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Chris Hladick new pick for Region 10 EPA

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Gov. Bill Walker’s commissioner of Commerce, Community and Economic Development is the new director for the Environmental Protection Agency Region 10, according to sources familiar with the process. The announcement will be made next week.

Hladick oversees six divisions and seven corporate agencies for the State of Alaska.

According to his bio at the State web site, he is on the boards of the Alaska Housing Finance Corporation, Alaska Marine Pilots, Alaska Railroad Corporation, and Alaska Seafood Marketing Institute. Hladick also serves on the National Marine Protected Areas Federal Advisory Committee’s Arctic Working Group and on the Arctic Council’s Arctic Marine Cooperation task force.

In 2011, Hladick was appointed by the Alaska State Legislature to the Alaska Arctic Policy Commission. He is also a  member of the Alaska Municipal League and the Southwest Alaska Municipal Conference.

Hladick was Unalaska city manager for 14 years. At Unalaska, he fought the federal government and won after the Department of Justice threatened $158 million in fines, claiming the city had for years dumped sewage pollutants into the harbor. The EPA wanted to impose up to $37,500 a day for violations. His fighting of federal overreach was an important factor in him winning the EPA post.

Previously, Commissioner Hladick served as city manager in Dillingham, Alaska, and as the city manager and public works director in Galena, Alaska.

As the Region 10 director, he will be front and center on the decision about whether the federal agency will allow the Pebble Limited Partnership to proceed through a fair and thorough vetting process for the proposed Pebble mine in Western Alaska.

That could be awkward. Gov. Walker has come out against the mine, saying he has not been convinced it will be safe to the salmon in Bristol Bay, hundreds of miles away.

Earlier this month, Pebble presented the outline of a new concept for the mine, with a much smaller footprint and addressing all of the EPA concerns that became barricades during the Obama Administration, when Gina McCarthy was the Administrator.

[Read: Pebble has a new plan: Almost exactly what EPA asked for]

[Read: Pebble CEO responds to Walker statement: ‘He is correct’]

Gov. Walker earlier put Hladick on the Alaska Gasline Development Corporation board, but later removed him during a week of drama at the governor’s gasline corporation. Walker removed Hladick and John Burns from the board, and the  next day the president of AGDC, Dan Fauske, resigned.

Evidently, Hladick was not good enough in the governor’s eyes to be on the AGDC board, but is good enough to run District 10 of EPA, which covers the Northwest. Walker is known to have written a letter of support for Hladick’s candidacy.

Fred Parady is deputy commissioner of DCEED and will likely serve as interim commissioner while a replacement is determined.

Must Read Alaska will update this story as details become available. 

That Premera rate decrease in Alaska? It might just hold

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Critics said he is trying to sabotage Obamacare, and that he has paid the subsidies for the several months that he has been president, so they ask why he is stopping now.
The answer is likely that Congress didn’t act on reforming the law that has damaged many Americans, so he’s acting.
The Trump Administration, by ending the subsidies to insurance companies, brought the balance between the branches of government.
Last year, a federal judge ruled that Obama had exceeded presidential authority by sending over $7 billion in annual subsidies to health insurance companies. U.S. District Judge Rosemary Collyer of the District of Columbia agreed with the U.S. House of Representatives, which had sued over Obama paying the subsidies even after Congress had rejected the administration’s request in 2014.

Collyer wrote that for subsidy payments to be constitutional, Congress would have to approve annual appropriations.

The question is whether the subsidies can be funded through a permanent appropriation, as argued by Obama. “It cannot,” Collyer wrote.

Trump is agreeing with Judge Collyer, that without an annual appropriation, the subsidies have been illegal for years.

“We will discontinue these payments immediately,” said acting HHS Secretary Eric Hargan on Thursday.

On Twitter, Trump sent the message: “The Democrats ObamaCare is imploding. Massive subsidy payments to their pet insurance companies has stopped. Dems should call me to fix!”

HOW IT IMPACTS ALASKA
How will that affect Premera Blue Cross Blue Shield, the only insurer offering policies on Alaska’s individual health insurance market? When it filed for a 22 percent decrease for purchasers next year, Premera already assumed the subsidies would end.

PREMERA BOOKED PROFITS ON ALASKA

For the first quarter of 2017 according to Axios, Premera made $27 million in profit. Some $55 million in State money props up Premera in Alaska, covering the costs of the most expensive patients through a unique state-funded reinsurance program. Last year, the nonprofit company made $18 million in profit on Alaska Obamacare enrollees, but it has suffered losses in prior years.

