Senate Majority Coalition Website

State Senator District E

Senate Majority Leader

 

Senator Cathy Giessel Newsletter

UPDATES



Issues affecting

your family, community and jobs.

February 1, 2024

 

Dear Friends and Neighbors,



Senate Bill 88 passed the Senate floor on Wednesday, Jan 31, by a vote of 12-5. I've outlined the bill in several past newsletters so I won't do that again. (Past newsletters can be found here)

In summary: We are at a crisis in our public employee vacancy rates across all departments of state government and local government.

On Tuesday evening, the Governor spoke about "opportunities" and not saying "no" to them. This bill is an opportunity to turn around the egress of state residents, including families, professionals, teachers, firefighters, police officers, snow plow operators and the mechanics that repair that equipment.

 

State of the State address

The Governor emphasized that every "no" to opportunities means jobs lost, economic growth lost. I agree. He cited the need to see more cranes operating in Alaska (building things that represent investments). I agree - that means that permits have been issued by state staff, roads are cleared of snow and maintained by public employees, and schools have prepared a workforce.

The Governor indicated that he wasn't a fan of increasing investment in general public education; his interest is in charter schools (controlled by the State Board of Education, rather than local school boards) and correspondence schools. He also said he would be advocating for a "full PFD" (which creates a $1 Billion deficit in this year's budget).

I found a lot that the Governor said that I could agree with. I just have a very different approach to getting to more sustainable economic growth, more broadly reduced cost of energy, and education that is accessible to all Alaskans.

 

Items in this Newsletter:

·     Senate Passes SB88 Defined Benefit Legislation

·     BLM News Release

·     Pregnant Women Medicaid Changes Press Release

·     Senate Committee Meetings

·     Current Topics: Education, Economy, Minerals, Health Care, Politics

·     Resource Values, Permanent Fund

 

Senate Passes Legislation Establishing a

Defined Benefits Retirement System for

Public Employees and Teachers

Senate Bill 88 Heads to the

House of Representatives for Consideration

 

JUNEAU – Today, the Alaska State Senate passed Senate Bill 88, sponsored by Senator Cathy Giessel (R-Anchorage), to create a newly defined benefit system for public employees and teachers and provide an option for current Tier IV employees to convert their defined contribution plan to the new pension retirement system. The legislation gained broad bipartisan support with ten additional co-sponsors. 

 

“As we said from the beginning, this is not your grandmother’s gold-plated retirement plan. This is a modest and reasonable retirement plan that will turn the tide on our workforce recruitment and retention issues. We must take significant action now if we want to turn around our economy and attract the brightest and best in all industries, public and private,”

said Sen. Cathy Giessel.

 

The legislation, introduced on March 1, 2023, seeks to address Alaska’s workforce recruitment and retention issues. Over the past 11 years, Alaska has seen an outmigration of its population, losing nearly 34,000, or seven percent, of working-age Alaskans. Meanwhile, Alaska’s aging population has grown by three percent. In a recent presentation to the Alaska legislature, the state of Alaska recognized that its department vacancies have climbed to 26%. On top of that, municipalities are struggling to fill maintenance and operations, police and fire, and other positions to deliver essential services. One primary reason that has been cited for recruitment and retention issues is the lack of a quality retirement system that public servants can depend on once they retire.

 

“A reliable and quality retirement package is crucial for attracting and retaining skilled individuals in Alaska. This is particularly important given the widespread labor shortages and 11 straight years of out-migration in our state,” said Senator Click Bishop (R-Fairbanks). “The demand for essential workers, such as nurses, police officers, firefighters, teachers, snow-plow drivers, heavy equipment operators, and ferry workers underscores the urgency of providing competitive retirement packages. Returning to a defined benefit system will serve as that vital incentive for individuals to choose Alaska as their home.” 

 

In 2006, the state of Alaska transitioned into a defined contribution plan, similar to a 401(k)-retirement plan, and it was believed that retirees would earn the same level of retirement as the prior defined benefits system. An initial analysis by the Division of Retirement and Benefits concluded that if a state worker who has spent 20 years under the defined contribution plan were to retire today, the employee would only receive 32% of their average earnings, compared to 40.3% under the prior defined benefits system – a difference of $8,000 a year. Even more so, a peace officer or firefighter would receive $16,000 less under the defined contribution plan after

20 years of service.  

