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Where have all the flowers gone?

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By ART CHANCE

If we define “the Left” as the anti-establishment or anti-government factions in America, they’ve been singing songs, carrying signs, and sometimes breaking or blowing up things since the Seneca Falls convention in 1849.

 America has been constantly beset by various “isms.”   In the early days it was simply threat and intimidation followed by violence; police truncheons were met by brass knuckles.   

By the late 19th Century, makeshift bombs were popular on the left.  The occasional assassination was thrown in. Much of it centered on labor strife; sometimes it was company security versus strikers, sometimes police or National Guard v. strikers.   

Usually the company or the government won because they had the guns.   By the late 19th Century, the line between labor and communism/socialism was very blurred.  The conflict between the government/establishment simmered but never subsided during the Spanish-American War and World War I.  It rose to a boil in the 1920s and in the early days of the Great Depression.  John Dos Passos’ works give a good view of the times.

To move to a Marxist vocabulary, FDR achieved an Historic Compromise with The New Deal.  Most of the New Deal was essentially Marxist and served to placate the Left to some degree; enough to keep them sullen but not mutinous. I could write a couple thousand words on the communist Left and WWII, but I have word limits.   

Suffice it to say that the Left largely made common cause with the US during the Great Patriotic War until the defeat of Germany. After that there is a good argument that the Hiroshima bomb was dropped on Tokyo and the Nagasaki bomb was dropped on Moscow. We don’t want to think about what would have happened had the US not been able to end WWII quickly.

This is turning into too much of a History class, so let’s rush through the Fifties and Sixties.  The U.S. got really tired of Soviet interference in the U.S. government and its institutions and ran them to ground.

The communists of the Thirties, Forties, and Fifties became the liberals of the Sixties, Seventies, and Eighties. Ronald Reagan, Rush Limbaugh and others so damaged the liberal brand that by the ‘00s they decided to return to their old brand: Progressives.  They thought they had damaged US education enough that nobody would remember that Progressive was just a term for a communist whose position wouldn’t allow them to be a party member.

The Civil Rights movement and the anti-war movement built modern leftism. Those of you old enough to have had any history in school remember the notions of the Old Left and the New Left.

 The Old Left was the left of Stalin and the Comintern. The New Left was the world of the Trotskyites and ultimately Saul Alinsky.  The Old Left believed in statism, in bureaucratic communism; that was the Soviet model.  The New Left, the Trotskyites believed in the continuous revolution; there’s a reason Stalin had an ice axe put in Trotsky’s head.

Most of the U.S. Left adopted the Trotsky view and its primary apostle Saul Alinsky.  I was still in the throes of a college education, so I read “Rules for Radicals” when it first came out in 1971.  Ten or fifteen semesters of Life 101 got me over most of that and I consigned Alinsky to the dustbin of history.

I became reacquainted with Trotsky in the late 1980s when the American Federation of State, County, and Municipal Employees – AFL-CIO came to Alaska.  

 I dealt with our supervisors being mau-maued, our buildings being occupied and picketed.  We dealt with it pretty well here in Alaska even with a Democrat Administration. I watched the attack on Scott Walker in Wisconsin as they mobbed the Wisconsin capitol. 

Sane people believe public facilities are public. The problem is that the “public” shouldn’t include violent criminals.

So, here’s the problem for sane people: Should you give them their Saul Alinsky moment?  People I like and trust are saying that the legislators out it Wasilla should have had the protestors hauled out in handcuffs. Why would you give them that opportunity?

Art Chance is a retired Director of Labor Relations for the State of Alaska, formerly of Juneau and now living in Anchorage. He is the author of the book, “Red on Blue, Establishing a Republican Governance,” available at Amazon. 

MRAK Almanac: Molly of Denali edition

The MRAK Almanac is your place for political, cultural, and civic events, events where you’ll meet political leaders or, if you are interested in getting to know your state, these are great places to meet conservative- and moderate-leaning Alaskans.

Alaska Fact Book:

Question: How much coastline does Alaska have?

Answer: One of Alaska’s most impressive geographic features is its immense coastline. Our state has 6,640 miles of coastline, over half of all of the coastline in the United States, and more than the entire coastline of the contiguous states (the Lower 48). The next time you meet someone from Rhode Island, you might remind them that their “Ocean State” motto really belongs to Alaska.

