Alaska
Bill to expand definition of ‘village’ qualifying for water funds passes Alaska House • Alaska Beacon
What in Alaska counts as a village? When it comes to state money for drinking water improvements, the definition can be fraught.
In a close vote, the Alaska House on Wednesday passed a bill that would add six road-system communities to the list of rural communities that qualify for the Department of Environmental Conservation’s Village Safe Water program.
Technically, the measure, House Bill 114, would expand the definition of “village” as used by the program, to include communities of up to 1,500 people from the current 1,000 threshold. It would also allow unincorporated census-designated places to be added to the list of eligible villages.
If it wins final passage in the Senate, the measure would expand the list of program-eligible villages to include Talkeetna, Sutton-Alpine and Buffalo Soapstone in the Matanuska-Susitna Borough, Funny River on the Kenai Peninsula, Tok in the Interior and Prudhoe Bay on the North Slope.
The bill’s consideration comes at a time when abundant federal money, much of it made available through the Infrastructure Investment and Jobs Act, is flowing into Alaska for rural water and sanitation upgrades. Much of that funding comes to the Village Safe Water program through the Environmental Protection Agency’s Alaska Native Villages and Rural Communities Water Grant Program.
The bill’s sponsor, Rep. Kevin McCabe, R-Big Lake, said the Village Safe Water program has done much over the years to improve Alaskans’ lives and that more Alaskans should have access to its benefits.
The program “stands as a beacon for our commitment to public health and environmental stewardship providing essential aid to upgrade sanitation and water facilities in rural areas,” McCabe said in floor debate.
Four years after the last federal census, the Village Safe Water program is now due for a revision in the way qualifying villages are defined, McCabe said. The last such revision was in 2011, after the 2010 Census, he noted.
The 22-18 vote followed floor debate that was emotional at times.
Opponents said they worried that adding the six road-accessible communities to the village list would put them in competition for funds with truly needy and remote rural communities.
“There are a number of communities that are struggling – struggling to get basic water infrastructure, that don’t have access to the road system, that don’t have the ability to take an hour and half drive to Fred Meyer’s, that have to deal with a number of insanely high grocery prices, that have to deal with realities that are completely departed from the rest of the state,” said Rep. CJ McCormick, D-Bethel. His rural district encompasses Yukon-Kuskokwim Delta villages that are poverty-stricken, remote and, in many cases, lacking basic water and sanitation services.
Rep. Alyce Galvin, D-Anchorage, recounted a visit she made to a Tanana Chiefs Conference event where she learned about the dire water and sanitation needs in remote Indigenous communities in Alaska’s Interior. Solutions for those villages could be delayed if new communities compete for program funds, she said.
“We’re looking at making a change that will have a deep effect on many Alaskans who have been waiting a long time for their share of the pie. What I mean by that is, there are a finite number of dollars going to water and sewer projects,” she said. In contrast to the truly rural areas, which are remote, challenged by environmental conditions and high costs, for communities closer to urban areas, “there are boroughs, there are municipalities, there are ways we can put together money,” she said.
Rep. Ashey Carrick, D-Fairbanks, said the six communities that would be added include some connected to very large cities. Talkeetna, for example, is an hour’s drive north of the fastest-growing urban communities and less than two hours’ drive from Anchorage, she said.
“And then there’s Prudhoe Bay. I almost have to laugh at that one because I’m not quite sure how an industrial population technically connected by a haul road used to haul a huge variety of goods and services up the road is technically a village,” she said.
Others criticism focused on what opponents said was a lack of vetting by the public and by rural-serving organizations. Rep. Bryce Edgmon, I-Dillingham, named the Alaska Native Tribal Health Consortium and the Alaska Federation of Natives as organizations that needed to be better consulted.
“If this measure doesn’t make it through this year – and I have my doubts – let’s have this conversation. Let’s do it right. Let’s bring everybody to the table,” he said.
Bill supporters, however, said an expansion of eligibility for the Village Safe Water program is justified and that water and sanitation needs extend beyond rigid geographic boundaries or classifications.
Rep. Mike Cronk, R-Tok/Northway, reeled off a list of villages in his sprawling Interior district that are on the road system but are officially classified as villages and are facing some of the same water and sewer problems that exist off the road system: Northway, Tetlin, Tanacross, Dot Lake, Eagle, Chitina, Tazlina, Copper Center, Gulkana, Mentasta, Gakona, Minto, Circle and Tanana. And he added in larger communities with significant Native populations: Kenny Lake, Nenana, Manley, Central and his hometown of Tok. Tok would be among the six communities added to the list of qualified villages.
He grew up in Northway, he noted, and the first house he bought was a cabin without running water. “I had two kids, and I hauled water, and we used an outhouse. So I know how that feels,” he said.
Rep. Frank Tomaszewski, R-Fairbanks, another bill supporter, said that even in Fairbanks, Alaska’s second-largest city, there are hundreds and possibly thousands of people who live in “dry cabins,” homes without running water.
House Majority Leader Dan Saddler, R-Eagle River, recounted 1990s-era pledges of former Gov. Tony Knowles to “put the honey bucket in the museum,” a slogan that the Democratic governor used to refer to retiring the plastic-bag-lined buckets that rural residents sometimes use as toilets.