 

Many components of this new defined benefits plan are similar to PERS Tier III and TRS Tier II. But, through analysis, revisions, and compromises, components that caused concerns about past retirement systems are addressed. For example, this proposal increases the employee contribution rate from prior pension retirement systems and makes it adjustable from 8-10% to have employees share in the system’s financial solvency risk. It also maintains the current system’s retiree medical coverage plan in place to keep the state’s liability toward medical costs as low as possible.

 

“If we are going to strengthen our economy and attract working-age populations back to the state, we need to offer a competitive and reliable retirement plan. This gets us there,” concluded Sen. Giessel.

 

Senate Bill 88 is co-sponsored by Senator Click Bishop, Senator Gary Stevens (R-Kodiak), Senator Jesse Kiehl (D-Juneau), Senator Scott Kawasaki (D-Fairbanks), Senator Löki Tobin (D-Anchorage), Senator Bill Wielechowski (D-Anchorage), Senator Elvi Gray-Jackson (D-Anchorage), Senator Forrest Dunbar (D-Anchorage), Senator Matt Claman (D-Anchorage), and Senator Donny Olson (D-Golovin). The legislation will now move to the House of Representatives for consideration.

News Release

BLM Alaska, Anchorage District Office

Media Contacts: Scott Claggett, (907) 267-1420, gclaggett@blm.gov

January 24, 2024

www.blm.gov/alaska

 

BLM seeks input on environmental assessment for Integrated Pest Management at Anchorage's Campbell Tract

 

Public Comment Period runs January 26 through February 9

 

ANCHORAGE, Alaska The Bureau of Land Management (BLM) seeks public input on a preliminary environmental assessment (EA) analyzing impacts from updates to the Integrated Pest Management Plan for invasive plants on the Campbell Tract, a 730-acre Special Recreation Management Area in Anchorage. The public comment period extends 15 days, with comments accepted through February 9.

  

BLM is proposing updates to Campbell Tract’s 2015 Integrated Pest Management Plan to reflect new research and treatment methods, increase effectiveness of invasive plant control efforts, and ensure there are no adverse effects toward pollinators. This analysis tiers off two BLM nationwide Programmatic Environmental Impact Statements for Vegetation Treatments (2007 PEIS and 2016 PEIS). Updates to invasive plants management at Campbell Tract include:

·     Expanding the acreage that would be treated for invasive species to cover all 730 acres of Campbell Tract. This would allow for more treatment of Prunus padus (bird cherry), one of Anchorage’s most pervasive invasive plants.

·     Allowing for the use of new treatment methods which have been proven effective for hard-to-control invasive species in the Anchorage area.

 

“BLM’s objective is to create an effective management toolbox for control and prevention of invasive plant species on the Campbell Tract,” said Jake Vialpando, Anchorage Field Office Manager. “The goal of this management plan is to make significant progress towards keeping Campbell Tract free of these invasive plant species.”

 

Comments can be submitted by February 9 online through the BLM National NEPA Register project site under the How to Get Involved tab or via mail (addressed to “Attn: Campbell Tract Integrated Pest Management, Anchorage Field Office, 4700 BLM Road, Anchorage, AK 99507”). 

Contact: Shirley Sakaye, DOH, 907-269-4996, Shirley.Sakaye@alaska.gov



Alaska ‘Pregnant Women Medicaid’ Changes Take Effect February 1

 

January 31, 2024 / ANCHORAGE — In a significant step toward enhancing maternal healthcare access, the Alaska Department of Health (DOH) is implementing changes to coverage for “Pregnant Women Medicaid.” Postpartum coverage is being extended, from 60 days after pregnancy to 12 months, and the income limit is being increased, from 200% of the Federal Poverty Level to 225%.

 

Governor Mike Dunleavy introduced Senate Bill 58 during the last legislative session, a bill that overwhelmingly passed in May 2023. Since then, DOH has completed the regulatory and federal requirements necessary to implement this change.

“Supporting families – particularly new moms and babies – is part of my pledge to make Alaska the best state in the nation to raise healthy families,” said Governor Dunleavy. “Protecting the core of the family unit during the first year of life is essential to providing access to a healthy start.” 

 

Key features of the Alaska Medicaid Postpartum Coverage Extension include:

Extended Postpartum Coverage: Eligible beneficiaries will have 12 months of coverage, adding 10 months to the current 60-day postpartum period covered by Medicaid. This expansion ensures comprehensive healthcare support during the crucial post-delivery phase. 

