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State Senator District E

Senate Majority Leader

 

Senator Cathy Giessel Newsletter

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Issues affecting

your family, community and jobs.

Legislative Day 87

April 11, 2024

Dear Friends and Neighbors,

 

Photo: The time of year for sleeping in the returning sunshine.

 

Budget

Budget numbers are flying in the House this week, as they debate and amend the Operating Budget on the floor. Their budget is overspent by approaching $300 million dollars with a large dividend (about $2,200).

 

The Senate gets the Operating Budget next and we will, of course, rein in the spending. Our Bipartisan Coalition Majority is committed to not spend beyond available revenue, not spending from savings, and to allocate an affordable dividend.

 

The Capital Budget is currently in the Senate's hands. There's not a lot of money left after the Operating Budget is funded. However, the Senate's version of the Capital Budget addresses life, safety, and statewide needs, as it did last year.

 

The House's Operating Budget and the Senate's Capital Budget are due to be exchanged on April 12. Each body will then make their changes to the two budgets and will go back to the original body for acceptance.

 

Education and Energy Cost

Education funding continues to be a discussion. My focus has been on energygeneration of the lowest cost electrons, transportation that is redundant and efficient, and open access for renewable and clean energy projects. Importing natural gas to Southcentral will increase the natural gas cost to the Anchorage School District (ASD) to more than $1.47 million per year. In 2023, ASD paid $5.9 million for gas use in the schools. This is real money to heat schools that takes a bite out of the BSA.

 

Education and Maintenance of Equity

Federal Funding for aspects of our education system depends on Alaska complying with certain laws. You may have heard that Alaska has been determined to be out of compliance with "Maintenance of Equity" law for our school funding.

This relates to equity in funding for Title 1 schools (low income students in attendance). The Federal government is levying a $29 million in costs to the State, owed to 5 of our school districts. The Commissioner of Education is disagreeing with the Federal Education agency and contesting the $29 million in costs. As a result of the failure by the State, Alaska has been deemed a "high risk grantee state". This has impact on all Federal grants that the State may apply for.

This issue is a big deal that has to get resolved by the Administration. It could jeopardize future Federal funding of all kinds of things, one of which could be energy infrastructure grants that we will be applying for to upgrade our transmission infrastructure.

 

Items in this Newsletter:

·     Emerging Energy Technology Workshop

·     NREL Renewable Portfolio in Alaska's Railbelt

·     Safer Seward Highway Public Opinion Survey Summary

·     Senate Committee Meetings

·     Current Topics: Education, Economy, Minerals, Healthcare, Politics

·     Resource Values, Permanent Fund

Betting Big: Investing in Emerging Energy Technology workshop May 7-8

Energy innovation is happening all around us. In the last of the FREE virtual monthly workshop series, “Betting Big: Investing in Emerging Energy Technology,” participants will learn more about some of these technologies as we explore hot topics like hydrogen, grid-forming inverters and artificial intelligence as promising players in the grid of the future.

 

We will also highlight case studies where pioneering entities are pushing the envelope to integrate more clean and renewable energy onto their grids. Join us on May 7 and 8 as we explore these emerging energy opportunities and how they may shape Alaska’s energy future.

 

The series, hosted by ACEP, leading up to the 2024 Alaska Sustainable Energy Conference, takes a deeper dive into specific topics that are pending or a priority for Alaska’s energy future.

 

Register now for the free pre-conference virtual workshop series.

 

If you missed the earlier workshop, “Utility Decision Making: Navigating constraints, innovating for the future,” watch the recordings here.

 

The Alaska Sustainable Energy Conference will take place May 21-23 at Dena’ina Civic and Convention Center, Anchorage, Alaska. This year’s theme is “Transforming Energy Now for the Next 50 Years,” focusing on real-world examples in Alaska and around the globe that demonstrate progress in energy transitions such as established renewable sources, advancements in energy storage and emerging technologies.

The National Renewable Energy Laboratory (NREL) presented in Senate Resources Committee Friday, April 4. See the presentation here.

 

The cost analysis was pretty interesting and balanced. The goal of 80% renewables was not recommended as it passed the point of being economic.

Public Opinion Survey Summary

 

In February, Dittman Research conducted a public opinion survey on behalf of the Safer Seward Highway team that collected the opinions of Southcentral residents from Anchorage, Mat-Su Valley, and the Kenai Peninsula regarding the Seward Highway MP 98-118 project.

 

Key findings include:

·     Most Southcentral residents frequently use the highway

·     The highway is viewed as hazardous

·     Safety improvements are a priority

·     Over 80% support the highway improvement project

·     Rock and ice fall mitigation and additional lanes are the most important improvements

·     Over 70% stated that they would rarely or never use the pathway.

