CONSTITUTIONAL LAW
Supreme Court of Alaska (2022)
Rachel Reiss
In Short v. State, Office of Management & Budget, 520 P.3d 142 (Alaska 2022), the supreme court
held that unappropriated funds from the Higher Education Investment Fund (HEIF) may be swept
annually into the Constitutional Budget Reserve (CBR). (Id. at 144). Alaska’s HEIF provides
grants and scholarships for post–secondary education programs. (Id.). In 2021, unappropriated
funds from the HEIF were designated as part of that year’s sweep pursuant to the Alaska
Constitution. (Id. at 148–49). Subsequently, a group of students sued, arguing that the HEIF is not
eligible to be swept. (Id. at 149). Under relevant state supreme court precedent, funds “available
for appropriation,” and thus eligible to be swept, include funds that (1) the legislature holds power
to appropriate and (2) that require additional appropriation before ultimately being expended. (Id.
at 150). HEIF is funded by continuous appropriations. (Id. at 150–51). The legislature then
appropriates HEIF funds into award accounts. (Id. at 151). It is only after this second appropriation
that the programs can expend the funds. (Id.). The students argued that the initial funding into
HEIF constituted expenditure, and thus, that the funds were not sweepable. (Id.). However, the
supreme court reasoned that since the executive branch cannot spend HEIF funds without
additional legislative action, the HEIF funds are available for the annual sweep. (Id.). Affirming
the lower court’s decision, the supreme court held that HEIF funds may be swept into Alaska’s
CBR under article IX, subsection 17(b) of the Alaska Constitution. (Id. at 152).
