Alaska
Anchorage Superior Court sides with state on repeal of rule meant to control health care costs
An Alaska judge is backing the state’s decision to repeal a longstanding rule that was meant to keep down health care costs in the state.
Under the 80th percentile rule, which was repealed by the administration of Gov. Mike Dunleavy in January 2024, insurance companies were required to pay out-of-network providers at least the 80th percentile of the average going rate for a medical service.
The rule prevented Alaska patients from receiving large medical bills for out-of-network care. But the Dunleavy administration and the state’s biggest insurance company, Premera Blue Cross Blue Shield of Alaska, argued the rule also increased the cost of health care over time.
The repeal was broadly opposed by dozens of health care providers across the state, who said the removal of the rule will make it harder for them to stay afloat while benefiting insurance companies that are headquartered in the Lower 48.
If insurance companies significantly lower their reimbursement rates, providers said, keeping their doors open may no longer pencil out.
A coalition of providers sued in late 2023 to keep the rule in place, arguing that the Division of Insurance had not sufficiently proven that the rule was responsible for increases in the cost of health care in Alaska.
The case went to trial in February. Late last month, Anchorage Superior Court Judge Yvonne Lamoureux ruled in favor of the state.
“The evidence at trial established the Division (of Insurance) did not make the repeal decision lightly,” Lamoureux wrote in her ruling, concluding that the repeal was “not unreasonable or arbitrary.”
In a statement, Dr. John Morris, an anesthesiologist who spearheaded the lawsuit on behalf of the health care providers, said the coalition is “disappointed with the ruling.”
“Each year insurers pay physicians and healthcare providers less for the same care but somehow also blame doctors for rising health insurance costs,” Morris said. “We remain committed to bringing health care costs down while making sure our seniors and veterans have a doctor to see. This ruling doesn’t help.”
The Division of Insurance had considered repealing the rule for over a decade as part of its efforts to address rising health care costs in Alaska. Premera, an insurance company that controls a large share of Alaska’s individual insurance market, was strongly in favor of the repeal.
Former Division of Insurance Director Lori Wing-Heier previously indicated that repealing the rule would lead to a reduction in Premera’s premium rates by between 2% and 3%.
In reality, rates are set to remain largely unchanged next year, after massive increases in the preceding three years, according to Premera’s federal filings. Premera executives contend that premiums would have gone up substantially next year had the rule remained in place.
At stake in the lawsuit was the question: What is driving the sky-high cost of health care in Alaska? Premera and the state contended that the answer, in part, was that Alaska’s health care providers were charging ever-higher prices because of the 80th percentile rule, thus driving up costs for consumers. Health care providers said that it is insurance companies like Premera that are driving up costs while providers themselves struggle to afford to keep their doors open.
A study from the Medical Group Management Association released last year found that primary care providers in Alaska are the lowest-paid in the country. Advanced specialists, meanwhile, are among the highest paid, the study found.
Court filings indicated that Premera did, in fact, save millions of dollars in 2024, after the rule was repealed. But it was not immediately clear whether the savings for the insurance company were passed along to consumers through lower health care bills.
The end result of the repeal of the rule may be that more Alaska providers join and remain in-network with Premera and other large insurance companies. In 2024, 1,000 providers moved in-network in Alaska, according to testimony from Wing-Heier. No providers reported to the Division of Insurance needing to close their doors due to the repeal, Wing-Heier testified.
Alaska
University of Alaska names U.S. Army commander as new UAF chancellor
Officials with the University of Alaska have tapped the commander of the U.S. Army 11th Airborne Division’s Arctic Aviation Command as the new permanent chancellor of the University of Alaska Fairbanks.
Col. Russell “Russ” Vander Lugt was selected from four finalists after an eight-month search process. He will be the top executive of Alaska’s leading research institution, which describes itself as “America’s Arctic university.” He will replace interim chancellor, and former U.S. Ambassador to the Arctic, Mike Sfraga, who succeeded former chancellor Dan White who announced his retirement in May of last year.
