(SitNews) Juneau, Alaska - The Alaska House of Representatives this evening passed a streamlined operating budget that prioritizes public safety, education, and the essential services that underpin our economy and communities. 

Lawmakers approved the budget 23-to-16, and House Bill 205 now heads to the Senate for consideration. This is the fastest that an operating budget has ever passed the Alaska House with only 43 days having passed since the beginning of this year’s legislative session – something that was possible due to collaboration with some members of the House Minority.

“I want to thank the House Finance Committee and all of my colleagues in the House for working hard to pass the operating budget in record time,” said Rep. Neal Foster (D-Nome), co-chair of the House Finance Committee. “I’m proud of the tough choices and fiscal restraint that was demonstrated in the process of crafting this budget, and our values are reflected in our prioritization of public safety, education, and the health and well-being of Alaskans.” 

“In record time, the House has passed an operating budget that reduces state spending and continues to support education, public safety and other essential services,” added Rep. Jennifer Johnston (R-Anchorage), co-chair of the House Finance Committee. “This budget is about $35 million less than the budget passed last year, considering supplemental spending. With the recent market instability and reductions in oil prices, there are many tough choices still to be made. However, this is a huge step in the right direction. I remain committed to working on structural changes that will lead to more permanent solutions.”

However, the House Republican Caucus unanimously voted against the House Majority budget. According to the House Republican Caucus, while there was a healthy debate on the floor, there remains much to be addressed, including the dividend and a meaningful spending cap.

“I appreciate the Governor putting forward a flat budget that the House Majority and Minority could generally agree upon,” said Rep. Cathy Tilton (R-Chugiak/Mat-Su). “As a result, this year’s process was much briefer and far less contentious, which allowed for more productive discussions on the other issues which still divide us. That being said, passing this budget without any appropriation for a 2020 dividend – full or otherwise – has merely delayed the inevitable battle.”

  “This is the first step in a long process,” added Rep. Lance Pruitt (R-Anchorage). “We appreciate the discussion we’ve had on the budget so far this year, but there are still differences we will continue to engage and work through to ensure the concerns of our caucus are addressed.”

“No PFD plus no discussion of a PFD equals a ‘no’ vote. Alaskans expect their legislators to follow the law and fulfill their obligations,” said Rep. DeLena Johnson (R-Palmer). “This budget does neither of those things. The public’s trust in the institution of government has suffered further harm.”

Regarding the PDF, the Alaska House Majority passed House Concurrent Resolution 13 yesterday, which reaffirms the commitment to reject any form of spending that threatens to reduce the value of the permanent fund and establishes a goal of growing the fund’s value to $84.5 billion by 2030.

HCR 13 passed the Alaska House of Representatives 24-to-15. 

“The Permanent Fund is Alaska’s greatest renewable resource,” said Rep. Jennifer Johnston, an Anchorage Republican who is a co-chair of the House Finance Committee. “Making unsustainable draws to pay for a dividend or government services we can’t afford threatens both our ability to pay dividends in the future and our ability to pay for public safety, education, and the other essential services Alaskans rely on.”

“Our goal is to grow the Permanent Fund to more than $100 billion by 2040,” House Speaker Bryce Edgmon (I-Dillingham) said. “This would enable every Alaskan to receive a healthy dividend for the foreseeable future and eliminates the uncertainty that hangs over the public servants who teach our children and keep our communities safe.”

Rep. Chuck Kopp, an Anchorage Republican and chair of the House Rules Committee said, “These last several weeks, we witnessed an incredible drop in the Permanent Fund’s value in the largest market correction since the Great Recession. This volatility underscores the importance of protecting the fund, which will undoubtedly require tough decisions and fiscal restraint.”

“If we are truly committed to helping the Permanent Fund grow to $100 billion, then a strengthened constitutional spending limit has to be a key element to that effort,” said Rep. Cathy Tilton (R-Chugiak/Mat-Su). “We should be working to protect the fund rather than quietly removing over $60 million in contributions in House Finance without public discussion.” 

“The Democrat-led coalition continues to defer the difficult conversations on the budget and resource development by introducing non-policy-making resolutions that delay important meaningful work,” said House Minority Whip DeLena Johnson (R-Palmer). “Why now? Why today? We had the Operating Budget before us on the floor, and it was set aside for a resolution that was strictly a letter to ourselves.”

Quoting a news release, members of the House Republican Caucus remain committed to passing a balanced budget and securing prosperity for all Alaskans.   

House Budget Highlights

• The budget that passed the House approves $4.5 billion in unrestricted general fund spending, which largely reflects the governor’s request for $4.4 billion in spending.
  
  
• Since Fiscal Year 2013, UGF spending has been reduced by $3.5 billion. Considering the supplemental budget, this year’s operating budget approves spending $35 million less than last year.
  
  
• As the House Majority advocated last year, the governor this year agreed to restore $128.3 millionfor Medicaid, $7.5 million for Adult Public Assistance, and $5 million for Pioneer Homes. 
  
  
• Coastal Communities are in crisis because of systemic failures of the Alaska Marine Highway System. The House’s budget invests $11 million in unrestricted general funds to make sure people will be able access healthcare, food and supplies, and the outside world. This proposal also allows AMHS to receive $7.4 million in ticket sales.
  
  
• Every student deserves a chance to succeed, which the budget makes a targeted $10.6 million investment that will ensure students with special needs receive adequate instruction.
  
  
• Alaskans deserve to feel safe in their hometown, whether a large city or a rural village. The budget funds:
  • $7.6 million to address Alaska’s growing prison population, and for mental health and rehab services that will help people succeed when they get out of jail;
• $6.3 million to hire 36 Alaska State Troopers;
• $1.7 million was added to help increase the court system’s productivity;
• $1.6 million for criminal prosecutors;
• $1 million so evidence is processed expediently, allowing victims to receive timely justice;
• $1 million to help grow the Village Public Safety Officer program;
  
  
• The Ocean Rangers Program plays a role in making sure Alaska's waters and fisheries are protected from pollution. The House’s budget restores funding for this vital program.
  
  
• Alaska’s dairy industry is at risk of collapsing due to the administration’s attempt to defund the regulator who ensures milk is healthy and safe before it goes onto shelves, according to the Alaska House Majority Coalition. In this budget, the House added $180,000 to make sure this industry and Alaska’s food security is protected.
  
  
• $1 million was added to protect Alaska Public Radio from making drastic service reductions that would harm rural communities.
  
  
• The question of this year’s Permanent Fund Dividend is still to be answered in a future appropriations bill.

House Bill 205, the operating budget now heads to the Alaska Senate for consideration.

On the Web:

 House Bill 205

 

Source of News:

Alaska House Majority Coalition
www.akleg.gov

Alaska House Republican Caucus
www.akleg.gov

Representations of fact and opinions in comments posted are solely those of the individual posters and do not represent the opinions of Sitnews.

SitNews ©2020
Stories In The News
Ketchikan, Alaska

Articles & photographs that appear in SitNews are considered protected by copyright and may not be reprinted without written permission from and payment of any required fees to the proper freelance writers and subscription services. E-mail your news & photos to editor@sitnews.us Photographers choosing to submit photographs for publication to SitNews are in doing so granting their permission for publication and for archiving. SitNews does not sell photographs. All requests for purchasing a photograph will be emailed to the photographer.