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Alaska Senate committee advances draft capital budget, boosting funds for school maintenance

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Alaska Senate committee advances draft capital budget, boosting funds for school maintenance


The Alaska Senate Finance committee advanced a draft capital budget on Tuesday that would put nearly $250 million toward state facilities and maintenance projects next year.

The draft budget adds $88 million to Gov. Mike Dunleavy’s proposed capital budget of $159 million, with the largest additions going toward K-12 schools and university facilities maintenance.

That was a focused effort by the finance committee, said co-chair Sen. Bert Stedman, R-Sitka, who called funding for education facilities maintenance a “heavy concentration” on Wednesday.

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Earlier this year, students and school officials testified to lawmakers that decades of deferred maintenance has reached crisis levels — with many rural school districts in particular grappling with deteriorating facilities, failing water and sewer systems — which they say is degrading student and staff morale. Lawmakers have expressed support and increased funding in recent years, but point to Gov. Mike Dunleavy’s history of vetoes as a roadblock for funding education.

The Senate draft includes $57.8 million in additional funding toward K-12 school maintenance through the Alaska Department of Education and Early Development and $17 million toward the University of Alaska. It also includes $5.7 million for the Alaska Court System’s facilities and $8 million for community infrastructure and workforce development programs through the Alaska Department of Commerce, Community, and Economic Development.

The Legislature relies on state ranked lists to prioritize where to direct funding to capital projects for K-12 schools, the university system and the court system.

For K-12 schools, the state’s current major maintenance list totals over $400 million needed for 103 school projects and repairs. Stedman said he recognized this year’s capital budget will only fund a fraction of those.

“Hopefully we get a quarter of it done, or something like that, but it’d be nice to retire the entire list,” Stedman said.

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The draft budget would fund the top 15 school projects on the list, plus funds for three other schools in need of emergency fuel tank repairs. The top projects range from roof and boiler replacements to septic systems, fire suppression and safety upgrades in schools from Fairbanks to the Aleutian Islands.

In order to distribute funds more widely, members of the finance committee reduced funding for one project in Galena, in the Western Interior of Alaska, from roughly $35 million to $5 million for renovations to the Sydney C. Huntington Elementary and High Schools. They also allocated $17 million towards rebuilding the school in Stebbins in Western Alaska, after it burned down in 2024.

The Senate draft also adds nearly $14 million in funding for the state-run Mt. Edgecumbe High School, which has been the focus of public attention and concern after a quarter of students disenrolled this year. The additional facilities dollars include $10 million to remodel the dining hall, $3.1 million to replace dorm windows, $460,000 to replace dorm furniture, $50,000 to replace mattresses and $125,000 to replace aging laundry machines.

Finance members added $17 million to fund the top nine projects across the University of Alaska system — three projects each within the three major campuses.

Sen. Jesse Kiehl, D-Juneau, serves on the finance committee and his district includes University of Alaska Southeast. He described the proposed funds as a “nickel” compared to the “colossal” deferred maintenance needs of the university system.

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“That’s been built by Legislatures and Boards of Regents for 40 years,” he said on Wednesday, adding that it is a shared responsibility to put funding towards repairs and upgrades.

“The Constitution makes them a separate body within the executive branch that puts a lot of responsibility on them, too, more than the general state government,” he said “So university major maintenance is its own huge problem.”

The draft budget also includes $5.7 million for upgrades to state court facilities, mostly targeted to Anchorage and Sitka. It contains nearly $10 million for workforce development programs geared at the construction and oil and gas sectors, including for the Fairbanks Pipeline Training Center and Alaska Vocational Technical Center in Seward.

An amendment to add $25 million to the draft budget for the Port of Anchorage, sponsored by Sen. Kelly Merrick, R-Eagle River, was voted down on Tuesday by a 5 to 2 vote.

Before voting against the proposal, finance co-chair Sen. Lyman Hoffman, D-Bethel, said during committee deliberations the priority this year is to fund as many school maintenance projects on the list as possible, saying “schools are falling apart” and must be maintained to prevent further deterioration.

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“Students that are trying to learn deserve better,” Hoffman said. “And if we are not able to provide this major maintenance, we are going to see these schools continue to crumble, and the financial burden to the state of Alaska will be hundreds of millions of dollars to rebuild schools.”

