Residents of Alaska are set to receive record payments from the state’s oil royalty fund this year.
According to Reuters, about 645,000 Alaska residents will receive over $2,000 each next month from the Alaska Permanent Fund, up from last year’s $1,884 payment.
This year’s payment also bests the previous record of $2,069 handed out in 2008.
The exact amount that residents will be paid will be disclosed later this month.
The Alaska Permanent Fund was established in 1976 by a constitutional amendment and requires that a portion of the state’s oil revenues be placed into a savings account.
According to the Alaska Permanent Fund Corporation, the fund has a current market value of $50.93 billion.
Deputy commissioner for the Alaska Department of Revenue Jerry Burnett told Reuters that, despite low oil prices, the fund has reaped the benefits of strong stock performance last year as well as investments in real estate private equity.
The Alaska Permanent Fund’s investments gained 4.9 percent during the 2015, ahead of the performance benchmark return of -1.4 percent, according to preliminary figures released in August.
The fund earned $2.9 billion in statutory net income for fiscal year 2015, and transferred $1.4 billion to the Permanent Fund Dividend Division for the 2015 dividend payment.
“This was a more volatile year for the capital markets, so we are pleased to be able to report a positive return overall,” the fund’s acting executive director Valerie Mertz said last month.
The payment amounts are calculated using a formula that averages the fund’s earnings over a five year period.
Residents must live in Alaska for a full calender year before they are eligible to receive payments.
The state will begin sending out this year’s payments on October 1, Reuters added.