Wednesday, December 24, 2025
Home Blog Page 1685

Tailings of two cities: Juneau and Treadwell

Historic photo of men building the road to the Perseverance Mine in Juneau, Alaska in 19908. Tailings from mining created land for a city to grow.
Building the road to the Perseverance Mine in Juneau in 1908.

By WIN GRUENING, SENIOR CONTRIBUTOR

For those who regularly read this column, you may be familiar with my use of Charles Dickens’ references. In A Tale of Two Cities, Dickens’ most famous work, resurrection is a major theme. In a broad sense, the story foresees a resurrected social order, rising from the ashes of the old one.

While Dickens’ novel is historical fiction, the real-life mining history of Juneau and Treadwell draw interesting parallels. In our community’s version of the story, efforts now underway can help resurrect our long-forgotten gold mining fame to its former glory.

Photo of author Win Gruening
Win Gruening

After gold was discovered around Juneau in 1880, several of the most technologically advanced mines in the world were established. These included the Treadwell complex on Douglas Island and the Alaska-Juneau mine located across the Gastineau Channel on the steep mountainside behind Juneau. Both mines, during their respective lives, became the largest low-grade gold mines in the world.

At its height, Treadwell employed over 2,000 people. Five different mills – equipped with 960 stamps – ran continuously 7 days a week. Between 1882 and 1922, over 3 million ounces of gold were extracted. After the mine tunnels caved and flooded 100 years ago, the town of Treadwell never recovered.

The Alaska-Juneau Mine opened in 1897. By its close in 1944 due to manpower shortages, it had produced over $80 million in gold – 11 times the purchase price paid to Russia for Alaska in 1867.

At current gold prices, the mines would be multi-billion dollar companies today. However, the dollar numbers don’t begin to describe how these mines shaped Juneau’s history.

The mines provided most of the employment as well as electrical power and fire protection for their respective towns. Even today, Juneau owes part of its hydroelectric power grid, its water system as well as its extensive trail system to miners who made their living here. Even our visitor industry owes its beginnings to thousands of curious tourists, traveling by steamship to Alaska, who were awed by the wonders of the Treadwell Mine.

According to Alaska-Juneau Mine records, nearly three million tons of AJ rock were used in projects around town. Due to its extreme hardness, along with its non-absorption and compaction qualities, the rock made excellent construction fill.

At the time of settlement of Juneau and Treadwell, Gastineau Channel was characterized by long tidal flats and meandering creek deltas. A very significant impact was how mine tailings were used to augment Juneau’s shore lines, adding acreage and prime real estate.

Before the mines were established, the Juneau shoreline ran along what is now South Franklin Street and Front Street. High tide rose to where the State Office Building now sits along Willoughby Avenue and then further along Glacier Avenue past the high school.

Alaska-Juneau waste rock was placed between the high and low tide line along two miles of Juneau shoreline. Across the channel, Treadwell fine tailings placed on tidelands formed “Sandy Beach” in Douglas where generations of future Juneauites would picnic and play.

By some reports, there were two good reasons for filling in the tide flats. The initial incentive was related to bad smell. Without modern infrastructure, that’s where waste and sewage ended up. Burying them under tons of tailings helped cure that problem.

More importantly, Juneau needed room to expand. Filled tidelands presented opportunities for additional commercial and residential development. Under prior agreements, the fill was provided free of charge. It also was used in construction of modernized streets, the Douglas Bridge, Juneau’s “Rock Dump” industrial area and our airport.

Many facilities in Juneau, including City Hall, Centennial Hall, the Federal Building, and JD High School are built on mine tailings. Approximately one-third of modern Juneau is built on fill from the AJ Mine.

Interestingly, largely due to the unique characteristics of the mined rock, there have been no negative environmental consequences associated with either the AJ or the Treadwell mines.

Today, both mine sites are historical outdoor museums. Underground tours of the AJ workings are available to summer visitors. The Treadwell, maintained as a historic site, contains many artifacts and a few building structures that are being preserved. Interpretative signs and walking tours are provided by the Treadwell Historic Preservation and Restoration Society.

While providing a valuable glimpse into Juneau’s past, these sites may be a herald of our future. The gold is still there and resumption of mining in Juneau is possible.

Our assembly recently voted to appoint a committee to review the current CBJ mining ordinance. Their goal is to standardize and streamline the ordinance to more closely follow the permitting process followed by the Greens Creek Mine and Kensington Mine – two highly successful mines that have significantly added to Juneau’s economic stability.

Mining was once Juneau’s most important industry, it could be again.