More funding for school maintenance and other capital projects could be added by the Alaska House of Representatives, who will take up the draft budget bill after it’s approved by the Senate in the coming weeks.



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Report: Alaska LNG project could cost Municipality of Anchorage millions

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Report: Alaska LNG project could cost Municipality of Anchorage millions


Afternoon sun hits a portion of downtown Anchorage and the Chugach Mountains on November 19, 2025. (Marc Lester / ADN)

Anchorage Mayor Suzanne LaFrance told the state House Finance Committee on Monday that the Alaska LNG megaproject could cost the municipality up to $173 million over nine years because of the city’s current tax structure, citing a new report.

The project’s 800-mile pipeline, which would move gas from the North Slope to Southcentral Alaska, would not pass through Anchorage. As a result, the city would not receive direct property tax or gas-volume tax from the project, she said.

But thousands of workers associated with construction and related activity would be based in Anchorage, she said.

“Our community will serve as a logistical, operational, transportation, and administrative hub throughout the life of the project,” she said. “That will bring important economic benefits, but it will also create real demands on local government services.”

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“Since we rely on property taxes, we don’t get new tax revenues from an influx of people until new homes and commercial properties are built and added to our tax rolls,” she said. “That takes years, but there will be immediate pressure on public safety, emergency response, roads, schools, and other municipal services.”

Gov. Mike Dunleavy called the Legislature into special session to weigh his proposal to cut property taxes to support the LNG line and replace them with a much smaller tax based on gas volume moving through the project.

Proponents say it would deliver long-term natural gas to Alaska, lowering energy costs, and after exports begin, it could provide billions of dollars in revenue for three decades even with the tax cut.

Skeptics fear that too large a rate cut could saddle municipalities and the state with high, uncovered costs to deal with the influx of workers and their demand on roads, police, housing and hospitals.

LaFrance said the municipality supports a community impact fund that would provide some revenue to Anchorage and other communities to help offset costs, she told the House Finance Committee. That idea, and a revenue sharing measure, are currently included in an amended version of the governor’s bill before the committee.

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The concerns come as the LaFrance administration takes aggressive steps to build thousands of new homes in the coming years to address a tight housing market in Anchorage.

The report, prepared for the Anchorage Community Development Authority by economist Jonathan King with Halcyon Consulting, found that the project will “create a significant structural fiscal gap for the municipality.”

Lacking a sales tax that would provide immediate revenue as workers arrive, the city would instead lose large amounts of money during construction even if new housing is built, the report says.

But even in the most optimistic scenario, with new housing built in Anchorage for 100% of the workers, the city “will face a structural deficit” several years into the project, the report says.

With no new housing built for the workers, the city will face a cumulative deficit of $173 million over nine years, the report says. If new housing is built for all the workers, the city faces a nine-year deficit of $23 million.

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“Avoiding a deficit likely means seeking new tax revenue outside the tax limit calculation, modifying the tax limit calculation, or receiving project impact payments from the state or project owners,” the report says.

Rep. Jeremy Bynum, a Ketchikan Republican, said that there would also be positive long-term effects, including from low energy costs that can support the economy and new industries, and population growth that can shore up dwindling school enrollment.

Nolan Klouda, policy director for LaFrance, said that once exports to foreign countries begin, the project’s gas price can be very affordable for Anchorage and other communities.

“We’re always very concerned about anything that could cause the cost of living to go up,” Klouda said. “So I think that having low-cost heating and power from that natural gas is really critical for our economy.”





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Alaska Dividend Payments in June 2026: Dates, amount and eligibility

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Alaska Dividend Payments in June 2026: Dates, amount and eligibility


The Alaska Permanent Fund Dividend (PFD) remains one of the most closely watched state benefit programs in the United States, providing eligible residents with an annual payment funded by the state’s oil and investment revenues.

As June 2026 begins, many Alaskans are checking the status of their applications and looking for updates regarding upcoming dividend payments, eligibility requirements, and payment timelines.

$1,702 coming to Alaska: here are the conditions to receive it

The Alaska Permanent Fund was established in 1976 to manage a portion of the state’s oil wealth for future generations.