A state divided: Justice banished in rural Alaska

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ATTORNEY GENERAL SAYS COMMUNITIES MAY KICK PEOPLE OUT

By CRAIG MEDRED
CRAIGMEDRED.NEWS

From his home in rainy Ketchikan near the southern end of the Alaska Panhandle, former Alaska Commissioner of Public Safety Dick Burton watches the slow but steady tribalization of the 49th state and wonders what is to become of the land he loved.

Now 80 years old, Burton’s association with Alaska law enforcement stretches back to territorial days. He was commissioner under two very different governors – greenie Jay Hammond, the self-proclaimed “Bushrat” from a homestead in the wilderness on the shores of Lake Clark, and Wally Hickel, the brash developer who helped rebuild Anchorage after the Good Friday earthquake and dreamed big of a future state where business thrived.

Both, however, saw Alaska as a unified, multi-ethnic entity where Alaskans of all shapes, sizes and colors battled their way forward to a future they could all agree on even if it was never perfect. And today, Alaska is splitting into two states – one urban, middle class, diverse and governed by the laws that prevail most everywhere in the United States; the other poor, rural, Native and starting to be governed by its own set of laws.

As the state’s top cop under two governors, Burton admits he was concerned when Togiak, a Native village in far Western Alaska, earlier this year held a 72-year-old white man hostage for days alleging he was illegally selling booze before duct-taping him, loading him onto an airplane and flying him out of the village after a mock trial at which the community voted him guilty.

“Why in the hell didn’t the (Alaska State) Troopers respond to it?” Burton asked in a telephone interview this week. “It’s kind of like if my city council in Ketchikan decided to kick me out.”

Burton has only become more concerned about the situation in the wake of a statement by the Alaska Attorney General that she is going to ignore these sorts of actions.

“We recognize that it presents constitutional challenges,” AG Jahna Lindemuth told the Alaska Dispatch News last week. “But I don’t think it’s the state’s place to approve or disapprove of anything.”

[Read more at CraigMedred.news]

Quote of the Week: Tarr hates on Pebble

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“Let’s stop Pebble Mine! You can comment today at the link below!”

– Rep. Geran Tarr on social media.

Tarr could be the most anti-resource development co-chair that the House Natural Resources committee has ever had.

The Pebble mine project, in its scaled down form, is proposed for State land set aside decades ago in Western Alaska for mining, and her committee has oversight for the Department of Natural Resources.

And yet, she has prejudged a proposal that will need permitting from that department.

Is Tarr saying that Pebble should not be allowed to go through the State permitting process? Will she be using her official capacity as a lawmaker to stop the project?

Gov. Bill Walker made similar anti-Pebble comments earlier this month, saying he had not been convinced the Pebble project would be safe for salmon. It was widely interpreted by the media as being opposed to the project.

[Read: Pebble, EPA come to terms over lawsuit]

Obamacare was never bipartisan: Therein lies the problem

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By WIN GRUENING
SENIOR CONTRIBUTOR

There are a lot of smart people in America we’d expect could address our healthcare debacle and show us a way forward. But, like many issues confronting America, the arguments are politically driven with so many competing interests at play, Americans throw their hands up and blame the most convenient target.

The targets are numerous. The medical profession, drug companies, hospitals, insurance companies, specific politicians, collectively Congress, and, of course, Donald Trump (who like El Nino and climate change gets blamed for everything).

You would think following their first unsuccessful attempt repealing Obamacare, Republicans would learn. Using the same formula, their most recent attempt to pass a bill with no bipartisan support was doomed to fail.

While the diversity of ideas in the Republican Party is admirable, it meant their proposed bill was too liberal for some or not conservative enough for others. Ironically, the Republican’s tolerance for ideological diversity has allowed Senate mavericks like Lisa Murkowski, John McCain, and Susan Collins to singlehandedly stop bills from passing.

The real irony, of course, is that it’s the Democrats who got us into this fix in the first place. Obamacare wasn’t an attempt to achieve a bipartisan solution – it was simply rammed through with no Republican votes and no Democratic defections.

Little wonder Republicans thought they could pass a much less far-reaching and less controversial bill the same way.

But that was then, this is now.

The litany of promises (you can keep your plan, you can keep your doctor, your premiums will be lower) later proved to be false and have contributed to the lack of trust in the claims now being made by both sides.

Yes, under Obamacare, more people have coverage but many with unaffordable premiums and deductibles – essentially making their insurance unusable.

