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Current Topics
Coldest U.S. temperatures are rising. Axios
Thirty-year average coldest temperatures are rising almost universally nationwide, a new analysis found.
Real IDs in full effect at Ted Stevens Anchorage International Airport. Alaska's News Source
Trending baby names. Axios
Olivia and Liam were the top baby girl and boy names in America last year.
Taking grievances to the street for 248 years. Alaska Beacon
“The bill raises issues under the First Amendment of the United States Constitution and art. I, secs. 5 and 6, of the Alaska Constitution. In particular, if challenged, there is a risk that the new crime of obstruction of free passage in public places could be found unconstitutional both facially or if applied to the protected speech of protests or demonstrations.”
Alaska senators vote to end daylight saving time in America's farthest-north state. Alaska Beacon
(My comment: I agree with Senators Kawasaki and Stedman. Alaska used to have 4 time zones, acknowledging our size and “sun time”. Now we do a fake, unhealthy manipulation of our circadian rhythms by pretending we control time with a clock. Nevertheless, the constant flipping of time is more unhealthy. Therefore I voted for this less-than-perfect bill.)
Dunleavy's hiring freeze prompts concerns about impacts to state workforce and services. Anchorage Daily News
Dunleavy on Friday issued an administrative order that instituted a hiring freeze, a ban on new state regulations and travel restrictions for state workers, citing Alaska’s dire fiscal outlook.
(My comment: Governor Dunleavy is hurrying to catch up with the Legislature. If he really cared about our state, he would have proposed a balance budget in December 2024, would have been present in Juneau during the session, and would have agreed to meet with us. He’s done none of this. Now he makes sure that the Legislature and his own administration can’t function; a failed legacy of leadership.)
KPB New North Korean job scams. Axios
North Korean IT workers are setting up front companies across China as part of their global operation to trick Western companies into hiring them.
Arctic Issues
Arctic fossils reveal world's oldest salmon and carp relatives. Phys.org
Most people picture the time of dinosaurs as a steamy, tropical world. But during the Late Cretaceous period, northern Alaska was a different kind of wild. Located far above the Arctic Circle, it endured months of winter darkness and freezing temperatures—even as much of the planet remained warm. Think sub-Arctic Canada today: cold, wet and seasonal.
Arctic sea ice has been hitting record lows. Scientists just lost a critical tool for studying it. Alaska Public Media
Rick Thoman, a climate specialist at the Alaska Center for Climate Assessment and Policy in Fairbanks, is among them. On Tuesday, just a couple hours after he got the news about the program cuts, he was taking a tour group past an art installation about sea ice at the International Arctic Research Center.
Opinion: How community support helps to keep Chugach State Park accessible. Anchorage Daily News
The Chugach Park Fund raises money for trail maintenance and improvements in the state park because state appropriations are not sufficient to maintain these public assets. The park sees 1.5 million visitors to its 500,000 acres; just 11 employees manage park operations, including campgrounds, parking lots, bathrooms, law enforcement and search and rescue. After that, there’s very little public funding left for maintaining public access on 280 miles of trail.
Cost estimates rising for permafrost-related damage to Alaska roads and buildings. Alaska Beacon
Permafrost thaw is expected to impose costs of $37 billion to $51 billion to Alaska roads and buildings through the middle of the century, according to a newly published study.
Keep the fires going: What the kingdom of Denmark's leadership means for the Arctic Council. Center for Maritime Strategy
Sheefish habitat is expanding, study finds. The Arctic Sounder
Sheefish can be found as far north as Point Hope and as far south as Shishmaref, a significant increase over what was previously thought to be their range. And there’s a reason for it. “We think basically climate change, global warming, where you have these longer summer seasons, where fish have more time to move up and down the coast before they overwinter in Hotham Inlet,” Fraley said. “So they just have more time to explore along the coast and check out these new habitats. ”
Economy
Dunleavy's office claims it never drafted tax bill. Here is the bill it drafted. Reporting from Alaska
Wielechowski said he was handed a copy of the draft bill directly by the governor in 2023. The 28-page bill, marked confidential, is a highly technical document. Wielechowski said he does not like being called a liar. Wielechowski also said that Dunleavy had asked him two years ago to introduce bills to close the Hilcorp loophole, because Hilcorp would not provide its North Slope gas, and to reduce oil tax credits.
(My comment: In 2023, the Governor met with the Senate and House to present a statewide sales tax. He said he would be introducing the tax, but never did. It’s clear that the Administration recognizes the critical need for new revenue; he asked us for ideas earlier this year. Yes…he is afraid to offer them himself.)
Legislature approves income tax on out-of-state businesses operating online. Anchorage Daily News
Bill taxing certain online sales, with potential to boost education funding, passes House. Alaska's News Source
Alaska Legislature approves corporate tax for online business in Alaska, tied to education funding. Alaska Beacon
Senate Bill 113 would apply state corporate income tax on out-of-state businesses that operate online. The revenue-raising measure was intended to fund key elements of an education package broadly approved by the Legislature last month.