 

“This preventive measure aligns with our broader efforts to provide access to healthcare for all Alaskans,” said Commissioner Heidi Hedberg. “With 60 days of Medicaid coverage, many women who experience postpartum depression may not realize an onset of symptoms until it is too late to seek treatment. Extending postpartum coverage to a full year after birth provides new mothers additional support for physical and mental health, improving overall well-being of mother and baby.” 

 

Additionally, Senate Bill 58 raised the income limit for Medicaid coverage for

pregnant women.

 

Higher Income Eligibility Level: Starting February 1, 2024, the income limit for pregnant women increases, from 200% to 225% of the federal poverty level, potentially extending coverage to thousands of additional recipients.

 

The implementation of these changes marks a significant stride toward a healthier future for Alaska’s families. According to Commissioner Hedberg: “Making health care coverage accessible to more new mothers for 10 more months can help address the alarming rise in maternal death rates across the nation and our state – and increases infants’ ability to meet their developmental milestones, by providing more opportunities for early screening and interventions with provider visits.”

 

The changes underscore Alaska's commitment to the well-being of mothers and infants.

Learn more about the expanded postpartum coverage and how to apply by going here.

Senate Floor Session - January 31

 

SB 88- Retirement Systems; Defined Benefit Opt.

The bill would establish a new Defined Benefit system for all state of

Alaska employees.

Vote 12-5; SB 88 passed the Senate.

 

Senate Committee Meetings

Week of January 25-31

 

Finance

Jan 25- Overview: FY25 Budget Overview by Legislative

Finance Division

 

Jan 26- Presentation: Alaska Permanent Fund Corporation

 

Jan 29- SB 127: Taxation: Vehicle Rentals, Subpoenas (Invited and Public Testimony); SB 170: Extend Senior Benefits Payment Program (Invited Testimony)

 

Jan 30- PERS/TRS Update

 

Jan 30- SB 56: AK Performance Scholarship, Eligibility (Invited and Public Testimony); HB 26: Official Language, Council for AK Native Language (Invited and Public Testimony)

 

Jan 31- Senate Bill: FY24 Supplemental Request

 

 

Community and Regional Affairs

Jan 30- SB 161: Tax Exemption for Farm Use Land (Invited Testimony)

 

 

Education

Jan 29- Presentation: Youth Homelessness and Education

 

Jan 31- Presentation: The Prenatal-to-3 System of Care in Alaska

 

 

Health and Social Services

Jan 25- Presentation: Department of Family and Community

Services Overview

 

Jan 30- Presentation: Division of Insurance: 80th Percentile Rule

 

 

Judiciary

Jan 26- Presentation: Informational Hearing by the Office of Public Advocacy on Public Guardianship

 

Jan 31- Executive Order (EO) 133: Eliminating the Criminal Justice Information Advisory Board (Invited and Public Testimony); EO 135: Eliminating the Alaska Safety Advisory Council (Invited and

Public Testimony)

 

 

Labor and Commerce

Jan 29- SB 182: Extend Big Game Commercial Services Board (Invited and Public Testimony); SB 152: Community Energy Facilities, Net Metering (Invited and Public Testimony)

 

Jan 31- EO 127: Eliminating the Board of Massage Therapists (Invited Testimony); EO 129: Eliminating the Board of Barbers and Hairdressers (Invited Testimony); EO 130: Eliminating the Board of Certified Direct Entry Midwives (Invited Testimony)

 

 

Resources

Jan 26- SB 49: Carbon Storage (Invited Testimony)

 

Jan 29- SB 190: Big Game Hunting by Person w/ Disability (Invited Testimony); Overview: Alaska Department of Fish and Game by Commissioner Doug Vincent-Lang

 

Jan 31- HB 125: Trapping Cabins on State Land (Public Testimony); SB 198: State Land for Remote Recreational Cabin Sites (Invited Testimony); EO 128: Separating the Board of Directors of the Alaska Energy Authority from the Board of Directors of the Alaska Industrial Development and Export Authority (Invited and Public Testimony)

 

State Affairs

Jan 25- Presentation: A.I. Overview by Addie Cooke, Global Policy Lead at Google Cloud

 

Jan 30- EO 128: Separating the Board of Directors of the Alaska Energy Authority from the Board of Directors of the Alaska Industrial Development and Export Authority (Invited and Public Testimony)

 

 

Transportation

Jan 25- SB 141: Naming Raymond & Esther Conquest Bridge

(Public Testimony)

Current Topics

Alaska Public Safety officials say job vacancies hinder human trafficking response. Alaska Beacon

"There realistically are vacancies such that it depletes our ability to investigate numerous areas of our areas of responsibility that we want to do a better job in." said Deputy Commissioner Bryan Barlow, Department of

Public Safety

(My Comment: I am working hard to put Defined Benefit Pension in place. Buck Consulting, Alaska State actuarial for more than 15 years, says the DB Pension will address the recruitment and retention issues that public service, in all levels of government, is facing.)

