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Judge gives win to Legislature again, says governor can’t sue over spending dispute

Suzanne Downing
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Judge gives win to Legislature again, says governor can’t sue over spending dispute

An Anchorage Superior Court judge has thrown out a case brought by the Alaska Attorney General against the Legislature.

Judge Herman Walker granted a summary judgment to the Legislative Affairs Agency, saying Attorney General Treg Taylor’s suit is prohibited by Article III, Section 16 of the Alaska Constitution, because it was clear to the judge the governor was the one who was suing. Therefore Walker disposed of all claims in this case, saying it was unnecessary for him to hear the suit’s merits.

Article III, Section 16 reads: “The governor shall be responsible for the faithful execution of the laws. He may, by appropriate court action or proceeding brought in the name of the State, enforce compliance with any constitutional or legislative mandate, or restrain violation of any constitutional or legislative power, duty, or right by any officer, department, or agency of the State or any of its political subdivisions. This authority shall not be construed to authorize any action or proceeding against the legislature.”

Walker wrote: “The Court also concludes that although Attorney General Taylor has the common-law power to bring suits to enforce compliance with Alaska statutes, his pleadings and the public statements of Governor Dunleavy and himself indicate that the present suit is in reality an action brought ‘in the name of the state” and against the legislature,’ and is prohibited by Section 16 of Article III of the Alaska Constitution.”

Walker’s decision leaned on statements the attorney general and governor had made in a press release, when they said the dispute over the matter needed to be resolved by a third branch of government. This was proof that it was the governor suing the LAA, rather than the Attorney General himself, the judge reasoned. He was not convinced that Taylor had brought the suit on his own.

BACKGROUND

Attorney General Taylor had asked the Alaska Superior Court in June to clarify whether, despite a failed effective date in the 2022 state budget, a governor can spend money to keep state services going starting July 1, which is the beginning of the new fiscal year.

The Legislature had failed to amend the effective date on the budget, which means it would not go into effect until 90 days after it is signed; this could have meant sometime in September and could have led to a partial government shutdown this summer. The Legislature was later successful in passing the effective date and the matter resolved itself.

“When there is a dispute between branches of government, we need the courts to step in,” said Taylor in a press release on June 21. “The executive and legislative branches need clarity now from the courts as to whether the governor can, if the bill is enacted, spend money immediately despite HB 69 not taking effect until 90 days after enactment.”

Article II, section 18 of the Alaska Constitution provides that, unless agreed to by two-thirds of each house, a law passed by the legislature becomes effective ninety days after enactment.  The legislature failed to pass a separate effective date with HB 69.  The Constitution’s plain language states that the bill, and therefore provisions within the bill, do not go into effect until ninety days after the bill’s passage. This includes any retroactivity provision within the bill. Despite the clear constitutional language, the Legislative Affairs Agency has sent notice to legislators and legislative staff that the position of the Legislature is that a functional budget was passed and the government can continue to function as normal beginning July 1, 2021.

Taylor said that as Alaska’s attorney general, he has the obligation to defend the Constitution. Statutes and common law provide him the authority to bring cases in the public interest. Ensuring that state funds are expended in accordance with the constitution falls within the Attorney General’s authority.

“I agree with the Attorney General’s decision to petition the court on this important matter,” said Gov. Mike Dunleavy. “We need the third branch of government to step in and resolve this dispute to ensure we all carry out our constitutional duties appropriately.  I will not ignore the constitution. I, along with my legal team, believe the Legislature should not ignore the constitution. The Attorney General’s actions are consistent with my goal of doing everything possible to avoid a government shutdown.”

Those statements made it clear to the judge that it was Dunleavy, not Taylor acting on his own, who was bringing the lawsuit.

Jim Crawford: News flash — 2021 Permanent Fund revenue at $18.8 billion

SENIOR CONTRIBUTOR
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Jim Crawford: News flash — 2021 Permanent Fund revenue at $18.8 billion

By JIM CRAWFORD

The Alaska Permanent Fund just posted June 30, 20121 fiscal year-end earnings and expenses.

Our Permanent Fund generated total revenues in the last 12 months of $18.8 billion.

