Mike's E-News

Another busy budget week –there are over 20 House Finance Subcommittee meetings scheduled this week, five full House Finance Committee meetings and this doesn’t include regular session and other standing committee meetings.  In addition, school boards from around the state are in visiting legislators in full force.

House Finance Committee

The  full House Finance Committee will hold its first meetings on legislation on Monday and then take up two new appropriation bills this week—HB 325 Deferred Maintenance and HB 326 the Supplemental Bill.  On Thursday they will hold the final department briefing—Transportation and Public Facilities.  On Friday one more piece of Legislation will be considered.

The Supplemental Bill contains numerous requests for over expenditures in the Medicaid area.  The Legislature will be taking a close look at these during the finance process to see if some measures can be taken to control these increases.

I am attaching to this posting, information provided to my office for the Denali Gasline Project.  This should not be construed as an endorsement of this particular project.  It should also be noted that I am committed to work toward an instate line.  I hope you will find this information useful.  Should my office receive information from TransCanada that provides some of the same information in regards to their project, I will pass it along.

Denali FERC Timeline

Denali Information Sheet

Denali Map

This week started out with transmittal of the Governor’s Supplemental Bill.  I couldn’t be more pleased to see forward funding for education included in the bill.  This was one of my highest priorities as co-chair of house finance.  It took us a number of years to get this account to the level of a full year of education costs due to revenue constraints.  It certainly was a stumbling block last year when it wasn’t included in the final appropriation bills.  Repayment of the CBR puts the State in a great position to weather future lean years until new revenue sources are developed.

Last week the Attorney General for the State of Alaska, Dan Sullivan, came before the House Finance Committee to talk about something that I fear could be tragic for the Kenai – and the entire state for that matter – if the state and federal government don’t do something about it soon. The topic of the meeting, called by Co-Chair Bill Stoltze of Chugiak and Mat-Su, was the Endangered Species Act, or ESA. It seems that there’s a growing push to list species all across Alaska, some 16 in all. Those listings could have a devastating effect on industry and economic development if left unchecked.

Stoltze called the hearing to get a read on AG Sullivan’s strategies and thoughts on the matter, and I for one am glad he did. Sullivan told the committee he was “quite frankly, scared” of the potential the current listings and litigations could have on our state.

It’s not the one you might think, though the annual trek down to Juneau was quick and uneventful.

The title refers to my trip to Whitehorse Jan. 23 with Senate President Gary Stevens.  We took a flight and then hit the road north to meet up with our peers from across Canada; from Nunavut to the Yukon Territory and on down to Alberta. The trip was an eye-opener for sure, and certainly Gary and I now have a better understanding of our fellow legislative leaders when it comes to things like constituent work and the legislative process, and issues like revenues and taxation, energy needs, and resource development.  They’re a lot like us in that way.  We learned that we share an awful lot more in common than just a border and highway.

Halfway through our second week of session, it’s apparent that our process is moving along into a regular routine.  Committees are scheduling and hearing bills, the Finance Committee is meeting with departments and getting updates on the important issues that face Alaska, and constituents from around the state are meeting with legislators to discuss their particular issues.    My office is no exception.  Although I am a member of only two committees, the Labor and Commerce Committee and the Special Committee on Economic Development, Trade and Development, my schedule is loading up on a daily basis.   It amazes me sometimes how truly diverse our state is with each community and region having special needs or concerns. 

Speaker Chenault - 1/27/10

The following information was sent to my office by the Alaska Housing Finance Corporation.  You may find this information useful if you are currently or would like to participate in the AHFC Home Energy Rebate program.

This is an update to let you know that there will be a change to the AHFC Home Energy Rebate program waiting list.  As of January 1, 2010, when a person signs up for the program, an energy rater will not be dispatched to their home until there has proven to be enough funds in the program balance to encumber up to $10,000 for their rebate.

During today’s session, I introduced House Bill 312.  House Bill 312 places an advisory vote on either the primary or general election ballot the question of using permanent fund earnings, after dividends are paid and the fund is inflation proofed, to help offset the costs of an in-state natural gas pipeline.

As we start the second week of Session, budget hearings are in full swing.

FY 11 Budget bills that have been introduced in the House by the Governor are as follows:

HB 300 Operating Budget; HB 301 Capital Budget; HB 302 Mental Health Budget.

Agency budget increases have been kept to a minimum, however, the Governor has presented some big ticket items including deferred maintenance and the Merit Scholarship Program which will be discussed in depth by the Committees.    The Legislature is still awaiting the arrival of the Scholarship bill and the Supplemental bill.

This past November, 15 legislators, including myself, wrote Governor Parnell requesting information regarding statistics on employment and oil and gas activity since the passage of ACES, then Governor Palin’s oil tax system which passed the Legislature in 2007.  A copy of the letter to the governor is included within this posting.