Senate Majority Bipartisan Coalition Website

State Senator District E

Senate Majority Leader

 

Senator Cathy Giessel Newsletter

UPDATES



Issues affecting

your family, community and jobs.

 

 

June 19, 2025

 

 

Dear friends and neighbors,

 

Education Funding and a Veto Override

Clearly, the biggest recent news is Governor Dunleavy's unprecedented veto of education funding.

The veto is not unexpected but its still dumbfounding to see this attack on our children and our future.

 

Senate President Stevens has correctly said that we don’t have the people available to meet in special session until we convene in January.

I'll explain further: It takes 3/4 vote to override a budget veto. (This is the highest override vote requirement of any state. Most states are 50%+1, or 2/3.) 

To achieve that 3/4 vote (45), we need every YES vote to be present. Sen Forrest Dunbar is active national guard member who is deployed to Poland until mid-December.

Other YES vote legislators have multiple other commitments.

Its not helpful to gather the 2/3 vote from both House and Senate to call ourselves into special session (very difficult to do), and then to FAIL to reach the 3/4 vote override threshold.

 

BSA funds are distributed in 2 tranches- one in fall, one in January. An override in the first 5 days of session (Constitutional requirement) will allow us to get the increase in place for second half of year.

The positive is that folks, like you, can drive the point home to the Republican Senate and House members.

I’d suggest that you be relentless reminding them that they are complicit in destroying the foundations of our state if they don't vote to override this egregious veto.

 

This veto doesn’t just affect today, the impact will echo for years. We’ll see the consequences in our workforce, in our local small businesses, and across Alaska’s economy. Cutting school funding, along with the other vetoes, shows a troubling lack of vision for our state’s future. Alaska suffers when there’s no leadership willing to work across party lines with a long-term plan to move us forward.

 

·    Amid bleak state revenue forecast, Alaska Gov. Dunleavy vetoes million in education funding. Alaska Beacon

 

·    Gov. Dunleavy vetoes $51M in school formula funding from budget. ADN

 

·    Dunleavy vetoes education funding boost as he signs budget bill. Alaska's News Source

 

·    School leaders denounce Dunleavy's 'unprecedented' education funding veto. Alaska Public Media

 

·    Alaska leaders decry governor's education veto as districts consider new rounds of cuts. ADN

 

·    Dunleavy's education veto is a threat to Alaska's future, local leaders say. Alaska Public Media

 

·    Anchorage School District institutes hiring freeze, weighs more cuts after governor's budget veto. ADN

 

·    Dunleavy has killed the BSA. The Alaska Memo

 

·    Opinion: The governor's school vetoes are more than a policy disagreement. They're an assault on public education in Alaska. ADN

 

·    Opinion: Gov. Dunleavy's education agenda will undermine Alaska public schools. ADN

Starving the existing public school system is not going to result in gains for individual students or for the community.

 

·    Dunleavy special session funding veto means emergency education session unlikely, lawmaker says. Alaska's News Source

 

Energy Future

Photo: Drawing of MicroReactor (5 megawatts or less)

On a positive, I was excited to hear that the Eielson nuclear energy project is going forward again.

https://www.af.mil/News/Article-Display/Article/4213048/microreactor-pilot-reaches-major-project-milestone/

The Department of the Air Force, in coordination with the Defense Logistics Agency (DLA) Energy Office, reached a critical milestone in piloting advanced nuclear energy technology with the issuance of a Notice of Intent to Award (NOITA) to Oklo, Inc.

 

Minnesota Legislators Shot

The shooting of sitting legislators in Minnesota is of huge concern.

This is why I voted, as a member of Legislative Council, to install metal detectors in the entrance to the State Capitol in Juneau. Many members of the public, and some legislators, opposed and jeered at the metal detectors. I continue to support the metal detectors.

 

Clearly the shootings did not occur in the MN State Capitol. They occurred in the personal residences of two legislators. The shooter targeted not just the legislator but also their family members.

Today I am writing this from my home with my husband, and where three of our grandchildren are visiting, along with another of our sons and his wife.

If the hostile rhetoric continues here in Alaska, and ignites the imagination of a vulnerable person here, the danger is very real for my colleagues and their families, as well as my family and me.

 

The Alaska Legislature is now made up of bipartisan coalitions in both House and Senate. We are doing everything we can do to model civility and collaboration. This can only be accomplished through agreeing to focus on shared values and working together to advance Alaska’s best interests.

 

Alaskans repeatedly say “We’re different in Alaska” on so many topics. We are also different as the only state with bipartisan coalition majority governing bodies. In my opinion, this is a tribute to the late US Senator Ted Stevens who often said, “To hell with politics; let’s do what’s right for Alaska!”  