Expenses were $174 million, leaving a profit of $18.6 billion. Transfers in (royalty payments) amounted to $319.5 million and payment to the General Fund to pay government expenses and dividends was $3.141 billion.

Our Fund balance grew from $65.9 billion last year to $81.1 this year – an increase of $14.6 billion in one year. As of year end, we have $60.1 billion in principle and $21.0 billion in the Earnings Reserve account.

The Earnings Reserve Account requires a simple majority approval for the Legislature to access.

After legislative shenanigans, our Permanent Fund dividend for 2022 is zero.

The Legislature goes into another special session on August 16. Their task, assigned by Gov. Dunleavy in his call, is to balance the budget and solve the fiscal gap.

Let me be perfectly clear. The State of Alaska, according to its financial statements has and has had, a surplus over the last several years. When legislators decry the budget gap, they are referring to the General Fund and ignoring the billions in earnings of the Alaska Permanent Fund Corporation.

There are three courses of action available to Legislators in the August special session.

1. The House and the Senate majority cut your dividend to $525. The governor appropriately vetoed the bill, as it was designed to punish Alaskans for our “greed and entitlement” in demanding a full dividend. Each legislator who chose to cut your dividend, must be held to account by the people. Just record their vote and vote them out of office.

  1. The House minority and Senate minority have backed the full dividend as an investment in Alaskans who can decide for themselves how to spend their money. Any Alaskan who has read any of my 16 columns over the last few years knows that we don’t have a cash problem. We have a spending problem and the way to remove the spending problem is to remove the spenders. To say we don’t have the money is preposterous.
  2. Gov. Mike Dunleavy has proposed a realistic, practical compromise. Constitutional protection of the dividend at the 50/50 rate along with inflation protection and passage of a workable spending limit provides a foundation for a sustainable fiscal solution. If this Legislature can’t provide it, let’s vote for the Constitutional Convention on Nov. 8, 2022, and do it ourselves.

A special note to the private sector: The reality is that if the Permanent Fund had not earned enough income this year, the Legislature would have raised taxes to keep spending. 70 percent percent of government expenses were paid by permanent fund earnings during the last fiscal year. Solving the fiscal gap must include fiscal protection for private enterprise, small business and all for profit companies.

This is a battle between the public sector who will never have enough and the private sector which has to earn enough to pay taxes, working Alaskans and their costs of business. Perhaps the outsized earnings of the fund this year will demonstrate to business the benefits from a protected Permanent Fund. Small business got that message and succeeds when local stores and restaurants serve the dividend recipients. We need more of that to bring our economy back to life.

Here are three steps each of us can take to solve the fiscal gap:

  1. Plug into https://akleg.gov/docs/pdf/Legislators-by-District.pdf and write down the name of your District representative and senator.
  2. Write or call your representative and senator to ask the question, “Will you vote for a full dividend at 50/50?” Get a yes or no and write it down.
  3. Track your representative and senator’s vote. Did he or she vote for or against your family’s dividend? Vote for the Representative and Senator who committed to voting for the full dividend and did so.

This is not a partisan battle, as there are Republicans and Democrats and Independents on both sides.

This is not a rural/urban battle. As incredible as it seems, even with poll results with 80 percent approval for full dividends, legislators can come up with more imaginative reasons why to vote against their constituents’ interests.

We’re beyond the need to justify the Alaska Permanent Fund or its earnings. We need to point out to Legislators who disagree with our dividend commitment, their personal advantages of early retirement. When I worked for U. S. Sen. Ted Stevens, he taught me many things. One dictate was “learn to count” because without that ability, the other side wins in legislative battles.

Our collective responsibility is to count a majority of specific commitments from legislators to enact our right sized dividend. We have the earnings to do that now. We have the organization, will power and resolve to deliver on those commitments. Let’s shock those who steal the dividends from our grandchildren. Legislators beware. My bud, Joe Sixpack, understands this issue perfectly and will vote accordingly.

Jim Crawford is a third-generation Alaskan entrepreneur who resides in Anchorage with his bride of 37 years, Terri.  Capital Alaska LLCis a capital funder which studies and reports on and may sponsor projects of sustained economic growth for the Alaskan economy.   Mr. Crawford known as the Permanent Fund Defender was a member of the Investment Advisory Committee, appointed by Governor Hammond to plan and execute the Alaska Permanent Fund Corporation.

