Senate Majority Coalition Website

State Senator District E

Senate Majority Leader

 

Senator Cathy Giessel Newsletter

UPDATES



Issues affecting

your family, community and jobs.

December 7, 2023

 

Dear Friends and Neighbors,

 

Happy Hanukkah!

 

 

Items in this Newsletter:

·     Electric Generation and Transmission

·     2023 RDC Conference Agenda and Recordings

·     ACEP Railbelt Decarbonization

·     Alaska Economic Trends December Issue

·     Alaska Trails December Issue

·     Commuter Rail Community Event

·     ALPAR Holiday Tree Recycling

·     Current Topics: Education, Economy, Minerals, Health Care, Politics

·     Resource Values, Permanent Fund

·     Alaska History

Electric Generation and Transmission

 

There's lots of gas in Cook Inlet. Here's why some companies aren't drilling. Northern Journal

2023 Resource Development Council conference agenda and recorded sessions:

Railbelt Decarbonization

Current Topics

Alaska's chief veterinarian issues notice on mysterious illness killing dogs in Lower 48. ADN

 

Don't eat pre-cut cantaloupe if the source is unknown, CDC says, as deadly salmonella outbreak grows. AP News

Consumers shouldn’t eat pre-cut cantaloupe if they don’t know the source, U.S. health officials said Thursday, as the number of illnesses and recalls tied to a deadly salmonella outbreak grows.

 

Closure of Ron's Apothecary Shoppe reflects nationwide battle over prescription drug prices. Juneau Empire

When Ron’s Apothecary Shoppe closes at the end of the day Wednesday it will be another blow to what independent pharmacists and their advocates say is affordable, safe and prompt access to medications, especially in remote areas such as Alaska where people are forced to get some prescriptions filled by mail.

(My comment: The egregious practices of Pharmacy Benefit Managers (PBMs) is forcing independent pharmacies out of business by imposing costly requirements and not reimbursing the pharmacy for the cost of the medications they dispense. There’s a lot more as well. Large chain pharmacies are owned by the PBMs, so they make huge profits by mandating use of their pharmacies or their mail-order businesses.)

 

An 'absurd ownership mishmash': How Anchorage road jurisdiction affects snowplowing. ADN

One big factor in the city’s struggle to cope with the winter weather is that many of Anchorage’s most vital roads do not belong to the municipality, and aren’t subject to the management of local officials. They belong to the state of Alaska. While the mayor and Assembly have some say in how residential streets and city-owned roadways are maintained, many of the municipality’s busiest traffic corridors are maintained by the state, which works on a parallel track after a major snow event.

 

Nonprofit, with Anchorage city support, aims to create 300-acre conservation park near Potter Marsh. ADN

Local nonprofit Great Land Trust is in the process of purchasing 200 acres of undeveloped land in South Anchorage from Alaska telecommunications company GCI and expects to close on the property in 2025. The Anchorage municipality’s Heritage Land Bank has plans to dedicate another 100 acres of adjoining land.

 

Alaska Police Standards Council turns down plan to lower hiring age of corrections officers - for now. Alaska Beacon

The Department of Corrections floated the proposal as a tool to combat its staff shortage, decreased applicant pool and a high vacancy rate. In September, the department reported more than 100 open positions and a 30% decrease in applications compared to the previous year. There are dangers associated with hiring younger people to work with hardened criminals, but that there is also a danger in having a significant number of vacant positions in a corrections facility.

(My comment: Putting an 18-year-old in an officer position, in a corrections facility, is a formula for problems, in my opinion. We have to address the problems of employment benefits (defined benefit pension) and pay scale to attract competent employees to this skilled position.)

 

Public pensions are losing top talent. Isn't it time to rethink compensation? Governing

Approximately two-thirds of public pension revenue comes form investment earnings, and they ultimately have a net positive economic impact on local economies and revenues. Our research shows that in 2018, public pension funds generated $179.4 billion more in state and local revenues than taxpayers contributed to the funds. Further, the economy grows by $1,362 with the investment of each $1,000 of pension fund assets. So clearly it's imperative to have top-tier staff at the helm.

 

 

Education

U.S. math scores plunge. Axios

Multiple studies have highlighted the adverse and stark impact of the pandemic on education.

(My comment: My husband, a former math teacher, says math is the international language.)

 

 

Minerals

UAF-led project will look for rare-earth elements in Southeast Alaska seaweed. UAF

A University of Alaska Fairbanks–led research team has been awarded a $1.9 million federal grant to explore whether seaweed is absorbing rare-earth elements near a rich deposit in Southeast Alaska.

 

Tectonic gains invaluable Flat insights. Mining News North

Tectonic Metals Inc. Nov. 23 announced that it completed 19 holes during its inaugural drilling at Flat and is positioned to carry out a larger drill program at this large gold project on Doyon Ltd. lands in Southwest Alaska.