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Since the first dividend was distributed in 1982, eligible residents have received annual payments that vary depending on the fund’s performance and state policy decisions.

For 2026, the final dividend amount has not yet been fully distributed, but the Alaska Department of Revenue continues to process applications and issue payments throughout the year for applicants whose eligibility is confirmed after the initial distribution date.

According to information provided by the Alaska Permanent Fund Dividend Division, individuals whose applications have been approved and moved into “Eligible-Not Paid” status can receive payments during scheduled monthly distributions.

The state regularly publishes payment schedules for applicants whose cases are finalized after the main dividend release.

While most eligible residents receive their dividend during the primary fall distribution period, additional payments are often issued during subsequent months as application reviews, appeals, and eligibility determinations are completed.

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Who qualifies for the Alaska Permanent Fund Dividend?

To receive a PFD payment, applicants must meet several residency and legal requirements established by the state.

Generally, an applicant must have been a resident of Alaska for the entire calendar year preceding the application period and must intend to remain an Alaska resident indefinitely.

The program also requires applicants to have been physically present in the state for a minimum period unless an allowable absence applies.

The PFD Division reviews a wide range of factors when determining eligibility, including residency history, time spent outside Alaska, criminal convictions, and other legal considerations.

Certain individuals may be disqualified based on incarceration status or specific criminal offenses during the qualifying year.

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Residents must also submit an application during the annual filing period, which typically runs from January 1 through March 31.

The review process can take several months, particularly when additional documentation is required. Applicants can monitor their status through the state’s online portal, where updates regarding eligibility decisions and payment schedules are posted.

How much could recipients receive?

The exact 2026 dividend amount depends on calculations approved by state officials and the performance of the Permanent Fund.

In recent years, dividend payments have fluctuated significantly as lawmakers debated the appropriate balance between resident distributions and state budget priorities.

The Permanent Fund itself has grown into one of the largest sovereign wealth-style funds in the world, with assets valued in the tens of billions of dollars.

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Earnings generated by the fund’s investments help support both annual dividends and government services.

Although payment amounts vary from year to year, the dividend remains an important source of income for many Alaskans.

Some families use the funds to cover essential household expenses, while others apply the money toward education, savings, transportation costs, or seasonal needs.

For June 2026, residents whose applications have recently reached approved status should continue monitoring official PFD communications for specific payment dates.

The state periodically issues updated schedules as more applications move through the review process.

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As Alaska’s unique dividend program enters another year, the Permanent Fund Dividend continues to serve as a distinctive example of how resource revenues can be shared directly with residents while preserving long-term financial assets for future generations.



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Reporting From Alaska- Don’t be fooled by ‘Build the Line!’ propaganda

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Reporting From Alaska- Don’t be fooled by ‘Build the Line!’ propaganda


The “Build the Line!” pressure campaign against the Legislature by Glenfarne and the Republican Party is oversimplified gasbaggery.

The company and the GOP are trying to con Alaskans into strong-arming legislators under the cover of the “Build the Line!” slogan, insinuating that there is nothing for the Legislature to do but cut taxes and get out of the way.

It’s an attempt to get lawmakers to sign off on Dunleavy’s proposed tax break with no delay and no questions asked. Anyone who asks too many questions risks being denounced as an enemy of the people, an opponent of the gas pipeline and a scoundrel.

“Alaska LNG. Built for Alaskans. Benefits for Alaskans. Call your legislators now and tell them to build the line,’” says Glenfarne Alaska LNG, LLC, a company owned by Glenfarne Services LLC, a New York company that does not show up on the state’s corporate database.

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“Alaskans can’t afford to pay more for energy. Alaska can’t afford to wait when a real solution exists now,” says Glenfarne.

“75% of Alaskans support Alaska LNG and more than 400 signed a full-page ad in the Sunday Anchorage Daily News and Fairbanks Daily News-Miner telling policymakers they want reliable, affordable energy,” says Glenfarne.

Free advice to Brendan Duval, the founder of Glenfarne and Adam Prestidge, the president of Glenfarne Alaska LNG LLC: Knock it off.

