PFD highlights stewardship, responsibility

Alaska's economy is in the process of receiving its annual shot in the arm provided by the state's permanent fund. The first round of dividend checks, which are given to every Alaskan each year as their share of the state's oil wealth, went out last week.

More checks, worth $1,106.96 apiece, will be direct deposited next week, and the final batch of checks will be mailed out next month. By the time all eligible Alaskans - more than 600,000 - have received their checks, nearly three-quarters of a billion dollars will have been injected into the state's economy.

There is no doubt the money is valued by Alaskans. In the 25 years since the first dividend, $14.2 billion has been handed out. Families use the windfall to pay bills, purchase needed goods and services, put it away for college, or even to help pay for vacations, cars and snowmachines.

However the money is spent, it helps fuel the economic engine of state. It can provide money for paychecks, new jobs and other outlets that contribute to a healthy and vital economy.

This year's PFD check reversed a five-year trend of decreases in individual payouts. The nearly 31 percent increase in the 2006 dividend from last year's $845.76 represents the second-largest year-to-year hike in the fund's 25-year history. And since the dividend amount is based on investment returns on the $34 billion permanent fund, state officials say Alaskans should be able to count on continued increases for at least the next two years.

This is good news for Alaska families and their quality of life. But it also raises questions about the purpose of the fund and the role it should play as growing pains place new strains on the cost of providing state services to residents.

Are we being wise stewards of the state's oil wealth? Are we happy with our roads and other infrastructure? Are our children receiving the best education and health care that can be provided to them? Is law enforcement adequate to keep us safe?

These questions are, perhaps, even more relevant now, a month before Alaskans go to the polls to elect a new governor and legislators. Those who seek our votes are on the campaign trail now, talking about ways to improve the quality of life here. Since few of those ideas for making life in Alaska better come without a price tag, means will have to be found to pay for them.

Alaskans have been clear they expect their annual PFD checks. They also have been resistant to new taxes. But without a sales or income tax, or a new revenue stream, a large share of the financial burden of paying for government has fallen disproportionately to property owners.

In many ways, Alaskans take the permanent fund for granted as a source of &#8220free money” each year. But without responsible consideration of other issues facing us, including what kind of state we want to leave to the next generation of Alaskans, this way of thinking is short-sighted.

As Alaskans receive their PFD checks and decide how to spend them this year, we hope they also will think about the visionary people who helped establish the fund for the long-term interest of the state and its people.