7/15: House Finance will meet in the Anchorage Legislative Information Office starting at 11 am, with public testimony beginning at 2 pm and ending at 7 pm. They will be meeting every day of this week and may physically be in a LIO near you (Fairbanks and Wasilla are on the schedule), so be sure to read their full schedule here.

7/15: Official premiere of Molly of Denali on PBS and PBS Kids. The American-Canadian animated series is the first children’s show broadcasted nationwide with an Alaska Native as the lead character. What’s more, these kids know how to solve conflict. Read more about this milestone here.

7/15: Girdwood Board of Supervisors will meet in Girdwood at 7 pm. Read more here.

7/15: Want to serve your community? Filing opens for elected offices in the Fairbanks North Star Borough (assembly and school board). Read more about how to run for office at this link.

7/15: Deadline to apply for the vacant seat (Seat C) on the Fairbanks North Star Borough Assembly. Application must be turned in at the borough offices no later than 5 pm. Read more here.

7/15: The Homer Public Library will hold a virtual guided recreation of the Apollo 11 mission, presented by the American Museum of Natural History. Great for kids and adults alike. Starts at noon. Further details here.

7/15: Do you live in House District 33? Rep. Sara Hannan will hold a town hall at 5 pm in the Douglas Public Library. A good chance for constituents to share their comments or concerns with one of their legislators.

7/15: Regular meeting of the Alaska Public Broadcasting Commission at noon via teleconference. The main purpose of the meeting is to discuss the plan moving forward in response to Gov. Dunleavy’s recent line-item vetoes of the FY2020 budget. There will be a chance for public participation. Read more about the meeting here.

7/15: The University of Alaska Board of Regents will hold a special meeting in Fairbanks at 1 pm. The purpose of this meeting is to consider the possible declaration of financial exigency for the university system and to make necessary plans to accommodate UA’s recent budget reduction of $135 million. The meeting will be live streamed at this link.

7/15: The North Pole City Council will hold a regular meeting at 7 pm in the council chambers on Snowman Lane. There will be an opportunity for public testimony. Read the full agenda here.

7/15: 5 pm is the deadline for entry into Fairbanks’ Golden Days Parade which will take place on Saturday, July 20. If you want to enter a float or vehicle, visit this link to register.

7/16: Marine Transportation Advisory Board meeting in Anchorage at 10 am. The board will discuss general cost cutting measures and reform of the Alaska Marine Highway System for the coming year. Read the agenda at this link.

7/16: Regular meeting of the Delta Junction City Council at 5 pm. Read the agenda here.

7/16: The U.S. Senate Committee on Energy & Natural Resources (the Chair is Sen. Lisa Murkowski) will hold a business meeting at 10 am in Washington D.C. to discuss proposed legislation, a total of 23 pending bills. Read about them at this link. The meeting will also be live streamed here.

7/16: Do you live in House District 19? Representative Geran Tarr will hold a town hall and BBQ dinner for constituents at 5:30 pm. Read more at the Facebook link here.

7/16: RMG Real Estate Summer Fest at Kincaid Park in Anchorage, starting at 5 pm. Bring the whole family for a night of food, live music, and outdoor fun. Free to attend, learn more at the Facebook page here.

7/16: Lunch on the Lawn outside the Anchorage Museum at 11:30 am. There will be live music, food trucks, and fun for the whole family.

7/16: Regular meeting of the Valdez City Council at 7 pm. The council will be considering the license renewal for marijuana retailer Herbal Outfitters as well as considering changes to the local traffic code. Find the agenda here.

Alaska History Archive:

July 15, 1741—278 years ago: Alexei Chirikov, of the Bering expedition to Alaska, saw land for the first time since leaving mainland Russia a month before. It is likely that the land Chirikov saw was Prince of Wales Island in Alaska’s Southeast region. The day after, the crew saw a towering peak larger than any other they had seen on their journey—it was named Mount Saint Elias soon afterwards.

July 15, 1923—96 years ago: After two unsuccessful swings, President Warren Harding drove the Golden Spike into a stretch of railway north of Nenana. After years of hard work, the 470-mile Alaska Railroad was finally complete.

PTVS: Post traumatic veto syndrome? Counselor has tips

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Just as Juneau’s Bartlett Memorial Hospital offered counseling to locals after the election of Donald Trump in 2016, Alaska Public Media has done a story on how Alaskans can deal with the vetoes of 12.5 percent of the proposed Gov. Walker budget (7 percent of the actual spending in 2019).

