While most news stories have focused on where the special session will take place, a much more important question is what the Legislature will vote on. Under the Alaska Constitution, the governor sets the agenda for the special session, and he left a critical item off the July agenda: passage of the capital budget. The governor needs to add the capital budget to the special session agenda, or else he’ll pass up nearly $1 billion in federal transportation investment and almost certainly push Alaska back into a recession.
In a recent op-ed in the ADN, the Associated General Contractors called on the Legislature to vote for a capital budget. I couldn’t agree more — but the Legislature can’t vote for a capital budget until the governor adds it to the special session agenda.
The Legislature has already made one attempt at passing and funding the capital budget. An overwhelming majority of legislators supported the projects in it, but the House minority (at the urging of Gov. Mike Dunleavy) voted against funding through the Constitutional Budget Reserve, which we’ve relied on in recent years as a result of low oil prices. With the governor’s support, the House minority caucus is trying to hold the capital budget hostage for a $3,000 Permanent Fund dividend.
Whatever you think about a super-sized PFD, it is clear there is not support in the Legislature to pass it. Therefore, it is nonsensical to block state capital dollars that are matched 9-to-1 by federal investment. These investments are essential for the health of our construction sector, our economy, and our public safety.
Notice that the recent road drainage problem has been fixed? It was probably submitted as a capital budget request from your local government. Do you drive to work? You probably drive on a road that’s built and maintained with federal highway dollars. Do you ever get on an airplane? Federal dollars build and maintain runways at airports across Alaska. Are you employed as a construction worker, engineer, surveyor, consultant, primary materials supplier, or supplier of work clothes and apparel? Then your livelihood depends on the capital budget.
Alaska is just emerging from a very long recession. We cannot afford a self-inflicted $1 billion hole in our economy, which would plunge our state back into recession. The governor must add the capital budget to the special session agenda, and the legislature should act quickly to fund it. Holding up the capital budget, our economy and thousands of jobs over the PFD is reckless and misguided.
Dave Reaves is the Business Manager of IBEW Local 1547, which represents electrical and telecommunications workers across Alaska.
The views expressed here are the writer’s and are not necessarily endorsed by the Anchorage Daily News, which welcomes a broad range of viewpoints. To submit a piece for consideration, email commentary(at)adn.com. Send submissions shorter than 200 words to letters@adn.com or click here to submit via any web browser. Read our full guidelines for letters and commentaries here.