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Fake emergency? Recall group asking Supreme Court to hurry up the hearings

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The “legal dream team” at the heart of the effort to recall Gov. Mike Dunleavy believe they have an emergency on their hands, and they’re asking the Alaska Supreme Court to grant them an emergency hearing.

The emergency? A lower court judge ruled against the Recall Dunleavy Committee — but only in part.

Superior Court Judge Eric Aarseth said the group can continue with its recall effort, but will not be allowed to collect signatures on a petition until the recall challenges make their way through the Supreme Court.

Former Attorney General Jahna Lindemuth and former Chief of Staff Scott Kendall are the lead lawyers for the Recall Dunleavy Committee. They were also lead dogs in the Walker Administration, essentially running the state until they became unelected along with Walker in 2018.

Theirs is a campaign of political revenge, and they have the backing of deep pockets who objected to the governor’s budget cuts last year. They also have their own legal reputations on the line; this, after all, is the former attorney general throwing her weight around to avenge the 2018 election. Losing would not be a good look.

The recallers, including Lindemuth and Kendall, started their effort to unseat Dunleavy almost immediately after he was sworn in, and they began compiling their list of “offenses” that they could take to the public for a do-over vote. Their efforts are eerily similar to the calls for impeachment of President Trump, which began as soon as he took office.

Lindemuth and Kendall knew their cases would end up in court, and they might have expected that Dunleavy would challenge them all the way to the Supreme Court.

The Stand Tall With Mike group is doing just that. But Lindemuth and Kendall are fighting the clock now — they do not want this governor’s recall to be a question on the General Election ballot, when Republicans come out in force to vote. Therefore, they are asserting they have an emergency.

[Read: Plans to fast-track recall hit molasses in January]

Judge Aarseth last month called it inappropriate for the Division of Elections to issue petition booklets before the Alaska Supreme Court determines if any of the actual “charges” are legal grounds for a recall. Aarseth himself already threw out one of the charges.

The grounds for recall that the group has remaining include:

  • The governor made partisan statements. This relates to a media campaign in which he asked people to contact their lawmakers and ask them to vote for a full Permanent Fund dividend. Using this logic, no politician may make partisan political statements.
  • The governor was late appointing a judge. In fact, Dunleavy met the constitutional deadline for appointing the judge and there was never a vacancy.
  • The governor vetoed administrative funds for the court system. The lawyers are asserting that the governor doesn’t have a constitutional right to veto funds unless they agree with his reason.
  • The governor made a mistake on a veto in 2019. The mistake, a scrivener’s error, was corrected when discovered and no harm was done.

Recall Dunleavy wants its hearing this month in the Supreme Court; it wants the court to overturn the lower court ruling so it can get its hands on those petition booklets. Recall Dunleavy is asking for oral arguments on the merits of the case to be held Feb. 19-21. If it can’t get the hearing it wants, then it’s asking the court to allow the signature-gathering phase to begin anyway.

“The citizens seeking recall are irreparably harmed by every additional day of delay,” the lawyers argued in their request for an emergency hearing.

In a scrivener’s error of her own, lawyer Lindemuth has asked the court for a hearing schedule to be set by no later than Tuesday, Feb. 5.

It’s unclear if Lindemuth, in her haste, meant Tuesday, Feb. 4, or Wednesday, Feb. 5. But this is the kind of error for which Lindemuth and Kendall believe a governor can be recalled.

The Stand Tall With Mike group will need to file its response to the court no later than Feb. 7.

The group didn’t file its application for petition booklets until Sept. 5, 2019. It could have filed months earlier because it had the requisite signatures weeks prior to Sept. 5, but now it wants the court to declare an emergency to ramrod the matter through the courts.

Breaking: Murkowski is a ‘no’ vote; flawed process

“I cannot vote to convict,” said Sen. Lisa Murkowski on the Senate floor late Monday afternoon. She said the process has been flawed and was built on a rotten foundation from the outset.

Murkowski went on to argue how the House had rushed through the process on a self-imposed deadline and had failed in its responsibilities. She also took on her fellow senators, saying they should be ashamed by the rank partisanship that has been on display.

“We cannot be the greatest deliberative body when we kick things off by issuing letters to the media instead of coming together to set the parameters of the trial and negotiate in good faith on how we should proceed. For all the talk of impartiality, it is clear to me that few in this chamber approach this with a genuinely open mind.

