Speaker of the House Bryce Edgmon, center, speaks with Rep. Louise Stutes, R-Kodiak and Rep. Steve Thompson, R-Fairbanks, during a House floor session on Wednesday, April 10, 2019. (Alex McCarthy | Juneau Empire)

Speaker of the House Bryce Edgmon, center, speaks with Rep. Louise Stutes, R-Kodiak and Rep. Steve Thompson, R-Fairbanks, during a House floor session on Wednesday, April 10, 2019. (Alex McCarthy | Juneau Empire)

Permanent Fund Dividend looms as House wades through budget

Ferry system survives one proposed cut during debate

Correction: A previous version of this article stated that an amendment would commit $750,000 to the Alaska Court System for more prosecutors and staff. The amendmentwas actually for $1,598,532. Half of that, $799,266, would go to the Department of Law, not the court system, to hire more prosecutors and staff. The other half would go to the Department of Administration/Public Defender Agency. The article has been changed to reflect that.

As members of the Alaska House of Representatives debated possible changes to their budget proposal, a topic they didn’t talk about all day hung over their heads.

Speaker of the House Bryce Edgmon and House Finance Committee Co-Chair Neal Foster both said in interviews Wednesday that debate has gone fairly well so far but they’re waiting to see what happens when the House begins discussing the Permanent Fund Dividend.

As of 4 p.m. Wednesday, the PFD had not yet been brought up on the House floor, but the floor session continued into the evening.

Rep. Tammie Wilson, R-North Pole, right, speaks to other representatives on the House of Representatives floor on Wednesday. (Alex McCarthy | Juneau Empire)

Rep. Tammie Wilson, R-North Pole, right, speaks to other representatives on the House of Representatives floor on Wednesday. (Alex McCarthy | Juneau Empire)

Neither Gov. Mike Dunleavy nor the House Finance Committee included the PFD in their budget proposals, electing to deal with the two issues separately. Edgmon, an Independent from Dillingham, said it’s not clear yet whether budget discussions on the House floor will include talking about the PFD.

“We’re working our way through that at this point,” Edgmon said. “It’s a big issue. It’s a huge issue. We have people on both sides, on every side of the Permanent Fund Dividend issue possible. Some wanting a smaller, more sustainable PFD, some wanting a full PFD with larger budget cuts.”

Neither Edgmon nor Foster, a Democrat from Nome, ventured a guess on what kind of PFD amendments might be proposed.

The first two days of debates on the floor have yielded very few major changes to the budget. Multiple amendments approved Wednesday actually increased spending, including one from Rep. Andy Josephson, D-Anchorage, that would add $1,598,532 to the budget. Half of that, $799,266, would go to the Department of Law to hire more prosecutors and support staff. The other half would go to the Department of Administration/Public Defender Agency.

[Alaska chief justice requests funding for cybersecurity]

House, governor get talking

House leaders met with the governor early Tuesday afternoon, and Edgmon said the meeting was cordial. Without getting into specifics of the meeting, Edgmon said House members are trying to get on the same page as the governor.

“We continue talking big picture stuff and what the governor’s expectations are from here on out,” Edgmon said, “and what we can do to sort of partner up to get the Legislature adjourned on time and if at all possible avoid a special session.”

Dunleavy was critical of the House on Tuesday, expressing his disappointment in the slow pace of the House’s progress and the fact that his crime bills and proposed constitutional amendments are not moving very quickly through committees.

One point of contention Dunleavy mentioned was that the House began its budget proposal not with his proposed budget but with the budget plan outlined last year by former Gov. Bill Walker. David Teal, the director of the nonpartisan Legislative Finance Division, said Wednesday that the House’s process is “absolutely standard practice” and that it would have been very strange to start with the governor’s proposed budget.

“Apparently, the governor believes the Legislature should have started with his bill,” Teal said via email. “That would have made identifying/debating changes more difficult. And, although one could argue that the destination would be the same regardless of the starting point, starting with the Governor’s bill would not have been a standard approach.”

Ferry system survives major cuts, for now

Rep. Colleen Sullivan-Leonard, R-Wasilla, proposed a budget amendment Wednesday that would have cut the Alaska Marine Highway System’s funding from $129 million to $86 million, according to the figures in the amendment.

Sullivan-Leonard said she heard Alaskans when they turned out in record numbers to speak against Dunleavy’s proposed cuts to the ferry system — a 75 percent cut in the next fiscal year.

“Alaskans want a ferry system. I believe in the ferry system,” Sullivan-Leonard said. “Unfortunately what we have before us is a fiscal situation that does not support a transportation system that is reliant on a 200 percent subsidy.”

The amendment failed, being voted down 24-15.


• Contact reporter Alex McCarthy at amccarthy@juneauempire.com. Follow him on Twitter at @akmccarthy.


More in News

(Juneau Empire file photo)
Aurora forecast through the week of Dec. 8

These forecasts are courtesy of the University of Alaska Fairbanks’ Geophysical Institute… Continue reading

Alaska Division of Elections officials on Thursday display scanned ballots from the Nov. 5 election on screens for attorneys monitoring a recount of a measure to repeal ranked choice in the state. (Mark Sabbatini / Juneau Empire file photo)
Recount of ranked choice repeal upholds voters’ rejection — and increases margin by six votes

State elections officials declare measure failed by 743 votes out of 335,767 cast, or 49.88%-50.12%.

The fishing vessel Wind Walker fishes near Sitka on March 29, 2022. (James Poulson/The Daily Sitka Sentinel)
Two bodies from capsized fishing vessel found Monday amidst debris from boat on beach near Hoonah

Three people remain missing eight days after Sitka-based vessel sinks southwest of Juneau.

Juneau International Airport Manager Patty Wahto addresses attendees at a Juneau Airport Board meeting on July 11. (Mark Sabbatini / Juneau Empire)
Patty Wahto, manager at Juneau International Airport, retiring next spring after 27-year career

Hired as deputy manager in 1998, she took over top job in 2013 and presided over a series of changes.

The 2024 Together Tree is delivered to the Governor’s Residence on Dec. 3 after being harvested near Hoonah. (U.S. Forest Service photo)
Governor’s Holiday Open House a bit thinner this year — if 17,050 cookies and 90 lbs. of fudge can be called that

Students from TMMS, JDHS, Faith Christian School and JAMM will perform during three-hour event Tuesday.

Nicole Herbert, director of account services for the Fairbanks North Star Borough School District, address the district’s school board during a Dec. 3 meeting. She is scheduled to become the new chief financial officer for the Juneau School District in March. (Screenshot from Fairbanks North Star Borough School District YouTube video)
School district’s new financial officer coming from Fairbanks district with its own consolidation woes

Nicole Herbert scheduled to start 12 days before Juneau’s school board sends budget to Assembly.

Hans Rivera (foreground) plays a Mexican song on cello with other Juneau Alaska Music Matters students and a mariachi band from Anchorage as part of a Feast Day of Our Lady of Guadalupe celebration at St. Paul’s Catholic Church on Sunday. (Mark Sabbatini / Juneau Empire)
An enlightenment into sights, sounds and spirit of Mexico at annual Feast Day celebration

Local music students join visiting mariachis at church celebrating national holiday for holy visionary.

(Michael Penn / Juneau Empire file photo)
Police calls for Saturday, Dec. 7, 2024

This report contains public information from law enforcement and public safety agencies.

(Michael Penn / Juneau Empire file photo)
Police calls for Friday, Dec. 6, 2024

This report contains public information from law enforcement and public safety agencies.

Most Read