Senate Majority Bipartisan Coalition Website

State Senator District E

Senate Majority Leader

 

Senator Cathy Giessel Newsletter

UPDATES



Issues affecting

your family, community and jobs.

 

 

July 10, 2025

 

 

Dear friends and neighbors,

 

Special Session, August 2

The Legislature will be meeting in Special Session beginning August 2, based on a "call" by the Governor.

I'm asked about Governor's direction to Republican Minority members to skip the first 5 days (the required time limit for any override votes of vetoes to take place). It is true that an absent legislator equals a "no" vote to override. I am hopeful that elected legislators will fulfill the trust voters put in them to do the requirements of the job, which means showing up for sessions. (Reminder: veto override of an appropriation item is 45 votes out of 60.)

The "hot button" override that will be considered is the $50 million reduction in education funding. The Governor's line-item vetoes to the FY 2026 Operating Budget, which included a $200 targeted reduction per student to the Base Student Allocation (BSA), is an action no other Alaska Governor has done in state history.

 

 

Medicaid Work Requirements

I continue to have concerns about the impact of the work requirement. According to Kaiser Family Foundation, 64% of non-disabled adults receiving Medicaid benefits, are employed nationally. Most of the remaining 46% have medical impairments, are caring for their children, or may be students. I'm told these numbers are similar for Alaska beneficiaries.

For Medicaid recipients, this is not a work requirement - its a work reporting requirement. They will have added paperwork to complete on a frequent basis.

The cost to the State of Alaska is added staff needed in Dept of Health to create a monitoring system for Medicaid employment reports, and staff needed to do the monitoring of compliance. In 2019, the Government Accountability Office found that states had spent as much as $463 per beneficiary setting up such systems in the past. Georgia, the only state that currently has a Medicaid work requirement, spends $9 on overhead for every $1 it spends on medical care through the initiative.

Right now, Alaska Medicaid and SNAP (supplemental nutrition/food stamps) are a struggle for Alaska to administer. Alaska has the highest SNAP error rate in the nation. In 2023, Alaska’s error rate was 60%. In 2024, it improved to 24% — still far above second-place Georgia, which had a 15% error rate. The average national error rate was close to 11%.

Murkowski, Sullivan sought to insulate Alaska from the harshest impacts of the budget reconciliation bill. Will it be enough? ADN

The review conducted by the state legislative auditor and released Monday is the latest indication that the agency responsible for overseeing benefits programs in Alaska is beset by challenges stemming from understaffing.

 

 

What else is in H.R.1?

Tracking the 2025 Budget Reconciliation Process. NCSL

H.R.1 was a huge, far-reaching legislation. This tracker identifies key issues in 12 subject categories including AI, Medicaid, Expedited Permitting, and more.

 

 

Alaska Plastic Recovery

This business is accepting plastics #1, 2, 5 and recycling them into lumber for multiple uses. Drop off is at the Municipal Wood Lot location. Hours, cost, and more detailed information, is here.

I really dislike putting plastic containers into the garbage can, so I am delighted that a local business is using these materials locally.

Alaska Plastic Recovery newsletter is here to learn more.

 

Items in this Newsletter:

·     August Special Session

·     Railbelt Transmission Organization Files Open Access Transmission Tariff on Schedule

·     Behavioral Health Education Opportunities

·     New Signage Installed on the Seward Highway

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

·     Resource Values, Permanent Fund

 

 

 

 

August Special Session

 

Dunleavy calls August special session to address education, agriculture. ADN

 

Alaska Gov. Dunleavy forces early vote on education veto override with special session in August. Alaska Beacon

“The legislature addressed both of these issues during the regular session, and rather than respecting that process, the Governor is doubling down on proposals that failed to gain legislative support,”

 

Dunleavy tells Republicans to skip part of special session to prevent veto overrides. Alaska's News Source

“The Governor has asked house minority members to not show up for the first five days of the special session to prevent his vetoes to be overturned in the special session,” spokesperson for Dunleavy, Jeff Turner, said in a statement.

