Time to file for Permanent Fund Dividend, if qualified

  • Published
  • By Charles H. Criss
  • Army Legal Assistance Attorney
Development of Alaska's huge oil reserves brought large amounts of cash into Alaska.
In 1976, the State of Alaska developed the Permanent Fund to compensate Alaskans for the future loss of revenues (employment, etc.) derived from a nonrenewable resource. Beginning in 1980, the state decided to issue annually a portion of the Fund directly to every Alaska citizen.

By doing so, a portion of the oil revenues would be conserved for future generations. The amount of the permanent fund dividend varies each year and in 2010 the dividend was $1,281.

Each year Alaska residents apply for their dividend.

Although it appears to be easy money, there is one very strict requirement that you must meet before you can qualify to receive the PFD.

On the date of application, you must be physically present in Alaska with the intent to remain in the state permanently, or be on an allowable absence with the intent to return to the state and remain permanently.

The rules also apply to family members applying for the PFD.

The burden of proving that you intend to remain permanently as an Alaskan resident is on you.

People intending to remain permanently in Alaska will do most of the following: obtain an Alaska drivers license, register their vehicle in Alaska, sign a lease for non-governmental housing or purchase a home in Alaska, declare themselves as an Alaska resident on their Leave and Earnings Statement.

A person would also keep a copy of the DD Form 2058 that they filled out requesting to list Alaska as their state of legal residence on their LES together with proof of the date they submitted the DD 2058 to their military finance office for processing, obtain an Alaskan resident hunting and/or fishing license, register and vote in Alaska, execute a will that designates residency in Alaska and have their immediate family register as Alaska residents.

Applications for the PFD may be filed anytime between Jan. 1 and March 31.
Before you apply for your PFD, you must first have lived in Alaska for a full calendar year.
 
If you PCSd to Alaska this past summer, you will not be able to apply for the PFD any sooner than January 1, 2012. Once your application is approved, you must apply every year thereafter in order to receive the PFD.

If you leave Alaska, you can continue to receive the PFD only if your absence from the state is excused. Reasons for an allowable absence include attending specific education on a full-time basis, receiving continuous medical treatment or providing care for a family member with a life-threatening illness. Serving on active duty as a member of the armed forces of the U.S. is also an allowable absence.

If you are on active military duty serving in a combat zone during the PFD application period, you have 90 days following your return in which to file your application.

In the alternative, you can give someone a special power of attorney permitting that person to file on your behalf. Before applying for the PFD, consider that the PFD is a benefit for legitimate Alaskan residents.

It is not meant to be a windfall for anyone who just happens to be in Alaska for awhile. If the State determines you never really intended to remain in Alaska, you may face criminal prosecution, be sentenced to jail, fined up to $3,000, or both.

In addition, you may have to repay all the Permanent Fund Dividends ever received, and forfeit the right to all future dividends.

When applying for the PFD, consider carefully whether you intend to remain in Alaska or to return as soon as your military duty allows.

If you have questions about your eligibility, review the PFD's web site at www.pfd.state.ak.us or contact your Legal Assistance Office (JBER-Richardson at 384-0371; JBER-Elmendorf at 552-3046).