Read: Simple math on the Permanent Fund dividend

Read: Just say no to special interests

Special session postponed, governor says, to Aug. 16

Suzanne Downing
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Special session postponed, governor says, to Aug. 16

Gov. Mike Dunleavy said the third special session will begin on August 16, rather than Aug. 2. His decision, in consultation with the Alaska Department of Law, comes after written requests from the four caucus leaders in the Alaska Legislature to convene the start of the August special session at a later date

The governor also modified the call to include the proposed constitutional amendment (SJR 6, HJR 7) to constitutionalize the PFD and the power cost equalization program.

“While Alaskans are out enjoying summer, they are also paying close attention to the legislature because they rightfully expect them to move forward on a plan that protects both the PFD and the Permanent Fund in the constitution and that can be put before voters in the 2022 general election,” Dunleavy said. “We can’t wait any longer. The fund is sitting at 81 billion dollars, more than enough to pay sizable PFDs to Alaskans recovering from the pandemic. The members of the House and Senate Comprehensive Fiscal Plan Working Group are reportedly making progress on recommendations that can be presented to the legislature at the start of the upcoming special session.”

The Alaska Department of Revenue has requested an opportunity to present its latest revenue and spending projections to the working group before its finalizes its recommendations..

The Comprehensive Fiscal Working Group has announced it will be taking public testimony over the next several days. Click here for more information.

Mask-em-up, coerced vaccines: Biden is all in on federal workforce rules

Suzanne Downing
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Mask-em-up, coerced vaccines: Biden is all in on federal workforce rules

My body, my choice? Not so much for federal workers. Masks and coerced vaccinations are the new norm in the Biden Administration.

President Joe Biden is reimposing mask mandates at all federal facilities, and vaccine mandates as part of a rollout of department-level orders that began with the Veterans Administration earlier this week, proceeded through the Department of Defense, and the Department of Homeland Security. Masks must now be worn even by those fully vaccinated.

Gov. Mike Dunleavy of Alaska is not expected to follow the president’s lead on this matter. Dr. Anne Zink, the state’s chief medical officer, said this week the governor will not impose mandates and in the past he has reiterated he will not. His stance is that a governor in Alaska doesn’t have authority to issue statewide mask mandate.

Dunleavy also has a standing administrative order prohibiting vaccine passports for state facilities.

In Anchorage, the new mayor, who on his first day in office wrote an executive order ending mask mandates on city property, said there will be no citywide mask mandate. For a libertarian-leaning guy like Mayor Bronson, there is no question about vaccine mandates. Like Dunleavy, he has always said it is an individual decision.

In the Kenai Borough, Mayor Charlie Pierce put out a strong statement Wednesday objecting to any child being forced to wear a mask in school. He has been a strong advocate for consistent, science-informed policy and personal liberty.

In Juneau, it’s a different story: Anyone entering or occupying an indoor City and Borough of Juneau facility or area of an indoor facility must wear a cloth face covering when required by notice posted by the city manager.

Biden unveiled his mask mandate for two million federal employees on Thursday. The mandate states that anyone who works for the federal government — including contractors — are required to show their vaccine “passport” or evidence of being vaccinated against Covid-19, or will have to be tested for Covid up to two times a week in addition to wearing a mask.

During a press conference, Biden snapped at a question posed by Fox News reporter Peter Doocy, who asked why Biden was so inconsistent in his mask mandates, saying just a few weeks ago that fully vaccinated Americans do not need a mask.

Doocy said, “In May you made it sound like the vaccine was to the ticket to losing the mask forever.”

Biden replied angrily, “That was true at the time. I thought people would understand that getting vaccinated made a gigantic difference. What happened was a new variant came along, they didn’t get vaccinated, they were spread more rapidly and people were getting sick. That’s the difference.”

House Republicans, Senate ask Dunleavy to postpone special session two weeks

Suzanne Downing
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House Republicans, Senate ask Dunleavy to postpone special session two weeks

The Alaska House Republicans, Senate Republican Majority and Senate Democrats has asked Gov. Mike Dunleavy for an additional two weeks for the Comprehensive Fiscal Policy Working Group to continue their work before special session begins. It was scheduled to begin on Monday, but the Alaska House Majority Coalition majority asked for an extension not later than Aug. 9.

