoy barbecue, watermelon eating contest

Shannon Crossley, who helped build the Treadwell disc golf course, wears the Douglas grand marshal’s sash as she rides in the parade on Friday, July 4, 2025. (Jasz Garrett / Juneau Empire)
History of Douglas continues through Independence Day celebrations

Juneau Disc Golf Club honored as Douglas Fourth of July grand marshal

Juneau Ati-Atihan marches towards downtown Juneau in the 2025 Fourth of July Parade. The group was named best of parade. (Natalie Buttner / Juneau Empire)
Independence Day parade soars through downtown

Candy took flight at this year’s downtown Juneau parade, ‘Juneau’s Winged Heroes’

(Michael Penn / Juneau Empire file photo)
Police calls for Thursday, July 3, 2025

This report contains public information from law enforcement and public safety agencies.

(Michael Penn / Juneau Empire file photo)
Police calls for Wednesday, July 2, 2025

This report contains public information from law enforcement and public safety agencies.

Most Read