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Sitka road project awarded

Suzanne Downing
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36
Sitka road project awarded

CONSTRUCTION JOBS THIS SUMMER ON BARANOF ISLAND

A nine-mile gravel road up one side of Katlian Bay near Sitka will finally be under construction this summer. It’s one of the first big “open for business” road projects of the Dunleavy Administration, after four years of “no-build” state management.

A $31.7 million bid was tentatively awarded by the Department of Transportation this month to K&E Alaska, an Oregon-based excavation firm with an office in Sitka. The final bid award would come after a 10-day protest period is completed.

The road project on Baranof Island is described as a single-lane, unpaved road with bridge crossings, beginning at the northern end of Halibut Point Road, extending east along the south shoreline of Katlian Bay, crossing the Katlian River, and ending four miles east of the Katlian Bay estuary at the boundary between Shee Atika and U.S. Forest Service Lands.

The project opens up territory for subsistence and recreation, and also gets close to Shee Atika Native coporation lands for future development. It will end at a turnaround that meets up with an existing Forest Service trail. Ultimately, it could link to a road to Rodman Bay, allowing transportation vessels to avoid Peril Strait, which is only usable at high tide.

But for now, it’s a road to resources and recreation. The Katlain River, which the project would bridge, is rich in salmon, dolly Varden, steelhead, and trout, and Shee Atika land is rich in timber.

Alaska voters approved the funding in November 2012, as part of the $454-million transportation projects bonds ballot question, which contained authority to borrow for transit projects statewide. The original estimate was for around $16 million. The remainder of the money for the project is coming from a Fairbanks project that was federalized, leaving money available to shift to the Katlian Bay project.

Dozens of construction jobs will be associated with the project on Baranof Island, which was originally scheduled for completion in 2018, but which had been put on hold by the Walker Administration.

Human Rights Commission vs. First, Second Amendment

Suzanne Downing
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69
Human Rights Commission vs. First, Second Amendment

COMMISSION ORDERS MAN TO MOVE HIS TRUCK, DUE TO GUN DECAL

Brenton Linegar owns a small plumbing contracting business in Anchorage. His firm was working on the building leased to the Alaska State Commission for Human Rights at 800 A Street.

When one of his employees went out to the work truck on Thursday, he found a note on it from the executive director of the commission, telling him to “not park this truck with that offensive sticker in this parking lot.” Along with that note, written on the back of the state worker’s business card, was another business card, belonging to a state probation officer.

The sticker on the back of the truck that offended the state workers says “Black Rifles Matter.” It has an image of a semi-automatic rifle.

Linegar sees it as a pro-Second Amendment sticker. But the government worker saw it as racist and said so in an email that has made its way around the internet. She was clearly triggered.

The Human Rights Commission was so troubled by the truck sticker that it even posted a picture of it on the Facebook page for the agency — official state property:

Linegar says he’s tired of being bullied, and that there’s nothing offensive about the sticker. There’s even a Black Rifle Coffee Company, which sports semi-automatic stickers and is decidedly pro-Second Amendment. It’s a company that’s owned by veterans.

Linegar says a couple of his employees are not white, and they drive that particular truck.

Is it a play on words for “Black Lives Matter?” Yes, perhaps, he said. But the “Black Guns Matter” movement was started by an African American to educate blacks about their Second Amendment rights.

[Read: Black Guns Matter brings workshop to African American community]

Support for the Second Amendment is not offensive to many Alaskans. GunsandAmmo says that Alaska is nearly tied with Arizona for being the best state for gun owners. Arizona only won the top spot due to its accessibility to competitive shooting opportunities.

And a quick tour of the Internet show there are a multitude of other plays on that particular “lives matter” phrase, such as “All Lives Matter,” or this St. Patrick’s Day rendition, sold at Etsy.com, which says “Irish Livers Matter.”

Linegar hasn’t filed a complaint against the Human Rights Commission Executive Director Marti Buscaglia or probation officer Kendall Rhyne.

But he might have a case that his constitutional rights were violated by government workers with vast powers to hurt individuals and who can — and maybe already has — harmed Linegar’s family business.