[Read: Bartlett Hospital offers post-election counseling]

In an interview with reporter Casey Grove, licensed professional counselor Julie Shewman of Anchorage gave listeners advice on dealing with the stress, frustration, sadness, and anxiety.

“Simply put, the uncertainty over state politics and the cuts is getting to people,” Grove reported on Friday. He offered his interview with Shewman to provide counseling to “thousands of people on the radio all at once.”

Shewman said that a little bit of stress is usually manageable, but if stress gets to be too much, people go into the emotional side of their brains, and then into the fight-or-flight side of their brains, the “reptile” brain, if you will, where things are pretty primitive.

She said all of her colleagues in the therapy community have had an increase of clients with veto-related stress symptoms. Shewman acknowledged the fears and the sense of being threatened are real and said symptoms include irritability, insomnia and a general sense of being unsettled.

[Read Craig Medred: The whine critic]

The first tactic, she said, is to get off of social media, unbalanced news, and the various memes that are stirring people’s fears. Talk to friends and family instead, and realize that if you are losing your job, you have many options; maybe they weren’t the options you wanted, but there are options nonetheless.

“You have time to make adjustments to these changes,” she advised.

Listen to the interview in this short segment on Alaska Public Media.

UAF professor pleads with top comedians to report on Alaska budget cuts

A creative writing professor at the University of Alaska Fairbanks has reached out on social media to the world’s most popular comedians, begging them to report on recent budget cuts to the University of Alaska system.

In numerous posts on Twitter over the course of many days, writing professor Sara Eliza Johnson calls the governor and legislators “fascists” who are anti-education.

Johnson sent her Twitter messages to comedians John Oliver, Samantha Bee, Trevor Noah and the Daily Show’s Jon Stewart, pleading with them to “cover” the downsizing of the university.

Johnson also notified television newscasters Rachel Maddow and Chris Hayes of MSNBC to enlist them in the cause of fighting the budget cuts.

Johnson teaches a variety of creative writing classes, including “Arguing Across Contexts” and her specialty, which is poetry.

“Sara Eliza Johnson’s Bone Map charts a dreamscape that mixes elements of folk tale into mysterious itineraries through the commingled fringes of the world of sacramental animals and a frail humankind,” according to her website.

The State of Alaska budget has been cut 12.5 percent from the proposed budget of former Gov. Bill Walker, and approximately 7 percent from the actual spending of the last fiscal year. Programs developed during the oil boom years have been trimmed or eliminated as the state struggles to live within its means. The University of Alaska system budget has been trimmed by 17 percent, which will lead to layoffs in the days ahead as the system is forced to restructure its offerings.

Alaska Life Hack: State land auction yields $2.1 million

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MORE STATE LAND TO BE SOLD OVER THE COUNTER THIS MONTH

That 5.2-acre parcel near Mount Rich — a little piece of magnificence in that photo above? It went for $16,000 last week during the state’s annual land auction that took place on July 10. Eighty-two Alaskans had winning bids for 832 acres of land in 87 parcels across the state in an Alaskans-only opportunity to buy property at auction.

The bids totaled $2.1 million according to the Department of Natural Resources. And the department was happy with the sale.

“We were excited to see so much interest this year, and happy to be a part of putting Alaska lands into Alaskans’ hands,” said Rachel Longacre, chief of the state land sales section in the Division of Mining, Land & Water. “Many of the bids were above fair market value, which clearly shows Alaskans’ strong desire to become landowners.”

[Read: So you want to live off the grid? How about Mount Rich?]

Parcels were sold in Southeast, Southcentral, Southwest and Interior Alaska, with a lot of interest in parcels in two new subdivisions: the Forest Highway in Yakutat, and the Sage Subdivision near McCarthy. Some parcels went for well above the minimum bid amount, while others were only slightly above.

All the auction results are available at the Division of Mining, Land and Water’s land sales website, at https://dnr.alaska.gov/mlw/landsales/

About 130 parcels not sold at the auction will join the list of other parcels available for sale to Alaskans and non-residents in an over-the-counter offering, starting July 24 at 10 a.m.

DNR offers competitive, in-house financing for land purchases for up to 20 years for land sold by auction or over the counter.