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.

 

Homer recall case gets new judge — again

Three Homer City Council members are suing the City of Homer to prevent a recall election. Donna Aderhold, Catrioina Reynolds, and David Lewis, along with the ACLU, are trying to prevent the June 13 election.

The fourth time is a charm.

Anchorage Superior Court Judge Erin Marston is the fourth judge appointed to hear a case brought by three Homer City Council members and the American Civil Liberties Union against the City of Homer.

The lawsuit brought by the three and their ACLU lawyers claims the grounds for a recall election that targets them are invalid, and that their free speech rights are being violated.

The recall organizers, Heartbeat of Homer, say that it’s not the speech of the three that is the issue, but their official actions, as documented in a series of emails between them.

The first three judges were challenged by different parties in the case, whose oral arguments will be heard at 10 a.m. Monday, at the Anchorage Courthouse.

Donna Aderhold, David Lewis and Catriona Reynolds are trying to stop the special recall election, which is set for June 13. Much of the past three weeks has been tied up in finding a judge all parties could agree on.

The case was first assigned to Superior Court Judge Pamela Washington, but the City of Homer challenged the assignment.

Judge Frank Pfiffner was assigned next, but his name was challenged by Stacey Stone, the lawyer representing the citizens who filed the recall petition.

The court then appointed Judge Andrew Guidi, but he was challenged by the ACLU.

Now that each party in the case has had a chance to challenge one judge, the fourth judge, Erin Marston, will keep the case.

The City’s notice for the special election was posted Thursday as required by law. Sample ballots will be printed and available by May 30, unless the judge agrees with the ACLU and its clients.

Heartbeat of Homer has extensive email records that show how three members of the council worked behind the scenes to make Homer a sanctuary city, where illegal immigrants could  find safe haven. The resolution they worked on, in its early draft, claimed that President Trump was not legitimately elected, because he does not have “a popular mandate.”

[Read: Smoking gun: Homer city council members intended to create sanctuary city]

Rep. Foster ditched conference committee for Kentucky Derby party

Rep. Neal Foster was dressed to the nines in a white suit for the Kentucky Derby party in Anchorage on May 6. He was supposed to be available as co-chair of a conference committee on SB 26 in Juneau.

CO-CHAIR OF CONFERENCE COMMITTEE LEFT JUNEAU TO PARTY

Conference committees are where horse trading gets done on bills that end up with two different versions — one from the House and one from the Senate.

But that horse trading can’t get done if the legislators assigned to conference committee decide to play hooky.

At the end of Thursday’s Senate majority press conference, Alaska Senate President Pete Kelly expressed some frustration at the lack of diligence by one particular House member, although he didn’t name him:

“When a critical member to a conference committee, with 10 days left in a session, takes off to go to an Anchorage Kentucky Derby Party and is gone for four days, that’s unacceptable. – Sen. President Pete Kelly

“It was not malicious, don’t get me wrong,” Kelly said. “It’s the kind of mistakes we’ve seen over and over with the House. They don’t seem to understand how you work toward a deadline. The Senate has been very good at that. We said what we were going to do in the very beginning, and we did everything. And we’ll do that in the special session as well. But the House has to engage on a very mature, productive level or nothing is going to get done.”

And with that, Kelly did a mic drop and ended the press conference.

What Kentucky Derby Party? Oh, that one. The annual see-and-be-seen at Simon and Seafort’s restaurant and bar in Anchorage, where ladies show up with bonnets and frocks, and well-dressed men show up with … ladies in bonnets and frocks.

Rep. Neal Foster, a Nome Democrat, attended that party instead of being available for conference committee on the single piece of legislation that can solve the state’s fiscal crisis: SB 26. While he was living large in Anchorage, the conference committee languished and did not meet.

SB26 is the governor’s top priority.  The Republican-led Senate went along with it and passed legislation that the Senate feels will keep Alaskans from having to pay an income tax, while still preserving the dividend program.

The House version put a poison pill into the legislation by requiring parallel adoption of an income tax before the bill can go into law.  The two sides remain far apart on this.

With just 10 days left in the session, Foster was gone until the following Tuesday and was unavailable to meet with his counterparts in the Senate, Sens. Anna MacKinnon, Lyman Hoffman, and Dennis Egan, and Reps. Paul Seaton and Thompson.

Foster is the chair for the House side of the conference committee.

The committee was appointed on April 26 and is tasked with coming to an agreement on the two competing versions of SB 26, easily the most important bill of this legislative session.