 

State failing to process timely cash assistance benefits for hundreds of elderly and disables Alaskans, lawsuit says. ADN

 

Anchorage high school teacher a finalist for national teacher of the year award. ADN

An Anchorage high school teacher was named one of four finalists this week for a National Teacher of the Year award that will be announced this spring. "Cat Walker has taught science and career and technical education at Dimond High School in South Anchorage for the past seven years," said Dimond High principal Tina Johnson-Harris.

(My comment: Wow! Congratulations, Catherine!)

 

Overnight snow dump closes Southcentral Alaska schools, sets Anchorage seasonal record. Alaska Public Media

“For reference, last year we hit 100 inches on March 10,” Quesada said.

 

Debate continues on whether Nebraska should change to permanent daylight saving time or permanent standard time. Nebraska Examiner

For a second time, state lawmakers debated Tuesday whether Nebraska needs to pursue adopting permanent daylight saving time or join two states that have year-round standard time.

 

 

Education

Dunleavy: Package solution needed for education in Alaska.

Alaska Beacon

Alaska Gov. Mike Dunleavy said on Thursday that he would veto a standalone increase to Alaska’s per-student funding formula and said any education bill reaching his desk should be “a package.”

 

Anchorage School District offers jobs to applicants without teaching certificates, among other staffing strategies. ADN

The Anchorage School District is struggling to hire enough teachers and other staff to address increasing vacancies. There are currently around 400 unfilled positions districtwide, according to Martin Lang, who heads up the school district’s human resources department.

(My comment: So do we just keep lowering standards for teaching…or do we actually solve the recruitment and retention problem with a reasonable pension and increase wages? I favor reasonable pension (SB88) and increased wages.)

 

'Teachers leaving faster than they can be replaced,' reports Alaska Dept. of Labor. Alaska's News Source

The Alaska Department of Labor and Workforce Development wrote in their December 2023 trends report that teachers are leaving their jobs faster than they can be replaced. “We’re having a hard time for teachers to fill the positions,” Joshua Warren, an economist for the Alaska Department of Labor and Workforce, said.

 

As lawmakers consider student funding, Juneau families and educators rally for larger increase. Alaska Beacon

 

Education funding debate: Alaska lawmakers tackle base student allocation increase. Your Alaska Link

 

Public education is essential to retaining Alaska's workforce. ADN

We live in a global economy, and skilled parents can live and raise their kids in communities large or small across the country. Growth in remote work has given skilled parents even more flexibility. Our business community recognizes this, and for years has been urging policymakers to invest in quality of life and quality of place. The past economic model was to attract businesses, and workers would follow. Today, jobs follow workers, and workers follow quality of life. Alaska can’t grow with underfunded schools, and kids can’t learn in overcrowded classrooms.

 

 

Economy

Anchorage Economic Development Corp. backs sales for property tax relief, community investment. Alaska Public Media

The leadership of the Anchorage Economic Development Corp. is advocating for the creation of a new 3% city sales tax, with two-thirds dedicated to property tax relief and one-third for public projects.

 

Statewide trooper shortage leads to long response times, less calls in Cooper Landing. Radio Kenai

 

High job vacancies in Alaska state agencies can reduce services and lead to burnout. Alaska Beacon

To keep Alaska communities safe and workloads manageable, Department of Public Safety Commissioner Jim Cockrell said he would need 35% more troopers than he has now. After he fills the 62 vacancies in the department, he wants to ask the state for about 90 more positions. But he said things used to be worse — at one point last year the department had 70 vacancies of 411 trooper positions.

 

Alaska Legislature takes up bill to restore pensions for public employees. Alaska Public Media

 

 

Energy

ENSTAR president warns of natural gas shortfall, delayed solutions for Southcentral Alaska. ADN

 

Biden administration to temporarily halt some export approvals for liquified natural gas. Alaska Beacon

The U.S. Energy Department will pause approvals of new exports of liquified natural gas to all countries without a free trade agreement with the United States, Secretary Jennifer Granholm and White House National Climate Advisor Ali Zaidi said on a press call Thursday.

