Connect with us

Alaska

Alaska Senate leaders suggest new revenue measures to address looming budget deficit

Published

on

Alaska Senate leaders suggest new revenue measures to address looming budget deficit


Sen. Lyman Hoffman, D-Bethel, talks with colleagues on Jan. 22. (Marc Lester / ADN)

Alaska Senate leaders signaled Tuesday that they were open to considering new revenue measures this year to help stabilize the state’s looming budget deficit.

“We haven’t addressed revenue for decades,” Sen. Lyman Hoffman, a Bethel Democrat, told reporters. “I think it’s high time the Legislature looks at raising new revenues if we want to accomplish the many things that we want to do. If not, I don’t see a clear path forward to balancing not only this year’s budget, but next year’s budget.”

Budget analysts predict that without additional revenue, the state could face a $500 million shortfall during the coming year, even without increasing the state’s education budget — a top priority for leaders of both the House and Senate.

Hoffman, who has served in the Legislature for more than 38 years, said “the state of Alaska is probably facing its largest fiscal problem in 30 years.”

Advertisement

He said the fiscal crisis is driven in part by the Legislature’s efforts this year to significantly increase education funding, a task lawmakers have not undertaken in more than a decade. A bill backed by House leaders would increase the state’s education budget by around $150 million in the coming fiscal year compared to the current one, and hundreds of millions more in the following two years.

Hoffman said the Senate majority had already discussed new revenue measures during a retreat before the beginning of the session.

“I’m glad to report that new revenues are on the Senate’s list of things that need to be addressed this year,” he said.

Rep. Andy Josephson, an Anchorage Democrat who co-chairs the House Finance Committee, said the House majority had not collectively discussed new revenue measures.

“I suppose we would entertain other revenue measures, but we’re also very aware that this governor vetoed a tobacco tax bill, he vetoed a Turo tax bill,” said Josephson. “So I think the 21 of us don’t want to just chase windmills and pursue things that simply aren’t going to happen.”

Advertisement

Gov. Mike Dunleavy in December proposed a largely status quo budget with a projected deficit of $1.5 billion. He has not introduced new revenue measures this year.

In 2023, Dunleavy introduced legislation to allow the state to bring in revenue from carbon sequestration. The law has yet to yield income for the state. He signaled two years ago that he would introduce a sales tax in the final weeks of the legislative session. But he never introduced the measure.

Senate President Gary Stevens, a Kodiak Republican, said the Senate majority has not discussed a sales tax or an income tax. Instead, both Hoffman and Sen. Bill Wielechowski, an Anchorage Democrat, pointed to possible measures that could increase taxation of oil and gas companies in the state by hundreds of millions annually.

“I think there are things that can be done which would have very little impact on investment, very little impact on Alaskans, and would help us solve our budget deficit,” said Wielechowski.

Those include a reduction in the per-barrel tax credits given to oil companies, and an amendment to the state’s tax code to apply corporate income tax on certain private corporations, including Hilcorp Alaska.

Advertisement

Sen. Robert Yundt, a freshman Republican from Wasilla who serves in the minority, on Monday introduced legislation meant to ensure the state’s corporate income tax is applied equally to companies in the state.

Robert Yundt, R-Wasilla, represents District N in the Alaska Senate. Photographed in Juneau on January 24, 2025, in Juneau. (Marc Lester / ADN)

Stevens said his caucus was “really pleased” to see that legislation introduced by Yundt and said the Senate would be “moving forward” with that bill.

A similar measure considered by the Senate — and ultimately abandoned — last year would have increased taxation on Hilcorp, one of Alaska’s top-producing oil companies, by over $100 million.

In a written statement, Yundt said he introduced his bill because he thinks all companies should be “treated and taxed exactly the same — which, unfortunately, is not currently happening.”

“This legislation has the ability to create the even playing field that will benefit both industry and residents alike,” Yundt said.

Sean Maguire reported from Juneau and Iris Samuels from Anchorage.

Advertisement





Source link

Alaska

This Day in Alaska History-March 27th, 1964

Published

on

This Day in Alaska History-March 27th, 1964


 

The largest landslide in Anchorage occurred along Knik Arm between Point Woronzof and Fish Creek, causing substantial damage to numerous homes in the Turnagain-By-The-Sea subdivision. Courtesy of Wikipedia
The largest landslide in Anchorage occurred along Knik Arm between Point Woronzof and Fish Creek, causing substantial damage to numerous homes in the Turnagain-By-The-Sea subdivision. Courtesy of Wikipedia

J.C. Penney Department Store at Fifth Avenue and D Street, Anchorage District, Cook Inlet Region, Alaska, 1964. Courtesy of USGS
J.C. Penney Department Store at Fifth Avenue and D Street, Anchorage District, Cook Inlet Region, Alaska, 1964. Courtesy of USGS

It was on this day in 1964 that a massive 9.2 earthquake in Southcentral Alaska.

The massive quake at 5:36 pm on March 27th caused much devastation throughout the region and generated a huge tsunami that inundated many communities in the region.

The quake was the largest in the history of the United States and initially killed 15 people while the resulting tsunami killed an additional 100 people in the new state and another 13 in California as well as five in Oregon.