“Over the last 30 years we have spent hundreds of millions of dollars and untold hours of labor to do that, using federal money, using state money, using state labor, to the undisputed benefit of Alaskans,” he said. There has been “tremendous progress” over the years through the Village Safe Water program, he said. “This measure, I believe, seeks to extend the benefit of that program simply to more Alaskans,” he said.
McCabe, in his wrap-up pitch for the bill, pointed out that villages getting grants through the state program must pass through a qualification test that assigns scores.
And he defended the idea of Village Safe Water grants for Talkeetna, a community about 60 miles up the highway from his hometown of Big Lake.
“People are stopping alongside the road on the way to Talkeetna to their dry cabin in the middle of the winter in the dark, when it’s icy and cold, to fill up their water jugs,” he said. “I’m wondering why Talkeetna can’t have some part of the pie that we talked about, that the representative from Anchorage talked about.”
The bill is now on track to be considered by the Senate, though it may get a reconsideration vote in the House.
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Alaska
Elim resident dies, child injured in snowmachine collision
A 55-year-old Elim resident died in a snowmachine collision Friday night, Alaska State Troopers said.
The accident, which occurred in the Norton Sound village of fewer than 400 residents, was reported to the agency just before 11 p.m. Friday, troopers said in an online statement. The report indicated that Anna Aukon “was riding in a sled down a road when she was struck by a snowmachine also traveling on the road,” troopers said. Life-saving measures were administered but were unsuccessful, according to troopers.
A young child also sustained injuries in the collision and was medevaced from Elim, troopers said.
Aukon’s next of kin was at the scene, according to troopers, and her body was being taken to the State Medical Examiner Office.
Nome troopers responded to Elim on Saturday to investigate the collision, the agency said.
Alaska
Opinion: Alaska must speak with one voice about the future of a natural gas pipeline
“North to the Future” wasn’t just a motto in my family. It was a lived experience.
My grandfather came to Alaska in 1948 as a Local 302 heavy equipment operator. He helped build roads and airports across this state and ultimately worked on the trans-Alaska pipeline. He came north because Alaska was rising.
Back then, the spirit of this state was dynamic and confident. When opportunity appeared, we seized it. We were growing. Our infrastructure expanded and our young people stayed. Alaska believed in its future.
Today, Washington, D.C., and Wall Street are watching us again. They’re not just studying engineering plans for the Alaska LNG project. They’re listening for something deeper: Does Alaska still believe in itself? Does Alaska truly want this project?
If our message is confused, if we hedge, undercut or politicize this moment, the answer they will hear is “no.” And once that perception hardens, capital and federal focus will move elsewhere.
Energy security is not optional. Southcentral utilities have made it clear that we lack sufficient long-term, firm gas commitments beyond the near horizon. Without a durable solution, Alaska, sitting atop one of the largest untapped gas resources in North America, could soon be importing natural gas to heat homes and power businesses.
Importing energy in a resource-rich state is not resilience. It is vulnerability. Renewables absolutely have a role in Alaska’s future. So does hydro. So does coal. Alaska should be all-in on energy. We are one of the most resource-endowed places on Earth. There is no reason to think small.
Exporting North Slope gas does not displace our need to develop in-state hydro, responsible coal, wind, solar and emerging technologies. It complements them.
Let’s export the gas the world needs and reserve the gas Alaskans require for reliability.
And let’s continue diversifying our in-state portfolio to power industry and strengthen resilience. Energy abundance is not a contradiction. It is a strategy.
AKLNG is not simply an export project. It is an energy security project for Alaska and a strategic energy project for America. The economic upside is significant. The Alaska Gasline Development Corp. projects that AKLNG could generate roughly $600 million per year in total state revenues once operational — royalties, production taxes and related activity. That is a baseline estimate. If Alaska participates as a co-investor, long-term revenue potential increases substantially.
Talk about a revenue generator. At a time when policymakers debate new taxes on industry and even on individual Alaskans just to balance the books, we are staring at a project capable of producing hundreds of millions annually while strengthening energy security. That should be a no-brainer.
Meanwhile, our oil and gas industry is doing extraordinary work revitalizing North Slope production. Projects like Willow and Pikka are restoring throughput and revenue. The private sector is demonstrating confidence in Alaska’s future. The question is whether we will match that confidence.
For too long, we have allowed doubt and policy paralysis to define the conversation. We debate. We delay. We send mixed signals. Investors can model engineering risk and regulatory timelines. What they cannot model is political incoherence.
From the perspective of Washington and Wall Street, confusing or contradictory signals from Alaska’s elected leadership are more destabilizing than permitting hurdles. No financier commits billions into a jurisdiction that sounds ambivalent. No federal partner prioritizes a state that publicly undercuts itself.
We built the trans-Alaska pipeline because we believed in Alaska’s future more than we feared obstacles. That generation understood something simple: When opportunity arrives, you seize it. AKLNG is such a moment. The gas is here. The markets are real. Federal alignment is strong. Our broader energy portfolio is vast. Our workforce is capable.
