Deven Mitchell, executive director of the Alaska Permanent Fund Corp., gives a tour of the corporation’s investment floor to Sen. Jesse Kiehl, D-Juneau, and other attendees of an open house on Friday, Feb. 16, 2024. (Photo by James Brooks/Alaska Beacon)
Financial documents published Wednesday by the Alaska Permanent Fund Corp. show the fund lacks enough spendable money to immediately pay for items in the state’s annual budget, a sign that the state’s top source of general-purpose revenue is on course for a future crisis.
This year, lawmakers and Gov. Mike Dunleavy approved a $1 billion transfer from the spendable portion of the Permanent Fund to the constitutionally protected principal.
As of July 1, there was only $571.7 million available to transfer.
Because the fund is expected to earn additional money in the coming months, the shortfall isn’t an immediate problem, but it is the latest signal that the fund’s ability to pay for state services and the Permanent Fund dividend may soon be in jeopardy.