 

Gov. Dunleavy calls for August special legislative session in Juneau. Alaska Public Media

The state Constitution requires lawmakers to consider a veto override “no later than the fifth day of the next regular or special session.” “There's no way around that,” Stevens said. “We will have five days from Aug. 2 to override. If we don't do it, it's a dead issue.”

 

Alaska Gov. Dunleavy asks some lawmakers to stay away from special session he's called. Alaska Beacon

He asked that the 19 members of the House’s Republican minority caucus stay away from the first five days of a special legislative session he called for Aug. 2 in Juneau. Under the Alaska Constitution, the Legislature must vote to override or sustain a governor’s vetoes in the first regular or special session following the vetoes. If those Republicans are absent, it increases the odds that his vetoes will be sustained.

(My comment: Remember that Gov. Dunleavy vetoed $250,000 from the appropriation made to pay for Special Session)

 

To stymie veto overrides, Dunleavy asks Republicans to skip beginning of special session. Alaska Public Media

 

Central peninsula lawmakers to attend special session start, despite Dunleavy ask. KDLL

 

Dunleavy's special session "gaming the system," some lawmakers say, as most Republicans stay quiet. Alaska's News Source

Most members of the state’s Republican minority remained silent days after Gov. Dunleavy’s spokesperson confirmed to avoid veto overrides the governor told Republican minority members to abstain from the first five days of the special session - which has caused some House and Senate bi-partisan majority members to now accuse the executive branch of “gaming the system.”

 

 

 

Railbelt Transmission Organization Files Open Access Transmission Tariff on Schedule

 

ANCHORAGE, Alaska July 7, 2025 — The Railbelt Transmission Organization (RTO) has filed a proposed non-discriminatory Open Access Transmission Tariff (OATT) with the Regulatory Commission of Alaska (RCA), meeting the statutory deadline of July 1, 2025, as established under House Bill 307 (HB 307). After forming the RTO and adopting its charter and bylaws in December 2024, the organization secured its Certificate of Public Convenience and Necessity from the RCA in May 2025, fulfilling a key requirement established by HB 307.

 

HB 307 established the RTO to develop and administer a non-discriminatory OATT that will provide for recovery of transmission-related costs with a new mechanism that fairly recovers and equitably allocates the costs of operating the backbone transmission system. The goal is to reduce existing economic constraints that impact the ability for the most affordable, reliable energy to be utilized anywhere on the system, regardless of geographic location.

 

The filing marks an initial and important step in the RTO’s efforts to restructure the Railbelt’s transmission system for regional power transactions and remove impediments to competition. The current filing seeks to secure RCA approval of the OATT’s terms and a formulaic cost-recovery methodology that is non-discriminatory, consistent with Federal Energy Regulatory Commission standards, and transparent to consumers across the Railbelt.

 

The OATT reflects a meaningful collaborative effort between the entities composing the RTO. As with all tariffs, the RTO’s OATT will evolve over time and, with additional work and studies, the RTO is optimistic that the goals set forth by the Governor and Legislature can be achieved in the coming years.

 

The filing has been posted by the RCA, as TA1-8001 and can be viewed here

 

 

 

Behavioral Health Education Opportunities

 

 

For more information:

QPR Training - Info and Register HERE.

Peer Support Training - Info and Register HERE.

 

 

 

New Signs Installed Along the Seward Highway

Heads up! New signs are up along the Seward Highway between MP 98.5-118 as our first Safety Express Project. While we are working on the bigger project environmental document, the DOT&PF is making a series of quick-build safety improvements to help improve conditions right now.

 

These signs are designed to improve visibility, encourage safer driving, and reduce crashes in this busy corridor.

·     Trailhead Distance Markers at 1,500 ft & 1,000 ft

·     Larger Recreational & Cultural Signage (parking, biking, camping, scenic views, and trails)

·     New Milepost Markers (also within pullouts)

·     Repaired Speed Radar Signs

·     McHugh Creek Hidden Driveway Notice

·     Falling Rock Warnings

·     No Passing Zones

·     Vehicle Delay Requirements

·     Curve Warnings

·     Pullout Notifications

·     Speed Reduction Zones

 

Think of it as a reminder to take it easy out there!

