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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.

July 18, 2024

Dear Friends and Neighbors,

 

Opinion: After such violence, the center must hold. New York Times

Now is the time for America’s moral center to rise up and declare — with one voice, neither red nor blue — “Enough.” We either recover our sense of decency and basic respect for the humanity of our opponents, or we will see, in Yeats’s words, the “blood-dimmed tide” loosed in our land. The cultural conditions for chaos are created by a lack of courage and character.

 

Items in this Newsletter:

·     Legislative Finance July Newsletter

·     Anchorage Child Care and Early Education Fund Board

·     Current Hot Topics, Things I Found Interesting, Education, Economy, Minerals, Healthcare, Politics

·     Resource Values, Permanent Fund

Legislative Finance July Newsletter

 

July 2024 Newsletter

Welcome to the Legislative Finance Division's interim newsletter! We intend to send these out periodically until the January session. These newsletters will provide updates on the State's fiscal situation and keep legislators, staff, and the interested public informed of LFD publications.

If you'd like to subscribe, you can do so here.

 

Fiscal Update with Enacted Budget

On June 28, Governor Dunleavy signed HB 268, the operating budget bill, HB 270, the Mental Health appropriations bill, and SB 187, the capital budget bill. You can find comprehensive reports on the Enacted operating budget, capital budget, and supplemental items on our website.

A preliminary short fiscal summary of the Enacted budget is below. The detailed fiscal summary will be released with the Summary of Appropriations later this year. 

Based on the Spring 2024 forecast, both the FY24 and FY25 budgets are projected to have surpluses ($128.8 million and $146.5 million, respectively). The FY24 surplus will lapse to the CBR, while any FY25 surplus will be available for appropriation next session.

Agency Operations increased by $167.3 million (3.8%) UGF from FY24 to FY25, while Statewide Items increased by $53.3 million (15.4%). These numbers are somewhat distorted by a structural change in the FY25 budget that transferred fire suppression activity funding from the Department of Natural Resources' budget in Agency Operations to the Fire Suppression Fund under Statewide Items. Funding for that item was also increased from $13.6 million UGF in FY24 (before supplementals) to $34.3 million UGF in an effort to reduce future supplementals (which totaled $75.0 million in FY24). If fire suppression activity funding is removed from the comparison, then Agency Operations would be up by $201.6 million (4.7%) and Statewide Items would be up by $19.0 million (5.2%).

While the FY25 capital budget is down $156.1 million (32.1%) from the FY24 capital budget, this comparison is misleading: capital projects can be initiated in either fiscal year interchangeably based on available revenue, so capital budgets are more accurately compared from one legislative session to the next. In the 2023 session, capital appropriations across FY23 and FY24 totaled $377.2 million UGF, while in the 2024 session, capital appropriations across FY24 and FY25 totaled $457.2 million UGF - an increase of $80.0 million (21.2%).

 

What's Next?

Now that the budget has been signed LFD will finalize the Enacted Budget Books (formerly called the Conference Committee Books), which provide highlights on budget changes for each State agency, as well as detailed reports showing how the budget for the agency changed throughout the budget process. Those will be published as they are completed.

We will also finalize the Summary of Appropriations, which is the historical record of the budget bills. It includes a detailed fiscal summary, detailed tables and budget reports, and copies of the actual appropriations bills including vetoes.

New Anchorage Child Care and Early Education Fund Seeks Board Members

 

A joint statement from Mayor LaFrance and Assembly Members Brawley and Perez-Verdia

 

For Immediate Release

July 17, 2024

 

At last night’s Regular Assembly Meeting, the Anchorage Assembly unanimously approved AO 2024-61(S-1), As Amended, to establish a board to advise the Mayor and the Assembly on the use of the Anchorage Child Care and Early Education (ACCEE) Fund. Today, the Office of Mayor LaFrance opened board applications. The Municipality of Anchorage invites community members to apply now: onboard.muni.org/board/6013

 

“Anchorage families are facing a crisis when it comes to finding quality, affordable childcare and early education options,” said Mayor Suzanne LaFrance. “Thanks to the voters, we are on a path to support that need with this funding. I am excited to announce the establishment of this board and to work together to invest these funds in our children and our future.”

