In another sign that she takes nothing for granted anymore when it comes to voters, Sen. Lisa Murkowski has raked in more than $730,000 during the fundraising quarter that ended July 1.
The Murkowski campaign appears to have become a well-oiled machine with several long-time Alaskans onboard and a schedule that would tire a teenager.
The latest campaign hire is Robert Dillon, who worked for Murkowski on the Senate Energy and Natural Resources Committee. Dillon returned to Murkowski’s orbit as her campaign communication director after a stint with a public relations company in DC.
Murkowski and Congressman Don Young have been appearing at events together across Alaska, talking about the importance of having a strong, cohesive team in the nation’s capital. Young said to a small group of political activists on Monday that he was relieved to have a solid team working in Washington, a big difference from the six years when Mark Begich was senator.
OPPONENT GETTING WINDCHILL
One of Murkowski’s opponents, Margaret Stock, is running as an independent but with the backing of the Alaska Democratic Party. Stock has less than a nickel for every dollar Murkowski has in the bank.
Stock has also not turned in the signatures needed to get onto the November ballot as an independent, but she’s paid contract workers $8,000 to gather those names. Prognotiscators are predicting she may come in behind Democrat “Disco” Ray Metcalfe, who jumped into the race late in the cycle, after Stock was denied a spot on the Democrats’ ballot for the primary. The Alaska Division of Elections ruled against her and the Democrats’ attempt to include her name on their ballot.
Stock, who purports to be nonpartisan and says she would caucus with whoever would caucus with her, met with the now-disgraced Democratic National Committee Chairwoman Debbie Wasserman Schultz when Schultz was in Alaska in May. The meeting was a bid to shore up fundraising from the Democrats.
But that did not boost Stock enough: She has just $145,000 available, and $25,000 of that is her own money.
Murkowski, however, has $3.1 million still on hand. Through March 31, Murkowski had raised more money than any Alaska senate candidate in history, bringing in nearly $700,000, and ending the quarter with nearly $1.5 million available.
Today Must Read Alaska celebrates irony in the news with two examples of copy editing gone awry. Enjoy a moment when the Wall Street Journal and the Mat-Su Valley Frontiersman have epic front pages that tell all kinds of stories.
For some of us, a summer viewing of the movie Jaws is a delicious ritual.
This summer — cue shark music — there’s a movie out that will really scare you. But first, to the book:
Dinesh D’Souza, author of America: Imagine a World Without Her, has a new page-turner, and it’s a quick read.
In Hillary’s America, D’Souza unravels the enigma of why the Democratic Party has any members at all, considering its history. He attempts to explain why anyone would vote for a person like Hillary Clinton, who has been in public life for decades but who has accomplished nothing.
Since she’s the star of Philadelphia this week as the Democratic nominee, there’s no better time to read D’Souza’s account of the real history of the Democratic Party, from its sordid support of slavery to its fascination with fascism. Sometimes D’Souza is over the top, but even if he’s 80 percent on-target, it’s a compelling argument.
If Hillary wins the White House, as the line goes in Jaws, “you’re going to need a bigger boat.” It will mean 12 years of Democratic rule, doubling down on debt. Alaskans, in particular, will see their economy on ice as Hillary shuts it down for good.
Anchorage House and Senate races are getting heated with and AFL-CIO — Big Labor money — beginning to show up in member-to-member literature that is being distributed to member and nonmember households throughout the districts in the House District 26 and Senate Seat L.
Big Labor, representing tens of thousands of state employees, has thrown its endorsements to incumbent Bob Lynn for House and Jeff Landfield for Senate.
ALASKANS OPPOSING PARNELL? WHO IS THAT?
One of the more curious aspects about the “Labor lit. drop” is the “top-three” support not just from two labor groups, from an independent expenditure group called “Alaskans Opposing Parnell.”
Who is that? Vince Beltrami and Joelle Hall, one and the same with AFL-CIO. They’re the same group that put out the savaging hit pieces on Sean Parnell during the 2014 election, including this one on YouTube. They’re definitely a group that doesn’t mess around but goes for the jugular.
It’s not typical for the unions to get involved in a Republican primary in Alaska, because Big Labor typically marshalls its resources for the general elections. We are seeing a new pattern, one that is developing in other states as well, as described by this 2013 article in Mother Jones magazine.
When the Alaska Public Offices Commission was asked about whether Alaskans Opposing Parnell was still a legitimate group, APOC said:
Alaskans Opposing Parnell has not made an expenditure for the 2016 election. Alaskans Opposing Parnell disbanded in 2015 after they disbursed their leftover funds by contributing them to Putting Alaskans First. Alaskans Opposing Parnell’s final expenditure was made in 2015.
