Dunleavy signs capital budget into law, vetoes funds

Sweep is reversed and capital budget is passed but $34 million is vetoed

Gov. Mike Dunleavy at the signing ceremony at the Alaska Association of General Contractors in Anchorage on August 8, 2019 (Courtesy photo)

Gov. Mike Dunleavy at the signing ceremony at the Alaska Association of General Contractors in Anchorage on August 8, 2019 (Courtesy photo)

Gov. Mike Dunleavy signed Senate Bill 2002 into law Thursday afternoon during a press conference at the offices of the Associated General Contractors of Alaska in Anchorage.

According to a press release from the governor’s office, the bill, “properly captures nearly $1 billion in federal transportation and infrastructure funding, provides necessary resources to enact public safety legislation, and reinstates funding for various programs such as the Alaska Performance Scholarship, WWAMI and Power Cost Equalization.”

While the bill does provide funding for a number of state programs, the governor vetoed $34,732,800 in total from the appropriations made in the bill.

Among the items vetoed were $10 million for statewide addiction treatment facilities, $500,000 for emergency medical services for Code Blue Project — the program meant to provide medical equipment for rural areas — and $1 million for public and community transportation.

A document from the governor’s office detailing his vetoes from SB 2002

A document from the governor’s office detailing his vetoes from SB 2002

Dunleavy said at the signing that he knew that cuts would be difficult for many groups in Alaska, but he was determined to put the state on a path of fiscal sustainability. Pretending the state was not running a budget deficit was doing harm to the state, he said.

Dunleavy made reference to the decrease in the price of oil that has taken place over the past several years and said without that revenue the state was no longer able to spend in the way it had in the past.

He said that, “the intent of the vetoes was not to harm Alaskans, nothing could be further from the truth.”

Dunleavy said part of his intent with the vetoes was to force a difficult but necessary conversation about the state’s fiscal future.

Dunleavy said that when he ran for governor he meant to, “restore and protect the PFD, promote public safety, and put the state on a plan for fiscal sustainability.”

Gov. Mike Dunleavy at the signing ceremony at the Alaska Association of General Contractors in Anchorage on August 8, 2019 (Courtesy photo)

Gov. Mike Dunleavy at the signing ceremony at the Alaska Association of General Contractors in Anchorage on August 8, 2019 (Courtesy photo)

In addition to signing this bill, the governor said his administration will be taking action that will impact a large number of Alaskans in the near future. This was mostly likely a reference to HB 2001, the other bill before the governor, which contains additional funding and an Alaska Permanent Fund dividend.

However, HB 2001 allocated only $1,600 for the PFD, which Dunleavy has publicly opposed.

It is possible that the Legislature could call itself into yet another special session with a two-thirds (40 votes) and attempt to override the governor’s vetoes.

On Twitter, some legislators responded to the governor’s vetoes within minutes of the announcement. The $10 million in cuts to addiction treatment facilities got specific attention.

Reps. Sara Hannan, D-Juneau, and Ivy Sponholz, D-Anchorage, both expressed dismay at the announcement.

In a July 31 letter to the governor, Senate President Cathy Giessel, R-Anchorage, and House Speaker Bryce Edgmon, I-Dillingham, suggested that the governor call yet another special session. It is unclear if there will be another session.

A document from the governor’s office detailing his vetoes from SB 2002

A document from the governor’s office detailing his vetoes from SB 2002

If a special session is called, the Legislature will have five days from when it gavels in to override the vetoes.

The Legislature does not have a time line to call itself into special session. If no special session is called, the five day clock will begin at the start of the regular session in January.


• Contact reporter Peter Segall at 523-2228 or psegall@juneauempire.com.


Dunleavy signs capital budget into law, vetoes funds

More in News

Girl Scout Troop 210, which includes Caitlyn Eskelin, Emma Hindman, Kadie Newkirk and Lyberty Stockman, present their “Bucket Trees” to a panel of judges in the 34th Annual Caring for the Kenai Competition at Kenai Central High School in Kenai, Alaska, on Thursday, April 18, 2024. (Jake Dye/Peninsula Clarion)
Bucket trees take top award at 34th Caring for the Kenai

A solution to help campers safely and successfully extinguish their fires won… Continue reading

Children work together to land a rainbow trout at the Kenai Peninsula Sport, Rec & Trade Show on Saturday, May 6, 2023, at the Soldotna Regional Sports Complex in Soldotna, Alaska. (Jake Dye/Peninsula Clarion)
Sport show returns next weekend

The 37th Annual Kenai Peninsula Sport, Rec & Trade Show will be… Continue reading

Alaska Press Club awards won by Ashlyn O’Hara, Jeff Helminiak and Jake Dye are splayed on a desk in the Peninsula Clarion’s newsroom in Kenai, Alaska, on Monday, April 22, 2024. (Jake Dye/Peninsula Clarion)
Clarion writers win 9 awards at Alaska Press Club conference

The Clarion swept the club’s best arts and culture criticism category for the 2nd year in a row

Exit Glacier, as seen in August 2015 from the Harding Icefield Trail in Kenai Fjords National Park just outside of Seward, Alaska. (Photo by Jeff Helminiak/Peninsula Clarion)
6 rescued after being stranded in Harding Ice Field

A group of six adult skiers were rescued after spending a full… Continue reading

City of Kenai Mayor Brian Gabriel and City Manager Terry Eubank present “State of the City” at the Kenai Chamber of Commerce and Visitor’s Center in Kenai, Alaska, on Wednesday, April 17, 2024. (Jake Dye/Peninsula Clarion)
Mayor, city manager share vision at Kenai’s ‘State of the City’

At the Sixth Annual State of the City, delivered by City of… Continue reading

LaDawn Druce asks Sen. Jesse Bjorkman a question during a town hall event on Saturday, Feb. 25, 2023, in Soldotna, Alaska. (Ashlyn O’Hara/Peninsula Clarion)
District unions call for ‘walk-in’ school funding protest

The unions have issued invitations to city councils, the borough assembly, the Board of Education and others

tease
House District 6 race gets 3rd candidate

Alana Greear filed a letter of intent to run on April 5

Kenai City Hall is seen on Feb. 20, 2020, in Kenai, Alaska. (Photo by Victoria Petersen/Peninsula Clarion)
Kenai water treatment plant project moves forward

The city will contract with Anchorage-based HDL Engineering Consultants for design and engineering of a new water treatment plant pumphouse

Students of Soldotna High School stage a walkout in protest of the veto of Senate Bill 140 in front of their school in Soldotna, Alaska, on Wednesday, April 17, 2024. (Jake Dye/Peninsula Clarion)
SoHi students walk out for school funding

The protest was in response to the veto of an education bill that would have increased school funding

Most Read