Tempers flare in Alaska over governor's Permanent Fund Dividend plan

 Gov. Mike Dunleavy sits down with Channel 2 to defend his massive budget cuts (KTUU)
Gov. Mike Dunleavy sits down with Channel 2 to defend his massive budget cuts (KTUU) (KTUU)
Published: Apr. 3, 2019 at 5:47 AM AKDT
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Gov. Mike Dunleavy is proposing a fiscal plan that includes sweeping cuts and providing Alaska residents with a full payout from the oil-wealth fund, and many residents are unhappy about it.

The annual check paid to qualified residents was capped the past three years as state leaders struggled to address an ongoing budget deficit now estimated at $1.6 billion.

Dunleavy campaigned on wanting to get residents their full payout. Now that he's governor, they're learning what that means.

He has proposed cuts to a range of services, along with tax collection changes that municipal officials say would devastate some local governments.

Some see this as a manufactured crisis that doesn't consider taxes and too highly prizes the dividend over government services.

Dunleavy says the problem is spending, not the dividend.