Sources say Dunleavy is likely to agree to postponing the special session, which will determine the amount of the Permanent Fund dividend and other fiscal matters facing the state.

“It is imperative we give this process the greatest opportunity for success.  We must give the Comprehensive Fiscal Policy Working Group more time to complete their important task,” said House Minority Leader Cathy Tilton of Chugiak.

“We’ve worked hard to find common ground and I suspect that what we forward to the full Legislature won’t make anyone happy but that’s likely a sign of a good compromise. The process has definitely been slow, but our work is important. The timing is right for this discussion and a positive outcome will be worth the time spent. We MUST persevere,” said Rep. Ben Carpenter, a member of the Comprehensive Fiscal Policy Working Group.

“A full 2021 dividend is still of paramount importance for many members of our caucus” said Rep. Kevin McCabe of Big Lake, also a member of the working group.  “New constitutional amendments regarding spending or future taxes are incredibly important, but until we tackle how we’ll treat the dividend, going forward, I doubt we’ll make much progress.”

Public testimony is scheduled from Thursday through Saturday, this week.  Rep. Mike Prax of North Pole, who is an alternate on the working group, said “It is unfortunate that public testimony is scheduled during the same weekend when there is a major airshow at Eielson AFB and concurrent with the start of Tanana Valley State Fair.  I hope that every concerned Alaskan will share their thoughts.”

Public testimony begins Thursday from 6-9 pm at the Anchorage Legislative Information Offices at the corner of Benson Blvd. and Minnesota Drive.  The group will take additional public testimony at the Mat-Su LIO from 6-9 pm, Friday, July 30.  The group will be in Fairbanks on Saturday, July 31, from 10 am to 4 pm and will conclude public testimony in Juneau on Monday Aug. 2 from 6-9 pm.

Woman who died in plane crash on glacier flight was flight attendant, cancer survivor working on commercial pilot’s license

Suzanne Downing
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Woman who died in plane crash on glacier flight was flight attendant, cancer survivor working on commercial pilot’s license

The woman who died in a Knik Glacier plane crash on Monday was a Hawaiian Airlines flight attendant who was working toward her commercial pilot’s license.

Her 23-year-old pilot instructor Dakota Bauder of Anchorage also died in the accident of the single-engine Cessna 172. Both had private pilots licenses, and Bauder had his commercial license, Must Read Alaska has learned. He was a  multi-engine instructor.

Vierra also had her helicopter pilot’s license. It’s is unclear who was is command of the aircraft at the time of the crash. NTSB, the lead investigative agency, is in charge of sorting out the cause.

Angel Aviation Flight School out of Arizona and Alaska was the owner of the Cessna. In Alaska, the company operates out of Merrill Field.

Dakota Bauder from his Instagram page

McKenna Vierra, 27, was a cancer survivor who had beaten Large Type B Non-Hodgkins Lymphoma with months of chemotherapy, according to her family. On July 26, she and Bauder were flying over the Knik Glacier on a discovery flight, when the accident occurred. Vierra was a prospective student for Angel Aviation Flight School.

Her mother, Liane Vierra, told KHON in Honolulu that her daughter’s journey to beat cancer inspired many others.

“She was going through treatments beginning August of last year but during the times when she felt OK with treatment, she went ahead and got her instrument license,” Liane Vierra said. “And so as you can see nothing will stop her.”

Vierra beat cancer within months of her diagnosis. She worked as a Hawaiian Airlines flight attendant for four years.

“The pilot’s wife informed us the news, and it was shocking, you know, our hearts were crushed, for a moment there we just sat in disbelief,” Liane Vierra said to the news station. “I don’t know how to describe the feeling but it’s something that you never want to hear.”

Alaska State Troopers said the bodies were discovered by good samaritans on Monday and recovered by Alaska Mountain Rescue Group and HELO 3 from a steep, mountainous area of Eagle River Valley.

Dakota Bauder is the son of Alaska Airlines pilot Brock Bauder and Patricia Bauder, of Sitka. Dakota fell in love with his wife Sierra Sage-Bauder while he was still in grade school and the two married after they graduated from high school.