·     Broad support for use of rock blasting and placing road (fill) material

·     Common questions: project duration, cost, and travel impact during construction

Senate Committee Meetings

Week of April 4-10

 

Finance

April 4 - SB 234: Extend Marijuana Control Board (Invited and Public Testimony); SB 228: Extend Board of Massage Therapists

 

April 5 - SB 187: Appropriation: Capital; Reappropriation

 

April 9 - SB 60: Repeal Worker's Compensation Appeals Commission (Invited and Public Testimony); SB 182: Extend Big Game Commission Services Board (Invited and Public Testimony); SJR 15: Constitutional Amendment: Votes Needed for Veto Override (Invited Testimony)

 

April 10 - Overview of Governor's Amendments by Office of Management & Budget, Department of Transportation

 

April 10 - SB 187: Appropriation: Capital; Reappropriation

 

 

Community and Regional Affairs

April 4 - Presentation: Local Boundary Commission; HCR 8: Honoring Vietnam War Veterans; SJR 174: Honor & Remember/Honor & Sacrifice Flags

 

April 9 - HCR 8: Honoring Vietnam War Veterans; SJR 20: Weather Observing System Station Outages (Invited and Public Testimony)

 

 

Education

April 8 - Presentation: Education Funding Research Review and

Legal Considerations

 

April 10 - SB 221: CPR Curriculum; SB 158: School Grants and Bond Debt Reimbursement; SB 143: Education for Deaf & Hearing Impaired (Invited and Public Testimony)

 

 

Health and Social Services

April 4 - Consideration of Governor's Appointees: State Medical Board; Presentation: Department of Health Child Care Task Force; HB 57: Emergency Medical Services: Review Organizations; SB 240: School District Medical Assistance

 

 

Judiciary

April 5 - SB 134: Insurance Data Security; Information Security Programs; HJR 3: Concealed Handgun Reciprocity Between States

 

April 10 - SB 258: Criminal Conviction Overturned: Receive Past PFD; SB 255: Obstruction of Public Places; Trespassing (Invited and

Public Testimony)

 

 

Labor and Commerce

April 5 - SB 115: Physician Assistant Scope of Practice (Invited and Public Testimony); SB 135: AK Work & Save Program; Retirement Savings Bid (Invited and Public Testimony); SB 257: Electric Utility Regulation (Invited and Public Testimony)

 

April 8 - SB 102: Refuse Utility Regulations (Invited and Public Testimony); SB 219: Prior Authorization Exemptions for Health Providers (Invited and Public Testimony); HB 87: Self-Storage Units: Liens; Sales (Invited Testimony)

 

April 10 - SB 152: Community Energy Facilities: Net Metering (Invited and Public Testimony); SB 257: Electric Utility Regulation (Invited and Public Testimony)

 

 

Resources

April 5 - Presentation: Achieving an 80% Renewable Portfolio in Alaska's Railbelt

 

April 8 - SB 164: State Park Permits for Disabled Veterans; SB 253: DNR Big Game Hunting Program/Pilot Project (Invited Testimony); SB 248: Big Game Commercial Services Board (Invited Testimony)

 

April 10 - Consideration of Governor's Appointees: Board of Game, Board of Fisheries; SB 227: Big Game Hunting by Person with Disability; SB 253: DNR Big Game Hunting Program/Pilot Project (Public Testimony); Big Game Commercial Services

 

 

State Affairs

April 4 - Office of Information Technology (Public Testimony); SB 177: AI, Deepfakes, Cybersecurity, Data Privacy; SB 262: Artificial Intelligence Task Force; Consideration of Governor's Appointees: Personnel Board

 

 

Transportation

April 4 - HJR 19: Port Mackenzie & Northern Rail Extensions (Invited and Public Testimony)

Current Topics

Tsunami program that informs Alaskans of the danger is itself at risk. Alaska Public Media

A federal grant program that aims to keep Alaskans safe from tsunamis is slated for elimination. The director of the Alaska Division of Homeland Security and Emergency Management, Bryan Fisher, says the word came down March 27, an inauspicious date in Alaska history.

 

This farm is the only Grade "A" goat dairy in Alaska. Alaska Public Media

Dairy farming is not an easy business, but the micro dairy at Heritage Farm and Ranch in Kodiak makes it work by selling a variety of products and focusing on being more efficient. 

 

Measuring up: How meteorologists gauge the snowfall as Anchorage nears a season record. ADN

As of Saturday, Anchorage is 4 inches from tying the season-long snowfall accumulation record.

 

Ancient DNA and bones reveal species on the move as a result of climate change thousands of years ago. Phys.Org

We have found several animal species that have surprised us. Among other things, we found the bones of animals that we see moving northwards again nowadays due to a warmer climate," says Sanne Boessenkool, Professor at the Department of Biosciences, IBV.

 

How do you measure forever chemicals? NIST

They’re in the air, the water, the food and the soil. They’re often called “forever chemicals,” because once created, they last a very long time. 

