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.
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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.
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The Talkeetna spur road leading into the community’s downtown district is seen on March 9, 2024, with Denali and other Alaska Range mountains in the backdrop. Talkeetna’s position on the road system a couple of hours’ drive away from Anchorage raises questions about efforts to classify the Matanuska-Susitna Borough community as a village. (Photo by Yereth Rosen/Alaska Beacon)
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.
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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.
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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.
The sticker-covered exterior of the Prudhoe Bay General Store is seen on Aug. 22, 2018. Under a bill that passed the state House, Prudhoe Bay would be classified as a village qualified to receive state Village Safe Water funds. (Photo by Yereth Rosen/Alaska Beacon)
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.
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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.
Shares in Alaska Air Group(ALK 1.16%) rose by 12.7% in an excellent week for airline stocks. The move comes as the sector climbs a wall of worry driven by soaring jet fuel prices stemming from the closure of the Strait of Hormuz. While the market’s prior concerns are understandable, there’s growing anecdotal evidence suggesting that airlines, including Alaska Air, might emerge from the period in better shape than many expect.
This week’s airline updates
Southwest Airlines(LUV 0.83%) CEO Robert Jordan gave a presentation at the Bernstein 42nd Annual Strategic Decisions Conference, and his remarks surprised the market. It’s no secret that jet fuel prices have soared, and that’s challenging airlines’ profitability. Still, it doesn’t appear to have affected end demand, with Delta Air Lines previously telling investors that strong demand in the first quarter was continuing into the second quarter, even as it raised prices.
Today’s Change
(-1.16%) $-0.54
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Current Price
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Market Cap
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That positive trend, with Southwest’s Jordan telling investors that Southwest had participated in seven consecutive fare increases with “no drop off in demand at all.” Jordan went on to note that “I’m becoming increasingly bullish that we will be able to cover these fuel increases with revenue increases,” and also believes that “the industry will retain a much higher percent of the fare increases that would be typical historically.”
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What it means to Alaska Air
Given that Alaska competes with Southwest on some routes and is suffering from rising jet fuel prices, the news from Southwest is particularly relevant. For example, in its recent first-quarter earnings report, Alaska’s management said higher fuel costs would impact earnings per share (EPS) by $0.70 in the first quarter and by more than $3 in the second quarter.
Image source: Getty Images.
These are significant numbers from an airline that analysts expect to report a $0.77-per-share loss in 2026 and then $6.32 in EPS in 2027. However, if Alaska can offset fuel costs with higher prices, then those estimates might need a positive revision.
Lee Samaha has no position in any of the stocks mentioned. The Motley Fool recommends Alaska Air Group, Delta Air Lines, and Southwest Airlines. The Motley Fool has a disclosure policy.
(Bethel, AK) –Wednesday, the Ninth Circuit Court of Appeals issued a favorable opinion for the State of Alaska in ConocoPhillips Alaska v. Alaska Oil and Gas Conservation Commission (AOGCC), agreeing that State laws requiring disclosure of oil well data are not preempted by federal law.
“Alaska relies heavily on our resources and resource development,” said Acting Alaska Attorney General Cori Mills. “We are also stewards of those resources for the citizens of Alaska. Alaska’s law both allows resource development now, and encourages further development and exploration in the future. We’re pleased that the Ninth Circuit recognized that federal law has not overridden Alaska’s balanced approach.”
The Alaska Oil and Gas Conservation Commission regulates oil and gas operations throughout Alaska, including within the National Petroleum Reserve–Alaska (NPR–A). Under Alaska law, companies need permits from the AOGCC to drill and must submit well data. The AOGCC is required to keep well data confidential for 24 months.
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ConocoPhillips drilled several wells on lease holdings within the NPR–A and submitted data to the AOGCC. When the 24-month period expired, the AOGCC notified ConocoPhillips of the upcoming well data disclosure. ConocoPhillips sued in federal court to stop the disclosure process claiming that the Naval Petroleum Reserves Production Act, the federal law allowing private exploration in the NPR–A, preempted Alaska’s 24-month disclosure law. The federal district court found Alaska law preempted, and the AOGCC sought appellate review by the Ninth Circuit Court of Appeals.
On appeal, the Ninth Circuit agreed with the AOGCC. The federal Production Act does not preempt state law. The Ninth Circuit therefore reversed the district court’s holding to the contrary.
“The Alaska Oil and Gas Conservation Commission is pleased with the court’s decision upholding Alaska law,” said AOGCC Commissioner Jessie Chmielowski in a declaration filed in the litigation court. “Alaska’s balanced approach to well data confidentiality leads to increased exploration activity, not less. Alaska law allows for a two-year confidentiality period on exploration well data to leverage a company’s investment in drilling. Thereafter, making the data public has incentivized exploration on the North Slope. Placing well data in the public record allows competing companies to evaluate different exploration concepts or interpretations based on seismic data that, without well data, are just educated guesses.”