 

Extreme political positions, coupled with misguided desire to dominate, harms everyone.

 

Opinion: We are better than this. ADN

 

'Not just an act of violence': Alaska Lawmakers react to Minnesota assassinations. Alaska's News Source

 

Items in this Newsletter:

·    Governor's Vetoes to the 2026 Budget

·    Vetoed Audit Bill

·    Current Topics, Stuff I Found Interesting, Arctic Issues, Fisheries, Economy, Education, Politics, Healthcare,

·    Resource Values, Permanent Fund

 

 

 

 

 

 

 

VETOED BILL

SB 183

Audit of Department of Revenue 

Tax Collections from Oil Companies

 

With Governor veto, oil taxes stay concealed. Alaska Beacon

Senate Bill 183 would have increased the powers of the Legislature’s auditor to get around a block imposed by the governor’s office.

 

Governor's Revenue Department Refuses Audits of Oil Taxes

The Legislature passed Senate Bill 183 by a vote of 31-7 (Senate passed 19-0). The bill aims to clarify the penalties for hindering the Legislative Budget and Audit Committee. This stems from the Department of Revenue refusing to cooperate with the legislative auditor since 2020 on an audit of tax assessments and settlements. Basically the Legislature has been unable to audit tax settlements, which could be missing hundreds of millions of dollars over the last several years. All of the information is confidential by law, except to the State Auditor, Constitutionally defined in Article IX, sec 14.

 

Watch the recording of the committee meeting here.

 

Is there more to this story? Could the Dept of Revenue have something to hide by refusing to cooperate in State audits?

The Governor has VETOED the bill that clarifies the Auditor's Constitutional Authority to audit the books, as auditors have done since statehood.

 

Previous article: Dunleavy administration is blocking billion-dollar audit of oil tax disputes, legislators say. Alaska Beacon 

The Alaska Legislature is moving rapidly to pass a bill that would force Gov. Mike Dunleavy’s administration to disclose reports that could show the state settling oil tax disputes for significantly less than what is owed. “Either the Department of Revenue has already compiled the information requested in the special audit for its own use and is deliberately withholding it from the legislative auditor, or it has failed to do the basic work of calculating the tax, interest, and penalties assessed for each audit cycle,” she said. “Frankly, I’m not sure which of those scenarios would be more troubling.”

 

Dunleavey vetoes legislation clarifying oversight of oil and gas taxes. ADN

 

Gov. Dunleavy vetoes bill strengthening oversight of oil tax collection. Alaska Public Media

 

 

Current Topics

Alaska Capitol to host military exercise including National Guard, FBI and other agencies. Alaska Beacon

“Operation ORCA” will test the readiness of first responders and members of the Alaska National Guard for a terrorist attack that involves chemical, biological, nuclear or explosive weapons.”

 

Alaska detained 42 men arrested by ICE and flown in from out of state, amid federal crackdown. Alaska Beacon

 

Gov. Dunleavy addresses ICE detainees held in Alaska. Alaska's News Source

“My understanding is the federal government reimburses for whatever use they have of our prisons,” said Dunleavy. “This is not the first time, ICE has always used prisons across the country in states, so this is nothing new. It’s just being highlighted because of the issues being raised by protesting.”

(My comment: The Dept of Corrections has had huge expenses for overtime, with multiple staff vacancies. How will this state be providing adequate security in our prisons for added prisoners, without considerable concerns about staffing and safety?)

 

ICE pauses raids on farms, restaurants, hotels. Axios

In a surprise turnaround, ICE agents were instructed to pause most raids and arrests at farms, hotels and restaurants. "Effective today, please hold on all work site enforcement investigations/operations on agriculture (including aquaculture and meat packing plants), restaurants and operating hotels," a senior ICE official, Tatum King, wrote to regional ICE leaders on June 12.

 

 

Things That I Found Interesting

Charted: What we speak. Axios

Chinese, Tagalog and Vietnamese are the three most commonly spoken languages in the U.S. other than English and Spanish.

 

 

Economy

Don't hold your breath for rate cuts. Axios

The new numbers are the worst of all worlds for those hoping for Fed interest rate cuts — including the guy in the Oval Office. The Fed is on high alert for any meaningful deterioration in the labor market, which could trigger interest rate cuts to try to fulfill its mandate for maximum employment.

 

Alaska Permanent Fund value reaches all-time high despite recent market turmoil. ADN

Permanent Fund investment earnings provide roughly 60% of state revenue each year. They fund state services and the annual Permanent Fund dividend.

