Governor to sign bill Monday, but uncertainty remains over whether he’ll veto PFD amount

Governor to sign bill Monday, but uncertainty remains over whether he’ll veto PFD amount

Alaska’s governor has several options available to him.

Gov. Mike Dunleavy’s office announced Friday that the final bill to be passed out of the special legislative session will be signed Monday.

House Bill 2001 contains money for both for the state’s operating budget and the Permanent Fund Dividend. HB 2001 allocates a $1,600 PFD amount, rather than the $3,000 Dunleavy prefers.

It’s not clear what action Dunleavy will take regarding the PFD, and his office did not immediately respond to comment.

The governor has several options when it comes to trying to get a full $3,000 PFD — which he has campaigned on and so far has not compromised on — all them fraught with further political turmoil.

Dunleavy can line-item veto the $1,600 PFD appropriation from the bill and then call the Legislature into a third special session, demanding the full amount be passed. However that option runs the risk of the Legislature still not passing a full PFD and no dividend being allocated come October, when it is normally distributed.

The governor could sign the bill with the $1,600 PFD amount, and then call the Legislature into special session, demanding that the remainder of the funds be allocated. That would again run the risk of the Legislature simply not passing a bill at all or allocating less than the governor promised to voters.

It’s also possible that Dunleavy could sign the bill as is and not call the Legislature to special session, leaving this year’s PFD at $1,600. That last option would be questionable politically for the Republican governor among his conservative base, given he campaigned on a $3,000 PFD with additional back-payments for cuts to the dividend in previous years, and has made that a cornerstone of his administration.

Juneau Democratic Sen. Jessie Kiehl told the Empire he thinks the most likely scenario is that Dunleavy will sign HB 2001, but then call the Legislature back into special session, demanding the rest of the PFD.

“He’s approved parts of the bill so that means he’s not going to veto the bill entirely,” Kiehl said.

Kiehl added, “The Legislature reached an incredibly broad, incredibly bipartisan agreement on what’s necessary for Alaskans,” on the budget. “I’m glad the governor has finally seen some light,” in terms of funding some state programs, Kiehl said.

When HB 2001 was passed by the Alaska Legislature last month, Rep. Neal Foster, D-Nome, said the bill reversed about 75 percent of the governor’s original $444 million in vetoes from the state budget.

In Friday’s press release announcing the signing of HB 2001, the governor’s office said that funds for Online with Libraries and Live Homework Help would be restored. Those programs would receive $670,900 and $138,200 respectively, totaling $809,100 in total funds.

“Like funds restored earlier in the week for Head Start, Early Childhood Grants and other early learning programs, these decision were made after significant input from Alaskans,” Dunleavy said in a statement. “While we hoped to have these issues cleared up months ago, it’s important we announce these items now before the start of the school year.”

Facing public pressure and a recall effort, the governor restored funds for Head Start and Early Childhood Grants earlier this week, saying at the time that his vetoes had been part of an effort to start a conversation with Alaskans about what they valued most.

A campaign to recall the governor began at the end of July and according to the campaign’s website, has already collected enough signatures to complete the first portion of that effort. The recall campaign needs 28,501 signatures in order to submit an application to the state Division of Elections. The Recall Dunleavy website says that over 29,000 signatures have been collected in the two weeks since the campaign began.

The governor signed the other bill to come out of the Legislature during the special session on Aug. 8. That bill, Senate Bill 2002, contained money for the state capital budget, including several state programs like the Alaska Performance Scholarship and Power Cost Equalization. However, Dunleavy vetoed over $34 million in funds from that bill, including $10 million for addiction treatment facilities.

In Friday’s press release, the governor’s office said that Dunleavy “hoped to have HB 2001 completed this week,” but that “a thorough examination and review of the bill is still being finalized.”


• Contact reporter Peter Segall at 523-2228 or psegall@juneauempire.com.


More in News

(Juneau Empire file photo)
Aurora forecast through the week of Feb. 1

These forecasts are courtesy of the University of Alaska Fairbanks’ Geophysical Institute… Continue reading

Two flags with pro-life themes, including the lower one added this week to one that’s been up for more than a year, fly along with the U.S. and Alaska state flags at the Governor’s House on Tuesday. (Mark Sabbatini / Juneau Empire)
Doublespeak: Dunleavy adds second flag proclaiming pro-life allegiance at Governor’s House

First flag that’s been up for more than a year joined by second, more declarative banner.

Students play trumpets at the first annual Jazz Fest in 2024. (Photo courtesy of Sandy Fortier)
Join the second annual Juneau Jazz Fest to beat the winter blues

Four-day music festival brings education of students and Southeast community together.

Frank Richards, president of the Alaska Gasline Development Corp., speaks at a Jan. 6, 2025, news conference held in Anchorage by Gov. Mike Dunleavy. Dunleavy and Randy Ruaro, executive director of the Alaska Industrial Development and Export Authority, are standing behind RIchards. (Yereth Rosen/Alaska Beacon)
For fourth consecutive year, gas pipeline boss is Alaska’s top-paid public executive

Sen. Bert Stedman, R-Sitka, had the highest compensation among state legislators after all got pay hike.

Juneau Assembly Member Maureen Hall (left) and Mayor Beth Weldon (center) talk to residents during a break in an Assembly meeting Monday, Feb. 3, 2025, about the establishment of a Local Improvement District that would require homeowners in the area to pay nearly $6,300 each for barriers to protect against glacial outburst floods. (Mark Sabbatini / Juneau Empire)
Flood district plan charging property owners nearly $6,300 each gets unanimous OK from Assembly

117 objections filed for 466 properties in Mendenhall Valley deemed vulnerable to glacial floods.

(Michael Penn / Juneau Empire file photo)
Police calls for Sunday, Feb. 2, 2025

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

(Michael Penn / Juneau Empire file photo)
Police calls for Saturday, Feb. 1, 2025

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

(Michael Penn / Juneau Empire file photo)
Police calls for Friday, Jan. 31, 2025

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

University of Alaska President Pat Pitney gives the State of the University address in Juneau on Jan. 30, 2025. She highlighted the wide variety of educational and vocational programs as creating opportunities for students, and for industries to invest in workforce development and the future of Alaska’s economy. (Corinne Smith/Alaska Beacon)
University of Alaska president highlights impact on workforce, research and economy in address

Pat Pitney also warns “headwinds” are coming with federal executive orders and potential budget cuts.

Most Read