 

Approved by Anchorage voters in 2023, the ACCEE Fund collects annual marijuana sales tax revenue in a fund dedicated to child care and early childhood education. Funds were dedicated as of January 2024 and will begin being distributed in 2025. The Board will envision and propose an annual budget, estimated at approximately $5 million per year, that directs funding to supporting and advancing child care and early education in the Municipality.

 

“We look forward to welcoming new board members into the community-driven partnerships that are shaping the direction of the ACCEE Fund,” said Assembly Member Kameron Perez-Verdia, who co-sponsored the ballot proposition when it was proposed in 2022. “The new Board will inherit the substantial work of the ACCEE Fund Implementation Team, a network of community partners, parents and child care workers who have worked tirelessly to lay a foundation for this board to be successful. This project embodies the adage: it takes a village.”

 

Assembly Members Anna Brawley and Kameron Perez-Verdia joined the Alaska Children’s Trust and community members to form an Implementation Team, charged with establishing a framework for ensuring funds are used strategically and effectively. Listed in alphabetical order, the following individuals dedicated significant time to the work of the Implementation Team:

1.  Katrina Ahlfield, Executive Director, Kid’s Corps, Inc.

2.  Anna Brawley, Anchorage Assembly Member

3.  Branwen Collier, Director & Owner, Early Learning for Everyone

4.  Eric Croft, former Representative in the State of Alaska House of Representatives, former Anchorage Assembly and Anchorage School Board member

5.  Jade Hayden, Founder, Hmoob Cultural Center of Alaska

6.  Carl Jacobs, Vice President, Anchorage School Board

7.  Nora Matell, Parent

8.  Kathleen McArdle, President & CEO, Anchorage Chamber of Commerce

9.  Melinda Myers, Chief Operating Officer, thread

10.  Kameron Perez-Verdia, Anchorage Assembly Member

11.  Ethan Pettigrew, Executive Director, Cook Inlet Native Head Start

12.  Kimberly Rash, Acting Director, Anchorage Health Department

13.  Dawn Skeete, Child Care Licensing Program Supervisor, Anchorage Health Department

14.  Jessica Simonsen, Parent

15.  Trevor Storrs, President & CEO, Alaska Children’s Trust

16.  Heather Weafer, JBER representative, U.S. Air Force, Flight Chief, Child and Youth Programs

 

“Community involvement is a hallmark of the ACCEE Fund,” said Assembly Member Anna Brawley, co-chair of the Assembly Budget & Finance Committee. “The voters spoke loud and clear: our kids are worth the investment. With gratitude for the community support driving this project, we look forward to welcoming the board that will usher the first investments of our newly-dedicated funding source.”

 

Submit an Application

The ACCEE Fund Board will consist of nine members appointed by the Mayor and confirmed by the Assembly for three-year terms. The Board should reflect the broad range of those involved in and affected by early education and child care services and the diversity of Anchorage. Board members must be US citizens residing and registered to vote within the Municipality of Anchorage.

 

If you are interested in joining the ACCEE Fund Board, please submit your application at onboard.muni.org/board/6013 as soon as possible.

 

For more information about the ACCEE Fund, the Implementation Team, or the Board please visit the ACCEE Fund website at www.careforkidsanchorage.com/board.

 

###

 

Contact:

 

Amanda Moser | Office of the Mayor

amanda.k.moser@anchorageak.gov

 

Anna Brawley | District 3, West Anchorage

anna.brawley@anchorageak.gov

Kameron Perez-Verdia | District 3, West Anchorage

kameron.perez-verdia@anchorageak.gov

Current Topics

Alaskan leaders react to Albertsons divestiture list in proposed merger with Kroger. Alaska's News Source

 

18 Alaska Carrs Safeway stores targeted for divestiture in Kroger-Albertsons merger. ADN

Federal Trade Commission has sued to block the merger, calling it uncompetitive and the largest deal of its kind in U.S. history. The agency has said the deal would eliminate competition between Kroger and Albertsons, leading to higher prices and fewer options for groceries and other products. It would threaten the ability of thousands of grocery store workers to secure higher wages and benefits, the agency said.

 

Raw Market brings organic option to Girdwood. Alaska Business

 

Alaska Population Projections. Alaska Department of Labor & Workforce

 

 

Stuff I Found Interesting

Costco's big move. Axios

Costco is raising its membership fees for the first time since 2017.