Walker doubles down on income tax, but won’t offer it himself

Alaska Gov. Bill Walker not only called the Legislature immediately into a special session last night, he insisted that lawmakers consider an income tax, even though the Republican-led Alaska Senate is firmly opposed to one and seems unlikely to budge.

Walker specified his first seven items for special session, but when it came to the eighth — the tax — he merely stated he wants some sort of “broad-based tax” that the starkly divided Legislature must come up with itself. However, since the only broad based tax proposal on the table right now is the House’s income tax, his eighth item is clearly meant to be an income tax.

Walker, as he did with HB 115, won’t offer the tax under his own name. He’s seen the polling, and it’s heavily opposed to his position and that of the Rasmuson Foundation, which is pushing for an income tax.

The governor’s Chief of Staff Scott Kendall has been visiting House Republicans to talk about what the governor wants, and he’s telling them there is no negotiating: Walker wants it all — higher oil taxes, an income tax, and Permanent Fund restructuring through SB 26.

“Expert testimony to both houses of the legislature has made clear that any complete plan to solve Alaska’s fiscal crisis must close the budget deficit this year, and include a broad-based revenue measure to connect Alaska’s economy to the services government provides,” Walker said in a statement.

What it means to “connect Alaska’s economy to the services government provides” is not clear, but it’s noteworthy that Walker mentions no trimming to those government spending programs.

GOVERNOR’S RACE NOW A FACTOR

The 2018 gubernatorial race now looms over the special session. It’s no secret that Sen. Mike Dunleavy, R-Wasilla is all-but-certain to run for governor. He removed himself from the caucus earlier this year so that he could continue to stand for deeper budget cuts.

But it’s also possible that Senate President Pete Kelly will launch a campaign for governor. He’s been encouraged by many to do so.

If Kelly has any hope of being successful in that endeavor, it means that this battle over budgets and taxes is a battle from which he cannot back down. Kelly is seen as a principled leader and he’s already said he won’t go along with an income tax. Even if he chooses not to run for governor, he’s not the kind of political warrior who will cave on taxes.

If Walker wants to be governor again, he can only hope he loses the battle for an income tax and that Kelly wins this round, because the optics, no matter how much the governor wants to keep the tax off of himself — are bad. Imagine the bill signing ceremony that would take place when Walker has to put his signature on an income tax bill.

Who besides Lt. Gov. Byron Mallott would attend such a ceremony? Rep. Paul Seaton of Homer, perhaps.

It’s more likely that the governor, who is now ramping up into campaign mode, would simply allow the tax go into effect without his signature, therefore keeping the stink of an income tax as far away as possible. However, if an income tax becomes law, the sitting Governor on whose watch it happens will not be able duck responsibility for it.

HOUSE AND SENATE BUDGETS ARE A HALF BILLION APART

The Senate has already compromised with the governor by passing SB 26. They did so and insisted on cuts to the budget to go along with it.

The House Democrats have not compromised, but instead actually increased the governor’s budget by over $200 million, with no argument or signal of disapproval from Walker.

Between the Senate’s $300 million in cuts and the House’s $200 million in add-ons, the two bodies are $500 million apart on spending.

Special session starts today at 11 am. The governor will have to send pink slips to State employees on June 1, and with the governor’s game of chicken, a government shutdown might be in the works for July 1. Savvy Alaskans may want to get all their licenses renewed and paperwork filed before that date.

Protesters yell at Sullivan, embrace Murkowski, shame-fest at Capitol

March on Fairbanks showed Sen. Lisa Murkowski some love last week. They weren’t so kind to Sen. Dan Sullivan.

TALE OF TWO TOWNHALLS

Sen. Dan Sullivan hosted a townhall meeting in the Interior on May 12, which is something that the Indivisible Alaska group and all its protester look-alikes have been demanding since Donald Trump’s election to the White House.

But when Sullivan scheduled the meeting, the protesters were confused and started peppering the March on Fairbanks organizers with questions: What do we do? Do we protest?

Democratic Socialists of Anchorage thought so. They posted on Twitter: “dan sullivan is holding a town hall in north pole tomorrow. we’re hoping that backfires.” [sic]

March on Fairbanks took the higher road in answering the confused protesters. The group’s response on Facebook was:

“My answer is NO! We asked for a public conversation with his Fairbanks constituents and he is doing exactly what we asked. I know we are frustrated by the current political climate but this is an opportunity to go and voice your questions and concerns. Do it peacefully – do not give our Senators any reason to fear their constituents or avoid holding public meetings in the future. Get there early as I expect it will be crowded!”