Some have been calling for the president to be impeached for years, she said.

“Indeed, we saw just today the clips that indicate headlines, 19 minutes after the president was sworn into office, calling for his impeachment. Others in this chamber saw little need to even consider the arguments from the House before stating their intentions to acquit,” she continued.

“It’s my hope that we’ve finally found bottom here,” she said, as the last speaker of the day. “That both sides can look inward and reflect on the apparent willingness that each has to destroy not just each other, but all of the institutions of our government. And for what? Because it may help win an election? At some point, Mr. President, at some point for our country, winning has to be about more than winning, or we will all lose.”

Check back for updates.

Watch Murkowski’s 10-minute speech here.

Rep. Schiff: Trump could give Alaska to the Russians

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Rep. Adam Schiff, in his closing arguments to the U.S. Senate today, said that if President Trump is not convicted on the charges brought by the House Democrats, the president could give Alaska to the Russians in exchange for helping him win the next election.

The passage is in this 41-second clip from CSPAN:

It’s essentially an idea lifted from New York Times partisan columnist Nicholas Kristof, offered in a January 22 column, in which Kristof asked, rhetorically perhaps:

“Note to Alaska senators Lisa Murkowski and Dan Sullivan: Your thoughts, comrades?”

“Do we really think that there should be no checks on a rogue president as he handed Alaska over to Putin — or Florida to Spain, while we’re at it — or even as he pardoned streams of Republican bank robbers? Must we tolerate an out-of control ruler who engages, in the words of the Declaration of Independence, in ‘a long train of abuses and usurpations‘?”

Coronavirus impacts oil, jet fuel demand in China, Asia

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VIRUS HAS INFECTED 17,388, DEATHS NOW AT 362

The coronavirus outbreak may cut the demand for oil in China by as much as 250,000 barrels a day during the first quarter of 2020, as the country tries to contain a major coronavirus outbreak, according to Wood Mackenzie, a research firm.

“Chinese overseas travel increased from 20 million in 2003 to around 150 million in 2018 in terms of person-times,” Wood Mackenize said in its report. “As a survey shows that more than half of Chinese overseas travellers prefer group tours, the ban on tour packages will severely restrain the number of Chinese visitors to popular destinations in East/Southeast Asia, such as Japan and Thailand.”

China’s need for jet fuel will be greatly reduced as travel bans take effect and travelers begin to change their plans across Asia.

That, in our, will have an impact on world markets, and may soften the price of Alaska North Slope crude this week, if only temporarily.

On Jan. 30, ANS oil was trading at $60.43 per barrel. Brent was trading at $58.29, down from $68.60 on Jan. 3.

Global demand for crude oil in 2018 was 99.3 million barrels per day. It was projected to increase to 101.6 million barrels per day in 2020, according to Statista. China reducing its oil use by 250,000 barrels a day is statistically small, but is a significant event in commodities markets.

The Wood Mackenzie report assesses the impact of the ongoing coronavirus on oil demand, and compares it to what happened to oil demand during the 2003 SARS outbreak.

The WoodMac report is at this link. However, it will set you back $1,350.

STEEL AND MINING

The virus will also have an impact on steel and iron markets, WoodMac said in a separate report.

 There will be a “direct impact on steel and raw material demand due to the delayed restart of some construction projects, and other downstream industries,” the report noted.

“However, we now expect that steel destocking will be put off by attempts to limit the spread of Coronavirus during the second quarter. With rebar inventories already higher than the last two years, steel prices and margins will be squeezed. Declining steel prices in China will likely also have a knock-on effect on steel markets outside China,” WoodMac reported.

“During the SARS outbreak construction activities slowed due to shortage of workers and a slump in consumer demand. SARs led to China’s economic growth slowing in the second quarter of 2003, by around 2.2% quarter on quarter,” WoodMac reported.

NATURAL GAS

The China Council for the Promotion of International Trade (CCPIT) has said it will offer force majeure certificates to companies that are impacted by the coronavirus pandemic.

Such certificates excuse a company from not performing its contractual obligations that becomes impossible or impracticable, due to an event or effect that the parties could not have anticipated or controlled.

Although the government has extended the Chinese New Year’s holiday through Feb. 2, some sectors, such as oil refineries in Shandong province and automakers will not reopen before Feb. 10, and the country’s economic growth is in for a slowdown in 2020.

