LUTHERAN QUILTERS – Members of the Quilts for Comfort Group stand between pews draped with some of the 205 quilts they made, in the Sitka Lutheran Church Tuesday. The group made the quilts for five local non-profits and one in Anchorage. The remaining quilts are sent to Lutheran World Relief which  distributes them to places around the world in need, such as Ukraine, as part of Personal Care Kits. Pictured are, from left, Helen Cunningham, Kathleen Brandt,Vicki Swanson, Paulla Hardy, Kim Hunter, Linda Swanson and Sue Fleming.  (Sentinel Photo by James Poulson)

State's Transportation Plan Gets Federal OK
28 Mar 2024 15:06

By JAMES BROOKS
Alaska Beacon
    Federal officials on Wednesday approved most of Alaska’s four-y [ ... ]

New Funding Plan Ahead for Visit Sitka?
28 Mar 2024 15:02

By SHANNON HAUGLAND
Sentinel Staff Writer
    At an hour-long work session with the Assembly Tuesda [ ... ]

Sitka 'Frankenstein' Puts Classic Tale in New Ligh...
28 Mar 2024 15:01

By GARLAND KENNEDY
Sentinel Sports Editor
    The story behind a classic, though often misunderstoo [ ... ]

State May Los Millions Over Ed Dept. Missteps
28 Mar 2024 14:59

By CLAIRE STREMPLE
Alaska Beacon
    The state government risks losing millions of dollars in feder [ ... ]

Gov Signs Bill On Internet In State Schools
28 Mar 2024 14:57

By JAMES BROOKS
Alaska Beacon
    Alaska Gov. Mike Dunleavy on Wednesday signed a bill that promise [ ... ]

Capitol Christmas Tree to Come from Tongass
28 Mar 2024 14:56

By YERETH ROSEN
Alaska Beacon
    Alaska’s Tongass National Forest, known for its steep mountains [ ... ]

City League Games Thursday
28 Mar 2024 14:52

By Sentinel Staff
    Playing Wednesday in competitive division City League volleyball matches, Ca [ ... ]

March 28, 2024, Police Blotter
28 Mar 2024 14:50

Police Blotter
Sitka police received the following calls by 8 a.m. today:
March 27
At 2:36 p.m. a dead  [ ... ]

March 28, 2024, Community Happenings
28 Mar 2024 14:48

This Week in Girls on the Run By Sitkans Against Family Violence
and The Pathways Coalition
During th [ ... ]

New RFP Sought For Managing PAC
27 Mar 2024 14:48

By GARLAND KENNEDY
Sentinel Staff Writer
    The future of management and operations at the Perform [ ... ]

Seiners Get Second Day with 2 Areas to Fish
27 Mar 2024 14:46

By Sentinel Staff
    The Sitka Sound commercial herring sac roe fishery continued today with open [ ... ]

Braves Take Second in Last Minute Upset
27 Mar 2024 12:41

By GARLAND KENNEDY
Sentinel Sports Editor
    After storming into the state 3A boys basketball brac [ ... ]

Tuesday City League Volleyball
27 Mar 2024 12:39

By Sentinel Staff
    The Queen Bees’ spotless season record ended Tuesday night with a 2-1 loss [ ... ]

Kodiak Alutiiq Museum Getting New Attention
27 Mar 2024 12:37

By SHIRLEY SNEVE
Indian Country Today
    A major renovation at an Alaska museum to attract tourist [ ... ]

House Hearing on Inmate Deaths Halted
27 Mar 2024 12:35

By CLAIRE STREMPLE
Alaska Beacon
    A presentation about a jump in the number of inmate deaths in  [ ... ]

Nominee to Bering Sea Council: Not a Trawler
27 Mar 2024 12:34

By NATHANIEL HERZ
Northern Journal
    Tribal and environmental advocates calling for a crackdown o [ ... ]

March 27, 2024, Police Blotter
27 Mar 2024 12:26

Police Blotter
Sitka police received the following calls by 8 a.m. today:
March 26
At 2:10 p.m. a man e [ ... ]

March 27, 2024, Community Happenings
27 Mar 2024 12:25

Big Rigs Sought
For April 13
The 3 to 5 Preschool’s spring fundraiser and Big Rig event is happening [ ... ]

Reassessments Raise Tax Bills for Sitkans
26 Mar 2024 15:22

By SHANNON HAUGLAND
Sentinel Staff Writer
    The city’s reassessment of taxable real estate, alo [ ... ]

Two Areas Opened in Herring Fishery Today
26 Mar 2024 15:21

By Sentinel Staff
The third opening in this year’s Sitka Sound sac roe herring fishery was held Mon [ ... ]

Lady Wolves Rally to Take Fourth at State
26 Mar 2024 15:16

By GARLAND KENNEDY
Sentinel Sports Editor
    Sitka High’s Lady Wolves bounced back from an openi [ ... ]

Edgecumbe Girls Close Out Season Up North
26 Mar 2024 14:58

By GARLAND KENNEDY
Sentinel ports Editor
    Competing in the state 3A basketball tournament in Anc [ ... ]