“Build the Line!” is code for demanding that the Legislature approve the Dunleavy tax cut bill now.

The Legislature’s job is to review what Dunleavy and Glenfarne are asking and make a decision based on numbers and analysis, not on a trite public relations slogan.

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Just about everyone in the Legislature and just about everyone in Alaska wants to “Build the Line!”

But Glenfarne has refused to release basic financial information that the Legislature needs to see. There are serious questions about protecting the interests of Alaskans that must be answered. There are serious questions about whether Glenfarne plans to “Build the Line!”

Glenfarne is scheduled to appear before the Senate Finance Committee Wednesday at 9 a.m. Its executives need to be held accountable and admit the deception at the base of the “Build the Line” political signs, buttons and newspaper ads.

Duval and/or Prestidge should explain why they never mentioned the property tax situation last year when they were claiming they would reach a final investment decision by December 2025 with no legislative action needed. Did they forget to ask?

Instead of justifying their tax cut plan, Duval and/or Prestidge are trying to get the public angry and spread the lie that the only thing blocking cheap gas is the Alaska Legislature. Thus they say, “Call your legislators now and tell them to build the line.”

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This hides the policy questions facing Alaska and makes it appear that a vote for Dunleavy’s bill will bring lower energy costs and a guarantee that the pipeline will be built.

Duval and/or Prestidge will dodge these questions, but legislators should keep asking.

Glenfarne is promoting public opinon polls that show overwhelming support for a gas pipeline as proof that Glenfarne should get the Dunleavy-approved tax break supported by Glenfarne.

“Alaskans have spoken: Build the Line!” Glenfarne claims.

“Do what’s right for Alaska – Build the Line!,” says UA Regent and contractor Seth Church, who is promoting this line of attack on the Fairbanks Facebook page with 217,000 members that he controls.

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Church is also using that page to promote his brother, lieutenant governor candidate Josh Church, who testified Saturday that legislators need to stop asking questions about the gas pipeline tax cut.

“You guys need to stop arguing about whether it pencils or not,” said Church, who is running with Dave Bronson. Josh Church falsely claimed that the trans-Alaska pipeline “didn’t pencil.”

“You’ve had months, months to get this done. Alaskans have been wanting this for years. Quit wasting time. Pass the gasline. I don’t care whether it’s 8 cents or 6 cents or zero cents. Alaska needs this. There will be so many benefits beyond just the tax revenue to this state. You have the chance to be a hero or you have a chance to be a villain. Be a leader and let this bill go through. Pass this gasline. Get a good bill through that allows this project forward. If you don’t I will pledge to make sure you’re thrown out of office. I will work tirelessly because you will destroy this state,” Church said.

“It’s not your job to figure out the financing and all that. Glenfarne is here, willing to do the work. Be a leader and get a clean bill out so we can have jobs and growth again. This is crucial. Do your damn job,” he said.

This situation is far more complicated than that. It appears that Dave Bronson doesn’t understand this either, claiming that Church’s criticism of the legislators was exactly what was needed. “It’s time to stop talking, start building and put Alaska First!” says Bronson.

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Anyone running for state office who thinks this is simple has not been paying attention. The candidates should start with this report by GaffneyCline from December.

Part of the Glenfarne lobbying campaign is to insinuate that people who answer public opinion surveys and say they want a gas pipeline are supporters of the Dunleavy/Glenfarne tax cut. That’s the hidden message here.

Here is a full-page ad that appeared in Fairbanks and Anchorage that claims, “HUNDREDS OF ALASKA’S BUSINESS AND COMMUNITY LEADERS AGREE: IT’S TIME TO BUILD THE LINE!”

Some of the 400-plus names on the ad were collected on the website supportaklng.com by people who simply clicked the box that said, “I agree to have my name/business and city listed publicly as a supporter of AKLNG.”

Supporting the Alaska LNG project is not the same as saying, “I agree to have my name/business and city listed publicly as a supporter of the Dunleavy tax cut for Glenfarne.”

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Your contributions help support independent analysis and political commentary by Alaska reporter and author Dermot Cole. Thank you for reading and for your support. Either click here to use PayPal or send checks to: Dermot Cole, Box 10673, Fairbanks, AK 99710-067



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