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November-December 2008
For the last two years, my administration has been guided by a policy of living within our means, saving for the future and controlling government spending. Over the past year, we have seen unprecedented volatility in oil prices. It’s more important than ever that state budgets stay on this course of fiscal discipline.
With that in mind, the general fund budget we released for Fiscal Year 2010 will spend less than the current one, especially when adjusted for inflation. At the same time, the spending plan ensures that the state provides for the safety, health and education of our citizens, pursues responsible resource development and maintains a stable economy.
The operating and capital budgets total $4.9 billion in general funds and $11.2 billion in total funds. The proposed Fiscal Year 2010 general fund and total spending represents a 7 percent decrease from FY 2009, excluding the one-time resource rebate of $746.4 million and appropriations to savings.
Working with the legislature, we have made good decisions over the past two years by putting money into savings accounts and investing in infrastructure that will help us develop our resources and communities. I am committed to working closely with the legislature on the budget and other priority issues and I look forward to a productive legislative session.
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I encourage all Alaskans to read more about the budget on the Office of Management & Budget Web site at http://omb.alaska.gov/.
As we make these important decisions regarding state spending, it is important that essential services are met. That’s why in our FY 2010 budget, there are increases in education and health care funding to help Alaska’s children and adults, especially those who are most vulnerable.
In the area of health care, this includes the establishment of a health care commission to make recommendations as we develop a statewide health care plan and raise Alaska’s income eligibility level for Denali KidCare from 175 percent of the federal poverty level to 200 percent. to provide health care coverage for more children and pregnant women. This small change will be a big boon to an increased number of children and pregnant women who will be provided needed health care coverage.
I also am committed to continue funding two important programs -- obesity prevention and control, and the Tobacco Use Education and Cessation Fund. I also support a spending level of $250,000 for the early screening and diagnosis of autism and related disorders. The state is also piloting a Web-based health campaign called “Live Well AK” to help Alaskans get the help they need to live healthier, more active lives.
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As for education, my administration’s budget includes $2 million for the creation and implementation of a pilot preschool program. School districts would receive the funding through grants, and the half-day preschools would serve 500 children statewide. The budget also includes an $800,000 increase in funding for Head Start preschool programs that will allow 60 to 80 more children to be served.
And there are 2,000 intensive-needs students in Alaska: children who experience health conditions and disabilities requiring the personal care of an adult throughout the school day. Our budget funds the second year of a three-year phase-in of significantly higher payments to school districts to educate and care for these students.
I am committed to doing more to support health coverage because it plays such a big role in a child’s success in school and in life. I’m proud of the success of our state agencies in partnering to meet the health and education needs of Alaskans.
After a two-year process of developing the Alaska Gasline Inducement Act and seeing it become law, the signing of the AGIA license on Dec. 5 was one more step forward in bringing Alaska’s gas to market, and it was indeed a historic day. I joined Natural Resources Commissioner Tom Irwin and Revenue Commissioner Patrick Galvin in Fairbanks to present the AGIA license to TransCanada.
TransCanada proposes a 4.5 billion cubic feet per day, 48-inch diameter, mostly buried pipeline extending 1,715 miles from a natural gas treatment plant at Prudhoe Bay on the North Slope to the Alberta Hub in Canada. The Alaska section will be about 750 miles long, with six compressor stations at startup and five natural gas delivery points in Alaska.
My administration will continue to work with all of the project stakeholders until the dream of a natural gas pipeline becomes a reality.
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Nearly 450 Alaskans from all walks of life gathered for the Alaska Statewide Education Summit (“Building Alaska’s Future One Student at a Time”), which concluded Nov. 14 in Anchorage . The summit produced a list of 44 goals with a vision and a mission statement that will form the basis for the first education plan in Alaska ’s history.
Participants discussed education issues that affect Alaskans from birth through post-secondary education and the work place, including early childhood needs; the concept of world-class schools and world-class students; the role of technology; the goal of making students simultaneously college-, work- and life-ready; and the challenges surrounding financing, facilities, planning, and student health and safety.
The Department of Education & Early Development will collate the goals produced at the summit, post them on its web site at www.eed.state.ak.us, and call for public comment. The department will convene smaller work groups to flesh out details of the education plan and produce strategies to implement the goals. The department will report annually on its actions to implement the plan.
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VIEW PRESS RELEASE:
Statewide Education Summit sets goals for Alaska
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Two national organizations have recognized the Alaska Department of Labor’s Research and Analysis section for its contributions to the report “AGIA Training Strategic Plan – A Call to Action.”