Alaska Senate approves austere budget with $1,000 PFD ahead of final negotiations. Anchorage Daily News
Alaska Senate approves budget with $1,000 PFD amid warnings of lean times to come. Alaska Public Media
Alaska Senate Approves pared-down budget draft while warning of 'coming storm' in state finances. Alaska Beacon
“The Senate Finance chairs believe that the state is facing some very strong headwinds in future budgets,” said Sen. Lyman Hoffman, D-Bethel and the lead author of the Senate’s draft budget. Right now, the Senate’s $5.8 billion budget proposal has a small surplus when combined with all other spending bills and the state’s spring revenue forecast. But that surplus is almost certainly an illusion, Hoffman said. The federal government is cutting the amount of money it sends to states, oil prices are below what was forecast in March, labor contracts will increase in costs, and this year’s budget uses one-time funding sources that won’t be available next year.
What is a flow-through (pass-through) entity, types, pros & cons. Investopedia
A flow-through or pass-through entity is a legal business that passes all its income on to the owners or investors of the business. Flow-through entities are a common device used to avoid double taxation on earnings. The income of a flow-through entity is taxed only at the owner's individual tax rate for ordinary income. The business itself pays no corporate tax. Sole proprietorships, partnerships (limited, general, and limited liability partnerships), LLCs, and S corporations are all types of flow-through entities. Flow-through entities are sometimes referred to as disregarded entities because the IRS effectively ignores them.
Winners in the draft tax bill so far. Axios
The US House draft legislation would extend the cuts in the 2017 tax bill, and it adds on some more breaks. Some will benefit the wealthiest, including a permanent increase to the deduction for pass-through income to 22% from 20%, plus a hike for the estate tax exemption, which would shield more inheritances from taxes.
U.S. slashes tariffs in China thaw. Axios
The U.S. and China will slash their tariffs on each other for 90 days, Treasury Secretary Scott Bessent announced. It's the relief global businesses and investors hoped for, after the trade war brought commerce to a near-halt and sent economies hurtling toward recession. The U.S. will lower tariffs to 30% during the pause, while China will cut its tariffs to 10%.
Fewer people want to work in the U.S. Axios
Immigrants make up 40% of home health aides and 26% of physicians and surgeons, according to data cited by the Niskanen Center. These jobs will still be in demand regardless of an economic downturn. Employers are concerned about the possibility of more staffing challenges as immigration restrictions tighten in the Trump administration.
Opinion: Don't turn the PFD into a needs-based program. Anchorage Daily News
(My comment: Actually the means-testing is an acknowledgement of what is happening now with the Dividend. Its cited by Legislators regularly in advocating for larger Dividends – “Low income folks in my district need the dividend”. We have lots of means-tested programs in place right now which would guide and oversee a means-tested dividend: food stamps, housing assistance, heating assistance, etc).
Stock market round trip. Axios
the S&P 500 is up slightly for 2025 after having been down double digits as recently as April 8. Fueled by tariff panic, the S&P touched bear market territory that day, 20% off its recent highs. Then Trump paused his stiffest tariffs, sparking what has nearly been a bull market rally since.
Energy
Anchorage officials want to turn your garbage into electricity. Alaska Public Media
He provided a visual for what that looks like monthly: “We bring in the BP building every month here, smash it up with that heavy equipment, and we cover it with dirt.”
What's next after a big day for small reactors. Axios
A big question now that Ontario officials are really, truly going ahead with building a small modular reactor is whether this marks a turning point for the tech. The project approved yesterday will be the first SMR in a G-7 nation, and backers called it a pivotal moment for the power source that faces several deployment hurdles.
Catch up quick on policy: nukes and NOAA. Axios
South Carolina's GOP Gov. Henry McMaster has a blunt warning for Congress: don't screw up revival of a major nuclear effort in my state. He fears that budget reconciliation talks will scuttle federal financing needed for efforts to complete two large unfinished reactors at V.C. Summer Nuclear Station. "[W]ithout the existing federal tax credits and loan programs for nuclear power that make financing new nuclear power generation possible, our efforts to finish V.C. Summer are dead. And Congress is on the edge of eliminating them in budget reconciliation."
Alaska is upholding our end. Congress must protect federal energy commitments. Alaska Beacon
Renewable energy investments build real projects in Alaska, generating savings for ratepayers and building our energy security. That’s why, as former Republican and Democratic Alaska legislators, we went to bat for policies and investments that helped develop our state’s vast renewable resources.
Opinion: Taiwan, Japan and South Korea aren't sold on the Alaska LNG project. Anchorage Daily News
It does not appear that the Asian countries are clamoring to sign on. Despite the Trump administration’s threats of tariffs if they do not, international schmoozing by the Dunleavy administration and rising energy demands, not a single country has committed to buy.