Alaskans Opposing Parnell may be one of Putting Alaskans First’s largest contributors that Putting Alaskans First is required to identify, but Alaskans Opposing Parnell did not make the expenditure for the door piece – Putting Alaskans First made the expenditure.
While APOC’s explanation is inadequate at best, because the disclaimer clearly states Alaskans Opposing Parnell has made an expenditure, it’s more troubling that APOC sees no problem with the group working under cover. The 2015 report for Alaskans Opposing Parnell states: “Disbanding: No plans to re-form. Closing out campaign account.”
Here’s what the Alaskans Opposing Parnell piece look like for Lynn and what the related piece looks like for Landfield. It appears that, in spite of what APOC is choosing to believe, an expenditure has indeed been made.
THE BELTRAMI EFFECT
We delved into Alaskans Opposing Parnell in the APOC reports and came up with this, and it’s all perfectly legal, until APOC decides it’s not:
Here is the relevant statute that applies to Alaskans Opposing Parnell getting involved in other races:
Sec. 15.13.050. Registration before expenditure. (a) Before making an expenditure in support of or in opposition to a candidate or before making an expenditure in support of or in opposition to a ballot proposition or question or to an initiative proposal application filed with the lieutenant governor under AS 15.45.020, each person other than an individual shall register, on forms provided by the commission, with the commission.
(b) If a group intends to support only one candidate or to contribute to or expend on behalf of one candidate 33 1/3 percent or more of its funds, the name of the candidate shall be a part of the name of the group. If the group intends to oppose only one candidate or to contribute its funds in opposition to or make expenditures in opposition to a candidate, the group’s name must clearly state that it opposes that candidate by using a word such as “opposes,” “opposing,” “in opposition to,” or “against” in the group’s name. Promptly upon receiving the registration, the commission shall notify the candidate of the group’s organization and intent. A candidate may register more than one group to support the candidate; however, multiple groups controlled by a single candidate shall be treated as a single group for purposes of the contribution limit in AS 15.13.070(b)(1).
(c) If a group intends to make more than 50 percent of its contributions or expenditures in support of or in opposition to a single initiative on the ballot, the title or common name of the initiative must be a part of the name of the group. If the group intends to make more than 50 percent of its contributions or expenditures in opposition to a single initiative on the ballot, the group’s name must clearly state that the group opposes that initiative by using a word such as “opposes,” “opposing,” “in opposition to,” or “against” in the group’s name.
Jim Colver will save your Social Security when he gets to Juneau, according to his flyer below. He’s staving off an advancing army behind George Rauscher, who is running to unseat him for House District 9.
The fellow pictured in the flyer below, for the record, is not Jim Colver, unless Jim is a shape-shifter. Jim looks like the photo above. Keep it handy: With the attendance record he has in Juneau, you’d be forgiven for not recognizing him.
LIST OF ENDORSERS FOR GEORGE RAUSCHER GROWS
Here’s who is on the list as endorsers for Rauscher:
Alaska Democrats are sweltering in Philadelphia this week for the coronation of Hillary Clinton as their nominee. On Monday, Elizabeth Warren, who identifies as a Native American at times, mocked Republican Donald Trump for wanting to build a wall on the southern border.
Meanwhile, here’s the wall that the Democrats built to protect their speakers from the angry mobs that are the delegates. Alaskans know a blue tarp when we see one.
Blue Angels land at JBER
SO THAT MEANS BLUE ANGELS BACK IN ALASKA
Arctic Thunder performance is scheduled for Saturday and Sunday at Joint Base Elmendorf-Richardson, starring the Blue Angels flight team. Gates open for the performances at 9 a.m.
This will be their first appearance since Arctic Thunder 2010, the Alaska Air Show Association reports.
“The Blue Angels showcase demonstrate the Unites States Navy and Marine Corps’ commitment to professionalism, excellence and service through these world-class flight demonstrations and community outreach.” Not to mention they will knock your socks off with the sound of freedom in their F/A-18 Hornets and C-130 Hercules.
The weather forecast for JBER this weekend is for clouds but no sign of big storms heading this way.
STATE JOBS DECLINE BY 70
The administration of Gov. Bill Walker is repeating the mantra that it has eliminated thousands of jobs, but most of those have been positions that are simply left unfilled when people move on. The actual number of pink slips given out during the last year is 70.
OMB Director Pat Pitney told the public policy group Commonwealth North that the state’s 26,500 member workforce has dropped to 24,800. This includes the University of Alaska system. The number calculates out to one state employee for every 29 Alaskans.