Vander Lugt is a senior U.S. Army officer, an Arctic scholar and UAF alumni, with over two decades of executive leadership experience, according to a university announcement on May 27. He has served as commander of the 11th Airborne Division’s Arctic Aviation Command at Fort Wainwright in Fairbanks since Aug. 2024.
“I’m humbled to be selected to lead the University of Alaska Fairbanks during this pivotal time,” Vander Lugt said in a statement with the announcement.
“I look forward to leading through trust, transparency, and teamwork as we see Alaska and the Arctic transformed through education, research, and public service. I’m committed to building on the strong foundation Chancellors Sfraga and White have established, and working closely with university leadership and governance to support and advance UAF’s mission,” he said.
Vander Lugt will step into the permanent chancellor role on Sept. 8. Sfraga’s last day was Friday, and university officials have selected Larry Hinzman, director of the UA Arctic Leadership Initiative, to serve as interim chancellor through the summer.
Vander Lugt has had a long career with the U.S. Army in various roles in Alaska, where he is stationed in Fairbanks, and across the U.S. His resume lists deployments to Europe and the Middle East.
He served in executive leadership roles that include the Alaskan Command, a division of the U.S. Northern Command, the 601st Aviation Support Battalion, and the 1st Stryker Brigade Combat team. He also taught history and military leadership as an assistant professor at the U.S. Military Academy at West Point and was a professor of military science and department chair at Embry-Riddle Aeronautical University in Prescott, Arizona.
He holds a master’s degree and doctoral degree in Arctic and Northern Studies, which he completed in 2022 at the University of Alaska Fairbanks.
Vander Lugt’s hire is the latest in major leadership changes in the University of Alaska system — former UA President Pat Pitney retired last month and former university attorney Matt Cooper was named as her successor. Cooper will begin as university president in early August, and Michelle Rizk, vice president of university relations and chief strategy, planning and budget officer, is serving as interim president. Cheryl Siemers was appointed permanent chancellor of the University of Alaska Anchorage in March, after serving as interim chancellor since the retirement of former chancellor Sean Parnell last year.
Vander Lugt’s base salary will be $309,000, according to the university’s announcement.
The University of Alaska Fairbanks serves roughly 7,500 students. It employs more than 800 faculty and nearly 2,000 staff across urban and rural campuses in Fairbanks, Kotzebue, Nome, Bethel and Dillingham.
Originally published by the Alaska Beacon, an independent, nonpartisan news organization that covers Alaska state government.
Alaska
Dutch Harbor Remembrance Day 2026 – Mike Dunleavy
WHEREAS, on June 3, 1942, six months after the attack on Pearl Harbor, World War II arrived in Alaska when Dutch Harbor on Amaknak Island was bombed by Japanese – the first aerial attack by an enemy on the continental United States; and
WHEREAS, the Japanese pilots expected little resistance; but because of an intercepted message three weeks earlier, the installation was on high alert, and Navy and Marine personnel were prepared with anti-aircraft defenses; and
WHEREAS, encountering unexpected resistance at Dutch Harbor, installation, Japanese forces shifted their focus to the Margaret Bay Naval Barracks, where the attack claimed the lives of 25 servicemen; and
WHEREAS, following the initial attack on Dutch Harbor, Japanese forces launched additional assaults on Dutch Harbor, Adak, Kiska, and Attu, resulting in the Aleut people being evacuated and held in internment camps in Southeast Alaska for three years, through which many did not survive; and
WHEREAS, the brave soldiers of the United States Armed Forces and allied Canadian Forces fought valiantly for more than a year to reclaim the remaining Aleutian Islands. The battle of Attu stands as one of the most costly American assaults in the Pacific, with hundreds of servicemen making the ultimate sacrifice to liberate Alaska; and
WHEREAS, on the 84th anniversary of the bombing of Dutch Harbor, we remember and honor all who were affected by the attack, paying tribute both to the military personnel who served and died to defend our Nation and to the Aleut people who died while imprisoned.