And the State of Alaska offers Alaska resident veterans a once-in-a lifetime discount of 25 percent on the purchase of state land.

The web page for each Auction/OTC parcel provides an estimate of the purchase price with the veterans’ discount for that parcel.

Information on the upcoming sales, including a listing of parcels available for purchase, is available at the division’s land sales website, or on pages 119 and 124 of the official state land sales brochure.

The Left’s true colors coming out in threats, foul language

CAUTION: GRAPHICS NOT SUITABLE FOR EVERYONE

Apparently, the tar-and-feather threats are out, for now. Doxing is in with the far Left in Alaska, as they look for ways to harass and punish legislators.

The “Save Our State” movement has some explaining to do:

Last week, those who oppose Gov. Michael Dunleavy and his budget trimming ways turned up the heat, cranked up the volume, and left their good manners at home. They occupied, vilified, and threatened lawmakers who don’t agree with them. For the Left, it was just another day at the office.

In their social media echo chamber, they cursed the governor, called Republicans names, suggested violence, and published the private cell phone numbers of lawmakers whom they consider enemies. The Democratic Socialists of America-Anchorage were effective in getting lawmakers harassed from as far away as New York by people who are clearly not their constituents.

DSA even posted the governor’s private cell phone number and encouraged people to call and harass him and thrifty Republicans who are in favor of rolling back government spending.

The Democrats hung banners on bridges and overpasses — banners that are not suitable for children, and not legal.

Banner in Juneau hanging from the bridge.

Even Rep. Harriet Drummond, a Democrat lawmaker from mid-Anchorage, got into the profane spirit of things, by posting a social media post that shows just how coarse the Left has become:

On the Delaney Park Strip in Anchorage this weekend, there is an “occupation,” taking place.

It is the continuation of the occupation that took place in Wasilla earlier in the week, when anarchists took over the lawful gathering of elected officials, sitting in the lawmakers’ seats and screaming throughout the proceedings.

Some of the groups participating also took over a meeting of the Department of Interior in Fairbanks this winter and drowned out the participation of others.

The press release from the Delaney Park Strip “occupiers” came from none other than Kati Ward, who was the political director for the failed Walker/Mallott gubernatorial ticket.

THE RHETORIC RATCHETS UP

Nona Dimond, a Juneauite who formerly worked as an aide to Sen. Gary Stevens, posted this graphic, accusing Republicans of being political terrorists:

But have they gone too far?

Chris Dimond, husband of Nona and also a former candidate for House, thinks they have and is trying to tamp down the rhetoric:

“Late last night someone reached out to me for some assistance regarding the doxing of the “22” the governor and his chief of staff. Initially I found it all very funny. After all, these folks seem to have “shut down” in regards to listening to constituents and other Alaskans who are weighing in on the current situation. Hell, they seem to have shut down in regards to doing their jobs, and upholding their oath of office,” Dimond wrote. ” of those things may very well be true.”

“Unfortunately, the doxing that has taken place has only created a bigger mess,” Dimond wrote.

He then went on to describe how talks had been taking place between Republicans who are meeting in Wasilla, lawmakers who are meeting in Juneau, and the governor. And how the doxing had thrown a monkey wrench into those talks.

An example of the Left’s social media prowess.

“The doxing has resulted in further eroding trust and the ability to hold meaningful discussions. Some of the  “22” and/or the governor are now blaming the group working in Juneau for releasing that info. This will just further break down the ability for the 3 groups to work to find a solution to the current situation…Unfortunately this doxing has ruined trust, and more importantly it has resulted in threats of violence, physical harm and even death threats (against all 3 groups). This is not productive, it is not how government functions and it is not who any of us are, or should ever be as Alaskans,” Dimond wrote.

Democratic Socialists want you to understand their vision.

“These threats have been extremely unnerving for all. It is resulting in fear, lack of trust, and for some it likely gives them an excuse to walk away from the negotiating table and others it may be creating a victim complex,” he wrote.

What Dimond failed to comprehend is that the Democratic Socialists of America-Anchorage are only temporary friends of the Democrats in Juneau. Their goal is not to override the vetoes, but to create chaos, and in the end, they’ll go after Democrats just like they go after Republicans. The DSA are authoritarian communists at heart.

The DSA folks are not letting this crisis go to waste, and they’re working with the tacit approval of those in power — like Rep. Drummond, who is acting as if she is one of the DSA faithful, and certainly not using her office to call for civility.

