DECEMBER 10, 2015

Representing District 17:
Midtown, University, and East Anchorage

I Answer to You!

Contact my office:
716 W 4th Ave, Room 412
Anchorage, AK 99501
(907) 269-0265
 
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submit your 175 word letter to the Alaska Dispatch News via e-mail letters@alaskadispatch.com or fax them to 258-2157, attn: letters to the editor.

Contact other elected officials

Governor Bill Walker
907-269-7450
EMAIL: Gov. Bill Walker

Senator Dan Sullivan
907-271-5915
EMAIL: Sen. Dan Sullivan

Senator Lisa Murkowski
907-271-3735
EMAIL: Sen. Lisa Murkowski

Congressman Don Young
907-271-5978
EMAIL: Rep. Don Young

Legislative Update
NSAP & the U-Med

Dear Friends and Neighbors,

This morning Governor Walker released the details of his New Sustainable Alaska Plan (NSAP) to the public. This announcement came one day after the publication of the new Revenue Sources Book, which breaks down how much Alaska really made during the previous fiscal year.  Alaska finds itself in a fiscal crisis highlighted by multi-billion dollar state deficits. I cannot say that I agree with all of the Governor’s policies at first glance.  I believe that to say “yes” or “no” to all or some of the Governor’s proposals at this time would be premature since we haven’t had an opportunity to study the impacts.

Governor Walker presents NSAP to the media and public. You can watch his presentation hereand his press conference here.

Some of the policies that Governor Walker is pushing include, but are not limited to:

• Cutting $100 million from state agencies
• Refiguring how the Permanent Fund Dividends will be calculated
• Increasing tax on alcohol and tobacco products including e-cigarettes
• Raising the tax floor on oil and gas production from 4% to 5%
• Increase mining taxes on mines making more than $100,000 in profits
• A state income tax of 6% of federal tax liability

The rest of my caucus and I would encourage all citizens of Alaska to actively participate in the legislative process during the development of this budget, and to freely express your thoughts to lawmakers.

While I’ve indicated that it is hard to offer an opinion at the present time, I would note the following positive aspects of the Governor’s plan:

(1) The Governor is seeking serious reforms of the oil and gas tax credits.  As these are unaffordable, I applaud this action;

(2) The Governor “only” wants to cut agency spending by about $100 million.  While with this will be a very heavy lift, as a believer in our state workers and the important tasks that they do, I view this as more favorable than cuts in the hundreds of millions.  Note that the Institute of Social and Economic Research indicates that a cut of $1 billion (which has been suggested) would cause 9,000 pink slips, including from the private sector;

(3) The Governor’s plan slightly increases the gross severance tax on oil.  I applaud this.

Again, at first blush, my concerns with the Governor’s plan is that it is pretty significantly regressive.  That is, the poor and the middle class would certainly feel the pain of these proposals more than the more affluent.  This is my “read” at this early stage, at any rate.  A final, early concern I have is this:  the Governor’s proposal appears designed to link dividend amounts in a very overt way with resources development.  While I applaud and champion some resources development (AKLNG), I virulently oppose other resources development (Pebble).  While we do need to develop our resources and we are, arguably, a “resources” state, I think linking dividends so blatantly to resource development may not be wise.

U-Med Road

On December 4th Mayor Berkowitz told state officials that he plans to halt the U-Med road project that would run through the University-Medical District. You can read Mayor Berkowitz letter to Department of Transportation Commissioner Marc Luiken here. This road has been one of the more contentious issues in the district with many strong supporters on both sides of the issue. Ultimately, Mayor Berkowitz’s concerns about cost overruns and the lack of support from neighboring community councils lead him to request the project be stopped. The remaining $17 million will be subject to legislative re-appropriation, which Mayor Berkowitz requested be sent to the Port of Anchorage Modernization Project, but there is no guarantee that the money will be appropriated there.

As I have said in the past, while new roads – by definition – bring more traffic, they can also alleviate traffic.  No doubt, there are some ways in which this road would have been an asset.  However, the far, far more vocal and heartfelt constituent desire was that the road by stopped.  Far more.  As I represent the district, and given my respect and appreciation for constituent interest in keeping trails intact for walking, running, skiing, etc., I have defended the Citizens for Responsible Development on this issue.

Volunteer Opportunity

On December 15th and 16th the Salvation Army of Anchorage is teaming up with the Food Bank of Alaska for a food distribution event at the Sullivan Arena. They are looking for volunteers, so if you have some time you can sign up here for a shift. Come spread some cheer this Holiday Season!

Constituent Meeting

On January 9th from 10-11:30 am at the West Romig Library Senator Gardner, Representative Drummond, and I will be hosting a constituent meeting featuring Alaska Common Ground chair Cliff Groh. This will be a great opportunity to come voice your concerns and hear our legislative priorities. I hope to see you all there! You should be seeing an invite in your mailbox in a couple weeks. Following the conclusion of our meeting the Anchorage Caucus will be hosting its public meeting at the Anchorage Assembly Chambers in the Loussac Library from 12-3 pm.

As always, please call or email with any thoughts, ideas, or concerns.

I Answer to You!

Sincerely,

Representative Andy Josephson
Anchorage LIO Room 412
Phone: 907-269-0265