What are Safety Express Projects?

Safety Express Projects are a set of smaller, high-impact projects launching while the long-term corridor plans are still in development. You can revisit the December 2024 update for more background and context here.

 

We’ll keep you posted as more improvements roll in. Until then, thanks for driving safely and for being part of the journey towards a better Seward Highway.

 

 

Current Topics

Arctic region was permafrost-free when global temperatures were 4.5˚C higher than today, study reveals. Phys.Org

Scientists have found evidence that the Asian continent was free of permafrost all the way to its northerly coast with the Arctic Ocean when Earth's average temperature was 4.5˚C warmer than today, suggesting that the whole Northern Hemisphere would have also been free of permafrost at the time.

 

Damage till rises from Interior Alaska fires as Parks Highway delays slow tourist traffic. ADN

(My comment: The Governor vetoed $26.5 million from the firefighting fund along with $10.6 million from the state emergency response fund. The Legislature anticipated increase in wildfires this season. Sadly, Governor did not recognize the wisdom of that.)

 

Tundra fire on Alaska's North Slope among the biggest in recent years. Alaska Beacon

Fires near Fairbanks and Healy are destroying homes and fouling the air, and cut into some visitor-dependent businesses along the Parks Highway over the normally busy Fourth of July weekend.

(My comment: Concerns related to Governor’s veto of fire response funds.)

 

Alaska Gov. Dunleavy's office says state has no plans to build "Bear Alcatraz" to jail ICE detainees. Alaska Beacon

After a Fox News interview raised the possibility of Alaska building a “Bear Alcatraz” Immigration and Customs Enforcement detention facility, the office of Gov. Mike Dunleavy said on Tuesday that the state has no such plans.

 

AG Treg Taylor says crime rates are going down in Alaska, remains "wary" of some numbers. Alaska's News Source

While data from 2025 has yet to be published in a comprehensive report, reports from 2023 and 2024 both support Taylor’s claims of decreasing crime rates. The report from the Alaska Criminal Justice Data Analysis Commission in 2024 shows that overall crime in Alaska reduced from 30,810 arrests and citations in 2015 to 21,648 in 2023.

 

 

Things That I Found Interesting

AMATS Trail Plan, Kincaid to Potter Marsh Connection.

Site to view the proposal and opportunity to comment: Recreational Trails Plan. This will be topic of discussion at the Old Seward Oceanview Community Council meeting on Thursday evening (July 10).

 

TSA tests security lines allowing airline passengers to keep their shoes on. ADN

Travelers passing through security in some airports will no longer have to remove their shoes, reversing a rule that has been in effect since 2006.

 

 

Arctic Issues

US Coast Guard Icebreaker Shipbuilding Plan Gets a $8.6B Boost. Marine Link

China and Russia have been working together to develop Arctic shipping routes and fortify their defenses. The United States, Canada and Finland last year announced a trilateral partnership called the "ICE Pact" to build a fleet of 70 to 90 ice-breaking ships over the coming decade to "project power" into the polar region and enforce international norms and treaties.

 

 

Economy

"Big, Beautiful Bill" gives some seniors hefty tax break. Axios

The "big, beautiful bill" features a new tax break for older Americans who pay taxes on Social Security income. But there's a significant catch. The break leaves out the poorest seniors, and the very rich ones, too. Most seniors — 64% of them — don't pay taxes on Social Security, according to the White House's own analysis. Those who can't afford the taxes already don't pay. This break targets most, but not all, of the rest.

 

July Trends Magazine. Alaska Department of Labor and Workforce

Our annual cost of living issue takes a look at inflation, which has slowed to low levels historically after three erratic years. We also look at costs around Alaska and how they compare to each other and the nation.

 

The next IRA shoe just dropped. Axios

The memo yesterday demands that Treasury "strictly enforce" the construction deadline by "preventing the artificial acceleration or manipulation of eligibility," among other provisions.