LABOR COMMISSIONER SAYS COST OF LIVING DUE TO WHA-A-A-T?
Heidi Drygas
Alaska’s Commissioner of Labor, Heidi Drygas, left, makes the case that Alaska’s cost of living is high because of how many people want to live here.
In the most recent edition of the Labor Department’s magazine, Alaska Trends, she writes:
Yes, Alaska has higher prices than the average community in America. We also have higher wages, better job opportunities, and quality of life.
Too often, we forget there’s a correlation between places people want to live and high costs of living. Nearly all places that are desirable — Alaska, Hawaii, or cities like Seattle, Portland, or New York — have higher-than-average costs of living. That’s no accident. An attractive place to live will have a tighter housing market and stronger demand for goods and services. While we should certainly take steps to reduce the cost of living in Alaska, we should also recognize that our costs are at least partly a byproduct of demand to live in our great state.
Following that logic…oh never mind. It speaks for itself. Bread in Barrow, last time we checked, was $8 for a loaf of Orowheat. Because people want to live there.
SECTION EIGHT FOR BED AND BREAKFASTS?
The Juneau Assembly is getting ready to force every landlord in Juneau to take Section 8 housing vouchers. Yes, that means even a bed and breakfast would be required to accept the government vouchers, if Assemblyman Jessie Kiehl gets his way.
The original version of the local legislation said landlords would have to take any type of lawful payment for rent, which means a landlord could not deny someone who wants to pay with an American Express card, even if the landlord doesn’t accept the cards.
More importantly, there are many landlords who simply do not want to participate in government programs like Section 8. They find Section 8 tenants tend to have too many issues, and the maintenance and repair for Section 8 tenants often leave landlords with having to do extensive work on a unit for a month or more after the tenant vacates.
BORROWING WILL BECOME SLIGHTLY MORE COSTLY FOR STATE
One press release you did not see from Governor Bill Walker today was announcing this item: Moody’s downgraded the State of Alaska’s general obligation rating from Aa1 to Aa2. The outlook remains negative.
It was the second time this year.
“The downgrade recognizes the state’s political inability – at least for now – to address its severe fiscal challenges,” the company said in a statement.
With the government running deficits of more than $3 billion per year, and with pensions owed to defined benefit recipients (Tiers 1-3), the state is structually imbalanced now that oil prices are low, Moody’s said.
Moody’s also recognized that Alaska has huge reserves: “extremely large” is how the company describes Alaska’s reserve funds, which can buy the State a few more years. The company made an assumption that Alaska will achieve sustainability before running through its piggy bank, also known as the Alaska Permanent Fund.
Moody’s also downgraded the state’s lease-appropriation bonds and its “moral obligation” bonds.
During the Sean Parnell Administration, the state had a AAA rating from all three bond agencies, but oil prices were high and the governor and legislature made big payments into the pension system.
Gov. Bill Walker, governing during a time of low oil prices, failed to adapt state spending to income, and has not been able to bring his Democrats in the Legislature to the table to make realistic budget cuts.
UNDERSTANDING MOODY’S RATINGS
Aaa: This is “triple-A,” the highest rating Moody’s assigns as the highest mark for creditworthiness.
Aa: This is “double-A” and is the next highest tier, indicating very strong creditworthiness.
A: This is called “single-A” and is the third highest tier of above average creditworthiness.
Baa: Known as “B double-A”. This is the lowest tier that is still ‘investment grade.’ This points to average creditworthiness.
In each rating level, Moody’s also adds a number from 1-3, with 1 being better and 3 being weaker.
Some enterprising researchers found the following documents at WikiLeaks.
Below, Jake Hamburg, communication director for the Alaska Democrats, reassures the DNC that the party has sent the DNC a lot of intelligence on the Bernie Sanders movement here in Alaska. This in spite of the glaring fact that 82 percent of Democrats in Alaska voted for Bernie. Is the Alaska Democratic Party following the direction of its members or bowing to the national committee’s rigging of the nomination for Hillary Clinton?
Among others passing along deep research to the National DNC was Kay Brown, executive director of the Alaska Democratic Party, here referencing the help she’s received from Hal Gazaway, the chair of District 19 Democrats. Gazaway, readers will recall, ran for state House in 2012, but withdrew from the rase after winning the primary.
THE MAYOR IS JEWISH, AND DWS HAS TAKEN NOTE!
Another gem is a note from Debbie Wasserman Schultz herself, (hrtsleeve@gmail) in which she delights in the fact that the mayor of Anchorage is Jewish, and acknowledges that Schawna Thoma, who works for Northern Compass Group (Begich), gets her marching orders from the senator himself.