City League Monday
26 Mar 2024 14:55

By Sentinel Staff
    Playing in a competitive division City League volleyball game Monday evening [ ... ]

House Votes to Broaden Rules For Review Panel Memb...
26 Mar 2024 14:52

By JAMES BROOKS
Alaska Beacon
    A bill that passed the Alaska House of Representatives on Monday  [ ... ]

Other Articles

Daily Sitka Sentinel

PFD Checks Smaller But Can Be Big Help

By MARK THIESSEN
 
The Associated Press

ANCHORAGE (AP) — Downtown Anchorage street musician Cal Austermuhl had good reason to be singing the blues Wednesday, the same day the state of Alaska began distributing $992 checks that will be paid to nearly every resident.

“Mine’s already spent,” he said of his share of the state’s oil wealth fund. “It goes to outstanding bills.”

Austermuhl relies on performances at bars and markets and tips from summer tourists to supplement his income. But amid coronavirus concerns this year, that’s a tough proposition.

As he sang a Jeff Healy Band ballad, a few people donning masks dropped dollars into his guitar case. Otherwise the streets were nearly empty after most cruise ship companies canceled their summer season, eliminating nearly half of the vacation plans for the 2.2 million tourists that annually visit Alaska.

The oil-wealth check, which some in Alaska see as an entitlement, typically is derived from the earnings of a nest-egg investment account the state has seeded with oil money. The fund was established during construction of the trans-Alaska pipeline in the 1970s. 

This year’s check was paid in part using a separate savings account.

Residents received the first check, $1,000, in 1982. Amounts have varied over the years, and traditionally were calculated on a five-year rolling average to buffer downturns in the economy. 

This is the smallest check since $900 was paid in 2013. The biggest check was $2,072 in 2015. The following year, amid a budget deficit, then-Gov. Bill Walker reduced by roughly half the amount available for checks, leaving the rest in the fund’s earnings in reserve. 

Since then, the size of the check has been set by lawmakers, who in 2018 began using some of the fund’s earnings to help pay government costs. Lawmakers also passed a law seeking to limit withdrawals from earnings, heightening tension between how much should be used on dividends and how much should go to state government as the deficit persists.

Some lawmakers worry that if the Legislature takes too much from the earnings reserve, it could imperil future dividends.

The size of the dividend has become a political issue. Checks this year would have been about $3,060 if the calculation had been followed. 

“I think that sucks,” James Grim said as he wiped down his red 1968 Pontiac Catalina convertible at an Anchorage car wash. “It wasn’t set up for the government to get their hands on it. It was set up for the people of Alaska.”

Regardless of the check size, dividend day is a big one for Alaska retailers. “We direct deposited $512,474,838.56 today. Paper checks also went out, for a total payment amount of $592,360,237.82,” Anne Weske, the director of the Alaska Permanent Fund Dividend Division, said in an email to The Associated Press.

Some residents use the money for new toys, like big screen televisions or new snowmobiles, and others fund college savings accounts for children or donate to charities. Other residents, especially those in rural Alaska villages off the road system, use the money to pay high fuel bills or help supplement food items at grocery stores, where staples like milk can go for $10 a gallon.

The checks are normally distributed in early October, but this year Gov. Mike Dunleavy moved the distribution date up to help provide relief amid the economic fallout of the coronavirus. The dividend also comes a day after the expiration of a mandate from the Legislature that prevented automobile repossession and evictions for not paying rent.

“It’s a nice little shot,” said Mike Miller, a bartender at Flattop Pizza in downtown Anchorage. “I think it’s cool that they decided to give it early this year, you know, because of what’s going on.”

He was luckier than most, receiving extended unemployment benefits. His partner was an essential employee as a case manager at a women’s shelter.

But now that he’s back to work, the benefits are ending and there just aren’t the customers around to make up that cash flow.

“The people just aren’t downtown,” he said noting that includes tourists and office employees still working from their homes.

“When the dividend checks come in, you know, everybody’s a thousandaire for a couple few days,” he said, standing in an empty restaurant during what would typically be the noon rush hour. “And a lot of time, like me, they’re going to go spend it at the bar. Fingers crossed, we get a little hit from that.”

 

Login Form

 

20 YEARS AGO

March 2004

Advertisement: Tea-Licious Tea House & Bakery 315 Lincoln Street Grand Opening! Freshly Baked Scones, Cakes & Pastries Innovative Salads, Soups & Sandwiches Harney & Sons Tea. Lunch * Afternoon Tea * Supper.

50 YEARS AGO

March 1974

Photo caption: National Republican Chairman George Bush takes a drink of water offered by Jan Craddick, Sitka delegate, during the Republican convention held here. Mrs. Craddick explained to Bush that the water was from Indian River, which means, according to local legend, that he will return.

Calendar

Local Events

Instagram

Daily Sitka Sentinel on Instagram!

Facebook

Daily Sitka Sentinel on Facebook!