Afterward, the group made no mention of its reaction to the Sullivan townhall, although liberals posted criticism that it was held in North Pole, rather than Fairbanks.

Poet Linda Schandelmeier of Indivisible Alaska was asked to introduce the senator, and when Sullivan explained to the crowd that Obamacare had hurt Alaskans more than any other group of Americans, the boos and hurled insults rang out, to the point where it was unclear if the townhall could continue.

The meeting, held at a church, was packed with “progressives” and raucous protesters, and in spite of March on Fairbanks’ pleas to not behave badly, many modeled themselves after the #resist protesters in the Lower 48.

[Editor’s note: Sen. Sullivan’s office takes issue with this “raucous” characterization. In a note from Communication Director Mike Anderson, he described it thus: “Those of us who were there with Senator Sullivan would characterize the crowd as “spirited” and respectful–certainly not raucous. At no time was the town hall in danger of being cancelled. The Senator very much appreciates those who attended, and looks forward to continuing to meet with fellow Alaskans both on an individual basis, and in small and large groups. Finally, the Senator wants to thank Fairbanks resident Linda Schandelmeier, who introduced the Senator, set the tone, and reminded all of us that, in her words, “democracy requires a civil dialogue, and we can’t understand each other unless we’re willing to listen to each other.”]

But when the next day Sen. Lisa Murkowski held her townhall, the same group not only took multiple photos with her, but posted this paragraph on Facebook:

Today Senator Lisa Murkowski took time out of her crazy schedule to meet with March On Fairbanks. Everyone present got a chance to ask questions and comment the current political climate. Thank you Lisa – we appreciate you taking time with some of your #Fairbanks constituents! Thank you Trina Michele Bailey for working tirelessly to make this happen!!

[Snowflake note: Mental health professionals tell Must Read Alaska that March on Fairbanks is using hurtful phrasing when using the word “crazy,” which professionals say is harmful to those suffering from mental illness. They would not use the word “retarded” to describe a ridiculous situation, professionals advise, so neither should they use the word “crazy” to describe a schedule.]

Sullivan will be hosting another townhall this Saturday at Bartlett High School in Anchorage from 4:30-6 pm.

SHAMING VIRUS HITS CAPITOL

A small group of protesters gathered in front of the Capitol to object to budget cuts to education. Two of the 14 protesters were legislators — Geran Tarr and Les Gara, both members of the Alaska House. Tarr stood shouting “Shame on You.” At one point, Rep. Sam Kito joined the group.

Rep. Geran Tarr protesting the Legislature, where she serves in the House majority.

Not to be outdone, Rep. Ivy Spohnholz, an Anchorage Democrat, shamed her fellow legislators this week for not confirming Drew Phoenix to the Alaska Human Rights Commission. Spohnholz called those who voted against Phoenix “transphobic”, which included her own House Rules Chair Gabrielle LeDoux and Rep. Louise Stutes, both who vote in lockstep with Democrats on most everything, but didn’t see the wisdom of voting for this particular nomination.

[Mental health professionals tell Must Read Alaska that Spohnholz is using hurtful and unacceptable phrasing when choosing the word “crazy,” to describe a political observation, which professionals say disparages and damages those suffering from mental illness. For shame.]

 

Ridesharing bill passes, making way for Uber, Lyft

Photo of Mia Costello, sponsor of ridesharing legislation.
Sen. Mia Costello sponsored legislation to allow ridesharing companies to return to Alaska.

FREE MARKET +1, LABOR COMMISSIONER – 0

The Alaska Senate unanimously passed a bill allowing ridesharing services such as Uber, Lyft, and SideCar to operate in Alaska. The bill now goes to the governor’s desk for signature.

The Senate vote comes on the heels of a strong, bi-partisan, 35-5 vote of approval in the House earlier this week. Only four House Democrats — Matt Claman, Zach Fansler, David Guttenburg and Chris Tuck — plus one lone Republican, Gary Knopp of Kenai, voted against the bill. [corrected from earlier version of story, which stated Chuck Kopp of Anchorage.]

For Uber, it will be a victorious return, since it was unceremoniously booted out of Alaska by Labor Commissioner Heidi Drygas in 2015.

Although Senate Bill 14 was hers, sponsor Sen. Mia Costello worked with the House to pass its version, House Bill 132, sponsored by Democrat Adam Wool of Fairbanks.

Wool owns a bar and has said ridesharing will lead to safer streets with fewer inebriated drivers.