We presume that’s not Senator Sullivan. Northern Compass Group is described as “a full-service consulting firm that helps clients develop tailored, strategic plans to achieve sustainable solutions for even the most daunting challenges. Our team’s diverse expertise in business, government, and politics delivers results that will last. Using proven strategies driven by the Begich approach of bringing stakeholders together, we are committed to creating a realistic road map that gets our clients where they want to go.”
Nearly all the staff members of Northern Compass Group are former staffers for the senator, who was bumped out of office in 2014.
ELVI GRAY-JACKSON IN WIKILEAKS
More organizing with local Democrats, including Assemblywoman Jackson, and once again a reference about Shawna Thoma getting her marching orders from the “senator.”
Duly Noted: Elvi Gray Jackson says she’s “from Jersey and won’t be bullied and doesn’t want to have to curse anybody out.”
Alaska Gov. Bill Walker last week told the Anchorage Chamber of Commerce that his relationship with energy companies working in Alaska is “quite good.”
“Our relationship with the oil industry is actually quite good. I have weekly meetings with them either individually or collectively and it’s quite good,” he said during an explanation of why he is pressuring the Prudhoe Bay producers for their marketing plans for natural gas.
Jim Flood, Exxon
And yet, there’s evidence that he may be mistaken.
We obtained the letter from Jim Flood, of Exxon, dated July 22, and we see a fissure between the governor and Exxon. But, of course, it’s well known in political circles that Walker hates Exxon.
Flood is the ExxonMobil Development Company’s vice president of Arctic and Eastern Canada, responsible for major upstream projects in Arctic Russia, Alaska, and offshore Newfoundland.
This is a story of dueling letters:
A letter from Keith Meyer, the new president of the Alaska Gasline Development Corporation, to the Alaska Senate Natural Resources Committee, states that the state’s gasline partners — BP, ConocoPhillips, Exxon — want the state to take the lead role in the gasline project because the partners had decided to put it on the shelf.
WHAT MEYER SAID IN SCOLDING THE LEGISLATURE
THE RESPONSE WAS SWIFT
And a letter from Jim Flood in response, in which Exxon wishes to correct the record:
Dear Keith,
We have received a copy of your letter to Senators Meyer and Giessel dated July 13, 2016. While much of the letter relates to the Alaska Gasline Development Corporation (AGDC) and its relationship with the Legislature, there are statements within the letter ExxonMobil considers inaccurate and therefore require a response.
While its important to correct these inaccuracies so interested parties can understand how the Alaska LNG Project parties arrived at our current status, it’s also important to recognize the fact that ExxonMobil has an aligned interest to work with the State of Alaska to commercialize North Slope natural gas resources. Towards this goal, we’ve worked with Administrations for several years and as we stated in a joint press release issued February 17, 2016, with the State, BP, and ConocoPhillips:
“ExxonMobil remains committed to commercializing Alaska’s natural gas, and we are committed to working with the Project participants to explore options that would continue to progress that goal’ This includes supporting a transition to the type of State run project you reviewed with the Legislature on June 29, 2016.
As part of this transition, we would like to use this letter to clarify ExxonMobil’s position on elements of your July 13, 2016 letter. First, we object to your characterization that the schedule presented on June 29, 2016 “removes any focus or commitment on completion within any specified timeframe” During preparation for testimony, the subject schedule was included at AGDC’s specific request to show the time frames for FEED, EPC, and start-up of the facilities. The schedule was presented generically to allow the reader to define start-up as a function of the Project management “gates.’ described on the next page of the presentation.
The lack of progress on the requirements to move through the gates was the core of the issue discussed with the State on February 9, 2016; which are also mischaracterized in your letter. As the Project agreements restrict each party’s ability to comment on any other parties’ actions or statements, we are documenting ExxonMobil’s position on the subject meetings and invite other parties to independently share their position. At no time did ExxonMobil ever suggest we “shelve the Project”. Our position was to focus the right level of resources on the critical path regulatory process while allowing the parties to resolve open commercial and fiscal issues.
On January 18, 2016, the State Administration sent us a letter outlining the agreements and actions required before the end of the regular session or “other options” would be considered. The letter, however, failed to include progress on a fiscal agreement. As ExxonMobil has previously stated, one of our prerequisites for entering FEED is a mutually acceptable fiscal agreement with the necessary predictability and durability to underpin a project of this scale. As such, in February, we offered two concepts to the Project participants to progress the Project: 1. Support transition to a State run project, or 2. Pace AKLNG project work to match current market conditions while continuing to advance regulatory approvals and cost reductions concurrently with work on fiscal and commercial agreements to provide the information necessary for a FEED decision.
