Alaska News

Alaska fiscal discipline: Not just Legislature's job

The state director of the Office of Management and Budget was quoted this past week as saying the state could maintain budget reserve levels even if oil production tax reform (HB 110) is passed this session. That scenario, she explained, is contingent upon exercising fiscal discipline.

What? If it's going to take fiscal discipline on the state's part, we have no hope. Does the administration have a Plan B?

I appreciate the hard work invested by legislators to develop a fiscally responsible budget every year, but who is paying attention to how the administration sticks to its budget? There is no example of fiscal discipline shown by the executive branch.

What independent group is looking at how the state spends its administrative dollars? We need such a group to report each year on how the executive branch spent or squandered budgeted funds the prior year. This report should describe clearly how these funds were intended to be spent versus how they were actually spent; it should name who is responsible for each spending decision, and what benefit was brought to Alaskans.

For example, the legislative trip recently to Washington D.C. received public criticism and was called a junket. Well, this was nothing compared to the travel expenses incurred by the Rural Subcabinet. This group of commissioners and support staff visited 12 communities, took no notes, recorded no testimony, and produced nothing. It was basically a meet and greet. How serious did these senior officials take their task if they didn't even prepare or intend to record their findings?

The Legislature works hard on an annual budget, which is usually pretty conservative when it comes to spending in the various commissioners' offices. Commissioners are left to be creative to cover unbudgeted big ticket costs for their offices like travel, office remodeling and moving, new executive furniture, and an almost endless number of "special assistants." If anyone looked at this spending, they would want to know the administration's definition of fiscal discipline. I think they may mean everyone else should exercise it.

Good Investment Climate, Jobs for Alaskans, Responsible Resource Development, Fiscal Discipline, I am all for it -- if these terms mean more than the usual overused political blah, blah, blah, blah, blah!

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Tara Jollie is the former Director of the Alaska Department of Commerce Division of Community and Regional Affairs. After working 20 years for state government, she is now retired and blogs on rural affairs under the nickname "Leaddog" at leaddogalaska.net, where this commentary first appeared.

The views expressed here are the writer's own and are not necessarily endorsed by Alaska Dispatch. Alaska Dispatch welcomes a broad range of viewpoints. To submit a piece for consideration, email commentary(at)alaskadispatch.com.

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