Dear Neighbor,

We Have a Budget!

Last Thursday, after one day in Special Session, the Legislature passed the operating and capital budget and adjourned sine die. Adjourning “sine die” means that unless the Governor calls us into a Special Session, we won’t meet again until January 2024.

The operating budget passed was one that took days of negotiations and compromise but ultimately benefits the state.

Here are some highlights:

• $175 million one time increase to the BSA for K-12 education

• $1,304 PFD, with up to a $500 energy relief payment added to next year's PFD if oil prices reach $83-$105/barrel

• $7.5 million added for Child Care Block Grants to increase childcare wages and increase childcare services

• $1 million added for Rural Public Radio Grants

• $5 million added for ANSEP (Alaska Native Science and Engineering Program).

• $5 million increase to the Head Start Grant

• $1 million to the Department of Corrections for reducing prisoner recidivism by assisting with re-entry housing

While this year’s BSA increase is only a one-time increment, our coalition is still prioritizing a permanent increase to the BSA. SB 52, which permanently increases the BSA and adds funding for pupil transport, was passed out of the Senate 17Y-2N. It is currently in the House and will await its first hearing when next session starts.

Additionally, the intent language I worked on with the Department of Transportation (DOT) Finance Subcommittee, directing that funds in the DOT’s capital budget be used to address snow removal maintenance challenges in Anchorage, made it into the final budget. These funds are to be used to reduce departmental vacancies, add additional positions, pay a more competitive salary, or introduce an incentive pay if needed. I am hopeful this will ensure our city is better equipped to respond to the large snowstorms we will see next winter.

This was a budget filled with compromises but one was glad to support. It is a balanced budget that prioritizes education, public services, and our state’s fiscal future. The budget is now headed to the Governor, who can reduce or veto any line items.

House concurrence vote on the Senate amended budget after one day in special session.

My Legislation

SB 103: Peer Support Counseling Program

This bill aims to add a level of confidentiality to peer-to-peer counseling programs, which already exist within multiple state and local law enforcement departments. I introduced this bill because work-related mental health issues within first responder professions are far above the National civilian average, and departments need more options for getting the appropriate treatment to those who need it. The bill includes exemptions from confidentiality, including information about abuse of a child or vulnerable adult, and stipulations about which situations are subject to confidentiality. SB 103 passed through the Senate and is awaiting in its first committee hearing in the House. With unsustainable rates of turnover in these departments, I am honored to offer a bill that could make one aspect of this work easier. I am hopeful my colleagues will move SB 103 swiftly next session.

SB 77: Muni Prop Tax Exemption/Tax Blighted Prop

SB 77 gives local governments two new optional tools to incentivize economic development: a full property tax exemption for economic development properties and the ability to adopt a blight tax. A blight tax is a temporarily increased tax on deteriorated properties that are actively harming their neighborhood. I introduced SB 77 primarily to increase the housing availability in Alaska. While it passed out of the Senate and made it out of its last committee in the House, it did not make it to a floor vote. We’ve heard all session about the housing shortage’s negative impacts all across the state and the urgent need for action. I am hopeful my colleagues in the House will agree and SB 77 can pass early next session.