 

CDC's new rules for dogs entering the U.S. will have unique impacts in Alaska. Alaska Public Media

The stricter canine border requirements are being implemented by the U.S. Centers for Disease Control and Prevention, beginning Aug. 1. Alaska state veterinarian Sarah Coburn said they’re aimed at keeping a canine variant of the rabies virus out of the country.

 

Hydrogen enters the flying taxi airspace. Axios

Hydrogen fuel cells — already used in cars, trucks and industrial equipment — could be a game-changer for the aviation industry, which is under intense pressure to reduce its greenhouse gas emissions.

 

Finland, Canada & U.S. to build icebreakers for Arctic. The Barents Observer

Finland, Canada & U.S. entered into a trilateral pact to build icebreakers for the Arctic region, the joint statement on the White House website says. The partnership was agreed on the sidelines of the NATO summit in Washington, where 32 allies said in their joint statement that Russia “remains the most significant and direct threat to allies’ security.”

(My comment: This is good because the US is failing to build icebreakers on our own! Canada and Finland will drag us along. Thank you to them!)

 

Unveiling 1,200 years of human occupation in Canada's Arctic. Phys.Org

A recent study provides new insights into ancient cultures in Canada's Arctic, focusing on Paleo-Inuit and Thule-Inuit peoples over thousands of years. Jules Blais, professor of biology at the University of Ottawa, and a team of researchers detected human presence and settlements on Somerset Island, Nunavut, by analyzing sediment samples.

 

A former fisherman is turning trash into plastic lumber and expanding Anchorage recycling options. ADN

 

 

Economy

Stampflation. Axios

The price of postage stamps went up for the second time this year on Sunday, July 14.  The 5¢ increase for First-Class stamps — to 73¢ — ties the record for the biggest hike ever.

 

Blood Bank of Alaska unsure how to fully fund testing lab after Dunleavy veto. ADN

State Sen. Cathy Giessel, an Anchorage Republican and a retired nurse, said a donor testing lab would be “critical for Alaska’s safety” and a key aspect of making the state sustainable.

 

 

Fisheries

Federal grants to state agency aim to expand markets for Alaska seafood. Alaska Beacon

ASMI Executive Director Jeremy Woodrow thanked Agriculture Secretary Tom Vilsack for helping the state’s seafood industry in a time of economic crisis.

 

Alaska seafood marketers get $5M from feds after losing state funds. Alaska Public Media

 

Task force report identifies research needs to better understand Alaska salmon problems. Alaska Beacon

The report was issued last week by the Alaska Salmon Research Task Force, a group established through a 2022 act of Congress to identify knowledge gaps and research needs. The task force comprises close to 20 members and includes scientists, fishers, Indigenous community representatives and agency managers.

 

9th Circuit of Appeals to hear oral arguments on Southeast king salmon troll fishery lawsuit. KFSK

The Alaska Trollers Association, the State of Alaska, and other entities are appealing a Washington District Court ruling that found NOAA Fisheries violated endangered species and environmental laws. The ruling says they did so by allowing the Southeast trollers to harvest king salmon at rates that harmed a small population of endangered killer whales in Puget Sound, as well as well as several king salmon populations from the lower Columbia River. 

 

Studies show there are likely more 'sushi worms' in Alaska salmon and other fish than there used to be. ADN

 

 

Childcare

Long-term boost to Alaska's Head Start early childhood program trimmed by veto. Alaska Beacon

Only one of four Early Head Start classrooms is likely to be open in Nome next year because it is so difficult to retain qualified staff. It is only the latest reduction in the early childhood program that provides child care, early education and health and dental services to more than 3,000 children in families with low incomes.

 

 

Politics

Gov. Dunleavy signs crime package into law with tougher sentences to combat fentanyl crisis. ADN

 

Goals for new Alaska crime law range from harsher penalties for drug dealers to reducing recidivism. Alaska Beacon

Senate Judiciary Committee Chair Matt Claman, D-Anchorage, helped shepherd House Bill 66 through to passage in its final form. It passed 19-1 in the Senate and 33-6 in the House.

 

If a presidential nominee drops out, what happens to states' ballots? Alaska Beacon

If a candidate were to drop out after the ballots are printed, the Alaska Division of Elections says it would work with the Department of Law to determine its next actions.

 

Inside the U.S. Cost Guard's Aleutian encounter with China's military - and what it means. Alaska Beacon

American commercial fishing fleet could still tell that something strange was happening in the Aleutian Islands on July 6 and 7. Crew on the fishing vessels picked out a U.S. Coast Guard cutter, the Kimball, steaming through the area at 21 knots, or nearly 25 miles an hour. 