As Peggy Noonan pointed out in a recent Wall Street Journal column, the path for healthcare reform must necessarily go through the Democrats in Congress. Despite the fact they lost the White House and both houses of Congress, the minority party still holds the cards that will ultimately allow Obamacare to be, if not repealed, then certainly made better.

It doesn’t seem, however, that either party sees the price that will be paid if agreement isn’t reached. Public trust in our democratic institutions and our political leaders on both sides are at all-time lows. How long that can continue before there is another political earthquake is anyone’s guess.

Many Democrats no longer disguise their preference for a “single-payer” healthcare system (like Medicare). Indeed, some even favor a single-payer/provider healthcare system (like the problem-plagued VA system).

While a recent Kaiser Family Foundation poll reflects 55% of America favor a single-payer system, when respondents hear the argument it would give the government “too much control,” 61 percent oppose it.

When tax increases are mentioned as a way to pay for it, 60 percent oppose it.

It’s always easier to sell a healthcare plan when users don’t realize they will have to pay for it or their choices will be limited.

The wildly optimistic claims from single-payer proponents need to be examined with some skepticism.

Advocates argue that a single-payer system could result in long-term savings up to 40% of all national health expenditures – a range from $350 billion per year to $570 billion per year.

Despite the fact many government programs historically are rife with fraud, incompetence, waste, and abuse of power (such as the IRS, Medicare and VA hospitals) advocates promise savings would be realized through preventive care and elimination of insurance company overhead and hospital billing costs.

Opponents argue single-payer systems don’t translate into better health care. Instead, access to health care diminishes under single-payer systems, and the overall quality of care suffers. It’s highly likely that government efforts to reduce costs within a single-payer system will create shortages of doctors, thereby increasing wait times and reducing access to medical services.

Nevertheless, some provisions of Obamacare that remain popular with the public such as insuring pre-existing conditions and Medicaid expansion need to be carefully considered if Republicans ever hope to get reforms passed.

Democrats, on the other hand, should stop equating more insured Americans with better health and lower costs. This hasn’t proven to be the case under Obamacare and we have no reason to believe it will in the future.

Medicaid expansion under Obamacare has been particularly problematic and needs to be addressed – especially in Alaska – where Medicaid recipients receive free Cadillac coverage while many Alaskans struggle with stratospheric insurance premiums and deductibles.

Up to now, many politicians and their constituents have been unwilling to compromise to a degree necessary to reach agreement.

Continued delay only serves to increase resentment of our elected leaders’ inability to act and damages both parties in Congress.

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 various local and statewide organizations.

 

Alaska Republican Party critiques Murkowski, supports Trump

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Resolutions voted on this week by the Alaska Republican Party State Central Committee show weak support for Sen. Lisa Murkowski and exceedingly strong support for President Donald Trump.

The votes also show Republican activists favor the repeal of SB 91, and support the Alaska Permanent Fund Dividend being enshrined in the Alaska Constitution with the traditional payment formula used prior to Gov. Bill Walker’s political method used in 2016:

Resolution 1: Condemn US Sen. Lisa Murkowski’s vote against Obamacare Repeal

  • Passed 55% to 45%

Resolution 2: Withdraw support for SB 91 and Urge Repeal of SB 91 (Criminal justice reform)

  • Passed 92% to 8%

Resolution 3: Urge Alaska media to reject and stop using propaganda from Southern Poverty Law Center

  • Failed for lack of enough votes either way – no quorum

Resolution 4: Encourage Alaska federal delegation to support President Trump’s agenda

  • Passed 86% to 14%

Resolution 5: Support constitutional protection for the Permanent Fund dividend

  • Passed 77% to 23%

“This is a grassroots politics at its best. These are the volunteers representing all regions of the state weighing in on issues of the day,” said Tuckerman Babcock, Alaska Republican Party chairman.

The resolutions are bellwethers about where Republicans stand, he said, and they have the same basic power as the party platform.

Bigly: Trump begins unwinding Obamacare mandates

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Buying health insurance across state lines by allowing employers to create interstate associations?

It may not be perfect or the complete answer, but President Donald Trump today signed an executive order that is a cannon ball across the bow of Obamacare — and the Democrats and three Republicans who blocked health care reforms.

The New York Times was not happy:

Foiled in Congress, Trump Signs Order to Undermine Obamacare

But for Alaska’s small businesses, the implications are free-market huge: Alaska companies will be able to form associations to buy insurance for their workers across state lines.

