Gov. Mike Dunleavy explains details of his proposed state budget for next year during a press conference Dec. 12, 2014, at the Alaska State Capitol. (Mark Sabbatini / Juneau Empire file photo)

Gov. Mike Dunleavy explains details of his proposed state budget for next year during a press conference Dec. 12, 2014, at the Alaska State Capitol. (Mark Sabbatini / Juneau Empire file photo)

Opinion: Governor fails at leadership in his proposed budget

It looks like he is sticking with the irresponsible approach

Gov. Mike Dunleavy has a choice for his final two years on the job: He can continue talking about how state law requires him to include an outrageously large Alaska Permanent Fund dividend in the budget — even though it would dig a deep budget hole which, thankfully, legislators will never approve — or he can help solve the problem.

It looks like he is sticking with the irresponsible approach.

He proposed a budget last week that is politically popular with his supporters but which he knows the state cannot afford without drawing down its remaining reserves to dangerous levels. He says the Legislature needs to do something about it.

He offers no specific solutions other than hoping for more oil wells in the years ahead, far too late to solve the problem for the next budget year that starts July 1, or the one after that or the one after that. Besides, future oil revenues are as bankable as political promises, which is to say they’re not.

ADVERTISEMENT
0 seconds of 0 secondsVolume 0%
Press shift question mark to access a list of keyboard shortcuts
00:00
00:00
00:00
 

The governor’s proposed budget for next year shows a $1.5 billion deficit — and that’s even before lawmakers consider an increase in state aid to local school districts, which communities, including Wrangell, desperately need.

Yes, five years ago Dunleavy tossed out several proposed constitutional amendments that he packaged as a long-range fiscal plan to balance state finances. They wouldn’t have solved the problem, but at least it was an effort. The poorly crafted and flawed package went nowhere in the Legislature.

Since then, nothing. No proposed legislation from the governor to revise the dividend calculation, no constitutional amendments, nothing but talk. And, unlike education funding, talk is cheap. It’s like he gave up and decided legislators could take the public heat for what needs to get done and he could retire as a champion of the PFD.

And while talk is cheap, a chart on the governor’s budget page is misleading. The cost of the governor’s proposed $3,800 dividend is nowhere to be seen on his spending chart, as if it magically doesn’t exist as the single-largest expenditure by far in his proposed budget. Hiding the truth is worse than cheap talk — it’s dishonest.

The honest truth is that the state could pay a $1,200 dividend, provide a reasonable increase in funding to education and balance the budget — without drawing down savings. The governor could take the lead in proposing and pushing for a change in the dividend formula in law to help solve the spending problem.

But Dunleavy didn’t propose any of that last week. Instead, he did nothing but the minimum that state law requires, which is to present a budget. The law doesn’t require that the budget make sense.

This editorial was originally published by the Wrangell Sentinel.

More in Opinion

Jackson Carney of Wrangell, a student in the Federal Subsistence Board Policy and Procedures class at the University of Alaska Southeast, testifies before the Federal Subsistence Board. (Photo by Ryan Morse/courtesy)
Point of View: Helping the next generation of hunters and fishermen to have a say

Ultimately, the goal is to ensure Alaskans, and young people, have a say in the decisions that affect them.

Sen. Jesse Bjorkman, a Nikiski Republican, speaks in favor of overriding a veto of Senate Bill 140 during floor debate of a joint session of the Alaska State Legislature on Monday, March 18, 2024 (Mark Sabbatini / Juneau Empire)
Capitol Corner: Failure of HB 69 takes us back to square one

Sen. Jesse Bjorkman reports back from Juneau.

Beach seine nets are pulled from the waters of Cook Inlet at a test site for the gear near Kenai, Alaska, on Tuesday, July 30, 2024. (Jake Dye/Peninsula Clarion)
Opinion: Expand the set beach seine experiment

A path forward to resolve the Upper Cook Inlet King and sockeye salmon commercial fishing and conservation crisis.

Rep. Justin Ruffridge, R-Soldotna, speaks in support of debating an omnibus education bill in the Alaska House Chambers on Monday, Feb. 19, 2024, in Juneau, Alaska. (Ashlyn O’Hara/Peninsula Clarion)
Capitol Corner: When politics win, our schools lose

Rep. Justin Ruffridge reports back from Juneau.

courtesy
Opinion: To prevent abuse and neglect, support child care providers

Quality, affordable child care makes society function.

Logo courtesy of League of Women Voters.
Point of View: Tell your representatives SAVE Act is not needed

The SAVE Act will disenfranchise Alaska voters and make the process of voting much more restrictive.

Sen. Jesse Bjorkman, a Nikiski Republican, speaks in favor of overriding a veto of Senate Bill 140 during floor debate of a joint session of the Alaska State Legislature on Monday, March 18, 2024 (Mark Sabbatini / Juneau Empire)
Capitol Corner: Taking steps toward a balanced budget

Sen. Jesse Bjorkman reports back from Juneau.

Rep. Justin Ruffridge, R-Soldotna, speaks in support of debating an omnibus education bill in the Alaska House Chambers on Monday, Feb. 19, 2024, in Juneau, Alaska. (Ashlyn O’Hara/Peninsula Clarion)
Capitol Corner: Dedicated to doing the work on education

Rep. Justin Ruffridge reports back from Juneau.

Sen. Jesse Bjorkman, R-Nikiski, speaks at a town hall meeting in the Moose Pass Sportsman’s Club in Moose Pass, Alaska, on Friday, Feb. 28, 2025. (Jake Dye/Peninsula Clarion)

Most Read