 

Opinion: The key to a stronger Alaska Permanent Fund is diversification. ADN

Since the creation of the Alaska Permanent Fund, Alaskans have demanded a conservative approach to investing that provides long-term security and the ability to better withstand inflationary and global economic swings. This approach means we aren’t putting all our assets in one type of investment but rather a diversified group of investments designed to have the highest chance of providing regular recurring funding for all of us today and for future generations of Alaskans.

 

 

Energy

One holiday thing: energy since independence. Axios

An interesting diagram of the various energy options and their uses.

 

USGS report says federal lands in Alaska hold large share of undiscovered US oil, gas. Alaska Beacon

Almost 14.5 billion barrels of oil is in Alaska, with 14 billion of that amount on the North Slope, according to the report. Of these estimates of natural gas on federal lands across the nation, about 111 trillion cubic feet is believed to be in Alaska, with almost all of that on the North Slope as well, according to the report.

(My comment: Is this true? Key word: “estimate”. Two years ago I called the USGS before the Senate Resources committee related to the “17 BCF of gas” they say is in Cook Inlet. What they said in response is that this was an “estimate”, not a measurement. They base the number on what has been developed from similar basins around the world. What is present in Alaska may not be “economically developable”. This is a key point!! My advice: take USGS numbers with a very large helping of salt (skepticism). The gas they may be identifying may be what’s being released by the melting permafrost!)

 

Small nuclear reactors spark renewed interest in a once-shunned energy source. Alaska Beacon

Bolstered by $3.2 million from a former Midland oilman, this West Texas city of 130,000 people is helping the Lone Star State lead a national nuclear energy resurgence.

(My comment: The photo at top of this article is NOT what SMRs look like. Here’s an article about NuScale, one of the reactors under development in Wyoming. NRC Certifies First U.S. Small Modular Reactor Design | Department of Energy)

 

Alaska nonprofit sues Trump administration over canceled grant. ADN

Launch Alaska argues in a complaint filed in U.S. District Court in Alaska that there was no substantive explanation or justification for the cancellation of a $5 million grant from the Office of Naval Research.

 

Number of the day: -39%. Axios

(My comment: Graph of where US oil imports come from.)

 

What the big beautiful bill means for renewable energy. Talk of Alaska

 

 

Education

Trump administration freezes millions in grants to Alaska schools. Alaska Beacon

President Donald Trump’s administration has blocked the release of an estimated $6.2 billion in congressionally approved education funding through U.S. Department of Education grant programs, including what one group estimated to be $46.4 million appropriated for Alaska schools. The pause comes as efforts to dismantle the Department of Education have been blocked by lower courts. The Supreme Court is also expected to weigh in on the firing of nearly 2,000 employees at the agency.

(My comment: Governor Dunleavy wants to dismantle Alaska’s public education system, along with President Trump. The Governor has told the legislature to expect these kinds of funding and policy changes from the federal administration. So the Alaska education vetoes by the Governor are not a surprise. The loss of after-school program funding means many, many Alaska kids will end the school day with nowhere to go, no adult supervision or activities, as their parents are still at work. At the same time, if those kids qualify for Medicaid, those parents have to prove that they are working. Imagine this is you; what do you do? How does this build families and healthy children to adults?)

 

Trump administration pauses $6B in education programs ahead of school year. ABC News

 

Now more than ever, Alaska needs civics education in our schools. ADN

We need this bill more than ever. America’s democracy is under threat, and young people, addicted to sound bites on social media, likely aren’t fully aware as to what holds society together — or about the brilliant success of the American experiment launched in July, 1776. I’d wager many adults aren’t fully aware, either.

 

 

Politics

'Agonizing': How Alaska's pivotal Republican senator decided to vote for Donald Trump's bill. AP News

Murkowski has been in the Senate for nearly 23 years, and she has taken a lot of tough votes as a moderate Republican who often breaks with her party. So she knew what she was doing when she managed to leverage the pressure campaign against her into several new programs that benefit her very rural state, including special carveouts for Medicaid and food assistance.