HB 132 ended up with one curious aspect tacked onto it: Local communities can opt out if the local voting public chooses to disallow ridesharing during the next general election. That election in Anchorage would be next April.

Uber plans to start operations in Anchorage in June, Must Read Alaska has learned, giving it some lead time before an election might scuttle it.

“I will be smiling for a long time — whenever I see someone using ridesharing in Alaska. This was a jobs bill, and is exactly what we needed during this recession,” Costello said today.

House Bill 132 clears the way for economic opportunity for individuals who want to drive others around for a living or as a part-time way to supplement income. The bill provided clarity to the state’s insurance and workers compensation statutes, classifying rideshare drivers as independent contractors and exempting them from workers’ compensation, similar to taxi drivers.

“Alaska is in the midst of its first recession since the 1980s and this bill creates jobs, providing a much-needed boost to the economy,” Costello said.

Although Gov. Walker has indicated he supports ridesharing, Labor Commissioner Heidi Drygas fought against Uber in 2015. She brought a complaint against the company to the Alaska Workers’ Compensation Board, accusing Uber of misclassifying driver employees as independent contractors, contrary to the Alaska Workers’ Compensation Act.

“By requiring Uber to comply with state laws, we are sending a very clear message that the State of Alaska will not tolerate worker misclassification fraud,” said Commissioner Heidi Drygas in 2015. The settlement with Uber required it to pay $78,000 to the State of Alaska.

“The Uber settlement is part of a growing trend in which states and the federal government are working to stop misclassification, which deprives workers of health and labor rights protections. Worker misclassification also defrauds the state and federal government of tax revenue, costing taxpayers billions of dollars while leaving workers vulnerable to on-the-job injuries,” Drygas said in 2015.

Even in 2017 as the legislation advanced, Drygas continued to work behind the scenes to stop ridesharing from returning. She showed up in Alaska’s Capitol numerous times and talked to lawmakers about her concerns, as did AFL-CIO President Vince Beltrami, who also worked against ridesharing due to its independent, nonunion nature. Perhaps allowing Comm. Drygas to continue to oppose the legislation was a way for Gov. Walker to throw Vince Beltrami a bone.

But Sen. Costello explained today why ridesharing is legal and why today’s legislation clarifies it as such.

“Rideshare drivers use their own cars and equipment, work on their own time and can even be off-duty taxi drivers,” Costello said. “Drivers can work when, where and how they want, which is why it makes sense to allow them to work as independent contractors.”

Americans for Prosperity-Alaska’s state Director Jeremy Price was ecstatic. His organization had worked hard to get the legislation passed and today he posted on his personal Facebook page: “Woo-hoo! I’m never taking a taxi in Anchorage again!”

Free to a good home: Uber t-shirts and beer koozies, available from Americans for Prosperity-Alaska.

Later, in  a statement released by AFP-Alaska, Price said, “We commend the Legislature for passing this bill. This legislation provides a safer way to get home and another way for Alaskans to earn income. Today, everyday Alaskans achieved a major victory over a few vocal special interests, and all Alaskans will benefit.”

HB 132 requires prospective ridesharing companies to conduct safety inspections, background checks, and enforce substance abuse policies and other safeguards.

“We made sure important safeguards are in place,” said Sen. Costello. “In addition, ridesharing services will improve safety on the roads – as they have in other states – by reducing the number of DUIs.”

During a legislative session that has seen few bi-partisan accomplishments, especially on economic issues, HB132 stands out as a refreshing victory in favor of economic freedom and against narrow special interests.

AFP-Alaska’s Jeremy Price said he has a box of Uber-themed t-shirts and beer insulator “koozies” left over from rallies, and they’re free for the taking for anyone who wants them.

Hollis French gets confirmed, but with drama

Photo of Hollis French
Hollis French

HAS THE LEOPARD CHANGED HIS SPOTS?

Former Alaska State Senator Hollis French got his payback from Gov. Bill Walker. And now he has his paycheck.

French dropped out of his 2014 race for lieutenant governor at the request of his Alaska Democratic Party leaders. He had won the primary and was prepared to run on the same ticket as Byron Mallott.

But Mallott ditched him to join Walker’s ticket and French was left standing at the altar. He withdrew and went radio-silent as he quietly burned over what he had given up. Walker owed him big time.

There were judgeships. There was the Attorney General spot. But he had too recently been a senator and would have bumped up against legal prohibitions.

Then, last summer, the governor appointed him to be one of three commissioners on the Alaska Oil and Gas Conservation Commission.

On Tuesday, he was confirmed to that  $140,000-per-year position by the Alaska Legislature.