Chris Dimond, organizer at Pacific Northwest Regional Council of Carpenters, did use his position of influence. He went on to ask for people to throttle back the rhetoric, and he asked people to be respectful.

“I know our emotions (on both sides) are running at full throttle right now but we have an obligation as citizens to engage with our government in an appropriate manner,” Chris Dimond wrote. We absolutely should be showing up and protesting, writing letters, calling their offices and so forth. We should not be harming, threatening to harm or engaging in any other conduct that leaves our neighbors scared and feeling unsafe. Believe me, I’m fucking angry right now, and the temptation to engage in that manner is strong, but I’ve been reminding myself that I ran for public office last year, and had I won, it would be me and my family being threatened, insulted and attacked. I would not want that, my family would not deserve that.”

No. he would not deserve that. His wife Nona would not deserve that. But the Twitter handle of Devilsmile thinks it’s just the thing.

More social media threats of violence.

“Elected officials need to hear from us. Make it productive tho,” Dimond wrote. “Make it respectful, make it honest and heartfelt. Also, don’t trash legislative staff, they have a job. to do, and families to feed. Some staff may vehemently disagree with their bosses, but are in an unenviable position of having to decide between a paycheck to feed their families and a roof over their heads, or the unemployment line (what YOU would do in that situation is irrelevant as it is not you in that situation…also, PLEASE don’t compare this statement to the nazis statement “I was just doing my job” as this is not the same situation or comparable in any way),” Dimond wrote. He seemed to understand that equating Republicans with Nazis is a bridge too far.

Manners of the Left may be seen in their banners.

“The only threats any legislator or elected official should be receiving is the threat of someone looking to unseat them from their elected position…through the election process,” Dimond wrote.

Then, he proceeded to blame those who have been doxed for creating the problem:

“This part of my thread is for the “22.” Please stop blaming and accusing your coworkers in Juneau for this doxing. I believe you have wildly underestimated what Alaskans truly think and believe. My suspicion on the release of your phone numbers: look to your friends and neighbors, look to your staff and former staff. You are hurting Alaskans, your friends and neighbors, it is most likely those people you personally have a connection with who have released your personal info.”

Dimond didn’t get his memo of caution out in time for his fellow union brother Vince Beltrami, head of the AFL-CIO in Alaska.

Beltrami huffed and puffed to an “energy reporter” at Alaska Public Media’s “Energy Desk” that:

And with that sentence, the head of the AFL-CIO just admitted that this is all about partisan politics, and that he’ll blow the “red” house down with his big blue army of public employee union workers.

Earthquakes, vetoes, municipal budgets

BY WIN GRUENING

On Nov. 30, Alaska’s southcentral region experienced a magnitude 7.0 earthquake ranked as the second most damaging in our state’s history. 

 But better preparedness, improved building standards, and faster response all worked together to help mitigate the impacts. Alaskans were rightfully proud of their resilience and orderly response to this event.

Gov. Dunleavy’s $440 million in vetoes of the Legislature’s budget, adding to the $190 million in cuts passed earlier by the Legislature, also generated shockwaves throughout Alaska.  Virtually no sector of the budget or geographic area of the state was spared.  

The public reaction was immediate, seismic and unconstrained.  

This brought into sharp focus the ramifications of the governor’s plan to pay a full statutory Permanent Fund Dividend – estimated currently at $3,000 per person at a cost of $1.9 billion annually.

The Legislature has been unable to override some or all of Governor Dunleavy’s vetoes since 45 of the 60 legislators were required to reach agreement.  This was an unlikely scenario given the differences that had surfaced throughout the regular session.

Lawmakers gaveled in Monday, July 8, for a 30-day special session called by the governor.  Presumably, they were to consider funding for the Permanent Fund Dividend and pass a capital budget – since neither were decided before legislative adjournment on June 13.

But that’s in limbo, since the Legislature couldn’t agree on the location of the special session – Juneau or Wasilla.  The governor specified in his special session call that the location would be Wasilla. A majority of the Legislature decided to meet in Juneau while some legislators met in Wasilla.  A court may decide this as the Legislature and the Governor each believe they have the right to determine the location of this meeting. 

At this point, it’s hard to see how this will play out.  Both sides have legitimate concerns that deserve to be addressed.  But the divisions run deep and, in many cases, are philosophical in nature.