“This is a welcomed move by the President as he tries to ease the burdens of Obamacare by unraveling some of its costly regulations, increasing competition, and most importantly, without using billions of taxpayer dollars to prop up this collapsing law,” said Jeremy Price, director of Americans for Prosperity Alaska. “In Alaska, with the help of some legislators, Gov. Walker propped up Obamacare instead of letting it fail, and he expanded Medicaid with no limits on enrollment and no work requirements. Quite the contrast.”

The president’s order directs the departments of Health and Human Services, Labor, and Treasury to allow businesses to band together to create “association health plans.”

It also allows individuals to buy short-term health insurance in the Obamacare insurance exchanges — another positive change for Alaskans who must buy their health insurance from the one provider in Alaska’s Obamacare monopoly: Premera Blue Cross Blue Shield.

Earlier this year, Premera BCBS filed insurance rates for 2018 with a 21.6 percent decrease for customers on individual Affordable Care Act plans. This was after the rates had more than doubled since Obamacare went into effect.

“Seven years ago, congressional Democrats broke the American healthcare system by forcing the Obamacare nightmare onto the American people,” Trump said today. “And it has been a nightmare. You look at what’s happening with the premiums and the increases of 100 percent and 120 percent, and even in one case, Alaska, over 200 percent.

“And now, every congressional Democrat has blocked the effort to save Americans from Obamacare, along with a very small, frankly, handful of Republicans — three. And we’re going to take care of that also because I believe we have the votes to do block grants at a little bit later time, and we’ll be able to do that.

“Premiums have gone skyrocketing,” Trump said. “But today, one-third of all the counties in America have only a single insurer selling coverage on an exchange, and next year it looks like nearly half of all counties in our country — think of that — all of the counties, one half will have only one insurer. And many will have none. Many will have absolutely created roadblocks for people to have any form of the insurance we’re talking about.”

Americans have been bailing out of high-cost Obamacare exchanges, with people choosing to pay the IRS tax penalty instead. In 2017, 500,000 fewer Americans enrolled in Obamacare than the year prior.

In Alaska, enrollment has consistently underperformed expectation, with only 14,177 having completed their enrollment and paid for their first month’s coverage by February, 2017.

In 2016, the State reported that 23,000 Alaskans were enrolled, but those who actually paid for their insurance and completed their enrollment numbered 18,000.

On the other hand, 40,000 Alaskans are now in the Obamacare Medicaid expansion program, as the State of Alaska has been aggressively signing people up for the government health care plan.

Trump was joined during the signing of the executive order by Sen. Rand Paul, R-Ky., who has been discussing the proposal with him for months.

“President Trump is doing what I believe is the biggest free-market reform of healthcare in a generation,” said Sen. Rand Paul of Kentucky. He said people will be able to buy insurance across state lines.

Congressional Democrats and three Republicans, including Sen. Lisa Murkowski of Alaska, had blocked Obamacare reform and repeal this year. For Murkowski, she claimed her “No” vote on repeal was a matter of flawed process, but her actions left in place a systematic assault on small businesses, their employees and other private individuals.

Trump’s executive order allows a broader interpretation of the Employee Retirement Income Security Act (ERISA) to allow employers in the same line of business anywhere in the country to join together to offer healthcare coverage to their employees. A broadband telecoms company in Alaska could create an association with another such company in Texas, for example, to offer group insurance.

Employers participating in such a health insurance association can’t exclude employees from the plan and can’t create higher premiums based on health conditions.

The order also directs the Departments of the Treasury, Labor, and Health and Human Services to consider expanding coverage through low-cost, short-term insurance.

Short-term insurance is not subject to costly Obamacare mandates and rules. One study found that on average this type of insurance costs one-third the price of the cheapest Obamacare plans, while providing bigger networks and higher coverage limits. People who are between jobs are the ones who benefit, along with those in parts of the country with only a single insurer — like Alaska.

The executive order also has provisions that will allow employers to make better use of Health Reimbursement Arrangements. These HRAs are employer-funded accounts that reimburse employees for healthcare expenses, including deductibles and copayments.

Expanding HRAs may give American workers greater flexibility and control over how they manage their health care costs.

While the executive order doesn’t direct agencies to adopt specific rules, it asks them to expand access to AHPs, HRAs and short-term insurance options consistent with the law. The change must go through a public comment period before it can be rolled out.

Trump said he would take additional action later to further unwind the onerous rules associated with Obamacare. Earlier this year, the Administration shortened the enrollment window for the Obamacare exchange, from Nov. 1 to Dec. 15. Under the Obamacare Administration, people were allowed to enroll far into the new year because the technical end of the exchange was so disastrous, many were unable to enroll on time.