NOW THEREFORE, I, Mike Dunleavy, GOVERNOR OF THE STATE OF ALASKA, do hereby proclaim June 3, 2026, as:
Dutch Harbor Remembrance Day
in Alaska and encourage all Alaskans to join with the people of Dutch Harbor, Unalaska, and the Aleutian Islands to honor all who were lost in Alaska during World War II, and I order the Alaska State Flag to be flown at half-staff in remembrance of those who perished.
Dated: June 3, 2026
Alaska
Photos show Alaska National Guard plane damaged in Iran war theater
A plane belonging to the Alaska National Guard appears to have been damaged during operations connected to Operation Epic Fury as part of American military efforts against Iran, according to online reports. Defense officials have so far declined to confirm whether Alaska National Guard personnel or equipment are taking part in the campaign.
Last week, defense industry news outlet The War Zone published photos of a KC-135 Stratotanker transiting through a British airbase. In the pictures, made by photographer Andrew McKelvey, the rear bottom of the fuselage and wing stabilizers are “peppered with temporary shrapnel damage repairs‚“ according to The War Zone’s article. The plane also appears to be missing its refueling boom, the proboscis extending from under the tail to pump off fuel to other aircraft.
In the photographs, the Stratotanker’s tail number is visible, identifying the refueling plane as belonging to the Alaska Air National Guard’s 168th Wing, based at Eielson Air Force Base outside of Fairbanks. The wing’s mission includes aerial refueling. That’s the tactic of large planes unloading vast quantities of fuel to aircraft, ranging from fighter jets to rescue helicopters, in midair.
Pictures from a different photographer published last week by another blog, The Aviationist, show the same plane. The tail includes the letters “AK” painted above a white polar bear.
In addition to the photographs, the reporting from The War Zone is based on publicly available flight data and social media posts scraped from a variety of sources.
According to information from Flight Radar 24, the Stratotanker left Eielson on March 5, just days after the U.S. and Israeli militaries began bombing Iranian targets on Feb. 28. Through March, according to public flight records, the plane was based at Ben Gurion Airport southeast of Tel Aviv, where, according to The War Zone, dozens of American refueling aircraft were staged as part of Operation Epic Fury.
There are no public flight records connected to the Stratotanker through April and most of May, until it appeared to fly through England on the way to the United States at the end of last month.
It is not clear how many Alaska Air National Guard planes, personnel or units are currently deployed in connection to the war effort against Iran.
A spokesperson for the Alaska National Guard referred all questions about Operation Epic Fury to the U.S. Central Command.
A spokesperson for CENTCOM, headquartered at MacDill Air Force Base in Florida, declined to answer questions on the record or provide any specific information about Alaska National Guard units deployed as part of ongoing military operations, citing the need to protect service members and operational security.
The Alaska National Guard has posted no informational releases or pictures connected to an overseas deployment during the last few months.
Much of Operation Epic Fury has been waged by military aircraft, and aerial refueling is critical to keeping planes supplied during long flights. A May 12 report from the Congressional Research Service composed of public damage reports to U.S. military aircraft noted that among the 42 records of damage or losses were seven KC-135 Stratotankers, though the findings were published before photos emerged of the Alaska-based plane. The report noted that the Defense Department “has not published a comprehensive assessment of combat losses” from Operation Epic Fury.
The tail number is associated with a Stratotanker manufactured in 1964, the year before Boeing ceased making them. All of the nearly 400 KC-135s currently in operation within the American military date back to that era of the Cold War.
The aircraft has the word “Tetlin” painted on the top of its tail. The name is an homage to the Interior Alaska village, one of several selected to honor longstanding bonds between military aviators and Alaska Native communities, according to photographs of a dedication ceremony posted by the Alaska National Guard last summer.
The 168th Wing currently has 12 Stratotankers attached to the unit. That number bumped up in April after a long campaign by Alaska Republican U.S. Sen. Dan Sullivan to allocate more tankers to the state’s portfolio given its vast geography and high number of advanced fighter jets.
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