After hundreds of comments on the State Human Rights Commission Facebook page criticizing its actions, Commission posted an explanation of its actions and removed the original post. Even that brought comments from many late into the night on Thursday and by Friday morning there were over 500 comments in response to the agency’s explanation.

Rep. Stutes fixates on ferry system, while state needs go unheeded

Suzanne Downing
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14
Rep. Stutes fixates on ferry system, while state needs go unheeded

REPS. MERRICK AND RASMUSSEN SAY PORT OF ALASKA AND JUNEAU ACCESS  ARE BEING IGNORED

Following the third public hearing on the Alaska Marine Highway System budget, other legislators are saying enough is enough to Rep. Louise Stutes, who chairs the House Transportation Committee. At a press availability, they and Rep. Colleen Sullivan-Leonard said the state infrastructure needs are being ignored by the House Democrat-led leadership.

Hundreds of Alaskans, and some from Washington State, have testified in Stutes’ committee this week that they want the ferries to remain with either existing funding or more funding. One testifier said the proposed budget cuts were “political terrorism.” None has offered suggestions about how ferries could operate differently, such as having users pay for their own fares, rather than having the state pay for the fares of Alaskans and tourists.

Rep. Sara Rasmussen (R-Anchorage), and Rep. Kelly Merrick (R-Eagle River) said the state has other needs, and those are being dismissed by the Transportation Committee chairwoman as she fights for ferries for her district.

“While the House Transportation Committee sits through yet another session of testimony this afternoon on the Alaska Marine Highway System, the rest of our state’s transportation and infrastructure issues continue to be neglected,” said Rasmussen.

“While I understand the importance of the Marine Highway System and generally support efforts to continue ferry service in a cost-effective manner, there are other important issues that warrant our immediate consideration. Our state owns and operates 239 airports, including Ted Stevens International Airport. The Port of Alaska, which imports 3.5 million tons of food and goods Alaskans need annually, is crumbling and needs repairs. We have thousands of miles of highways and railroads that need to be maintained. These issues are critically important to our ability to grow Alaska’s economy and they’re being completely ignored. Rather than spending hours fixated on one government system, we should be focusing on the whole – investing our time and resources in modern infrastructure through projects like the Juneau Access Road – that could fundamentally revolutionize both the economies of Southeast Alaska and the rest of the state.”

The Port of Alaska is owned by the Municipality of Anchorage, but needs at least $2 billion in repairs to remain usable. Some have suggested it be transferred to the State of Alaska or to a state port authority, since the majority of Alaska’s goods come through that port. The docks will have to start closing due to corrosion within about nine years, and new docks will take at least eight years to build.

Merrick, who lives in Eagle River, spoke to the needs of the Juneau community, where she was born and raised. “I also believe that this is an opportunity to look for long-term, fiscally responsible solutions that will bolster tourism and industry in the region without forcing Alaskans to give up more of their Permanent Fund Dividends,” said Merrick.

“We need to think about investing in capital projects like the Juneau Access Road and maintenance to improve our state’s existing infrastructure and accessibility. Advancing these projects in Alaska creates jobs that our state desperately needs,” she said.

The Juneau Access Project was killed by former Gov. Bill Walker.

But Stutes, who represents Kodiak, Seldovia, and Cordova, is on a mission to fully fund the ferry system. Must Read Alaska learned that Stutes has sent a video crew onto the M/V LeConte to do a promotional video in support of the existing funding of the ferry, and the transportation needs of coastal communities. No word yet on how the video is being funded.

Cruise industry, Juneau settle lawsuit

Suzanne Downing
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3
Cruise industry, Juneau settle lawsuit

NO MORE BRONZE WHALES

A lawsuit that Cruise Lines International Association of Alaska filed against the City and Borough of Juneau has been settled. The city will not appeal the decision that went against it in December, when U.S. District Court Judge H. Russel Holland agreed that the head tax being collected was not being spent in accordance with the U.S. Constitution’s Tonnage Clause.