 

Russian objection to U.S. territorial claims off Alaska complicates maritime relationship. KTOO

New U.S. claims to seabed territory off Alaska have run into an obstacle: an objection from the Russian government.

 

 

Economy

House Finance adopts draft operating budget with a $2,272 PFD. Alaska's News Source

 

Alaska House prepares to consider budget changes, including money for homeless shelter and ferries. Alaska Beacon

The budget’s biggest single piece is more than $1.7 billion for the 2024 Permanent Fund dividend, enough to pay more than $2,700 per recipient.

 

Alaska House prepares to open budget debates amid tight fiscal constraints. Alaska Beacon

The state constitution requires a balanced budget, which means no deficit spending. In past years, legislators have spent from savings to expand their options. This year, lawmakers say, there’s not enough support for that option.

 

Alaska House digs into budget — and a developing gap between expenses and revenue. Alaska Beacon

The operating budget, which will pay for state services for 12 months starting July 1, clocks in at $6 billion, excluding federally funded and fee-funded programs. The state’s capital budget, which covers construction and renovation projects, is expected to be another $550 million. Other legislation, labor contracts under negotiation, and additional items are expected to add at least $100 million more. Altogether, the total is more than the state’s expected general-purpose revenue from investments, oil and other taxes. 

(My comment: Yikes! Fortunately, the operating budget comes to the Senate next. We will put some sideboards on it, remove the deficit spending, and address priorities that are within the constraints of available revenue.)

 

 

Education

Alaska Pacific University will partner with Seattle University to offer the state's first dual MBA/law program. Alaska Public Media

Alaska is the only state without a law school, forcing prospective lawyers to leave the state. That will change this fall, when students can enroll in a dual law and masters of business administration program (JD-MBA) in Alaska. The dual degree will qualify graduates for jobs in business and law.

 

Alaska Pacific University and Seattle University to offer dual Master of Business Administration-law degrees. Alaska Beacon

A new program at Alaska Pacific University will allow students to get sequential graduate business degrees and law degrees while staying in Alaska.

 

States beyond Alaska were surprised by COVID education grant requirement, expert says. Alaska Public Media

On March 27, the U.S. Department of Education called on Alaska to send nearly $30 million to four urban school districts. The agency said the state had failed to abide by conditions placed on public school aid dollars included in a 2021 COVID relief bill. Federal officials warned that the state would be designated a “high-risk” grantee, which could come with new restrictions on federal funds in the future.

 

Alaska high school students walk out of class to protest Gov. Dunleavy's education veto. Alaska Beacon

 

Students stage statewide walkout protest over Dunleavy education funding veto. Alaska's News Source

High schoolers from Ketchikan to Utqiagvik walked out of class on Thursday morning to protest Gov. Mike Dunleavy’s veto of a wide-ranging education bill that included an historic increase to education funding.

 

Alaska education bill backed by House Republicans advances to finance committee. ADN

 

Committee advances Alaska education bill with Gov. Dunleavy priorities, historic funding increase. Alaska Beacon

House Bill 392 has a $680 boost to the $5,960 Base Student Allocation — the state’s per-student funding formula; provisions proposed by Gov. Mike Dunleavy to increase the number of charter schools; a substantial funding boost for home-schooled and correspondence students, and additional funding intended to help K-3 students improve their reading outcomes.

 

Governor points to statewide opinion poll as reason for educational reform. Alaska's News Source

Conducted by Dittman Research at a cost of $37,500, the poll surveyed 810 people from all over Alaska from different backgrounds. The governor feels the findings show that the majority of people surveyed share his belief that an education bill should not just increase spending, but also address reform.

(My comment: Polls are great but the results depend on what you ask and how you ask it. The actual questions asked is not available to me but the reporters who saw the questions felt that they were “push” questionsencouraging a certain answer.)

 

 

Fisheries

Alaska and Canada agree to moratorium on Yukon chinook salmon fishing. KYUK

Alaska and Canada have agreed to a seven-year moratorium on Yukon River chinook salmon fishing. According to a release from the Alaska Department of Fish and Game, the in-river closure for one full king salmon life cycle is outlined in an agreement signed April 1 by the state agency and its Canadian counterpart. It halts the harvest of kings on the mainstem of the Yukon, as well as Canadian tributaries, in an attempt to recover the

long-depressed stocks.

 

 

Politics

How women are fighting for more equitable elections though ranked-choice voting. Ms. Magazine

In 2020, Alaskans voted to establish a Ranked Choice Voting (RCV) general election system with strong bipartisan support. On top of this system, Alaska became the first state to implement a top-four non-partisan primary in 2022. This means that in Alaska’s primary elections candidates all appear on the same ballot regardless of party affiliation and the top four candidates progress on to the general election. “This open primary blew the doors open,” said Sen. Cathy Giessel (Alaska-R). “Ranked-choice voting may not affect who wins, but it definitely affects who runs.” Rep. Peltola, who ran under a ranked-choice voting system, noted that RCV does not necessarily favor one political party over another. She gave the example of Alaska having elected both herself and Gov. Mike Dunleavy, one of the most conservative governors in the U.S..