 

Opinion: Sen. Murkowski and the art of the deal. ADN

To anyone who remembers Sen. Stevens’ fierce advocacy for Alaska, this explanation echoes throughout his representation of the state he built and loved. Those outsiders criticizing her should have to explain why they didn’t achieve the same carve-outs or sweeteners for their own states. The explanation is obvious: those “members of Congress” don’t understand their jobs the way Sen. Murkowski understands her job, which is to forget politics and do what is right for Alaska.

 

Alaskans divided on bargain Murkowski struck on GOP megabill. Alaska Public Media

 

Alaska's US Rep. Begich: 'No doubt' before vote on big congressional budget bill. Alaska Beacon

 

Opinion: Murkowski attempted to make the best of a losing hand for America. ADN

I’ll admit my implicit bias. Whether or not I agree with her votes, I have always felt lucky to have Lisa Murkowski as my senator. 

 

Tracking the 2025 Budget Reconciliation Process. NCSL

(My comment: H.R.1 was a huge, far-reaching legislation. This tracker identifies key issues in 12 subject categories including AI, Medicaid, Expedited Permitting, and more)

 

Alaska lawmakers plan rare use of subpoenas to get oil tax data. Alaska Public Media

Alaska lawmakers plan to compel the administration of Gov. Mike Dunleavy to release data on oil taxes through a rare use of the state Legislature’s subpoena power. It’s the latest development in a long-running dispute between the Legislature and Dunleavy administration over whether the state is getting all the tax revenue it should from its most lucrative natural resource.

 

SCOTUS lets Trump launch layoffs. Axios

The unsigned order could lead to tens of thousands of people losing their jobs, including at State and Treasury.



 

Health Care

Hunger on the rise. Axios

It's a shocking data point for the wealthiest country in the world — and comes at a time when the stock market is hitting record highs and President Trump just signed a bill slashing food benefits.  In May, 15.6% of adults said so, almost double the 2021 rate.

(My comment: Where is BBCE (Broad Based Categorical Eligibility)? This system for health and food support was legislatively passed by Rep. Mina and myself in 2024. The Dept of Health was to enact it, after federal authorization was granted, by this year. But…NOTHING! This is another example of bureaucratic incompetence.)

 

Gov. Dunleavy veto of increase for Alaska child care and infant learning funding draws concerns. Alaska Beacon

Dunleavy vetoed a proposed $1.86 million in additional funding for child care grant programs and place-based and home-based child care centers, citing declining state revenues. The budget retains $5.87 million for those programs for next year. 

 

 

Alaska Oil Resource Values

 

Alaska North Slope crude oil price (07/08/25): $73.59

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

forecast of $64/barrel of oil.

Price on 7/3/2008: $144.00

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 (07/08/25): 454,193 bpd

 

 

Canada's historic first cargo of LNG sets sail for buyers in Asia. Financial Post

A tanker carrying the first cargo of liquefied natural gas from LNG Canada set sail Monday from British Columbia’s northern coast, heralding the commercial startup of the $18-billion Shell PLC-led export terminal and ushering in Canada’s long-awaited debut into the global LNG market.

(My comment: I would wish this was Alaska gas. But Alaska’s gas is far from shipping lanes, the $70B pipeline, treatment facility, and export processing make it uneconomic.)

 

AOGCC fines Hilcorp for Beluga River shallow well perforations. Petroleum News

AOGCC said factors considered in determining the penalty include the company's "awareness that the perforated depths were outside the sundry approved depths, the potential threat to shallow formations, Hilcorp's track record of regulatory non-compliance, the need to deter similar behavior in future operations, and Hilcorp's lack of effort in correcting (discovering or communicating) the violations."

 

 

 

Precious Metal Prices

July 9, 2025

Gold - $3335.83

Silver - $36.70

Platinum - $1364.33

Palladium - $1128.50

Rhodium - $5925.00

 

Alaska Permanent Fund

website

 

Fund value July 7, 2025 - $84,706,000,000

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)

 

Copyright © 2025. All Rights Reserved.

 

 

 

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