 

 

Healthcare

FTC poised to sure drug middlemen. Axios

The FTC's case would target the three biggest PBMs — CVS Caremark, Express Scripts and OptumRx. Those PBMs manage about 80% of prescriptions and are integrated with the health insurers Aetna, Cigna and United Healthcare, respectively.

 

Big business hasn't saved healthcare. Axios

It doesn't matter how big you are, employing doctors and other clinicians costs a certain amount, and each one can only work so much.  That's especially true given today's health workforce shortages.

(My Comment: This includes nurses! The nurse shortage that some Alaska hospitals is experiencing would be remediated with reasonable pay and respectful working conditions. Maybe they will get the clue at some point and correct their employment practices.)

 

The rise of concierge care. Axios

“Concierge medicine potentially leads to disproportionately richer people being able to pay for the scarce resource of physician time and crowding out people who have lower incomes and are sicker," Adam Leive, a researcher at University of California at Berkeley's Goldman School of Public Policy.

(My Comment: Sadly the Alaska Legislature passed a bill to allow concierge care, at the request of a MatSu clinic. Many of us argued that this will benefit the wealthy, insured. We were able to add requirement that they must serve 20% Medicare. The requirement to serve Medicaid beneficiaries was taken out. (Senate Bill 45)

 

Health spending. Axios

It's worth noting that utilization is driving health spending increases more than price growth.

(My Comment: Exercise, good diet with reduced sugar consumption, no smoking, decrease or no alcohol - these go a long way to reducing utilization.)

 

Zyn boom. Axios

Zynfluencers" are touting the benefits of smokeless and tobacco-free pouches that have become a fast-growing segment of the tobacco industry.

 

Philip Morris plans plant to meet Zyn demand. Axios

Zyn is designed to be placed between the gum and upper lip for the user to absorb nicotine without swallowing, Axios' April Rubin reported. The pouches are discrete and don't produce smoke or odors like cigarettes and e-cigarettes. It doesn't contain tobacco leaf, but the FDA considers it to be part of the tobacco industry.

 

A case for reducing kid's screen time. Axios

Kids and adolescents who reduced their screen time for two weeks saw a "significant" boost in their mental health.

Alaska Oil Resource Values

 

Alaska North Slope crude oil price (7/16/24): $84.63

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 (7/15/24): 456,127 bpd

 

Demand for rare elements used in clean energy could help clean up abandoned coal mines in Appalachia. ADN

Researchers are finding that groundwater pouring out of this and other abandoned coal mines contains the rare earth elements and other valuable metals that are vital to making everything from electric vehicle motors to rechargeable batteries to fighter jets smaller, lighter or more powerful.

 

Oil and gas watchdog again fines Hilcorp for Cook Inlet violation. Alaska Beacon

Since the start of this year, Hilcorp has been the subject of four different enforcement actions, AOGCC records indicate. During that period, there has been only one involving a different North Slope company, Oil Search Alaska.

 

Fusion is so hot right now (but not hot enough). Axios

Fusion companies are seeing significant growth, despite steep technical hurdles to overcome before this technology can deliver energy at scale, a new report finds. Fusion has the potential to be a game-changer in generating electricity, but it's long been viewed as just out of reach. The report shows more money than ever is flowing into this area, with new companies forming in the U.S. and other countries.

 

 

Precious Metal Prices

July 17, 2024

Gold - $2478.97

Silver - $30.61

Platinum - $1013.35

Palladium - $993.16

Rhodium - $4600.00

 

Alaska Permanent Fund

website

 

Fund value July 12, 2024 - $81,659,400,000

PFD payout from ERA, Fiscal years 1980-2023: $29.7 Billion

Cost of PFD in Oct. 2022: $2.2 B

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



Alaska History

 

July 2, 1993 – Record one-day Bristol Bay catch of 4 million fish

 

July 2, 1970 – First McDonald’s opened in Alaska, Anchorage

 

July 15, 1924 – Noel Wien made first Fairbanks to Anchorage flight

 

July 28 – Parents Day

 

Click here to see list of accomplishments from the 33rd Alaska State Legislature Senate Majority.

 

Click here to view my webpage. It has links to all previous newsletters.

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 © 2024. All Rights Reserved.

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