 

Discussing the 2024 legislative session. Talk of Alaska

As state lawmakers begin the last two months of the session, there is a lot of work to get done. Lawmakers overwhelmingly passed a bipartisan education bill, but failed to override the Governor’s veto of it, and now there is growing tension around trying to pass another bill that the Governor would accept. The perennial fight over the size of the Permanent Fund Dividend has yet to be settled, as has the state’s budget. What is the current tone of debate at

the capitol?

 

When it comes to the PFD, Alaska has too many cooks in the kitchen. ADN

With the Permanent Fund, we also have the Permanent Fund dividend, the largest single source of political divisiveness since Adam and Eve started arguing whether the apple harvest should be regulated.

 

Normal America: Polling of U.S. adults on rights and freedoms important to the country's identity. Axios

Roughly 90% or more of Americans—Republicans and Democrats—agree the following rights and freedoms are extremely or very important to a functioning America.

 

Conducting and analyzing public opinion polls. Alaska Public Media

PODCAST: Listen to some opinions about public opinion polls, how they are conducted, and interpreted.

 

 

Healthcare

1 big thing: Rise of America's centenarians. Axios

"If I had a jewel to give to people who want to live long and well, I would tell them to get up early in the morning and go out. That is really the best gift that you can give yourself if you want to achieve longevity."

 

Alaska House to vote on establishing subscription-based health care. ADN

Senate Bill 45 has been championed by conservative advocacy groups Alaska Policy Forum and Americans for Prosperity. They contend it will reduce health care costs by cutting the red tape and paperwork inherent to private health insurance plans. Skeptics of the measure say it could embolden health care providers to discriminate against patients who suffer from serious medical conditions by setting unaffordable service rates, and further limit health care options for patients who depend on public health insurance like Medicare and Medicaid.

 

Alaska lawmakers OK rules for subscription-style basic health care. Alaska Beacon

Alaska has the highest health-care costs in the nation, and there is a shortage of both specialty care and primary care. The newly authorized agreements are intended to bypass insurance company markups, reducing costs. A patient can subscribe to their local doctor’s office and receive basic care as part of that subscription. Emergency care or specialty services might not be covered as part of the agreement.

Alaska Oil Resource Values

 

Alaska North Slope crude oil price (4/10/24): $90.57

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

forecast of $73/barrel of oil.

Price on 9/30/23: $87.99

Price on 9/30/22: $86.91

Price on 6/29/22: $116.84

Price on 3/08/22: $125.44

Price on 12/22/21: $75.55

ANS production (4/10/24): 485,327 bpd



Railbelt utilities move closer to decisions on importing natural gas as legislators debate energy bills. ADN

While electrical utilities have options other than gas, Enstar does not. The region’s natural gas utility has spent more than $3.5 million examining LNG imports.

 

U.S. refiners and chemical manufacturers lead hydrogen production and consumption. EIA

 

Railbelt electric utilities are facing a major energy crunch. Renewables may be the answer. Alaska Public Media

“We are a small market,” Wight said. “And it is not worth it for many oil and gas companies to come into the Cook Inlet, a mature basin where most of the gas has already been removed, to try to encourage more production.” That’s a problem for communities on the Railbelt, the stretch of Alaska communities from Homer up to Fairbanks. Two-thirds of the region’s electricity is currently generated from Cook Inlet natural gas.

(My comment: This is why SB 217 (Governor’s transmission organization bill) needs to pass. It's true that it's not appealing to new entrants into Cook Inlet. Natural gas supply has been a challenge for the last 14 years! We are now at the edge of a cliff. The transmission bill will create a welcoming, open path for more clean energy sources to bring electrons onto the open-entry transmission highway. I am working hard to get this solution in place.)

 

Precious Metal Prices

April 10, 2024

Gold - $2347.08

Silver - $28.04

Platinum - $977.64

Palladium - $1085.65

 

Alaska Permanent Fund

website

 

Fund value April 10 - $80,258,200,000

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



Alaska History

 

-Apr. 11, 1942: Troops began construction of Pioneer Road for Alaska Highway, Ft. Nelson, BC

 

-Apr. 17, 1878: Sheldon Jackson College opened in Sitka

 

-Apr. 17, 1824: Treaty of St. Petersburg signed by U.S. and Russia

 

-Apr. 19, 1867: Congress approved Alaska Purchase

 

-Apr. 23, 1917: First winner of Nenana Ice Classic

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)

 

 

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