Both Bauder and Vierra came from deeply Christian backgrounds.

“We have no regrets, we have no bitterness, we have no blame,” Vierra’s mother said to KHON. “It is unfortunate that it happened but I know that’s where she wanted to be.”

A GoFundMe page was set up by her family to pay for Vierra’s remains to be returned to Hawaii and funeral arrangements. It noted that McKenna “succeeded in her chemotherapy, finally to being cancer free. Her hard work and strength were heavily influenced by her relationship with God. My niece genuinely devoted her life to our father and lived by grace till she went home. McKenna was a free spirit and sweet soul. She lived her life to the fullest and didn’t let anything stop her from achieving what God had destined for her journey through her life. This was tragic moment for everyone. We need your help in bringing McKenna home so we can have her services to put her to rest.”

Got a crime tip? There’s an app for that, and it keeps you anonymous

Suzanne Downing
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Got a crime tip? There’s an app for that, and it keeps you anonymous

The Department of Public Safety is increasing its crime-fighting abilities with a new app to help Alaskans view alerts and submit anonymous tips from their smartphone or computer.
 
The AKtips app is available for download for free via the Google Play Store, iTunes App Store, or at dps.alaska.gov/tips.
 
Those without a smartphone can share information with Troopers by sending an anonymous text tip to law enforcement by texting keyword AKTIP and their message/tip to 847411. Anonymous web tips can also be submitted via the department’s website at dps.alaska.gov/tips.
 
“The Alaska Department of Public Safety is committed to protecting Alaskans across our state and making our state a safe place to live and raise a family,” said Alaska Department of Public Safety Commissioner James Cockrell.  “We believe our new AKtips app and website will help greatly enhance our ability to deliver on our mission by engaging Alaskans to help report crime tips and information securely to law enforcement.”
 
“While not a replacement for calling and reporting emergencies to 911 or reporting non-emergency situations to your local Trooper post, the new AKtips app and texting shortcode enables the public to share an anonymous tip with law enforcement and lets Troopers respond back to create an anonymous two-way conversation,” the notice from DPS said.
 
Similar to the Crime Stoppers program available in certain parts of the state, the AKtips app and anonymous text a tip system is completely anonymous, the department said. The technology promises to remove all identifying information before law enforcement sees the tips.
 
The deployment and development of the AKtips app was funded through a Department of Homeland Security grant. The app was developed by Tip 411.

Breaking: Stephanie Taylor files for Assembly to challenge Forrest Dunbar

Suzanne Downing
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Breaking: Stephanie Taylor files for Assembly to challenge Forrest Dunbar

Long-time Alaska campaign volunteer Stephanie Taylor is a candidate for Anchorage Assembly, challenging incumbent Forrest Dunbar.

Her website went live today after she filed for office for the local District 5 seat. The election is next April.

Taylor was an active and reliable volunteer on the Bronson for Mayor campaign. She began her political volunteerism in 2010 with the parental consent ballot initiative, which won statewide. A mother of five, she has for the past few years been volunteering as the director of Teen Pact Alaska, affiliated with a national group that runs leadership seminars for youth.

Taylor said that in addition to wanting to work on basic services for Anchorage, such as road maintenance, snow removal, and other essential aspects to making Anchorage more livable, she is very concerned about policies that have crushed small businesses in Anchorage, and with the previous mayor’s policies that have made homelessness a crisis. Rather than coddling the homeless, she would rather see faith-based organizations take the lead again, because they have better success getting people to change their lives for the better. Government has a poor record in this regard.

“It wasn’t Covid that decimated our city, but it was the response to Covid,” Taylor said, mentioning the business shutdowns and the impossible position businesses were in when told they had to limit to 50 percent capacity. It was not reasonable, and it was unfair that the Assembly then spent much of the CARES Act money on poorly vetted plans for homeless shelters that never materialized, rather than help businesses survive.

She knows the city well, and has seen Anchorage decline in the past six years, ever since Mayor Dan Sullivan term-limited out of office. Taylor said she thought long and hard about the sacrifice it would take to run for local office, but ultimately, guided by faith and family, she made the decision a few weeks ago.