Alaska Democratic gubernatorial candidate Jonathan Kreiss-Tomkins (Photo courtesy Jonathan Kreiss-Tomkins)
Alaska needs change. That’s why I’m running for governor: to bring new energy and a new generation of leadership to the governor’s office.
For 13 years in a row, more Alaskans have left our great state than have moved here. Prices are rising, schools are closing and Alaskans are getting left behind.
This year, those planning to leave Alaska include Ben and Catherine Walker, both recipients of Alaska’s Teacher of the Year Award. They can’t justify staying in the place they grew up in and love because of our failure to invest in the fundamentals, such as our schools.
The problem is personal. I’m 37. Many of those leaving Alaska are my age — debating whether there’s a future for us here or not. It’s a challenge we must solve.
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I love challenges.
Back in 2012, I dropped out of college to challenge an entrenched Republican incumbent legislator who was running unopposed to represent my home region of Southeast Alaska. I launched a scrappy, grassroots campaign and focused on the kitchen table issues that matter to every Alaskan: good schools, getting our fair share of oil revenues, lowering costs, protecting our fisheries. I won — by 32 votes.
When I was sworn in, I was baby-faced and bushy-tailed, just 23 years old. It was the beginning of a decade-long tenure in the Legislature. A lot happened in those 10 years.
Among the most important: We formed the House Bipartisan Coalition in 2016. While I have a “D” next to my name, I believe strongly in working across party lines. That’s what the Bipartisan Coalition was, and is, all about: Democrats, moderate Republicans and independents, all working together to do what’s best for Alaska.
I want to bring that same bipartisan, vigorous problem-solving spirit to the governor’s office, where it has been nonexistent the last eight years.
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As governor, I want to work hand in hand with the Legislature to deliver some desperately needed wins for Alaska that will make our lives better and get our state back on track:
• Reinvest in our public schools. Our school districts are in battlefield triage mode, but instead of amputating limbs, our school boards are forced to choose which sports to cut, which electives to discontinue and which neighborhood school to close. Enough already. Get school funding back up to par.
• Forward fund our schools. Our school districts shouldn’t have to guess how much education funding will end up being appropriated in end-of-session legislative haggling.
This circus forces school districts to prospectively fire teachers, then rehire them a month or two later, when they find out the final education funding number. It’s awful for all involved. We should fix it by forward funding.
• Close the Hilcorp corporate income tax loophole. Hilcorp should pay their fair share in taxes just as ConocoPhillips, and nearly every other major corporation in Alaska, already does.
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• Lower the cost of energy. Chugach Electric Association, Golden Valley Electric Association, Homer Electric Association and Matanuska Electric Association operate about 1,700 megawatts in power generation capacity. Peak Railbelt winter demand is half that: about 850 megawatts. Guess who pays for the nearly gigawatt in underused and unused power plants? You, on your power bill. The governor should force the co-ops to work together, reduce redundancies and diversify energy sources, including renewables, in order to reduce the sky-high cost of energy for Alaskans.
• Lower the cost of childcare. Alaska has inadvertently created a system of childcare permitting and licensing that effectively amounts to death by a thousand pieces of paperwork. It’s creating scarcity and cost. We need to fix it.
• Lower the cost of housing. Cut red tape to make it easier and cheaper to build more homes of all kinds — from tiny homes and ADUs to manufactured and modular housing, to apartments and condos, to traditional single-family homes. More housing of all kinds, faster.
• Rein in bottom-trawl bycatch. I will nominate Alaskans to the North Pacific Fishery Management Council who will make sure that Alaska and Alaskans — not Seattle and Lower 48 industry interests — foremost benefit from our fisheries.
• Responsibly develop our resources. Support projects that have regional buy-in and support, such as Pikka on the North Slope, which just produced first oil this month, while saying “no” when the risks are too great and those in the region are opposed, as is the case with Pebble.
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• Grow our tourism economy. And let’s crack the code on winter tourism while we’re at it. If Iceland can do it, we darn well can, too. Fairbanks is having burgeoning winter tourism success. Let’s follow their great lead.
• Make Alaska an awesome place to live. Let’s build dozens more public-use cabins. Let’s build an alpine hut-to-hut system like they have in New Zealand and the Alps. Let’s build the Alaska Long Trail. Let’s make Anchorage a world-class winter city.
Does this sound like the kind of Alaska you want to live in? Then I have great news: We are the governor campaign for you. And if what you just read gives you indigestion, you’ll be relieved to know you have 17 other options.
I have more great news: I can win.
After beating an entrenched Republican incumbent, I spent a decade representing a swingy district that voted for Donald Trump.
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In those 10 years, I recorded some of the highest margins of crossover support from Trump voters of any Democrat in Alaska. I ran 12% ahead of Hillary Clinton in 2016 and 15% ahead of Joe Biden in 2020.
Here’s the simple truth: Whoever becomes our next governor will need to win with the support of significant numbers of independents and moderate Republicans, in addition to Democrats. I’ve done that. And I’ll do it again. Will you join me?
Former state Rep. Jonathan Kreiss-Tomkins of Sitka is a candidate for governor of Alaska.
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