Unalaska, AK – The Aleutian Pribilof Island Community Development Association is paying out its first annual dividend to its member communities this month under a new money-management strategy the association began seven years ago.

The $600,000 dividend has been divided among the association's six member communities. The payments are calculated based on the size of the community, ranging from about $70,000 for Nikolski to about $130,000 for Saint George.

That may not sound like a lot of money, but APICDA CEO Larry Cotter said that for tiny communities struggling to stay afloat in remote corners of Southwest Alaska, it will make a difference.

"Nelson Lagoon is having trouble paying for fuel this year," Cotter said. "I think False Pass is going to fall short on its projected tax revenues, and Saint George is in pretty desperate financial shape, so this is going to help them."

The dividend is paid out of an $11.2 million long-term reserve account that APICDA created in 2000. The fund works more or less like a small-scale version of Alaska's Permanent Fund, although there's no income averaging and its investment rules aren't set in stone.

Most of APICDA's revenues come from investments and community development quota (CDQ) fisheries royalties. Some fishing-dependent communities like Unalaska already have rainy-day funds to protect against the volatility of the industry, although most of the five other CDQ associations do not. Still, Cotter said he doesn't see the need for APICDA to add much to the amount set aside so far.

"Personally I think it's an adequate size," he said. "I don't see any need to grow it, other than to make sure it's inflation-proofed. There's a lot of investment opportunities out there, and I'd like to see us put our money to work in those opportunities, and in the things we need to do in our villages."

APICDA is planning on investing in a number of infrastructure projects in its member communities in coming years. The association anticipates finishing construction of a processing plant in False Pass this year. Plants are slated to be built in Saint George and Nelson Lagoon next year and a plant in Atka will be rebuilt. APICDA also has plans for a tourist lodge in Saint George.