Oil is expected to provide around $1.6 billion in state revenue during the fiscal year that starts July 1. The Permanent Fund will contribute $3.8 billion over the same period.

(My comment: The Fund is doing exactly what it was intended to do – make non-renewable oil revenue into renewable investment income. It was never intended to provide a dividend as its core mission. Its core mission was revenue for state services. Our investment team, while underpaid, is doing a fantastic job.)

 

The World Bank's next steps on nuclear. Axios

The World Bank's board yesterday ended the institution's longtime ban on nuclear energy finance. The bank and other multilateral development banks are important funders of development projects and can also provide technical aid and other assistance.



 

Energy

Praise but no firm promise, as Trump administration officials talk Alaska oil and gas. Alaska Beacon

An expression of interest isn’t a firm commitment, and no investors said this week that they will back the project. Officials from Japan, Korea and other nations — possible customers for Alaska gas — visited the state this week but made no announcements.

 

Amid gas crunch, Alaska could revoke leases from a company whose drilling has stalled. Northern Journal

The company has held leases at Cosmopolitan for more than a decade. It conducted initial drilling several years ago but has not drilled any new wells since 2019, according to state records. 

 

Charted: The coming LNG wave. Axios

A historically large wave of new LNG is heading for global markets this decade.

 

Alaska's Energy Failure. Alaska Landmine

Alaska’s energy crisis is self-imposed. If we decided to invest in Susitna-Watana and the gasline, we would all be far better off. Instead, we always want someone else to pay, whether it be the federal government or oil companies. For some perspective, since 2019 Alaska has paid out more than $5 billion in dividends, nearly enough to build the Susitna-Watana dam.

 

Offshore in Cook Inlet, a 'silent economy' hunts for gas to keep Alaska running. Northern Journal

“When you think about that risk and that massive expense of drilling — the market's changing, and I think people are becoming more aware that this is dangerous for a company, and we can't put all the risk just on the producer,” John Sims said, pointing to the need for the state-sponsored loan to Furie.

 

Opinion: Can an Alaska gas pipeline be built by 2028 or 2029 like the governor says? Time for a reality check. ADN

(My comment: Answer: No. The gas pipeline is another mirage from the Governor.)

 

 

Education

1 big thing: Brain drain begins. Axios

But professors say this isn't entirely realistic."In hard sciences, in astronomy and physics and computer science, for example, there's no way you would fill that hole with local applicants of comparable quality," says Chris Impey, an astronomer at the University of Arizona.

(My comment: Our University of Alaska draws many excellent foreign students into engineering and science programs. They enrich the programs and raise the competition. Everyone is challenged to excel then.)

 

Opinion: UAA's College of Health is empowering Alaska's future one nurse at a time. ADN

As Alaska’s flagship institution for health education, UAA’s College of Health (COH) is not only preparing students for high-demand careers — it is transforming lives and strengthening communities across the state.

 

 

Politics

1 big thing: GOP backing for wind and solar is cratering. Axios

Nuclear support is growing across the aisle. Sixty-nine percent of GOP and GOP-leaning respondents want to see more nuclear power, up from 51% in 2016. Among Dems and Dem-leaners, it's at 52%, up from 38% in 2016.

 

1 big thing: MAGA base waits for payoff. Axios

But so far, the clearest financial rewards of Trump's tenure are flowing upward — to wealthy donors, family members, insiders, and the president himself.

 

Five months after Trump order, most federal agencies are using 'Gulf of America,' Mount McKinley. Alaska Beacon

On Friday, the federal agency in charge of offshore oil and gas drilling announced that it will be rewriting its core regulations to replace all references to “Gulf of Mexico” with “Gulf of America.” That order also officially renamed Denali to Mount McKinley, the name used by the federal government between 1896 and 2015 for North America’s tallest peak.

 

Canada plans to meet NATO spending target early and reduce reliance on US defense, prime minster says. ADN

Canada will meet NATO’s military spending guideline by early next year and diversify defense spending away from the United States, Prime Minister Mark Carney said Monday, asserting that Washington no longer plays a predominant role on the world stage.

 

Begich joins U.S. House Republicans in voting to claw back public broadcasting. Alaska Beacon

The rescission would be enormously significant for Alaska’s public broadcasters, particularly those in rural Alaska. High Country News has reported that many of Alaska’s rural public radio stations are heavily dependent upon funding from the federal government.



 

Health Care

1 big thing: Medicaid work rules' bureaucratic nightmare. Axios

“The experience in Arkansas was that the people who lost coverage because of the work requirements for the most part became uninsured," said Jennifer Tolbert, deputy director of the Medicaid program at KFF. "There was no increase in the share of those working." "In all of these states, we see time and again that the people hurt include workers who are supposed to be exempt, including people with disabilities who are supposed to be exempt."