Advertisement

The megathrust earthquake endured for four minutes and thirty-eight seconds and ruptured over 600 miles of fault and moved up to 60 feet in places.

The deadly quake occurred 15 and a half miles deep 40 miles west of Valdez and generated a ocean floor shift that created a wave 220 feet high.

As many as 20 other smaller tsunamis were generated by submarine landslides.



Source link

Advertisement
Continue Reading

Alaska

Opinion: Alaska’s public schools were once incredible. They can be that way again.

Published

on

Opinion: Alaska’s public schools were once incredible. They can be that way again.


(iStock / Getty Images)

I grew up greeting friends and neighbors on my walk to my neighborhood Anchorage public school, just as my kids do now. It’s an essential, and value-added, part of living in our community.

In the late 1990s, when I attended Service High School, I had amazing teachers. My AP chemistry teacher left the oil and gas industry to teach. He could have earned significantly more money in another field, but teaching was competitive enough, given pensions and compensation, that he stayed in the job he loved and gave a generation of students a solid foundation in chemistry.

Now, my kids, who are in first, third and fifth grade, face a different reality. Teachers across our state are leaving in droves. Neighborhood schools across Alaska are closing. Art and music are being combined, which is nonsensical — they are not the same and they are both valuable independently. When he was in second grade, my oldest had a cohort of more than 60 students in his grade — split between two teachers. When he enters sixth grade next year, there will be no middle school sports and he will lose out on electives. Support systems and specialists to help when kids are falling behind have been cut. I’m lucky that my children have had amazing teachers, but many excellent teachers are nearing retirement age or don’t have a pension and are pursuing other careers. What happens then?

Despite skyrocketing inflation, last year was the first time in years that our schools received a significant increase in the Base Student Allocation — and that money doesn’t begin to make up for what they have lost over the years. Even that increase had to overcome two vetoes from what a recent teacher of the year calls “possibly the most anti-public education governor in the history of Alaska.” Shockingly, my own representative, Mia Costello, despite voting for the increase, failed to join the override to support education. She has failed to explain that decision when asked.

Advertisement

State spending on corrections is up 54% since 2019; meanwhile, spending on education is up only 12% in the same timeframe. Schools are now working with 77% of the funding they had 15 years ago when accounting for inflation.

When we starve our public schools of funding, Alaska families leave. No one wants their child to suffer from a subpar education and the lower test scores and opportunities that come with it. A significant number of people are working in Alaska but choosing not to raise their families here.

To the elected officials who preach school “choice” but starve public schools: our family’s choice is our neighborhood school. It’s our community. It’s where our friends are. Neighborhood public schools, which are required to accept all children, should be the best option out there. Public schools should be a good, strong, viable option for communities and neighborhoods across our great state. Once, they were.

I am thankful for those in the Legislature working to solve these problems. This includes HB 374, which raises the BSA by $630, and HB 261, which would make education funding less volatile.

It breaks my heart that across the state, dedicated teachers keep showing up for our kids while being underpaid and undervalued. Underfunding our schools is also a violation of Alaska’s constitution, which requires “adequate funding so as to accord to schools the ability to provide instruction in the standards.”

Advertisement

Not so long ago, Alaska’s public schools were adequately funded, and they produced well-educated students and retained excellent teachers. It’s up to all of us to reach out to our elected officials and urge them to make that the case once again.

Colleen Bolling is a lifelong Alaskan and mother of three who cares deeply about Alaska’s schools.

• • •

The Anchorage Daily News welcomes a broad range of viewpoints. To submit a piece for consideration, email commentary(at)adn.com. Send submissions shorter than 200 words to letters@adn.com or click here to submit via any web browser. Read our full guidelines for letters and commentaries here.





Source link

Advertisement
Continue Reading

Alaska

Alaska volunteer dedicates 600 hours a year to food bank after husband’s death

Published

on

Alaska volunteer dedicates 600 hours a year to food bank after husband’s death


ANCHORAGE, Alaska — Karen Burnett spends most days in the sorting room at the Food Bank of Alaska, ensuring every donated item finds its place.

The Anchorage woman dedicates her time to sorting, packing and organizing food donations.

Finding purpose after loss

Burnett’s journey at the Food Bank of Alaska began after a personal loss. Following the death of her husband, Burnett said she found herself with time on her hands and a desire to help.

“I had a friend who had talked to me about it, and it just sounded like a good thing to be out doing,” she said.

Advertisement

Burnett now volunteers between 500 and 600 hours each year.

“I started, but it got to be so fun. I spent more and more time here,” Burnett added.

Understanding community need

Burnett has witnessed the growing need in the community, particularly as more families struggle to make ends meet.

“If you took a look at the pantry and saw those empty shelves, it’s hard sometimes when you know people are coming in and looking for something, for their clients, and there’s absolutely nothing in there,” Burnett said.

Her dedication has made a lasting impact on countless families.

Advertisement

“I just feel real involvement in a way that is appreciated,” Burnett said. “You know, people need this food. They need people to put it out for them.”

See the full story by Ariane Aramburo and John Perry.



Source link

Advertisement
Continue Reading

Trending