“Relating to contributions from permanent fund dividends to community foundations, to certain educational organizations, and to certain other charitable organizations; relating to the execution upon permanent fund dividends; amending Rule 89, Alaska Rules of Civil Procedure; and providing for an effective date.”
Posted: April 2, 2007
Bill Version: SCS CSHB 166(FIN) AM S
Status: Chapter 41 SLA 08 : 2008-05-23
HB 166 is an attempt to increase private philanthropy in Alaska by giving people the option of donating a portion of their Permanent Fund Dividend check to their favorite charity. Alaskans who make $100,000 or more, rank among the lowest in the nation as far as percentage of income donated to charities.
In the hustle and bustle of life, we often forget about those organizations who rely on donations and who provide important services to our communities. HB 166 allows for a list of approved organizations to be included with a personís PFD application and allows them to check off which charities that they would like to donate to. 100% of their donation will go to the charity. The simplicity of being able to simply check the desired charity while applying for oneís PFD will increase the rate of donation and give these charities another avenue to use in their fundraising.
HB 166 also requires that the charity meet certain criteria before it can be placed on the list with the PFD applications. Among the criteria, the charity must be a 501(c)(3) organization, be directed by a voluntary board whose members are residents of Alaska, receive $100,000 or 5%, whichever is less, of its annual receipts in contributions, and the charity must provide a copy of an audit, for the previous fiscal year, to the Department of Revenue.
The Rasmuson Foundation, a charitable foundation which makes $25 million in grants each year to Alaska organizations, has pledged to fully fund the administrative costs of the program for the first three years of the program, creating a zero fiscal impact on the state in these crucial beginning years.
HB 166 gives people a simple and convenient way to donate to their favorite charities, who make a positive impact in our communities. I urge your support of this important piece of legislation.