 

'Nothing you can do except stand here': Public assistance office keeps Alaskans waiting. ADN

The division for years has been struggling to follow state and federal laws governing the programs they administer. According to a recent report from the division, less than half of SNAP applications between November and April were processed within federally required timelines — seven days for expedited applications and 30 days for other applications.

 

Opinion: We need Sens. Murkowski and Sullivan to stand with Alaskans on Medicaid. ADN

After federal budget reconciliation legislation passed the U.S. House of Representatives by a single vote, Alaskans are counting on Sens. Murkowski and Sullivan to block a devastating attack on Medicaid health coverage. The stakes could not be higher. If this legislation passes, tens of thousands of Alaskans will lose their healthcare benefits.

 

Opinion: The Big Beautiful Bill would be a disaster for Alaska health care. ADN

Make no mistake: this bill would gut the Affordable Care Act, slash Medicaid funding and force Alaska to implement costly bureaucratic hurdles that make it harder to access care. According to the nonpartisan Joint Economic Committee, as many as 33,000 Alaskans could lose their health coverage if this bill becomes law.

 

The false promise of Medicaid work requirements. Governing

Millions are likely to lose health insurance, and there is no credible data that imposing such rules would save money. They would hurt rural communities and red states as much as blue ones.

 

Florida moves to make Medicaid benefits permanent for some disabled. Governing

A proposal under the state budget would end the need for people with intellectual or developmental disabilities to qualify annually. Instead, they would be considered permanently eligible unless their circumstances or conditions change.

 

 

Alaska Oil Resource Values

 

Alaska North Slope crude oil price (06/17/25): $79.84

FY26 budget (beginning 7/1) is fully funded at a

forecast of $64/barrel of oil.

Price on 9/2024: $63.63

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

Price on March 2020: $12.29

ANS production (06/17/25): 467,557 bpd

 

 

With steel tariffs doubling today, a North Carolina manufacturer wonders how to compete. NPR

President Trump is doubling down on steel and aluminum tariffs. Starting today, June 4, the tax on imported metals is set to jump to 50%, twice what it was yesterday.

 

Fueled by trade tensions and foreign wars, a rush for an obscure mineral heats up in Alaska. Northern Journal

“We can’t get that antimony from Alaska to Montana fast enough,” Joe Bardswich, U.S. Antimony’s chief mining officer.

 

On my screen: the path to new reactors. Axios

"Westinghouse is in talks with US officials and industry partners about deploying 10 large nuclear reactors to meet the goals of President Donald Trump's executive orders.

 

Japan's JERA agrees to buy US LNG to rebalance supply portfolio away from Australia. Yahoo Finance

Among the agreements, Japan's biggest LNG buyer signed an HOA with Sempra for 1.5 million tonnes per year from its Port Arthur LNG Phase 2 project in Texas and an HOA with Cheniere Energy for up to 1 million tonnes per year from Corpus Christi LNG in Texas and Sabine Pass LNG in Louisiana. The utility also signed a 20-year agreement with Commonwealth LNG for 1 million tonnes per year from its Louisiana project.

The plans total up to 5.5 million tons per year. Deliveries would start around 2030, per Reuters, which has much more reporting from Tokyo.

 

Less than $1M from state Cook Inlet lease sale. Alaska Business Magazine

A lease sale for the Cook Inlet region brought less than $1 million for the state treasury as Hilcorp extended its onshore and near-shore holdings. The sale was the third in Cook Inlet to offer net profit share revenue terms rather than a traditional royalty share to the state.

 

ADNOC leads $18.7 billion proposal to buy Australia's Santos in LNG push. Reuters

Australia's second-largest gas producer Santos said on Monday it intended to support an all-cash $18.7 billion takeover bid from an international consortium led by Abu Dhabi's National Oil Company (ADNOC), which wants to grow a global gas business.

 

'Major washout' closes road to Alaska's North Slope oil fields. ADN



 

Precious Metal Prices

June 4, 2025

Gold - $3393.53

Silver - $36.98

Platinum - $1350.19

Palladium - $1079.09

Rhodium - $5250.00

 

Alaska Permanent Fund

website

 

Fund value June 17, 2025 - $83,480,900,000

PFD payout from ERA, Fiscal years 1982-2024: $31.3 billion

Over $100 billion total earnings over lifetime of the Permanent Fund

 

 

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)

·    Legislation Aide: Paige Brown (from Anchorage/Girdwood)

·    Resources Committee Staff: Inti Harbison (from Anchorage)

 

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