Sinopec Corp, Asia’s largest refiner, will reduce throughput in February by around 600,000 barrels per day, according to Reuters.

The People’s Bank of China announced on Sunday that it will inject 1.2 trillion yuan, or $173 billion into the Chinese economy to cushion the effects of the virus on the markets.

Both Sinopec and the Bank of China were signatories on the gasline with Gov. Bill Walker; however those plans have been shelved since Walker left office.

The Shanghai Composite Index fell 8.7% Monday when trading opened, rebounding slightly as the Chinese government stepped in to stabilize it.

‘Faces of Choice’ ad that wasn’t shown during Super Bowl

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A powerful video created to be shown during the Super Bowl LIV broadcast on Fox TV was rejected by the network, but the Faces of Choice organization may have the last word, as hundreds of thousands of people have now seen the ad on social media and in churches — and the group didn’t have to pay $5.6 million for 30 seconds of prime time airtime:

Several versions of the ad are in circulation on social media.

Lyric Gillett, founder of Faces of Choice, told reporters that Fox strung her along since July, but ultimately blocked her ad, while allowing ads that celebrated drag queens and political candidates.

The ad, which features the stories of real people who survived abortions, was also shown in mega churches around the country on Sunday morning, prior to the big game.

SB 115: Alaska motor fuel tax would double in July

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SB 115, sponsored by Sen. Click Bishop of Fairbanks, would raise the motor fuel tax from 8 cents to 16 cents beginning in July (and from 5 cents to 10 cents for marine fuel), a plan that would raise about $35 million for the state treasury.

The Senate Finance Committee will hear details of the plan on Monday during its scheduled meeting at 9 am. Public testimony will be heard. Introduced last year, it has no other committees of referral, and may be fast-tracked for approval this session.

Currently, the 8-cent tax is levied on diesel and gasoline purchased for highway use. Diesel and gas for marine use is taxed at 5 cents per gallon, aviation fuel is 4.7 cents per gallon, and jet fuel is 3.2 cents per gallon.

Under the proposal, the tax rate would double for highway and marine fuels, but not increase for aviation or jet fuels.

The state fuel tax is levied in addition to any local sales taxes. The State has a refined fuel surcharge of .95 cents per gallon, appling to refined fuel when it is first sold, transferred, or used in Alaska.

Alaska’s fuel tax rate was enacted in 1970 and has remained unchanged, which means it has lost 82 percent of its purchasing power, Bishop notes. With the proposed increase, Alaska would still have the lowest marine fuel tax in the nation, but instead of the lowest gas tax, it would be the third lowest.

According to a recent report by the American Petroleum Institute, the national average for state motor fuel tax is 25.01 cents for gasoline and 25.86 cents for diesel.

The additional revenue for the State would be placed into the General Fund, but directed to a specific account. AS 43.40.010 directs taxes levied on fuel for a) watercraft, b) road vehicles, and c) off-road vehicles be deposited into three separate accounts that are designated for water and harbor facilities, maintenance of highways and construction of highway projects, and trails and shelter construction and maintenance.

EXEMPTIONS

Exempt from the tax is fuel sold to heat private homes or commercial buildings; for use by federal, state and local government agencies, and charitable institutions; for sale or transfer between qualified dealers; for use in foreign flights (jet fuel), and exports; and for fuel sold as bunker fuel (residual fuel oil or #6 fuel oil).

Motor fuel for off-road use (other than fuel used for aviation or watercraft) is eligible for a partial refund of 6 cents per gallon. Refund claims must be submitted within one year of the date of purchase.

…And they’re off: Anchorage candidates set for ballot

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ALSO, THE 5 PERCENT TAX ON ALCOHOL RE-VOTE

The Jan. 31 filing deadline for the April municipal election in Anchorage has come and gone and the ballot is set. The last day to withdraw is Feb. 4. Ballots will be in the mail to voters on March 17 and the mail-in election ends on April 7.

In addition to candidates, the Anchorage Assembly is asking voters to once again approve an alcohol tax. Voters turned it down just a year ago, but the Assembly liberal majority wants to try again.

This time, the question on the ballot has a lower threshold: Only 50 percent plus one vote is needed to pass the 5 percent tax that is estimated to raise up to $15 million per year for social services such as substance abuse, child abuse, homeless services and other public safety issues.

Only Assembly members John Weddleton and Crystal Kennedy opposed sending the tax question to the ballot.