Alaska has always been a powerhouse of people and resources. If we want energy security, we must say so clearly. If we want diversified energy, we must pursue it boldly. If we want growth, we must demonstrate confidence. Washington is listening. Wall Street is listening. The next generation is listening.
Let’s show them that Alaska still knows how to seize the moment — and rise.
Rep. Chuck Kopp currently serves as the Majority Leader in the Alaska House of Representatives and represents District 10.
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Alaska
Editorial: Decision time in Juneau: Discipline or make it rain?
Alaska has seen this movie before: oil prices spike, politicians celebrate and Juneau starts figuring out how fast it can spend the money.
The U.S. attack on Iran has pushed global oil prices higher, rattling energy markets and sending crude prices upward as supply fears ripple through the global economy. Energy markets surged as tanker disruptions and facility shutdowns across the Middle East threatened supply — a reminder that geopolitical shocks can move oil prices overnight.
For Alaska, that means something very specific: more money. But before Gov. Dunleavy and the Alaska Legislature start eyeing a fresh pile of cash like kids staring at a cookie jar, let’s get something straight. This is not prosperity. This is a temporary windfall driven by war.
And if the past is any guide, Juneau has a good chance to screw it up.
[Related news coverage: Spike in oil prices will boost Alaska revenue, but not enough to cover projected deficit]
Oil prices jumped sharply after the U.S. and Israel attacked Iran on Feb. 28, and analysts say prices could climb even higher if the conflict drags on. Some forecasts suggest oil could exceed $100 per barrel, which could mean roughly $1.5 billion more in revenue for Alaska in the coming year, according to reporting by the Juneau Empire.
That kind of money would erase much of the state’s budget deficit and could even fund a dividend north of $3,000.
Cue the political stampede.
In an election year especially, there will be lawmakers eager to promise giant Permanent Fund dividends fueled by this sudden surge in oil revenue. Expect campaign ads. Expect grandstanding. Expect speeches about “returning the wealth to the people.” And even before the attack on Iran, Gov. Dunleavy was already pushing an unsustainable full dividend for each Alaskan.
It’s a stupid idea — not because Alaskans don’t deserve dividends but because temporary revenue should never be used to make permanent promises. War-driven oil money is the worst possible revenue on which to build promises.
Alaska should know better by now
Alaska’s finances remain wildly exposed to oil price swings. A single dollar change in oil prices can move the state budget by roughly $25 million to $35 million, according to Alaska Public Media.
That volatility is exactly why treating a war-driven price spike as stable revenue is fiscal stupidity.
Even lawmakers watching the markets closely say the state should not assume the spike will last. As legislative leaders told Alaska Public Media, Alaska cannot build its spending plans around overly optimistic oil prices. Yet history tells us that when oil money shows up unexpectedly, discipline in Juneau disappears faster than reindeer sausage at the Tanana Valley State Fair.
The last time a global conflict sent prices soaring was after Russia invaded Ukraine in 2022. Oil shot above $100 a barrel for months. What did Alaska do? The Legislature and governor approved a massive dividend and energy payments totaling more than $2 billion. The state spent the money almost as fast as it arrived — don’t we wish we had those billions today?
Like any temporary high, it felt good at the time, and politically, it was wildly popular. It also did absolutely nothing to solve Alaska’s long-term fiscal problems.
The temptation is coming
The state’s spring revenue forecast arrives in about two weeks. If oil prices remain elevated, the numbers will suddenly look far healthier than they did a month ago.
That’s when it gets tempting. Lawmakers will start talking about “surplus revenue.” Candidates for public office will promise bigger dividends. The governor’s allies will argue the state can suddenly afford everything. Don’t fall for it.
As longtime Alaska fiscal analyst Larry Persily recently wrote in the Alaska Beacon, rising oil prices quickly create a long list of spending ideas in Juneau. But the real question isn’t how much money might arrive — it’s how long it will last. And nobody knows the answer to that. War-driven oil spikes can disappear just as quickly as they arrive.
If Alaska receives a revenue windfall from this conflict, the state should treat it for what it is: a one-time shot in the arm.
That means save it, invest it and strengthen the state’s fiscal stability.
Deposits into reserves like the Constitutional Budget Reserve — or even better, the Permanent Fund — would help rebuild the savings Alaska burned through during the last decade of deficits. Strategic investments in infrastructure, education and economic development would strengthen the state long after oil prices fall again.
What Alaska should not do is hand the entire windfall to voters as a massive dividend. That’s not fiscal policy. That’s a sugar rush.
A simple message for Juneau
There is nothing wrong with Alaskans benefiting when oil prices rise. Oil built this state, and its revenues still help pay for essential services. But relying on war-driven price spikes to fund giant dividends is reckless.
This moment will test the discipline of Alaska’s leaders. The attack on Iran may deliver Alaska a sudden burst of revenue. But the state’s long-term problems — structural deficits, unstable revenue and growing needs — will still be there long after oil prices settle down.
So here’s the message the governor and the Legislature need to hear: If this windfall arrives, don’t blow it the way you did last time.
Save it. Invest it. And for once, resist the urge to torch the cash in the middle of an election year.
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