Friday, March 18

• On Wednesday, the Department of Revenue released the Spring 2022 Revenue Forecast. With the recent rise in oil prices, all signs point to a significant revenue increase in the current and upcoming fiscal years.
• However, the Administration is making projections based on oil prices averaging $101.00 per barrel in FY23.
• Higher oil prices will help the state treasury but will also drive up costs for everyday goods and services.
• With the uncertainty surrounding the war in Ukraine and the complex global politics of rising oil prices, we need to strike a balance between responsible spending and putting money away for the future.

• This week, the House Finance Committee reviewed an updated version of the state’s operating budget.
• Next week, budget amendments are expected to be heard.
• The budget includes a $50 million increase to K-12 education funding.
• The House’s proposal currently includes a PFD of $1,250, in addition to a $1,300 energy relief check for all Alaskans, which if signed into law would mean a payout of $2,550 this year.

• The House Finance Committee is proposing to fully fund K-12 education this year and forward fund next year. 
• Forward funding provides certainty that will help school districts as they develop their budget for the coming year and keep teachers from receiving layoff notices at the end of the school year.
• In recent years, forward funding has received bipartisan support as the legislature has worked to address the uncertainty around school funding that drives talented teachers out of the state and hurts Alaskan students.

• This past year, the 9th Circuit Court of Appeals struck down the $500 limit for individual donors to campaigns enacted in a 2006 ballot initiative. Unfortunately, Governor Dunleavy’s administration chose not to appeal this ruling.
• The Alaska Public Offices Commission (APOC) completely removed the limits, leaving the door open for unlimited amounts of money to flow into races around the state.
• Commissioners implored the legislature to revisit campaign finance contribution limits to align our laws with the desire of Alaskan voters to limit outside influence in our elections.
• HB234 (Political Contribution Limits) seeks to address this issue by establishing a $2,000 limit on individual donations to campaigns and limiting the influence of special interests from the Lower 48 by requiring that 75% of a candidate’s individual donations come from Alaskans.

•  On Wednesday, the 9^th Circuit Court of Appeals made a favorable ruling necessary to proceed with permitting and planning for a single-lane gravel road connecting King Cove to Cold Bay.
• This road would provide critical access to reliable emergency medical access for all who live in King Cove and bring an end to dangerous medevacs during harsh weather.
• While we still have a long way to go, this is a vital step forward in what’s been a decades long, and often frustrating, process. With U.S. Interior Secretary Deb Haaland expected to visit King Cove this year, I’m glad to see this hurdle cleared, and I’m grateful that she’ll get the opportunity to see how important it is to improve access to emergency care in the region.