Alaska already has alcohol tax, including the highest wine tax in the nation, at $2.50 a gallon. Beer is $1.07 a gallon and hard liquor is $12.80 a gallon. Other communities have alcohol taxes, such as the 3 percent booze tax in Juneau, which is added onto the overall 5 percent sales tax to make alcohol taxed at 8 percent.

Here are the candidates who will appear on the ballot:

District 1 – Seat B – Downtown Anchorage: Incumbent Christopher Constant is unchallenged. A registered Democrat, he was elected in 2017.

District 2 – Seat C – Eagle River/Chugiak:  Jamie Allard, Stephany Jeffers, and Roger Branson have filed. Incumbent Fred Dyson did not file. Allard, a Republican, ran for House District 14, losing the primary to Kelly Merrick in 2018. She is an Army veteran and worked in the Dunleavy Administration’s first year. Jeffers unsuccessfully ran for House District 12 as a Democrat in 2018. She is registered as an undeclared. Branson, a Republican, is new to campaigning, and has a website that explores his struggles and victories with mental illness.

District 3 – Seat E – West Anchorage: Incumbent Austin Quinn-Davidson, MoHagani Magnetek, and Nick Danger have filed. Quinn-Davidson is registered as nonpartisan but is part of the liberal majority on the Assembly. Magnetek is a flamboyant activist who is running on a transgender activism platform. Danger is Republican who chairs the Alaska Safety Advisory Council; he ran unsuccessfully for the Assembly seat in 2018, getting less than 2 percent of the vote in a crowded field.

District 4 – Seat G – Midtown Anchorage: Incumbent Felix Rivera, Christine Hill and Enrico Tutaan have filed. Rivera is Democrat and part of the liberal majority on the Assembly. Hill is Republican activist in her second run for Assembly. Tutaan is undeclared, and works as a success coach at Anchorage School District.

District 5 – Seat I – East Anchorage: Incumbent Pete Peterson, David Walker and Monty Dyson have filed. Peterson is Democrat who served in the Legislature and is a liberal vote on the Assembly. Walker and Dyson are Republicans. Dyson is an assistant pastor at Anchorage Baptist Temple.

District 6 – Seat K – South Anchorage: Incumbent Suzanne LaFrance and Rick Castillo have filed. LaFrance is nonpartisan and a liberal member of the Assembly. “Rick for the Six” Castillo is Republican and a veteran who works in telecommunications.

School Board Seat C: Incumbent Dave Donley and James Smallwood have filed. Donley is Republican who also has served in the Alaska House and Senate. Smallwood is Democrat who has run for office before but not successfully.

School Board Seat D: Incumbent Andy Holleman, Phil Isley, and Dr. John C. Cates have filed. Holleman, Isley and Cates are undeclared.

Mike Gravel cries foul on DNC; has evidence on tape

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FORMER ALASKA SENATOR SAYS BLOOMBERG BUYS WAY IN

Former presidential candidate Mike Gravel says the Democratic National Committee emphatically told him that they could not change the rules for any one candidate when they disqualified him from a debate last year.

Six months later, the party changed the rules for billionaire Michael Bloomberg so he can take part in the upcoming Democratic debate.

In July of 2019, the Gravel campaign contacted the DNC after receiving over 65,000 unique donors, which was a threshold needed to be on the debate stage.

Gravel, a former Alaska U.S. Senator, was making his second run for president in 2019, and although he had enough unique donors, he was disqualified from the debates for not having high enough poll ratings.

 Back then, the DNC required candidates to poll at 1 percent or above in three DNC-approved polls.

But those polls were excluding Gravel’s name, the candidate pointed out. Gravel is a far-left Democrat and considered an outsider. He said he never thought he could win, but wanted to steer the debates to issues that matter to him; he is strongly anti-war.

[Read: Gravel meets donor threshold for Democratic debates]

“On the call, a senior official swore that they would never change the debate rules for any candidate. Six months later, they did exactly that,” the Gravel team wrote.

“We wanted to give everybody as many chances as we could,” says the senior DNC official, who is not named on the tape. “And I think that it’s a very generous set of rules. But I think the broader issue is we can’t change them later on for the benefit of any candidate. That’s kind of our rule No. 1 for us here, and it doesn’t matter who it is. We didn’t change them for Governor Bullock, and we can’t change them for anybody.”

