FAIRBANKS -- Alaska legislators are again reviewing the idea of turning their allowances for office expenses into annual income that can be spent in any way they choose.
"There is some interest in changing" how the allowance is paid, according to a survey distributed to lawmakers by the office of Kodiak Sen. Gary Stevens. He is a member of the Legislative Council, the group that sets policy on such matters.
Alaska lawmakers have gone back and forth on this issue over the past few years. House leaders responded quickly with a statement Monday saying they think the money should not be treated as income: "In light of our fiscal circumstances, and to best serve the interests of the people, we believe the current accounting method is proper."
The current salary for lawmakers is $50,400, plus a daily allowance of $238 for living expenses during the session.
There is also a long-standing state law that says, "Each member of the Legislature is entitled to an annual allowance prescribed in accordance with AS 39.23 for postage, stationery, stenographic services, and other expenses."
The question in the survey distributed by Stevens is whether lawmakers should continue to have to submit receipts for qualified office expenses or if the money should be treated as compensation.
If the money is treated as income, there is no reporting required on whether it is spent on office expenses.
Members of the Senate can spend up to $20,000 per year for office expenses, while members of the House have an allowance of up to $16,000. There are no tax consequences for individual legislators when they are required to submit receipts.
The survey from Stevens asks legislators if they want to continue to submit bills or receipts or if they want the money as income.
Under the current plan, money that is not spent on office expenses goes to the state treasury. If lawmakers decide to treat the money as income, they will get the full amount, with taxes and other expenses withheld.
If the money is treated as income with taxes and other costs withheld, House members would get about $11,200 and senators would get about $13,700, the survey says.