The National Association of State Workforce Agencies recognized the report with one of 15 nationwide Labor Market Information Awards, lauding the work in the category of special studies and economic analysis as an innovative example of outstanding product development. The report was also recognized by the Analyst Resource Center, which presented 14 national awards in the category of economic development.
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The U.S. Minerals Management Service approved the State of Alaska Coastal Impact Assistance Program (CIAP) plan, making Alaska eligible to receive approximately $9.7 million in federal funds under the CIAP initiative. These funds will go toward projects that benefit the environment throughout the state’s coastal areas. Due to an increase in outer continental shelf revenue, the state’s portion of CIAP funds will increase by more than $53 million in the next two fiscal years.
The Department of Natural Resources, Division of Coastal and Ocean Management (DCOM) is now soliciting projects from state agencies to be funded through the CIAP. CIAP project monies will be available beginning in 2009 and 2010. More information regarding CIAP, the project solicitation process, and the application forms are available at http://dnr.Alaska.gov/coastal/CIAP/ciap.htm.
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Sustainable fisheries management is a high priority for my administration. The Alaska Department of Labor and Workforce Development has just published a report highlighting Alaska status as the No. 1 fishing state in the nation – for the 32nd year!
The harvest numbers for 2007 are in and include an impressive 5.3 billion pounds of seafood caught in Alaska waters, for a value of $1.5 billion at the dock and $3.2 million at the first point of wholesale. Seafood makes up more than half of Alaska’s total export value, about $2 billion in 2007. The seafood industry also creates jobs: between harvesting and processing, more than 54,000 participants are employed over the course of a year in this engine of our coastal economy.
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The Alaska Department of Fish and Game has compiled the numbers for the 2008 salmon season, when commercial fishermen harvested 146 million salmon. This is the 16th largest harvest since Alaska became a state. Preliminary prices are showing an increase for most species, indicating that our salmon industry has begun to recover from the increase in farmed salmon production in the early part of the decade.
And of course, none of these numbers account for the thousands of people who travel to Alaska each year to enjoy world-class sport fishing, and who contribute to the local economy. And they don’t account for the value of traditional uses of fish to feed Alaska families.
I encourage you to use Alaska’s wonderful renewable resource whether you fish for sport, subsistence or commercial use or buy your fish at a store or restaurant. We’ll do our part by continuing Alaska’s tradition of sound management so that you can enjoy fish long into the future.
Just three months the 50th anniversary of statehood, Alaska marked another milestone. In October, the federal government gave the state a mandate to run a wastewater permitting program designed to safeguard water quality.
With the new authority, Alaska joins 45 other states that have permitting responsibilities under the National Pollutant Discharge Elimination System Program authorized by the federal Clean Water Act. Until recently, the U.S. Environmental Protection Agency had authority for the program in Alaska. The program’s scope includes issuing wastewater discharge permits to municipal sewage treatment plants, seafood processors and to industrial facilities such as mines and certain oil and gas operations.
The EPA approval triggers a three-year transition from federal to state control. During the transition period, responsibility for developing and enforcing different types of permits moves from the EPA to the Alaska Department of Environmental Conservation. The transition is scheduled for completion in late 2011.
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I so enjoyed the opportunity to visit the community of Kivalina in early December with Operation Santa Claus, which is a wonderful Alaska National Guard community-relations and support program that has been going on for more than 50 years. Operation Santa Claus is a time to spread the joy of Christmas by providing food, toys, presents and school supplies to children in communities all across Alaska.
The whole community of Kivalina, which is in the Northwest Arctic Borough, gathered to welcome us with Christmas carols and lots of warm greetings.
I know Alaskans are so proud of our National Guard and the great work they do for all of us. Congratulations and thank you to General Craig Campbell and all of the Alaska Army and Air National Guardsmen for another successful Operation Santa Claus this year. Thank you also to the Food Service of America, the Salvation Army, Tastee Freeze and everyone else who volunteered and contributed to this great event!
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Gov. Sarah Palin helps Santa pass out gifts during Operation Santa Claus 2008 in Kivalina Dec. 6. Operation Santa Claus, an Alaska National Guard community relations and support program, provides toys, books and school supplies for young people in communities across the state. Photo: Spc Paizley Ramsey, 134th Public Affairs Detachment
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Until next time,
Governor Sarah Palin
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