As a resident of Anchorage for 50 years, she has lived in East Anchorage most of that time, although grew up in South Anchorage and attended Dimond High School.

Taylor is a back-to-basics candidate, concerned about the increase in taxes over the past few years, the serious decline of the downtown business district, and she observed that some members of the Assembly are not listening to the public.

Taylor doesn’t talk about incumbent Forrest Dunbar much, other than to say that he sees the world through different lenses. Dunbar sees more taxes as the solution, while Taylor said she has managed her household of seven on a single income for decades, saving money all the while. She has lived the fiscally conservative life.

“This was no easy task. The incumbent looks for new taxes to solve budget problems instead of spending cuts or modifications. From property taxes to sin taxes—he votes ‘yes’ for them all. Families don’t have that luxury. The Assembly needs a different approach to the city budget. As your Assembly member, I’ll work to end the frivolous spending and put the dollar where it belongs—in your pocket,” she said.

Taylor said she would begin walking door-to-door, as she did for Mayor Bronson when he was running for mayor this past Spring. She said she has a large number of enthusiastic people who have volunteered to go with her and she plans to knock on 100 doors a week starting Monday.

Read Dunbar desperate: Lifts lockdown to save his campaign for mayor

Dunbar lost his bid for mayor to Bronson in a runoff election in May. He has served two terms on the Assembly for the East Anchorage seat and the April election would be for his final three years. Many believe he planned to run for higher office, due to the fact that he ran as a Democrat for Congress against Congressman Don Young in 2014.

Breaking: Major earthquake in Aleutians felt as far as Anchorage

Suzanne Downing
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Breaking: Major earthquake in Aleutians felt as far as Anchorage

Alaskans in Nikiski said their houses swayed for several minutes after an 8.2 earthquake struck near Perryville, in the middle of the Aleutian Island chain.

The magnitude estimate has changed at least twice since the quake struck at about 10:15:47 pm on Wednesday night. It was centered 60 miles east of Chignik, about 11 miles deep.

Tsunami sirens were heard in Kenai and Kodiak, but the main concern was Samalga Pass, 30 miles SW of Nikolski, and Hinchenbrook entrance, 90 mies east of Seward.

People in Seward reported they were in a long line of traffic trying to get out of town on the one road. The scanner feed from the Seward Fire Department advised people “seek high ground or come to station for standby.” Seward High School is open for emergency sheltering and many people have parked there for the night.

Seward was reported to be “packed with travelers,” at the height of fishing season on the Kenai Peninsula.

People along the lower beach areas of Homer and along Kachemak Bay were also moving to higher ground. Homer is 362 miles from the epicenter.

The tsunami warning also applied to Soldotna and Soldovia.

A tsunami watch was in effect for all of Hawaii, and assessments are underway for the west coast. Watch was canceled for Hawaii at about midnight Alaska time.

11:20 pm Update from Kenai Peninsula Borough:

Citizens should evacuate to higher ground NOW if you are currently in a coastal area. The tsunami warning, resulting from the 8.2 magnitude earthquake 7/28/21 is being monitored for possible wave arrivals. Wave arrival times are estimated 01:15AM for Homer and Kachemak Bay communities. Wave arrival times are estimated at 12:20AM for Seward and Resurrection Bay communities. 

This warning does NOT include any communities north of Anchor Point or inland communities of the Kenai Peninsula.

22:45 The coastal areas of Seward, Homer, and Kachemak Bay are currently under a tsunami warning. Evacuate low lying areas immediately. Check here for updates or tune to local radio. 

A tsunami warning has been issued for many areas in Alaska due to earthquake. The Emergency operations center is activations to assess information. Stand by for updates. This warning area does not include the central peninsula area.

11:25 pm Update: There is no current tsunami danger for Anchorage. For information, check https://www.facebook.com/AnchorageOEM

11:45 pm Update: The State of Alaska, State Emergency Operations Center has been activated and is calling communities in the tsunami warning area.

Sand Point, Chignik Bay, Chignik Lagoon, Nelson Lagoon, False Pass, King Cove, Old Harbor, Homer, and Kodiak report evacuation.

To report to the Alaska Earthquake Center where you were and if you felt the earthquake, use this link.

This story will be updated. Check back.

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