That clause prohibits states from taxing cargo without the consent of Congress if they aren’t providing some kind of service to the ship itself. At issue was a long sea walk and an artificial island adjacent to a bronze whale that was far away from the actual operations of the ships and the docks that support the industry.

The agreement between the parties is scheduled to be adopted at a special Assembly meeting on Friday, March 22, at 5 p.m.

“This agreement is a great solution for CLIA, CBJ, cruise ship passengers, and all Alaskan port communities. I’m so happy to move beyond litigation and get back to the collaborative work of growing and supporting our economic development. This agreement solves the underlying tension between Juneau’s need to exercise local control and CLIA’s need to have predictable applications of the law and implementations of fee and tax policy that don’t create unintended consequences. My only regret is that the parties didn’t find this practical solution sooner,” said City Manager Rorie Watt.

The meat of the agreement is:

  • Juneau will use passenger fees to continue providing services and infrastructure to cruise ships including: restrooms, signage/wayfinding, motor coach staging, crossing guards, fire and emergency medical service, and police patrols. There would be no change from historical practice in the port area.
  • Juneau will use passenger fees to fund up to 75 percent ($9.3 million) of the $12.4 million Statter Harbor project. The remainder of the project costs will come from local sources.
  • Legal fees for both parties will be reimbursed.
  • Juneau will continue to develop the downtown waterfront in accordance with the Long Range Waterfront Plan.
  • Passenger fees will not increase for the next three years.

Both parties also agreed to meet annually to discuss any new proposed Juneau projects and services that may be funded with passenger fees. Moving forward, Juneau and the cruise industry will agree to settle future disagreements through discussion or mediation before resorting to litigation.

CLIA filed a lawsuit in the spring of 2016 alleging CBJ was unconstitutionally collecting and spending fees collected from cruise ship passengers.

“Litigation was hard on everyone, but we all suffered enough to fully appreciate the value of a strong working relationship. I especially applaud CLIA’s willingness to step up, acknowledge community impacts, and be a partner in the provision of necessary services and infrastructure,” Watt said.

[Read: Juneau loses lawsuit]

“We are very pleased to reach a resolution with the CBJ and certainly appreciate the mayor, assembly and city manager’s considerable efforts toward, what is a very positive outcome,” said John Binkley, the president of CLIA-Alaska. “The agreement achieves our goal of providing certainty and predictability of how passenger fees will be utilized going forward; while still supporting services to our guests and the local community.”

House Majority to travel the state for budget testimony

Suzanne Downing
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14
House Majority to travel the state for budget testimony

ROAD TRIP WILL PIT DEMOCRAT-LED MAJORITY AGAINST GOP GOVERNOR

The House Finance Committee is hitting the road to take testimony from people all over Alaska, according to Speaker Bryce Edgmon, a Dillingham Democrat who recently changed his party to undeclared to allow Democrats to control the House.

The purpose of the trip, details of which are yet to be revealed, is for Finance Committee members to have field hearings about the governor’s proposed budget, with its $1.6 billion in cuts, and the yet-to-be revealed House Democrat-led Majority alternative budget.

Over a month has passed since the governor proposed his budget, and neither the House nor Senate have offered an alternative. But they have held numerous hearings.

At a third public hearing today on the ferry system cuts, the House Transportation Committee heard from more ferry proponents, angered by the proposed 75 percent cut to the Alaska Marine Highway System. One of the callers said it was a form of “political terrorism” to cut the ferry system. Another said it was obvious that ferry riders were not among the governor’s “special interest groups.” By now, hundreds have testified in that committee alone over the past three days.

Following the speaker’s announcement, Rep. Colleen Sullivan-Leonard (R-Wasilla) released a statement critical of the move:

“After waiting nearly a month to organize the House, the fact that the Democrat-led House Majority now plans to spend tens of thousands of state dollars to fly members around the state campaigning for an increase in government spending in the middle of legislative session is astounding to me,” said Sullivan-Leonard.