As you testified in the Joint Resources Committee hearing, “right now we know that we’ve got to reduce the cost of this system”. if the parties went with Concept 2, we would continue to follow the staged gate process and work cost of supply to improve project competitiveness. As lead party under the existing pre-FEED Joint Venture Agreement, we have offered a 2017 work program and budget that is consistent with this concept. Nonetheless, ExxonMobil supports working with the State on either concept and the State Administration has chosen Concept 1 — a State run LNG project. The Governor has publicly stated a State run project would not be subject to the same taxes as an industry project and a state owned project may provide unique federal tax benefits. Furthermore, the Governor has said the State and alternative investors may accept a lower return on equity. These options could reduce cost of supply and ExxonMobil supports considering these options, as well as others that might commercialize North Slope gas.
Additionally, on page two of your letter you mischaracterize a recent public comment saying ExxonMobil has a “lack of willingness to chase this project”. As previously stated, we are fully committed to developing a plan that can successfully benefit all parties, including Alaskans. ExxonMobil has demonstrated this commitment in several ways, including: • Spent $96 million on gas commercialization efforts prior to AKLNG, including work related to progressing the Stranded Gas Development Act and the Alaska Gas Inducement Act. • Funded 25% of the $107 million in Concept Select work and 33% of the $460 million spent on Pre-FEED to date, for a total ExxonMobil spend of $179 million on AKLNG. • Provided over two thirds of the people on the Alaska LNG Project Management Team which has successfully designed the AKLNG infrastructure and progressed the requisite permits. • Funded 33% of the costs to secure the LNG Plant land and DoE export permit authorization. • Funded 62% of the $4.2 billion Point Thomson Initial Production System for a total share of $2.6 billion The Project included significant pre-investment for gas sales and included a larger condensate export pipeline to support a potential gas export project.
In addition, ExxonMobil has stated multiple times that our gas resources are available to sell to any project, including a State run project, on mutually agreed, commercially reasonable terms. Towards that goal, our bi-lateral negotiating team remains ready to re-start discussions on gas sales to support the State run Project.
We hope this letter will help clarify the historical facts and allow us to be more successful in working together in the future. We look forward to working with you to transition the Project to the State, explore options to reduce the cost of supply, re-engage on gas sales negotiations, and develop the necessary fiscal regime to commercialize North Slope gas.
Sincerely,
Jim Flood
IMPORTANCE OF TRUST
While the history of why the gasline project came to a dead halt are in dispute, what is apparent is that Keith Meyer was simply telling the Legislature a story that the governor had told him, because Meyer had not actually been around for most of the events he described.
The governor may have frayed the trust with Exxon, and he is deeply mistrusted by the Legislature. Now, will his own president of AGDC put his trust in Walker’s word, or has he been burned by his boss?
Alaskans will be sweltering in Democrats’ Mecca. Photo: Twitter @AlaskaDemocrats.
THE CITY OF BROTHERLY SHOVES
The Democratic Convention started in chaos, with shoving, shouting Sanders protesters starting in on the Rules committee yesterday. Today, the California delegation booed Nancy Pelosi off the stage during their opening breakfast. Then they booed the disgraced Debbie Wasserman Schultz out of the room of the Florida delegation’s breakfast, as Florida delegates shouted “Shame!”
Donna Brazile, the Democratic strategist, is replacing Wasserman Schultz as interim chair of the Democratic National Committee until November. Besides Pelosi and Harry Reid, there will be a lineup of speakers auditioning for a place in the Clinton White House or, better still, an ambassadorship to Bermuda.
LAST WEEK’S AWKWARD TWEET:
PC INCORRECT TRIGGER WARNING
Must Read Alaska is your safe space for conservatives. Political correctness enforcers, your check-in time over at the Democratic National Convention is now. The National Weather Service issued an excessive heat warning until 6 p.m. for Philadelphia, with high humidity and temperatures in the high 90s, making the heat index 105 degrees. Feel the Bern.
Imagine: All week long, stuck with Democrats in sticky Philly while they decide which lives matter, how to grow government, and how often shout down the Old Guard. What could go wrong?
TAKING NO CHANCES
One of Murkowski’s opponents, Margaret Stock, is running as an independent but with the backing of the Alaska Democratic Party. Stock has less than a nickel for every dollar Murkowski has in the bank.
This will be their first appearance since Arctic Thunder 2010, the Alaska Air Show Association reports.