The Democrats in January changed the rules to allow former New York former Mayor Michael Bloomberg to take part in the Feb. 19 debate in Las Vegas, Nevada. The DNC eliminated its individual donor threshold for Bloomberg, who is a self-funded candidate.

Democrats like Michael Moore pointed out that the DNC didn’t change the rules for minority candidates like Julian Castro or Cory Booker, but was responding to the millions of dollars Bloomberg could bring to the defeat of President Donald Trump. And top DNC party officials are deeply worried that Sen. Bernie Sanders is gaining traction across the polls. They dread having the avowed Socialist at the top of their ticket, and Joe Biden is looking more damaged by the day with the fallout from the impeachment of the president and the scandal involving Biden’s son’s associations in Ukraine.

A nationwide Hill-HarrisX poll showed Bloomberg surging past Sen. Elizabeth Warren to 3rd place, which has to be a disappointment for the Warren campaign, which has invested heavily in a ground game in Iowa for months. The two had been even in third place in December.

  • Biden 29%
  • Sanders 17% (-2)
  • Bloomberg 11% (+4)
  • Warren 9% (-2)
  • Buttigieg 5%
  • Yang 4%
  • Steyer 4%
  • Klobuchar 2%
  • Gabbard 2%
  • Bennet 2%
  • Delaney 1%
  • Patrick 1%G

Plan to fast-track signatures on recall petition hits molasses in January

The Recall Dunleavy Committee had a rough week. After being jubilant over a huge set of wins on Jan. 10, when the committee’s lawyers swept the tables in Superior Court, the case to remove the governor had run into a wall.

[Read: Can Gov. Dunleavy get a fair shake in this court?]

The Superior Court judge who had just ruled in favor of allowing the group to start collecting signatures on a recall petition on Feb. 10, changed his mind. He sent the matter on up to the Alaska Supreme Court, washing his hands of further controversy.

But by then, the recall committee had scheduled training sessions for phone bank volunteers and signature gatherers, and had rented the Sullivan Arena in Anchorage for three days for a Recall Dunleavy festival, where the push to get over 71,000 signatures would get off to a strong start in mid-February.

Attorneys Jahna Lindemuth and Scott Kendall, former attorney general and former chief of staff to Gov. Bill Walker, are now heading up the recall of Dunleavy. For them, this is personal.

They had been cocks of the walk in the courthouse on Jan. 10, when the judge went through the motions of oral arguments, and then granted them an insta-win.

But if they started out January as lions of the court, they ended January as lambs.

This ruling was a big setback, and possibly a costly one, for the plans to stage their major media fanfare on Feb. 10, when the recall activists and paid employees would descend on the Division of Elections to pick up the petition booklets, while knowing full well the Supreme Court had not yet calendared the case.

The cart, it seems, was before the horse and on down the road a stretch:

  • Volunteer phone-bank training was scheduled for Feb. 4 at AFL-CIO Hall.
  • The signature-gathering training was to take place at the AFL-CIO Hall in Anchorage on Jan. 29, and at the IBEW Hall on Feb. 5-6.
  • Then on Feb. 15-17, the group had already rented the Sullivan Arena to stage their three-day signature festival from 9 am to 8 pm daily.

All that planning is in question now that the recall petition’s validity, and whether the “stay” on collecting signatures in advance is Supreme Court material; the sides are awaiting the decision on when oral arguments will be made.

The Recall Dunleavy legal “dream team” of former Gov. Bill Walker is pushing for oral arguments sooner rather than later.

The Stand Tall With Mike group, which joined the defense of the governor as a legal “intervenor” in the case, is the sole reason for the slowing down of the race to recall the governor. The Division of Elections, represented by the Department of Law, had found no justifiable harm to allowing the petitioners to ramp up their campaign to unseat the governor. But Stand Tall With Mike lawyers said their side would be irreparably harmed if Recall Dunleavy Committee started juicing up the case in the court of public opinion.

If not for the Stand Tall lawyers, who are billing by the hour, the petition books would already be at the printer and they would be available for pick up on Feb. 10. The momentum would be off and running again.

The Alaska Supreme Court is likely to side with the Recall Dunleavy “dream team” lawyers in the end, and allow the recall matter to go before the voters in some form or another. But the oral arguments could be anytime this year. The Stand Tall With Mike group has agreed to an expedited hearing schedule, the terms of which are still being negotiated with the Recall Dunleavy group.