House passes operating budget with $1,000 added to school formula and a $1,400 PFD

After extended delay the state House passed a state operating budget April 16 along partisan lines, 21-19.

The budget totalled $12.98 billion of all funds, with $6.167 billion un unrestricted general fund, or UGF, revenue; $1.004 billion in designated general revenues; $1.976 billion in other state funds and$3.83 billion in federal funds.

Most of the federal funds are for transportation projects like highways and airports. The UGF funds is money the Legislature has control over and can change. The remaining funds are restricted in various ways to certain programs.

Putting the budget together was a challenge, with falling oil prices, uncertainty with federal programs and increasing costs in Alaska. It prioritized funding essential services while including an increase in education funding and a meaningful PFD,” said House Speaker Bryce Edgmon, I-Dillingham.

About $950 million is appropriate for the dividend, which works out to about $1,400 for each PFD. A $1,000 increase in the Base Student Allocation, or BSA, for schools is also in the budget. The BSA is the formula that allocates state funds for education. It is now $5,960 per student. If the House budget prevails it would be $6,690.

Republicans in the House Minority were not happy with the budget.

“We were implored to help,” by the Democrat-led coalition that controls the Majority, Rep. Cathy Tilton, R-Wasilla, said. “There were many alternative solutions put forward (by the Republican-led Minority) and they were not chosen,” she said.