This month, Trump rolled back the Obamacare mandate that all insurance plans must cover contraception.

Boy Scouts’ membership solution: Girls

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A MOMENT FOR NOSTALGIA, THEN ONWARD

More than 2.4 million boys were enrolled in Boy Scouts of America in 2014. Membership had dropped 13 percent over the previous two years.

This was almost as bad as the drop that newspapers are experiencing in subscriptions. It couldn’t continue.

But it did. In spite of BSA allowing openly gay and transgendered boys to join, by 2016 the enrollment slid another 4 percent, even while the population of eligible boys grew.

This year, the venerable scouting organization will try to staunch the bleeding by allowing girls to join. After all, there are plenty of girls who might prefer being a cub scout rather than remain in girl scouts, for any number of reasons.

While BSA ranks have been thinning, Girl Scout enrollment has dropped just as fast:  it’s down to 2.66 million, a drop of more than 15 percent over three years. GSA is now miffed that BSA is trying to raid their girls-only clubhouse by allowing girls into the boys’ club.

“The value of the all-girl, girl-led environment offered by Girl Scouts cannot be overstated, and is so important to the social-emotional and personal development of girls,” said Andrea Bastiani Archibald, whose job title is “chief girl expert” at Girl Scouts of the USA. “Girl Scouts is a place where girls are free to be girls; to try new things, experiment, and have fun learning from and leading one another. There is no other leadership development program in the world that offers girls this inclusive, safe space, without the distractions and pressures of school and other social settings.”

Well, maybe. They make a convincing argument. Girls and boys are different, and we’re not just talking biology.

But Boy Scouts and Girl Scouts have missions that have adapted through time even since their founding in 1910 and 1912 respectively. They were once overtly Christian. Now, not so much. Boy Scouts once focused on the outdoors. Now, it’s robotics and technology. Girl Scouts were a lot about making crafts and selling cookies. Now, they too focus on robotics and technology.

Maybe it’s time that scouting be scouting. Let the kids choose where they want to participate, and let’s get them back outdoors, camping, hiking and learning to tie knots. And earning merit badges. Let’s help them with structure, in a world where they may have dysfunctional families that provide little or no structure. Let’s instill in them the virtues of walking an old person across the street and standing and saluting the American flag. And they can all do crafts and robotics, especially if the weather is lousy.

Girl Scouts of America will just have to get over it. Change is how the proverbial cookie crumbles. In fact, these organizations, competing for time in the busy lives of families, will have to change or die.

This time, it’s the boys that got it right.

(Disclosure: The writer is a Girl Scout dropout, as there were too many crafts involved.)

Artistic license: Beat Oct. 31 deadline to vote on plate

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The Alaska State Council on the Arts inaugural license plate competition is now open for public voting.

From 142 designs that were submitted by Alaskans of all ages, a panel of judges whittled the concepts down to five. Sen. Mia Costello was on the panel of judges.

Now, Alaskans get to choose from the finalists. The winning design will be produced by the Division of Motor Vehicles and will be available for purchase ($50) for the next four year starting in 2018. The proceeds — about $33 per plate after DMV recoups its costs — support the work of the Council.

Voting closes Oct. 31 and is limited to Alaska residents, although there appears to be no hard-and-fast filter for determining who is voting. This is the arts, after all, not national security.

The winning license plate will be announced by Nov. 30. The designer will win $1,000 and the other four finalists will receive $250 for their efforts.

The program is a result of SB 154, which passed in 2016 and allows for special license plates to celebrate and support the Alaska State Council on the Arts and Blood Bank of Alaska. Sen. Bill Stolze sponsored the legislation, with Rep. Jonathan Kreiss-Tompkins sponsoring it on the House side. This is the first competition to be held since the law passed. The council will hold a competition every four years and retire the prior winning design.

The Division of Motor Vehicles has a number of specialty license plates for everything from historic vehicles to Choose Life.

The finalists in the arts council license plate competition depict mountains, salmon, fireweed, northern lights, a raven, and an old-time food cache. Artists, evidently, don’t find mining or oil production to be artistic inspiration.

But we do…

CELEBRATE THE ARTS — AND WHAT PAYS FOR IT

Must Read Alaska is accepting designs that artistically celebrate rebuilding our Alaska economy.

Send your jpeg designs — and humor is encouraged — to suzanne @ mustreadalaska.com. The winning design, chosen by a panel of me, will receive a Must Read Alaska limited edition blue beanie with the Big Dipper star design. You have until Oct. 31 to get your design in.