This bill amends Alaska's appropriation limit by changing the percentage increase allowed for appropriations in a fiscal year. Specifically, it reduces the allowable increase from five percent, plus adjustments for population and inflation, to a flat limit of one percent. Additionally, the bill removes the requirements for determining changes in population and inflation based on specific metrics, such as the annual estimate by the Department of Labor and the Consumer Price Index for Anchorage.

The bill also clarifies that the amount of money subject to the appropriation limit includes the balance in the general fund carried forward from the previous fiscal year. The effective date for this change is set for July 1, 2027.

Statutes affected:
SB0223A, AM SB 223, introduced 01/23/2026: 37.05.540