But as with all-things-French, his confirmation wasn’t without drama.

During his short time on the AOGCC, he went from being supported by his fellow two commissioners, to causing them to go quiet on that support.

He roamed the halls of the Capitol earlier this session, popping into offices of legislators to meet them and gain their support for his confirmation.

Early on his fellow commissioners, Cathy Foerster and Dan Seamount, gave him their full-throated support. French, they said, was totally different from how he had behaved as the argument-prone, anti-oil senator that everyone knew, when he bitterly fought to raise taxes on oil producers.

Then something happened, and no one is saying exactly what. Both Seamount and Foerster seemed to back away from their support. The whispers started in the halls of the Capitol that French had gone behind their backs to undermine them.

Then French told lawmakers he had the support of Armstrong Oil and Hilcorp Energy, but that was called into question by Sen. Anna MacKinnon during the joint confirmation hearings yesterday. Those endorsements were found to be simply polite affirmations at “meet-and-greets” she said, and in no way were formal endorsements.

It was unseemly that French had asked for the endorsement of the very companies he was already regulating. Companies put in that awkward position of “endorsing” are likely to treat nominees with kid gloves, smiles and circumspection. After all, French is the one who is regulating them.

Finally, without consulting his fellow commissioners, French approached the Department of Law to get a legal opinion about whether the Hilcorp gas leak in Cook Inlet should be something the AOGCC had jurisdiction over. After all, that was a “waste” of the resource, wasn’t it?

Not including the other commissioners very likely created an atmosphere of mistrust, and raised the question about whether French had the judgment and disposition to serve on a powerful body that oversees oil and gas drilling, development and production, reservoir depletion, and metering operations subject to the state’s regulatory powers.

Sen. Peter Micciche wondered aloud if French was struggling making an adjustment from being a debating senator to working well with others on a consensus-focused board.

“Together you decide to get a legal opinion, and the other two board members are concerned with the incident that happened and that he has worked outside that process,” Micciche said.

Sens. MacKinnon and Micciche both appeared uncomfortable having to spill the beans about what had gone down: French, MacKinnon said,  “is a noble man who is very thoughtful in his approach to all issues and who advocates his position well.”

“He should not be advocating for additional jurisdiction from his position,” she said. “He should bring a concern to the Department of Law and let the administration move forward if they believe through the legislative process that there should be additional responsibilities given to AOGCC.”

She said she had constituents who asked her to vote no, and she announced she would, indeed, be a “no” vote.

When the vote was tallied, French was confirmed 35-24 vote, with all House minority members voting against his confirmation, as well as Sens. David Wilson, Cathy Giessel, Shelley Hughes, Anna MacKinnon, Kevin Meyer, Natasha Von Imhof, and Pete Kelly voting no.

These dissenting lawmakers seem to be  concerned about AOGCC’s mission creep, especially since French will be taking over as the chair of the commission this summer.

Now, there is an added concern among insiders that French and Gov. Walker will try to bump off one of the other commissioners to replace them with a pro-gasline member who will help Gov. Walker get more traction on the AK-LNG project, which comes under the regulatory oversight of AOGCC.

The commissioners can only be removed “for cause” by the governor, but their lives can be made difficult behind the closed regulatory doors.

[Read: French to regulate oil and gas.]

Transgender doesn’t make cut for commission

LEGISLATORS BALK AT GOVERNOR WALKER’S HUMAN RIGHTS NOMINEE

The Alaska State Legislature struggled to confirm some of Gov. Bill Walker’s 98 appointments to boards and commissions.

They debated whether Hollis French could grow into his role on the Alaska Oil and Gas Conservation Commission.

They argued over Board of Fish and Board of Game appointments.

But when it came to Drew Phoenix’s appointment to the Human Rights Commission, there was surprisingly little debate. In fact, Rep. David Wilson, R-Wasilla, called for the question, which put a merciful end to the hand-wringing early on in a Tuesday joint session of the House and Senate.

Only a few had spoken about Phoenix by then — Reps. Dave Guttenberg, Scott Kawasaki, Geran Tarr, and Andy Josephson, and Sen. Bill Wielechowski and Berta Gardner all spoke on behalf of Phoenix.

Rep. Jennifer Johnston said Phoenix’ work for the American Civil Liberties Union posed a hurdle for her, since that group frequently sues the state over matters that Phoenix would be adjudicating. And Sen. John Coghill said Phoenix really didn’t answer questions fully during his confirmation hearings.

The vote went down 35-24 opposing Phoenix, who has made a career of being the face of transgenderism.

