Your numbers are incorrect.  1/3 does not go to those that make over 100K.  Of that 1/3, 25 to 39 % goes to federal income tax.  So, low wage earners have had a greater benefit from the PFD over the years because the pay little or no income taxes on it.  And high income tax payers fund the federal welfare programs the poor rely on.  So cut the upper 1/3's PFDs off and you essentially shaft the poor because the feds get a lot less tax revenue from Alaskans.