The ugly truth remains…over the past decade, Alaskans have squandered their savings instead of preparing for the inevitable.   Living beyond our means has led to our current situation.

It’s useless now to point fingers or wring our hands. 

Even if an eventual agreement is struck between the Governor and the Legislature to reduce the PFD amount to half the Governor’s request, all the cuts now proposed (or an equal amount in taxes or savings) will be needed to pay for it.  

Many contend it makes no sense to pay for a Permanent Fund Dividend with an income tax.

So, it’s likely we’ll be facing additional cuts at the state level next year, requiring more belt-tightening before the state budget stabilizes.

Municipalities should recognize this and plan accordingly.  Some have already begun.

Mayor Ethan Berkowitz announced that Anchorage property taxes probably will be raised.

In the fastest-growing area of the state, the Mat-Su Borough wisely cut $12 million from its budget, yet no job layoffs are anticipated.

Facing a school debt reimbursement reduction of $3.7 million, Juneau Mayor Beth Weldon said the city plans to use restricted budget reserves to cover that shortfall temporarily.  Juneau’s borough assembly scheduled a meeting on July 22 to discuss possible long-term solutions to mitigate state budget cut impacts.

Hopefully, the Juneau Assembly will take a balanced approach that includes budget reductions in less essential programs and services and continues their review of tax policy – in particular, the exemption of sales tax collections on retail sales by nonprofits.

Without matching Mat-Su Borough’s growth, Juneau’s current demographics (flat population and state job losses) cannot absorb significant state or local tax increases that would only make housing less affordable and economic development less viable. 

Postponement or scrapping of large scale non-essential projects will be necessary. In Juneau, this includes, specifically, a new $26 million performing arts center which recently requested $7.5 million in city funding. Coupled with $17 million in proposed repairs/upgrades to Centennial Hall convention center and a desire for a new $26 million city hall, it would be irresponsible to consider tax-hiking projects like these in this unstable budget environment. 

We can’t control Mother Nature, and even though we are the Capital City, we can’t call all the shots.

But we can prepare for the challenges ahead.

Juneau’s city leadership has been fiscally responsible in the past and we should expect them to remain so as these budget tremors continue.  

Win Gruening retired as the senior vice president in charge of business banking for Key Bank in 2012. He was born and raised in Juneau and graduated from the U.S. Air Force Academy in 1970. He is active in community affairs as a 30-plus year member of Juneau Downtown Rotary Club and has been involved in local and statewide civic organizations.

The whine critic

A GOOD, OLD-FASHIONED RANT

CRAIGMEDRED.NEWS

Once Alaska was home to the toughest, most adaptable people on the planet. And then the white folk showed up.

Since then it’s been pretty much all downhill, starting with the barely audible flow of a meandering river that braids into gurgling riffles that become roaring rapids until finally all that water turns into a massive waterfall of whine.

Some residents of the north now think Alaska is going to “die” because Gov. Mike Dunleavy cut about $400 million of the approximately $4.4 billion of state spending the Legislature approved for fiscal year 2020.

That’s a cut of about 10 percent. It’s a big cut, a painful cut, and a particularly difficult cut for the University of Alaska which took a $135 million hit – by far the biggest loss suffered by any state entity.

Along with Alaska dying, the university is going to be “destroyed,” and “the state may never recover,” if an an op-ed in The Guardian is to be believed.

Of course, it’s never going to recover. How could it when it’s dead?

D-E-A-D

Now here’s some free advice if you believe this nonsense: Leave.

Leave now. Abandon the rotting carcass of Alaska while you can. Don’t let the door hit you in the ass. The state has grown a surplus of whiners and wimps.

Go. You won’t be missed in the least.

Meanwhile, if you decide you’re going to stay, shut up and get to work.

This is what Alaskans used to do. This is what was called “the Alaska spirit.”

If you think the cuts are going to hamstring state government, as some do, go find yourself a good candidate to run against Dunleavy in the next election and start organizing a base of support to get her or him elected.

Some free advice on that, though.

Broad-based support is what wins elections, and you don’t build it by calling everyone who disagrees with you in the least dirty names.

There are likely to be a fair-sized number of Alaskans living in the zone between “Dunleavy went too far” and the “Legislature didn’t go far enough.”

The state led the nation in per capita state and local government spending last year at $20,688 per person, according to USA Today. That’s a pretty amazing figure considering the state per capita income is only $35,065, according to the U.S. Census.