 

Catch up fast on biz and tech: hydrogen, aviation, EVs, offshore wind. Axios

 

 

Politics

Alaska Gov. Dunleavy: No VP inquiry from Trump. Alaska Beacon

 

Political pressure builds as state-led Alaska LNG project goes another year without a deal. Alaska Beacon

Political pressure is building on Alaska Republican Gov. Mike Dunleavy’s administration to show progress on its huge state-sponsored liquefied natural gas export project, as it asks the Legislature for another $4.5 million to keep it alive.

 

Lawmakers explore proposal to make childcare more affordable for families. Alaska's News Source

Alaska lawmakers are exploring a proposed bill that would make childcare more affordable for working families and incentivize employers to offer it as a benefit to their employees.

 

A dozen executive orders from Gov. Dunleavy draw scrutiny.

Alaska Public Media

 

Some skepticism as Gov. Mike Dunleavy proposes biggest use of executive power in decades. Alaska Beacon

In an unusual use of executive powers, this month Gov. Mike Dunleavy issued 12 executive orders abolishing state boards and granting new powers to the heads of state departments. The orders, which account for almost 10% of all executive orders issued since statehood and are equal to the number of all executive orders issued in the previous 20 years, will automatically take effect in March unless the Alaska Legislature disapproves them in a joint vote of the House and Senate. 

 

Alaska Permanent Fund Corporation asks for changes form AK legislature. Fairbanks News Center

 

Governor owes Alaskans more of an explanation on orders than the same old tune. Alaska Beacon

While consolidating the appointment authority entirely with the governor may be more efficient than sharing it with the Legislature, it seems to miss the point that the advisory board was created to provide oversight and a second opinion, not second the motion of whatever the administration wants to do.

 

In State of State, Gov. Dunleavy pushes charter schools and teacher bonuses instead of student funding. Alaska's News Source

Tuesday night’s speech came amid calls by lawmakers and Alaskans to increase the per-student funding for schools, or the Base Student Allocation. Dunleavy instead told lawmakers the BSA is the wrong focus.

 

Alaska Gov. Dunleavy emphasizes GOP education plan and resource development in State of the State address. ADN

 

Alaska governor pitches teacher bonuses as debate over education funding dominates session. Toronto City News

Alaska Oil Resource Values

 

Alaska North Slope crude oil price (1/31/24): $81.52

FY24 budget (beginning 7/1) is fully funded at

forecast $73/barrel oil.

Price on 9/30/23: $87.99

Price on 9/30/22: $86.91

Price on 6/29/22: $116.84

Price on 3/8/22: $125.44

Price on 12/22/21: $75.55

ANS production (1/31/24): 476.166 bpd

 

Pogo produces 259,573ounces gold in 2023. Mining News North

With the mill running above nameplate capacity, 66,655 ounces of gold were poured Pogo during the final three months of 2023Northern Star Resources Ltd. Oct. 19 reported that its Pogo Mine produced 66,655 ounces of gold during the final three months of calendar year 2023, which lifted the Alaska operation's output for the year to 259,573 ounces.

 

Alaskans react to President Biden's pause on all pending approvals for LNG exports. Alaska's News Source

The Alaska Gasline Development Corporation (AGDC) called the pause an “unfortunate move” for the nation but noted it comes with an upside for Alaska’s industry.

 

Precious Metal Prices

Jan. 31, 2024

Gold - $2,059.60

Silver - $23.19

Platinum - $937.84

Palladium - $1,028.39

 

Alaska Permanent Fund

website

 

Fund value January 31 - $78,515,200,000

PFD payout from ERA, Fiscal years 1980-2024: $29.7 Billion

Cost of PFD in Oct. 2022: $2.2 B

Cost of PFD Oct. 6, 2023: $881.5 Million



Feedback is always welcome.

Have a great week!

 

Cathy 

 

Personal Contact:

907.465.4843

sen.cathy.giessel@akleg.gov

 

Past Newsletters on my website



My Staff:

·     Chief of Staff: Jane Conway (from Soldotna)

·     Office Manager: Paige Brown (from Anchorage/Girdwood)

·     Resources Committee Staff: Julia O'Connor (from Juneau)

·     Legislative Analyst: Angela Rodell (from Juneau)

 

 

Copyright © 2023. All Rights Reserved.

Senator Cathy Giessel's Newsletter | 12701 Ridgewood Rd, Anchorage, AK 99516