(My comment: Doyon, and other Alaska Native Corporations, have subsurface mineral rights on their land.)

 

 

Economy

Permanent Fund trustees should pump the brakes on risky growth plans. ADN

Alaska’s Permanent Fund trustees have been excoriated in recent months, including by former Gov. Frank Murkowski, a Republican, over what many consider an ill-advised and risky plan to aggressively expand the Fund’s investments. To their credit, the trustees backed off, for now. They will revisit the idea at their December meeting. Here’s what was in the works: Some trustees want to grow the fund to $100 billion quickly, in five years. The only way to accomplish this is to increase the fund’s return target above its current 5% after inflation to about 7-8%, also inflation-adjusted.

(My comment – I agree with Tim.)

 

No Quick Fix: Closing a Public Pension Plan Leads to Unexpected Challenges. National Institute on Retirement Security

 

 

Fisheries

Study points to concurrent marine heat waves as culprit in Western Alaska chum declines. Alaska Beacon

Successive marine heat waves appear to have doomed much of the chum salmon swimming in the ocean waters off Alaska in the past year and probably account for the scarcities that have strained communities along Western Alaska rivers in recent years, a newly published study found.

 

 

Health Care

PBM business could trip up Cigna-Humana deal. Axios

"Given the extraordinary regulatory scrutiny of PBMs, this aspect of the deal seems certain to be challenged."

 

Bulked-up health care. Axios

A potential merger between two of the country's largest health insurers would create yet another massive health care company in an industry increasingly dominated by titans. Decades of consolidation among hospitals, doctors and insurers has alarmed some experts — and, increasingly, politicians — who argue the tie-ups have allowed companies to bulk up at the expense of patients and taxpayers.

(My comment: Alaskans don’t realize the huge profits of these companies. Their Pharmacy Benefit Managers make profits of $350 billion a year. $350 billion a year. Those profits are made from consumers who use prescription medications. I’m trying to change that with SB 121.)

 

Boomers' big fear. Axios

As America ages, senior care in-home and at facilities — is increasingly out of reach. Nearly 70% of senior will need long-term care services as they age.

 

Over 12,000 Alaskans are waiting on critical food aid as state's new food stamp backlog swells. ADN

This is not news I’m happy to have to share,” Etheridge said. “Over the past six weeks, we have seen a steady increase in our backlog for the SNAP applications and recertifications.”

 

CVS overhaul part of bigger shift. Axios

It's possible CVS was starting to see the advantages of its secretive pricing model erode.

 

Rise in child suicides tied to opioid crisis. Axios

An increase in child suicides since 2010 was partly fueled by the nation's opioid crisis, a RAND Corp. study finds. Children were hurt by the "broader effects" of the drug crisis, including increased child neglect and altered living arrangements.

Alaska Oil Resource Values

 

Alaska North Slope crude oil price (12/6/23): $75.98

FY24 budget (beginning 7/1) is fully funded at forecast $73/barrel oil.

Price on 9/30/23: $87.99

Price on 9/30/22: $86.91

Price on 6/29/22: $116.84

Price on 3/8/22: $125.44

Price on 12/22/21: $75.55

ANS production (12/6/23): 481,791 bpd

 

OPEC+ cuts production, market shrugs. Axios

OPEC+, led by Saudi Arabia and Russia, announced new cuts to oil production Thursday, as the cartel seeks to prop up falling prices.  The 13-nation Organization of the Petroleum Exporting Countries and its ally Russia agreed to cut an additional million barrels a day of oil production.

(My comment: These countries determine the price of a barrel of oil in Alaska. Supply x demand = price.)



Multiple groups hope to sway regulators as Chugach Electric seeks 6% rate increase. ADN

A throng of parties have joined an electric rate case filed that could influence power costs for years in Anchorage and much of Alaska.

 

New hope for power from "white hydrogen". Axios

The discovery in eastern France of a potentially mammoth cache of white hydrogen — one of the cleanest-burning fuels in nature — has added to a trail of clues elsewhere in the world that a holy grail of clean energy may be lying in the ground for the taking.

 

 

Precious Metal Prices

Dec. 6, 2023

Gold - $2040.85

Silver - $24.12

Platinum - $906.71

Palladium - $990.00

 

Alaska Permanent Fund

website

 

Fund value December 6 - $77,229,300,000

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

 

Dec. 7, 1941 - Pearl Harbor attack

 

Dec. 10, 1951 - Anchorage International Airport opened.

 

Dec. 11, 1951 - First commercial flight over the North Pole from Fairbanks by Alaska Airlines

 

Dec. 12, 1971 - City and Borough of Sitka established

 

Dec. 14, 1989 - Mount Redoubt volcano eruptions began

Feedback is always welcome.

Have a great week!

 

Cathy 

 

Personal Contact:

907.465.4843

sen.cathy.giessel@akleg.gov

 

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 © 2023. All Rights Reserved.

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