House action on state budget set for this week; Senate holds its hearings on spending plan

State legislators in Juneau are enmeshed in budgets as the 2022 legislative session passes its 84th-day mark. This leaves about a month to go before legislators are required to adjourn.

The House spent much of last week debating amendments to its version of the state operating budget, which is now up for a final vote most likely on Monday.

The Senate, meanwhile, closed out agency subcommittee work for its version of the budget and held required public hearings around the state last Thursday and Friday.

People called in to the Senate Finance Committee from home or made comments from Legislative Information Offices in many communities.

During the House debate on budget amendments several proposals to insert a “full” Permanent Fund Dividend, or PFD, into be budget failed, although the votes were narrow.

As it stands the PFD amounts are for a dividend of approximately $1,200 and an extra “energy” dividend of $1,300, for a total of $2,500 paid this year. The Senate will weigh in with its version of a dividend as it finalizes its budget.

Differences between the House and Senate budgets will be resolved in a conference committee in late April or early May. The Legislature is required to adjourn on the 120th, which falls on May 18 this year.

Meanwhile, the state capital, or construction, budget is still under development as is a bill introduced by the governor last week to approve state funds needed to match money from the big federal infrastructure bill.

The Legislature must also approve “receipt authority” for the federal funds to be legally placed in the state budget. Even though the dollars are federal, if they are in programs administered the state the Legislature must approve authority to accept the money.

Also, the budget for upcoming Fiscal Year 2023, which begins July 1, must be passed by both legislative bodies and signed by Gov. Mike Dunleavy by June 30. The state cannot legally operate without an approved and signed budget.