“This is a great depiction of why the people of Alaska do not trust in their legislature – we’re in the middle of a huge budget deficit and House leadership wants to spend money that we do not have to try and advocate for spending even more money that we do not have. Other departments in the government are cutting their state travel budgets down by 50% or more – they didn’t give that money to the Democrat-led House Majority to spend for them.”

Sullivan-Leonard noted that members of the House Finance Committee were not made aware of the plans and several of them have already spent time and funds attending town hall meetings and caucuses in their districts.

“Spending precious dollars to peddle political motives in this way is disingenuous and irresponsible,” she said.

Murkowski votes down border emergency, joining 11 other Republicans

Suzanne Downing
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32
Murkowski votes down border emergency, joining 11 other Republicans

SULLIVAN VOTES IN SUPPORT OF EMERGENCY

Twelve Republicans joined Senate Democrats in voting to overturn the president’s national emergency declaration today.

Sen. Lisa Murkowski of Alaska was among them, but Sen. Dan Sullivan voted against the House resolution to block President Donald Trump from proceeding with the construction of a border wall without the approval of Congress.

The 59-41 vote in the Senate will likely set up a Trump veto.

 

In addition to Murkowski, Republican Sens. Mitt Romney of Utah, Lamar Alexander of Tennessee, Susan Collins of Maine, Rand Paul of Kentucky, Mike Lee of Utah, Pat Toomey of Pennsylvania and Jerry Moran of Kansas, Rob Portman of Ohio, Marco Rubio of Florida, Roger Wicker of Mississippi and Roy Blunt of Missouri voted for the House resolution.

On Twitter, Trump said “a vote for today’s resolution by Republican Senators is a vote for Nancy Pelosi, Crime, and the Open Border Democrats!”

But Murkowski said she was voting for House Joint Resolution 46 because, “I take very seriously my oath to uphold the Constitution, and my respect for the balance within the separation of powers. Article 1 provides that the power to appropriate lies with the legislative branch. When the executive branch goes around the express intention of Congress on matters within its jurisdiction, we must speak up or legislative acquiescence will erode our constitutional authority,” said Senator Murkowski.  “We can and must address the President’s very legitimate concerns over border security, but we must not do it at the expense of ceding Congress’ power of the purse.”

Sen. Dan Sullivan said that after weeks of study of the crisis on the Southern border, and the historical uses of executive authority, as well a the role of Congress and the direction given by the Constitution, he was a yes vote.

“After much reflection, I have concluded that today’s vote was primarily about the underlying emergency and, as I have consistently stated, there is no doubt that a crisis exists at the border. With the influx of drugs, crime, and human trafficking as a result of a porous southern border, I could not vote for a bill that, in effect, would block the President’s attempt—using authority authorized by Congress and previously invoked by numerous Presidents—to better secure the border and keep Americans safe.”

The House had earlier passed the resolution on a vote of 245-182, with Congressman Don Young voting against the Democrat-led legislation.

More than 76,000 illegal border-crossers were apprehended crossing the southern border in February, the highest February in a decade and more than any month during the 2014 border surge during the Obama presidency.

Last week, U.S. Customs and Border Protection released statistics on Southwest Border apprehensions for fiscal year 2019 and called it a humanitarian and national security crisis.

“Family Unit Aliens are crossing our borders in record numbers. This fiscal year to date, CBP has seen a more than 300 percent increase in the number of family units apprehended compared to the same time period in fiscal year 2018. Today, family units and unaccompanied alien children make up 60 percent of apprehension that have occurred along the southwest border and are predominantly from Central America, namely Guatemala, Honduras, and El Salvador.

“Additionally, there have been 70 large groups of 100 or more individuals totaling 12,069 apprehensions, compared to what Border Patrol encountered in FY18, which was 13 large groups, and in FY17, which was only two.

“We are currently facing a humanitarian and national security crisis along our southwest border. The vast increases in families and children coming across our border, in larger groups and in more remote areas, presents a unique challenge to our operations and facilities, and those of our partners, including the NGOS who work to assist these individuals and families throughout their immigration proceedings,” said CBP Commissioner Kevin K. McAleenan. “This is why I am working with our government partners and have identified additional funding for humanitarian resources in the field, including expanded medical protocols, and the addition of a more appropriate central processing center to handle the increased volumes of family units and unaccompanied minors.”

