Priority 1: Alaska's Budget
Restore Order and Sustainability in our Fiscal House
Plummeting oil prices in the summer of 2014 erased billions of dollars in revenue Alaska needed to keep our roads in good repair and schools adequately funded.
The Senate Majority immediately cracked down on spending, reducing General Fund expenditures by 44% – from $8.3 billion in FY 2013 to $4.3 billion in FY 2017. Twenty-six percent of the reductions were in day to day agency operations. Despite these dramatic reductions, continued low oil prices result in a projected shortfall for FY 2018 of $2.8 billion dollars, or $3,850 for every Alaskan.
With oil prices at record lows, Alaska's investment income outstrips all other possible revenue sources. On March 15, 2017 the Alaska Senate passed Senate Bill 26 to re-structure Alaska's investment management to a Percent of Market Value approach, protecting the Fund and Alaskans’ dividends.
Written into Senate Bill 26 are two key provisions:
- A spending limit, to restrict future government growth
- A revenue limiting provision to ensure that windfall profits from a surprise spike in oil prices are used in place of investment earnings, not for expanded government spending.
By using a PoMV approach in combination with a smart spending cap, the principal of the Permanent Fund will be protected for the long term against inflation. Investment income from the Fund will be able to pay substantial dividends for generations, and provide a reliable stream of income to support Alaska's essential government functions such as public safety and education. And, Senate Bill 26 precludes any need for an Alaska income tax or an Alaska IRS.
As the infographics below show, Senate Bill 26 covers essential government expenses, provides a historically average dividend of about $1,000 and allows Alaska Constitutional Budget Reserve to start growing again. No new taxes necessary.
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JUNEAU – The Alaska Senate today unanimously approved a bill to streamline the licensure process for physicians in Alaska.
JUNEAU – Today, the Alaska Senate passed a “fast-track” supplemental budget totaling $110.2 million in funding for urgent and unanticipated state expenses....
JUNEAU – The Alaska Senate today unanimously approved a bill to prohibit electronic smoking devices for individuals under 19 years of age.
JUNEAU – The Alaska State Senate today unanimously approved a resolution proclaiming the month of April 2018 as Sexual Assault Awareness Month.
JUNEAU – Senate Republicans today confirmed Mike “Dozer” Shower to represent District E in the Alaska Senate. Mr. Shower was nominated by Gov. Bill Walker Tuesday and was among the...
JUNEAU – The unanimous passage of SB 125 from the Alaska State Senate extends the bonding authorization for the Interior Energy Project (IEP), a critical financing component of the...
JUNEAU – Senate President Pete Kelly (R-Fairbanks) today issued the following statement in response to Gov. Bill Walker’s appointment of Mike Shower to represent Senate District E....
JUNEAU – Today, a bill requiring able-bodied recipients of Medicaid to pursue employment, volunteer service or subsistence activities, as a condition of eligibility, was introduced...
JUNEAU – Today, a bill to license out-of-state wholesale drug distributors unanimously passed the Alaska State Senate.
JUNEAU – This morning, Gov. Bill Walker’s nominee to the District E Senate Seat, Randall Kowalke, failed to be confirmed after Senate Republicans met to decide the issue....
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- Chugiak/Peters Creek
- Eagle River
- Jewel Lake, Kincaid, Turnagain, Lake Hood, Sand Lake, Spenard, Dimond, Campbell Lake
- Midtown, Dimond, Huffman, Klatt, Southport, Bayshore, Oceanview
- Huffman, O'Malley, Abbott, Loop, Independence Park, East Dowling
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- Wasilla, Meadow Lakes, Knik Big Lake, Point MacKenzie, Goose Bay, North Fairview
- Mat-Su, Delta Junction, Valdez, Copper River Valley, Talkeetna, Valdez
- North Pole, Farmers Loop
- UAF & University West, Chena Ridge, Kenny Lake, Tok & Copper Center
- Adak, Bethel, Cold Bay, Cantwell, King Cove, Nenana, Hooper Bay, Sand Point, Tanana & Unalaska
- Barrow, Nome, Kotzebue, Northeast + Northwest Alaska