Alaska commission proposes $49,000 fine against Hilcorp for Cook Inlet violations. Alaska Beacon
Hilcorp, a privately held independent based in Texas, has become one of the two biggest oil producers in Alaska. The company gained that position after taking over fields and assets previously held by BP Exploration (Alaska) Inc. BP left Alaska in 2020.
(My comment: This fine is trivial for Hilcorp. I believe this company annual profits exceed $1 Billion; they pay no corporate income tax to Alaska but harvest huge revenues from our resources. The Governor and many Republican House and Senate members don’t want to impose the corporate income tax on them, or institute campaign contribution limits.)
Gas line construction in 2026? More hallucination than optimism. Reporting from Alaska
On Monday, Gov. Mike Dunleavy told the Hudson Institute, a right-wing think tank in Washington, D.C. that construction of the Alaska LNG pipeline could begin in 2026. A final investment decision is expected this fall and “quite possibly you would have potential construction here in a year, year-and-a-half.”
(My comment: I wish we could find just $5.5 million to fund Child Advocacy Centers in Alaska. If only the Governor were focused on functional government here, rather than his next job in DC.)
Education
Gov. Dunleavy tells superintendents he will veto education bill, and reduce school funding in budget, unless his policies are approved. Anchorage Daily News
Meeting with superintendents, Dunleavy threatens to veto compromise education bill. Alaska Public Media
Dunleavy meets with superintendents across Alaska, says he will veto education bill unless proposed policies are approved. Alaska's News Source
School superintendents call on Dunleavy to approve education funding compromise. Reporting from Alaska
Alaska school superintendents said Thursday that Gov. Mike Dunleavy told them he would veto a bipartisan education bill, and potentially reduce school funding in the budget, unless the Legislature approves his education policy priorities.
Opinion: The school funding bill is a victory for compromise and public education. Th governor should let it stand. Anchorage Daily News
(My comment: Yes, he should let it stand – if he cared at all about the future of our state. I would suggest that his behavior indicates more interest in gaining accolades from his hero, the current US president.)
Politics
The Trumpification of mental health. Axios
What was formerly the Substance Abuse and Mental Health Services Administration has reportedly had its funding slashed and is being rolled into a new umbrella organization called the Administration for a Healthy America.
House Republicans are backing off some Medicaid cuts as report shows millions of people would lose health care. Anchorage Daily News
US House Republicans appear to be backing off some, but not all, of the steep reductions to the Medicaid program as part of their big tax breaks bill, as they run into resistance from more centrist GOP lawmakers opposed to ending nearly-free health care coverage for their constituents back home.
Trump's "flying palace". Axios
The Trump administration is preparing to accept a super luxury Boeing 747-8 jumbo jet from Qatar's royal family. The jet is intended for President Trump's use as Air Force One. When he leaves office, ownership is to be transferred over to the Trump presidential library foundation, Karl and Faulders note of the gift's proposed terms.
Trump's trillion-dollar trip. Axios
Trump clearly sees the Gulf as a place where there's big money to be made, for the U.S. and for businesses like his. The Trump Organization announced a new luxury real estate deal in Qatar just two weeks before the trip, and has projects in Jeddah, Dubai and Oman.
Keep scrolling! Pricey gift. Axios
The $400 million jumbo jet President Trump plans to accept from Qatar is worth 100 times more than every other presidential gift from a foreign nation combined since 2001.
Health Care
Pharma shipments surge as Trump tariff threat looms. Axios
Imports from Ireland, a manufacturing hub for pharma giants like Pfizer and Johnson & Johnson, not only hit a record in March, but were double the previous high.
Pharma's perfect storm. Axios
White House is also revisiting a policy from his first term that would force drugmakers to accept lower prices for prescriptions that are pegged to what's paid abroad. The pharmaceutical industry estimates it could lose as much as $1 trillion over a decade from just the so-called international reference pricing policy, per Bloomberg. Then, there's anticipated higher costs and supply chain kinks from the new duties.
Pharmacy turbulence continues. Axios
Michigan Attorney General Dana Nessel sued pharmacy benefit managers Express Scripts and Prime Therapeutics, alleging they engaged in anticompetitive behavior that crippled independent pharmacies and created pharmacy deserts in half of Detroit. It's a pattern that's been cited in an other lawsuits against the companies, Fierce Healthcare reported.
Scant proof of Medicaid mooching. Axios
There's little evidence that people are free-riding on Medicaid. 64% of adults with Medicaid work full time or part time, according to an analysis of census data by the Center on Budget and Policy Priorities. Another 32% are taking care of home or family, are ill or disabled, attend school, or are retired. 2% could not find work. And there's another 2% in an "other" category.
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