(SitNews) Anchorage, Alaska – The Alaska Superior Court issued an order earlier this month upholding the prior appropriation of future revenues for fiscal year 2020 education funding. The superior court held that future revenues can be appropriated for future years, despite the annual budgeting framework set up by the Alaska Constitution.

"This decision upends the appropriations process as we know it and could lead to one legislature and governor setting the budget five, six or more years in advance,” said Attorney General Kevin G. Clarkson.

Clarkson said, “Although the education funding at issue here was only for one year in advance, following the superior court’s logic, there is really no time limit to speak of on the legislature’s decision to future appropriate, aside from political will. By the superior court’s decision, budgeting five years, six years, even 10 years out is fair game. We fundamentally do not believe that is what our constitutional framers envisioned when they discussed an annual budgeting process. This issue is too important not to appeal and get final guidance from the Alaska Supreme Court, so we all know going forward what the rules are."

In 2018, the legislature passed an appropriation that sought to commit future revenues, not revenues on hand in the state treasury in fiscal year 2019, to pay for education in the future fiscal year 2020. This was not a case where projected revenues for the forthcoming fiscal year were appropriated to a future purpose. Instead, the appropriation did not take effect until the future fiscal year.

Attorney General Clarkson issued a formal Attorney General Opinion on May 8, 2019 concluding that the appropriation was unconstitutional and a new appropriation was needed. The legislature disagreed and decided not to pass a new appropriation, which left education, in the opinion of the Attorney General, without any constitutional source of funding. The legislature ultimately sued the Governor in order to resolve the dispute.

Consistent with the Governor’s desire that education be funded despite the lawsuit, education funding has gone out to districts on a monthly basis under a court-approved stipulation entered into by the parties.

Quoting a news release from the Alaska Attorney General's office, the current stipulation remains in effect until a final judgment is entered. The Attorney General has made assurances that he will work with the legislature’s counsel to enter into another stipulation to ensure the funding of education continues until the appeal is completed.

The court ruled that legislative action to remove uncertainty for schools by passing a two-year school budget is constitutional: “The Alaska Constitution vests the governor with the responsibility ‘for the faithful execution of the laws,’” Judge Daniel Schally wrote. The governor and his administration “therefore have a constitutional obligation to execute the (Legislature’s forward-funding) appropriations.”

Quoting an Alaska House Majority Coalition news release, "While this is a victory for schools that historically have been plagued by budget uncertainty, a problem that contributes to statewide struggles to recruit and retain teachers, the Dunleavy Administration is expected to appeal the case to the Supreme Court." 

“We forward funded K-12 education last year because students, parents, teachers, and administrators deserve to have the resources they need to be successful every year, and so that schools have the ability to develop budgets for the coming year in a timely fashion,” Alaska House Speaker Bryce Edgmon (I-Dillingham) said. 

Rep. Harriet Drummond (D-Anchorage), who co-chairs the Alaska House Education Committee, added, “The Legislature has a long history of forward-funding education because providing stable funding to enable student success is obviously the right thing to do. It's unfortunate this issue had to be decided by the courts, and disappointing that the attorney general is wasting public resources by appealing this case to the Supreme Court, but I'm pleased by yesterday's decision.”

“The Dunleavy Administration created multiple constitutional crises this year by attempting to erode the separation of powers that is the cornerstone of democracy. We must always fight to protect strong executive, legislative, and judicial branches, and that is why the Legislature is defending its right to establish state priorities through the budget,” said Rep. Andy Josephson (D-Anchorage).

Josephson said, “The Superior Court ruling is encouraging, and our attorneys are prepared to make this important case to the Supreme Court.”

On the Web:

November 07, 2019 Opinion: In the Superior Court for the State of Alaska First Judicial District at Juneau
The Alaska Legislative Council, On Behalf of the Alaska State Legislature (Plaintiff)
VS
Honorable Michael J. Dunleavy, In His Official Capacity as Governor of the State of Alaska, Kelly Tshibaka, In Her Official Capacity as Commissioner of Administration for the State of Alaska, and Michael Johnson, In His Official Capacity as Commissioner of Education and Early Development for the State of Alaska (Defendants) and, Coalition for Education Equity, (Intervenor) PDF

Source of News:

Office of the Alaska Attorney General
www.law.state.ak.us

Office of the Alaska House Majority
www.akleg.gov

 

 

 

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