The vote was not strictly on party lines, with two Republicans who now vote almost exclusively with Democrats crossing over to oppose the nomination: Reps. Gabrielle LeDoux of Anchorage and Louise Stutes of Kodiak.

Rep. Paul Seaton of Homer, a third Democrat-aligned Republican, voted in favor of Phoenix. Ketchikan Indie-Democrat Daniel Ortiz joined him as did West Anchorage Indie-Dem Jason Grenn. Rep. Dan Saddler, a socially conservative Republican, was excused, as he was out of town for family reasons.

The Alaska Family Council saw it as a victory for religious freedom.  One of the concerns many conservative Christians have is that laws are shifting that prevent them from living out their faith — florists are forced by law to provide bouquets for gay weddings, bakers end up shutting their doors because they don’t want to bake cakes that celebrate same-sex unions.

Much of the tension has been in the wedding-services arena, but other issues are arising that involve bathrooms, locker rooms, and sports participation by youth. Already, one boy is competing against girls in Haines high school track because he “identifies” as a girl.

The Human Rights Commission does not, at this time, deal with these sexual orientation issues, but many in the religious community worry about mission creep — the adding-on of rights for which the commission would be the quasi-judicial authority.

Phoenix is seen as an advocate for adding a new category of legal protections for various gender-based lifestyles, including gay, transgender, or any of the 58 gender descriptions that Facebook provides. He makes no bones about his advocacy for including sexual orientation as protected categories.

The ACLU of Alaska issued this statement:

“Its troubling to us at the ACLU of Alaska that so many of our legislators felt that we live in a time when a quality man like Drew Phoenix should be denied opportunities to serve simply because he is a transgender and is willing to stand up and demand the same rights as other Alaskans.

“It is important to note that no one has brought up any wrong doing on Drew’s part. They only opposed Drew because he is openly transgender.”

The ACLU’s statement is not entirely supported. Phoenix was opposed because he advocates for including a new category of protected rights to the commission’s work, and those rights may violate the religious rights of other Alaskans. Must Read Alaska heard from several legislators who have no problem with his gender expression. They simply want sideboards on the Human Rights Commission’s quasi-judicial powers. Phoenix’s advocacy work was seen is indicating strong biases.

Phoenix piled on with the ACLU, describing the vote to the Alaska Dispatch News as a case of “transphobia.”

But there was actually more legislative “phobia” over the appointment of former Senator French to the oil and gas commission. French is a long-time critic of oil companies and promoted sharply higher taxes on them when he served.

The post is widely seen as payback to French for dropping out of the 2014 race for lieutenant governor so that Walker could cobble together a ticket with Byron Mallott.

Mallott quit his bid as the Democratic candidate for governor and ran as Walker’s running mate. French had given up his safe senatorial seat and had won the primary when he was asked by Alaska Democrats and Bill Walker to drop out.

It can be argued that French bowing out of the race made it possible for Walker to win.

At one point in the debate over French, Rep. Mike Chenault of Nikiski tried to move French’s nomination to the end of the calendar, perhaps hoping that the clock would run out. That failed and the nomination was considered, with French approved, 35-24.

Among those who were also confirmed were Attorney General Jahna Lindemuth, Department of Public Safety Commissioner Walt Monegan, and Department of Natural Resources Commissioner Andy Mack .They waved through Department of Natural Resources Commissioner Andy Mack and Department of Public Safety Walt Monegan.

In the end, Phoenix was the only nominee who failed to be confirmed.  The legislature has confirmed 97 of Gov. Walker’s 98 appointments.

Briefs: Playground concert, oil tax credit, WikiLeaks

Capitol Band played sets to raise funds to replace the torched Twin Lakes playground. (Screen shot from James Brooks photo)

CONCERT INCLUDED BAGPIPES ON ACDC COVER

About 200 people showed up at Centennial Hall on a rare sunny Juneau evening on May 15 as the Capitol Band played set after set to raise money to rebuild the Twin Lakes Playground. The iconic playground had been burned to the ground last month by a couple of teenagers.

The band, featuring Senate President Pete Kelly, Rep. Dave Talerico, Rep. Dan Saddler, lobbyists Paul Fuhs and John Bitney, also featured a string of strong local vocalists recruited for the occasion. Even Doug Gardner, head of Legislative Legal, piped in on his bagpipes on one cover of an ACDC tune, It’s a Long Way to the Top, (from the album “High Voltage.”)

Organized by Sen. Kelly, the event came close to meeting its $100,000 goal for the playground rebuild; that is the amount of the insurance deductible.