The border agency is increasing medical support for the illegal immigrants, with an emphasis on treating juvenile detainees.

CBP will also expand contracted medical support in major “high-risk” locations at and between ports of entry along the border where families with children are crossing. This will include medical assessments by registered nurses and family nurse practitioners.

CBP is standing up a Centralized Processing Center in El Paso, Texas, to increase the care of and provision for UAC and FMUA in the temporary custody of CBP while awaiting disposition by ICE and/or placement with HHS.

Remembering what Dunleavy ran on

Suzanne Downing
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3

ANCHORAGE DAILY PLANET

With the Department of Revenue spring oil price and production forecast due in a few weeks, with Senate leaders struggling to find a way to reduce the shock of shrinking the state budget by $1.6 billion and time ticking away, some lawmakers are looking for an easy way out.

Some of them – surprise – are thinking about turning to the Permanent Fund dividend to ease the pain of the huge spending reduction and spreading it over two or three years. That would be a bad idea.

That Gov. Mike Dunleavy’s proposed balanced budget will be modified by the Legislature as it rushes to protect its sacred cows is unarguable, but Dunleavy ran on paying a PFD as per state law. It will be interesting to see how far he will go using his bully pulpit or his veto pen to deliver what he promised. The Legislature sets the budget, but Dunleavy can make it sorry.

Dunleavy, if you will recall, also vowed he would balance the budget, repay Alaskans three years of dividends short-stopped by former Gov. Bill Walker and the Legislature, and said he opposed an income tax.

All that is a tough sale, and we do not envy legislators in Juneau wrestling with the nearly impossible task of shrinking state government, and attempting it without even knowing for certain how much revenue the state likely will receive in the coming year. Lawmakers rely on oil price projections in an incredibly volatile market. Instead of fixing that problem years ago by forward-funding government while the treasury was full, lawmakers are left to shadowbox in the dark.

If nothing else, the $1.6 billion budget reduction has been a wakeup call, an eye-opener, for lawmakers and ordinary Alaskans alike. Keeping in mind that 145,631 Alaskans voted for Dunleavy’s agenda, you have to wonder whether lawmakers actually will turn to cutting the dividend in lieu of cutting government.

From where we sit, if they do, there will be lots of new faces in the Legislature soon.

http://www.anchoragedailyplanet.com/150875/pfd-cuts-and-new-faces/

Report to readers: 11,000 comments and counting

Suzanne Downing
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15
Report to readers: 11,000 comments and counting

Dear Must Read Alaska Nation,

I just approved the 11,000th comment on this site, which seems like a good time to write about what this editor looks for when approving comments on stories.

But first, a moment for gratitude: I truly appreciate that people comment on the stories on this site, which has been an independent news source for Alaska for the past two and a half years. Must Read Alaska is now read by more than 10,000 people a day (except Saturdays), and the comments make it an even better place for readers.

All sites are subject to attacks by harassers and spam, and this one is no different. That’s why Must Read Alaska has a spam filter — and it usually catches the unsavory spammers automatically.

Sometimes, however, the spam filter snags a legitimate comment. But with the volume of spam, that valid comment may end up in the trash. If you didn’t see your comment posted, that could be the reason, because there are not enough hours in the day to go through all the spam. It has happened to some of you, and I apologize. Send me a note if that happens to you.

Each comment is reviewed before it appears. Little grammar errors will get a helping hand, when there’s time. Occasionally a writer will suggest that a politician needs to be “tarred and feathered,” and he or she will run into Must Read Alaska’s subjective “good taste” filter. That type of phrase, even if meant as an idiom to indicate humiliating criticism, may get edited out. Writers with a colorful way with words don’t always realize that a term like that can be interpreted as a threat, and Must Read Alaska doesn’t allow threats, even when they may have been simply an expression of frustration.

