JUNEAU, Alaska – Alaska lawmakers want to help shape how the state spends more than $ 1 billion on a new federal aid package a year after largely ceding the decision on an earlier pandemic-related aid package to Governor Mike Dunleavy.

Several lawmakers await a debate on how to spend the money to be the focus of the legislature’s regular session in the final weeks, the Anchorage Daily News reported.

Issues that many lawmakers deemed important to address or regulate, such as Alaska’s long-term deficit and the future of the annual oil check paid to residents of the state oil fund, have been overshadowed. Some lawmakers previously said the influx of new federal funds should not be seen as an excuse for delaying difficult budget decisions.

Senate President Peter Micciche said federal aid is an opportunity to “bring about a generational change in the Alaskan economy.” The Soldotna Republican said money could be used to retrain the unemployed, develop infrastructure and prepare the state for the next decade.

The legislature reaches its 121-day session limit on May 19. The state constitution allows an extension of 10 days if enough legislators agree to one. Federal guidelines on how the money can be spent are not expected until May 10th.

While some lawmakers have delayed decisions on the aid funds for a special session, Alaska House and Senate leaders aren’t sure they would have the votes to invite them to a special session.

“There are a lot of lawmakers who say we’ll be here for 121 days, that should be enough to get our job done. And that’s our goal: do our job and have it done in 121 days, ”said House Spokeswoman Louise Stutes, a Kodiak Republican.

Dunleavy has proposed a comprehensive overview of the use of the funds, including aid to business and infrastructure investments. Legislators are expected to use the proposal as a starting point for their own plans.

Rep. Sara Rasmussen, an Anchorage Republican who sits on the House Finance Committee, said lawmakers want more control over how the state spends those funds. For the past year, lawmakers rushed to end their jobs early due to COVID-19 concerns essentially have stamping plans offered by the Dunleavy government.

Micciche and Stutes, who met with Dunleavy Tuesday, said there was general agreement that the federal money will not be used to permanently add to the budget.

In recent years, the debate over the amount of the check paid to residents of the state oil fund has been a dominant topic as lawmakers relied heavily on the fund’s earnings, which have long been used to pay checks to, too to finance government services with low oil revenues. Legislators have settled on an amount to pay the checks instead of following a formula that some say is out of date and unsustainable. Dunleavy has argued that the formula should be followed until it is changed.

Micciche said federal aid had given some momentum to efforts to find a long-term solution. “I mean, politicians, basically a lot of people want to do that when you can avoid the tough choices,” he said.

He said his Republican-led Senate majority would welcome lawmakers to spend some of the federal money at that session and leave some for later allocation.

Micciche and Stutes said they are optimistic that an agreement can be reached on a dividend and use of federal aid dollars by May 19.

“It’ll have to dance a little, but we know the tune,” said Stutes.

The Associated Press