Ironic perhaps for Juneau, it was the oil industry and the cruise line industry that brought the biggest checks of the night, with BP chipping in $25,000 and the Alaska Cruise Association (CLIA)  bringing another $25K to the party.

Alaska Airlines donated $10,000 plus four tickets for the auction, and Exxon and ConocoPhillips also were major donors, with ConocoPhillips pledging $5,000.

That is a remarkable outpouring of business support for a community fundraising event, coming just hours after the Alaska Senate voted to increase effective tax rates on Alaska’s oil producers.

“We want to thank Juneau for being such great partners with the industry and are pleased to contribute to the reconstruction of the playground,” said John Binkley, CLIA president. “Juneau is a great destination and we hope with this donation, Juneau will be able to rebuild a fun, family-orientated destination for itself.”

Sen. Kelly spoke about how much the Legislature appreciates Juneau and that although lawmakers are lingering longer than they would like, they wanted to put the time to good use for the community that embraces them each year.

Sources say turnout was especially good since it was also opening night for a Juneau first, the Amalga Distillery.

OIL TAX CREDIT ‘EXPERIMENT’ OVER

The Alaska Senate passed its version of House Bill 111, which ends what’s known as oil tax “cashable credits.” It closes out the era that allows companies to use deductible credits to push their taxes under what is a 4 percent minimum.

The difference between the Senate and House versions of the bill mean the final version has yet to be hammered out, and then it must be signed by the governor, who wants higher taxes on barrels of oil.

The Senate vote, 14-5, went along caucus lines, with Democrats voting against HB 111 because it is a smaller tax increase than what was passed by their colleagues in the Democrat-led House.

The Democrats’ version was widely understood as a rewrite of Senate Bill 21, which passed in 2013. Although the bill was challenged by a Democrat-led voter initiative in 2014, it survived the vote and remained in place.

Democrats say the tax is not high enough on barrels of oil that are in the $50-80 range, which is likely to be the case for years to come.

Oil representatives expressed disappointment: “Today, the Alaska Senate passed the seventh change to Alaska’s oil tax structure in 12 years. It eliminates cash payments to companies and adds $1.2 billion to the State of Alaska’s treasury over the next 10 years,” said Alaska Oil and Gas Association CEO Kara Moriarty, in a written statement.

“As the Department of Revenue Sources Book indicates, the State already takes more revenue than industry at every oil price−at high and low oil prices. Alaska’s oil and gas industry has played a large part in contributing to the state’s fiscal solution for more than 40 years,” she said. “With this bill, the industry will contribute even more to the state’s fiscal solution.”

RNC RAISING CASH

Donald Trump was unpopular with the media before the election. And he mystified pollsters right up to Election Day. But one measure of popularity — fundraising — shows he may have more support than reporters or pollsters comprehend.

In the first quarter of 2017, the Republican National Committee and Trump’s re-election campaign raised more than $53 million.

The RNC  alone raised $41.3 million in the first quarter, more than double what the Democratic National Committee raised in 2008 during the first quarter after Barack Obama was elected president.

Trump continues to have appeal to small donors, many who give online. Those contributing $200 or less to his campaign made up 65 percent of his donations in 2016.

THEORY: DNC STAFFER KILLED OVER WIKILEAKS?

A staff member of Democratic National Committee staffer who was shot in the back last July 10 in Washington, D.C. had been leaking tens of thousands of DNC internal communications to WikiLeaks, Fox News is reporting this morning.

Seth Rich

Seth Rich sent reporter and WikiLeaks director Gavin MacFayden over 44,000 internal DNC emails before he was shot at close range in the early hours of the morning as he returned to his home from a bar.

U.S. intelligence agencies have leaked information that the DNC emails were hacked as part of a Russian effort to interfere with the 2016 presidential election.

Those emails involved former DNC Chairwoman Debbie Wasserman-Schultz and others in the party as they steered the Democratic nomination away from Bernie Sanders and toward Hillary Clinton. The leaks led to Schultz’s resignation during the Democratic National Convention in Philadelphia.

Alaska Democrats show up  in WikiLeaks documents as DNC staffers coordinated with the Alaska Democratic Party to squelch protests against Clinton’s nomination. Alaska Democrats voted for Sanders by an 81 percent margin during their caucus process.

Fox News isn’t exactly saying Rich was assassinated, but those who have watched the entire House of Cards series on Netflix are intrigued by this alternative narrative to the Russian hacking story. (Season 5 of House of Cards will be released May 30.)