Rep. Justin Parish found a friendly crowd Tuesday evening as the Alaska Legislature prepares for a final vote on whether to implement an Alaska income tax.
At the Mendenhall Valley Public Library, Parish attracted about 50 Juneau residents for a townhall discussion and update on the state’s fiscal situation. Judging by the comments from those in attendance, about two-thirds favored the Alaska House Majority’s four-part plan for erasing the state deficit. That plan includes an income tax.
“I was glad that people spoke about the taxes, that people spoke up for it,” said MaryAnn Dierckman.
Standing in the evening sunshine after the meeting, she said there’s a popular perception that no one favors the income tax, but that wasn’t the case on Tuesday.
Parish, who has voted in favor of the income tax, was joined by Revenue Commissioner Randall Hoffbeck for a discussion of the approaches the Legislature is considering to balance the state’s $2.7 billion annual deficit.
Hoffbeck told attendees that he believes government is “right-sized” and can’t be reduced further without a great deal of effort.
He pointed to the stated goal of the Alaska Senate Majority, which wanted to reduce government spending by 5 percent in Fiscal Year 2018, which starts July 1.
“They didn’t even get close,” Hoffbeck said. “That’s because there aren’t any really easy cuts to make.”
While most in attendance were willing to go along with the arguments made by Parish and Hoffbeck, there were those who pushed back.
Garry Parker said he sees the quality of life for senior citizens “really being attacked.”
“I’ve run the numbers all out, and the smartest thing I could do would be to leave Alaska,” he said, if the income tax bill becomes law.
He said after the meeting that he’d prefer the Legislature simply use the Permanent Fund to cover the deficit until oil prices recover.
“I’d just like to see them take all the money out of the Permanent Fund and get through this storm,” he said.
Tom Boutin, a Juneau resident and frequent testifier in the Capitol, pressed Parish as to what he would do if the income tax fails to pass the Legislature but a Permanent Fund spending bill does.
Parish sidestepped the question but said, “I don’t think we can settle for half a plan” when it comes to the deficit.
Parish and others urged those in attendance to contact lawmakers and urge them to support an income tax.
“We have to stop talking and start walking,” said attendee Cynthia Clark.
• Contact reporter James Brooks at james.k.brooks@juneauempire.com or call 419-7732.
Alaska Revenue Commissioner Randall Hoffbeck, right, speaks at a town hall meeting with Rep. Justin Parish, D-Juneau, at the Mendenhall Valley Public Library on Tuesday, May 9, 2017. (Michael Penn | Juneau Empire)