Let’s all give thanks that a significant amount of state spending comes in the form of shared federal revenues.

Then let’s consider why we spend so much – about twice what the liberal state of Minnesota spends – and no, it’s not those “shipping costs” because of the state’s remoteness.

The reason is that we have the second most public-sector jobs in the nation. Only Wyoming – another state that got wealthy off hydrocarbon resource wealth and grew government without much thought to costs – has more, and it’s not far ahead.

Almost a quarter of the workers in Wyoming – 24.9 percent – hold government jobs. Alaska is at 24.6 percent. California, for comparison sake, is at 15.2.

As the fifth largest economy in the world, California is lucky to boast a lot of private sector jobs. Alaska has a high percentage of public-sector jobs in part because there hasn’t been much business growth despite relatively low taxes on businesses and workers.

Read the rest of this column at: https://craigmedred.news/2019/07/12/whineland/

The graph that tells the story

TAXES WON’T KEEP UP WITH GOVERNMENT GROWTH

By LANCE ROBERT

Just when you think you’ve seen the worst year of government in Alaska, you find out you were wrong. The last four years were awful. We had a fiscal crisis but nothing was being done about it. There were attempts to raise revenue, but even if they had succeeded, it wouldn’t have come close to solving the problem.

Examine the attached graph, the most important one for the year, and you’ll see what every legislator knows. If you use the Permanent Fund dividend to fund government, you lose it in two years.

If you use the Earnings Reserve balance then you get about 10 more. If you then implement taxes you won’t get more than a few years (Walker’s attempt would have only raised $700 million).

The natural increase of government (a conservative 4 percent in this graph) will outpace the increase in revenue. This is what Gov. Michael Dunleavy realized when he was looking at the budget issue. It’s impossible to fix our budget based on revenues alone. If you try, you’ll just bankrupt the State in about a dozen years. You’ll then lose the University, all the retirement plans and all of those other programs you might love.

This explains why more cuts have to be made because, to get to a sustainable budget, you have to make a lot of cuts over the next few years.

The governor is making the hard decisions on how to get there and is taking a lot of heat for being laser-focused on his campaign promise to fix this fiscal situation. It may be enough to cost him a second term, but that shows the courage he has to face the problem.

Now comes the irony. The Legislature is split in two factions. There is the anti-governor faction who want to repeal all of the cuts and not pay anything close to the statutorily mandated dividend, and they are fighting the governor every step in a way that mirrors the national level politics.

An example of this is their push for an unconstitutional forward funding of education, which left no real funding in the budget for education.

Then there are those who want some to none of the vetoes repealed and want to work with the governor to solve the problem. They had tried to amend in funding for education but it was rejected by the other side. 

The governor called the special session to deal with the undone Permanent Fund dividend issue, and to give them a chance to repeal the line-item vetoes. The irony is because the anti-governor group has decided to break the law and meet somewhere else than the governor chose, they don’t have enough legislators in attendance to overturn the vetoes.

After the cuts came out they should put their heads together and come up with a compromise to restore a bunch of the cuts and fund a full dividend. The governor made such large cuts that it made for an obvious compromise. What the anti-governor group has done is to “cut off their nose to spite their face”. Sometimes in politics you just have to compromise to get important stuff done. 

So now we have all the vetoes in place, a capital budget that has no funding and we have no dividend. Legislators are talking about amending something into the capital budget, but that can also still be line-item vetoed, so they have to get three-quarters of themselves to agree. Since a few members have been thrown out of the caucus because they stood for rule of law, it’s going to be pretty hard to get that agreement now.

One of the biggest mistakes of the last administration was cutting the Permanent Fund dividend for three years. That took over $2 billion out of the economy in a recession, so this governor is pushing hard not to replicate that mistake.

A deal will have to be made, so when you’re writing all those emails and letters to the legislators, you might want to ask them to act more maturely and make some kind of deal that will work for everybody.

Email the House Minority to thank them for standing for rule of law and letting them know that you are OK with some veto or partial-veto overrides, as long as they make the trade for a full PFD.

We finally have a governor intent on solving the problem. We just need a legislature that acknowledges the issue and will rise above childish nose-thumbing to solve it.

Lance Roberts is an engineer, born and raised in Fairbanks. He is a former member of the FNSB Assembly.