When Rasmuson Foundation began its educational campaign about the state’s fiscal challenge almost a year ago, our goals were to ensure Alaskans were aware of the situation and concerned about it. We wanted citizens to become engaged in the dialogue about what kind of Alaska we envision for our kids and grandkids. And we wanted action this year so that all of the tools at our disposal could be enlisted in finding a solution. We wanted the Governor and the Legislature to prioritize the budget over all other issues during the current legislative session.
I am encouraged.
Take the Plan4Alaska Budget Challenge and share the results with your elected leaders. Challenge/Plan4Alaska.com
Today, 93 percent of Alaskans are aware of the Alaska budget gap and 43 percent are very concerned about it. Alaskans are participating in legislative hearings and community forums in record numbers. The State House halted action on all legislation that does not deal with fiscal issues. The Senate also has prioritized the budget.
After a full day in our state capital last week, including discussions with a dozen elected officials, I am confident that action will be taken this year to reduce the state fiscal gap. Painful budget cuts are on the table and citizens are weighing in about them, as well as their willingness to consider various new revenue options and use of Permanent Fund earnings.
At public forums where I have spoken over the past two weeks – in Kodiak, Girdwood, Southeast and Anchorage – a majority of people acknowledged that serious cuts are required to attain a sustainable state budget. When asked, 90 percent of those participants said they would be satisfied with a $1,000 Permanent Fund Dividend next year as a means to close the budget gap. A majority was also warm to the idea of a modest income tax or sales tax rather than see massive job losses, no capital spending and drastic service cuts.
Elected officials are hearing this message from voters. I spoke last week with leaders in the House and Senate, majority and minority, and every single one believes the budget gap can only be solved with a combination of cuts and new revenue. With just one exception, all the legislators I spoke with expressed confidence that this year’s legislative session would result in action to reduce the budget gap by at least half. Many told me they were willing to put their own political future at risk and will do what is right for Alaska, even if it’s unpopular with some voters.
Most of us don’t have the time, interest or gumption to run for public office. I applaud those who do, spending significant time away from family and friends and subjecting themselves to public criticism. The best thing we, as citizens, can do, is to participate in our democratic system and offer opinions and ideas to those we elected to govern.
9 Comments
Posted by Ronni Sullivan
I’ve been in Alaska 50 years, and paid state income taxes more than 10 years of that time. I thought it was insane when they did away with it. I also think it’s insane to tear down and destroy what we’ve built throughout the prosperity. Sure, there have to be cuts, but don’t dismantle public safety, the courts, education and health care. Don’t abandon those who have nothing, just to prove a point or won another election.
I am willing to pay for what we need in Alaska, whether it be an income tax, a sales tax or a cap on the Permanent Fund payment. And I know many others who feel the same.
I’m not leaving Alaska. It is my home, and I want it to continue to be a place where people are willing to step up and do their part, like real Alaskans have always done.
Posted by Cassandra Stalzer
Marc, our campaign has not taken a position other than a comprehensive approach is needed that included new revenues and budget cuts. We believe that public attention directed toward the budget gap is a good thing, and will lead to better solutions for the long-term. Thanks for reading and for your comment.
Posted by Marc Grober
Now, Chicken Little hysteria encouraged by those insistent on draconian budget cuts have resulted in encouragement of those who wish to shut down government, and a movement to further savage the State’s savings.
The simple fact of the matter is that most Alaskans make no net payment for any State or Local services. Nor are most Alaskans aware of the possibilities inherent in a 15% top rate graduated income tax, in no small part because of shell games and confusing rhetoric employed about income tax rates. Additionally, the median household income in Alaska is over $70K and the median family income even higher making Alaskans well able to afford the services they demand (and focus group after focus group has agreed that despite manipulation, they are willing to pay for maintaining the quality of life they have through State and local services through increased taxes.)
Unfortunately, ideological bandleaders in Juneau whip up the population into an austeria, and the Rasmuson Foundation, whatever its intent or bona fides, is really just fanning those flames.
Posted by Gordon Glaser
Well put, this is true leadership
Posted by Judy Fulp
Over three decades of immense oil wealth for the state is dwindling, but an important part of this oil wealth still remains in the permanent fund. We all are shareholders in the permanent fund and receive a dividend which has kept the permanent from being used and able to grow. Now,, part of our annual dividend might be used to close the fiscal gap and residents could also use their slightly diminished dividend as a tax credit for a modest state income tax to help close a portion of the fiscal gap.
Posted by Judy Fulp
Keeping an annual dividend is important to protect the permanent fund, but even if it is reduced we could all use it as a tax credit for a personal state income tax, which will be needed to close the gap. Alaska has experienced over three decades of oil wealth that has been amazing for the state. Now, part of that wealth, the permanent fund, is going to be our future fiscal hope.
Posted by Michele Miller
Thank you to the Rasmuson Foundation (RF) for its leadership in publishing editorials, leading community meetings, and encouraging us to testify. Thank you, too, for your leadership in the Foraker Group discussion (The Nonprofit Sector: A Voice for Fiscal Stability). Because of RF’s leadership, and because RF has been so generous to Alaskans since its inception, legislators take notice of what you say. I believe most Alaskans would like some new revenue streams and are willing to pay taxes. Your encouragement for each of us testify is also well-taken, as sometimes it feels like a citizen’s testimony falls on deaf ears.
Posted by Michele Miller
Thank you to the leadership of the Rasmuson Foundation (RF) staff and the Board President during this process. Thank you as well for participating in the conversation with the nonprofit sector and the Foraker Group (The Nonprofit Sector: A Voice for Fiscal Stability) early on.
Because of RF’s generosity since the foundation’s inception, legislators pay attention to you as you call on them, write editorials, and as you reach out for the benefit of Alaskans. It’s helpful to those of us who do testify to know that the RF is encouraging us to do so. Testimony can seem to fall on deaf ears sometimes.
Posted by Pierre Lonewolf
Its not about the political cost for them….its about the state first and foremost…….has usual they need to focus……..their welfare is secondary to the welfare of the people of Alaska……..