Also not allowed are vulgarities or hateful language, all of which are subjective. If you’re writing about transgendered folks (and the topic is a hot one these days), calling them “trannies” is demeaning, (in the same way that when they speak of heterosexuals, they sometimes say “breeders,” which is an unnecessary label). With all the gender-bending these days, this is an area that is especially difficult to adjudicate as an editor, as the accepted usage is always changing.

Most of all, I want you to know how gratifying it is to read the informed, smart, caring, sarcastic, lively, tart, and well-crafted comments that Alaskans send. Some regular commenters really know their stuff, and it’s apparent that Must Read Alaska is reaching non-conservative readers, and they are responding to stories with their own opinions. That’s a trend that has developed over the past year, and this site values civil contrarians.

Thank you for reading. Thank you for writing. I’m so very grateful.

– Suzanne

Municipal League prez tells bond buyers: Expect defaults

Suzanne Downing
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25
Municipal League prez tells bond buyers: Expect defaults

TIM NAVARRE’S SCORCHED EARTH QUOTE TO THE FINANCIAL WORLD

The Bond Buyer is a serious publication that only the elite financial world reads; a subscription costs a minimum of $3,420 per year and is aimed at the serious investor.

Those serious investors were provided a story last week in which Tim Navarre, the president of the Alaska Municipal League, told the publication that Gov. Michael Dunleavy’s budget cut was so severe, that Alaska municipalities would absolutely default on their debts.

That’s because the 2020 budget proposal stops paying for debt chalked up by local governments.

“The funding shift is so severe at the local level that if the budget passes as proposed, there is no question that some municipalities would default on their bonds,”  Navarre told The Bond Buyer reporter.

The Alaska Municipal League represents 165 cities and boroughs in Alaska with a mission of being the “unified voice of Alaska’s local governments to successfully influence state and federal decision making,” and to “build consensus and partnerships to address Alaska’s Challenges.”

The article by Keeley Webster was published March 7, and primarily it addresses the recent Fitch Ratings warning of credit rating downgrades for municipalities across the state, if the state pulls its funding from the school bond debt reimbursement program.

Reductions in state formula school funding could also pressure boroughs, creating budget stress for borough governments and potentially crowding out other services, Fitch has speculated.

In addition, the reduced state funding for locally approved bonds could also lead to higher local taxes.

Although boroughs are responsible for making bond payments on most school districts’ bonds, the state pays about 60 percent of those new school bonds. It’s by tradition, however.  These bond debt reimbursements have always been subject to annual appropriation.

The amount of debt service the Anchorage School District would lose under the proposal is $40 million, as well as $110 million of the state’s contribution to its operating budget.

The Anchorage School District had $259 million of general obligation bonds currently outstanding; those it will pay over the next five years.

During the current municipal election that ends April 2, the school district has bonds worth another $59 million it’s asking voters to approve.

Anchorage and the Mat-Su Borough are the school districts most affected by the budget decision, according to the story, because they have hundreds of millions of dollars they owe. Taxes would go up, and if ratings agencies perceive risks, the cost of borrowing would go up, too.

However, the municipalities have many options with their bonds. Voters could turn down the current $59 million request. And both the district and the muni’s could actually consider belt-tightening, like the state is trying to do.

Navarre, whose brother was one of Gov. Bill Walker’s commissioners, seems to be saying that local governments have become so dependent on state subsidies that they cannot exist on their own without defaulting on bonds.

It was a deeply irresponsible interview, for the head of the Alaska Municipal League to be undermining the perceived creditworthiness of his members and thereby driving up their borrowing costs. In an effort to take a potshot at the Dunleavy Administration, he instead shot his own members in the foot.

Moreover, Navarre reveals a misunderstanding of the budget process. The Administration simply proposes a budget; it is the legislature who, after lengthy hearings and deliberation, actually passes a budget. Navarre is getting way out ahead of his skiis if he thinks the governor’s budget proposal will be enacted as submitted. It will not. In the meantime, he may have spooked the municipal bond markets at a crucial moment.

It will be interesting to see what the Alaska Municipal Bond Bank has to say about Navarre’s take on the helplessness of municipalities.

 

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