This message is to provide an update on the state budget process and highlight some great events coming up in the district within the next week, including the annual Spirit of Muldoon Picnic tomorrow, and a Pizza in the Park on Tuesday -- keep reading for more details.

Budget Update

Yesterday, the governor released his vetoes for the operating and capital budgets. We are still reviewing the programmatic and possible legal impacts of these vetoes, but below are some highlights of the governor's cuts:

• Reduced the per-student K-12 formula funding by $51 million, or nearly $200 per student. This is a 30% reduction to what the Legislature approved in the override of HB 57.
• Opted to fund part of the budget with $188 million from the Higher Education Investment Fund, nearly halving the fund available for Alaska Performance Scholars.
• Despite the governor's consistent messaging that he's interested to help recruit teachers, the governor vetoed more than $1 million in funding specifically listed for teacher recruitment, mentorship, apprenticeship, and teacher incentive payments and reimbursements for National Board Certifications. School districts will be required to cover these costs from reduced resources.
• Cut 24% ($1.9 million) for child care grants.
• Cut 36% ($26.8 million) for Fire Suppression, despite dire warnings of a major fire a season.
• Cut 44% ($10.3 million) in Disaster Relief Funding.
• Cut 27% ($3.8 million) from Medicaid Behavioral Health Services.
• Cut $25 million from School Major Maintenance, removing 3 schools from the list of 6 projects to be covered this year.
• Cut 33% ($2 million) available for Hydroelectric expansion to lower energy rates in Southcentral AK
• Cut 100% ($733,000) in state funds for homeland security grants.
• Cut 50% ($5 million) funding for the Alaska Seafood Marketing Institute while the seafood industry is struggling.
• Cut 50% ($2.5 million) funding for Alaska Tourism Industry Association as tourism numbers are down
• Cut 63% ($52 million) in funding sources for federal match of DOT road projects, requiring DOT to come back to the legislature next year.
• Cut 25% ($5.7 million) in Rural School maintenance funding.
• Cut 33% ($3.3 million) in University of Alaska deferred maintenance.
• Cut 100% ($1.5 million) in Courts system deferred maintenance.

Notably, the governor did NOT cut the following:

• $655 million in oil tax credits
• $500 million in subsidies for Willow project, for which the state gets zero royalties
• $120 million for corporate loophole for single Texas billionaire
• $20-65 million in tax breaks for Outside tech billionaires

Last December, the governor submitted his budget for the upcoming fiscal year with a $1.7 Billion deficit, with no proposals to fill it. The legislature responded by passing a more balanced and responsible budget that prioritized essential services, including public education, and providing for a small budget surplus. A number of revenue proposals were passed and/or considered this session, as detailed in previous newsletters.

While it is true that Alaska’s budget situation is bleak, it is also true the fiscal situation is largely self-inflicted due to massive giveaways to huge multinational companies. This year alone, Alaska is giving away $655 million in oil tax credits to Outside companies while getting nothing in return, subsidizing another $500 million for the Willow oil project - for which we get no federal royalties, allowing another $120 million in giveaways to a Texas billionaire because of a corporate income tax loophole, and allowing Outside tech billionaires to avoid paying $20-65 million in corporate income taxes while Alaskans are forced to pick up the tab.

So when some say we can’t afford to fund a bigger PFD or education or maintain our crumbling infrastructure - ask them why they continue to support massive giveaways to Outside corporations at the expense of Alaskans.

I look forward to working with my legislative colleagues to override these vetoes, and find more responsible cuts to the state budget that result in fairness for all Alaskans.

Last week, I was invited to tour Little Mountain Movers Academy in East Anchorage. They recently celebrated over 50 years of providing childcare in Anchorage!

Community Events

Sat, June 14: Spirit of Muldoon Picnic & Block Party. This annual local favorite is happening this Saturday, June 14 from Noon to 2:00 PM, at Chanshtnu Muldoon Park, located on the corner of Debarr & Muldoon.

Sat-Sun, June 14-15: Juneteenth Citywide Celebration. The Anchorage commemoration of Juneteenth takes place on the Delaney Park Strip downtown this Sat-Sun, June 14-15, from 1:00 to 6:00 PM. Visit this website for more information about these and other events leading up to the first official state holiday honoring Juneteenth on Thurs, June 19.

Sat-Sun, June 14-15: Three Barons Renaissance Fair. This coming weekend is the last opportunity to attend the annual 3 Barons Renaissance Fair, now being held at the Russian Jack Springs Park North, 801 Pine Street, this Sat-Sun, June 14-15, from Noon to 8:00 PM.

Tues, June 17: East Anchorage Pizza in the Park! Rep. Mears, Rep. Eischeid and I are hosting a Pizza in the Park next Tuesday, June 17, 6:00 to 7:30 PM at Chanshtnu Muldoon Park.

Sat, June 28: Muldoon Farmers Market opens for the season on Saturday, June 28, from 9:30AM to 3PM at Chanshtnu Park. The "market by the mountains" will be open every Saturday through September 27. If you're interested to volunteer with the organization of the market, and/or would like to consider serving on the Board of Directors, contact (907) 341-9906.

Saturdays & Sundays: Pena Park Market. Located at 8100 Starview Drive, before the Centennial Campground, Pena Park Market is open Saturdays and Sundays, 10:00 AM to 6:00 PM, through September 7.

Keep an eye out for more events and updates. As always, please feel free to drop me a line via email, Facebook, phone (269-0120), or stop by the Anchorage Legislative Information Office at 1500 W. Benson, room 315. My staff and I are happy to hear from you.

Warmly,