Leaders raise potential of budget vote without reserve draw

  • By Becky Bohrer
  • Saturday, April 25, 2015 9:40am
  • News

JUNEAU, Alaska (AP) — Legislative leaders have raised the potential of passing a state spending plan without a vote authorizing a draw from Alaska’s constitutional budget reserve fund.

House Speaker Mike Chenault said if the House and Senate majorities reach an agreement on education funding, which has been a sticking point in talks, they could finish up the budgets and leave. As of late Friday afternoon, an agreement hadn’t been reached with the House’s Democratic-led minority, support from which is needed for the House to reach the threshold required to tap the constitutional budget reserve.

A three-fourths vote is generally needed in each the House and Senate for such a draw. Fifteen of the Senate’s 20 members are in the majority, and majority rules call for members to support the budget.

Chenault said not having that vote wouldn’t stop lawmakers from leaving; it would just prevent tapping the budget reserve fund for now, he said.

But it could mean tapping other accounts, including ones that fund state-sponsored merit scholarships for students and help rural Alaskans with high energy costs. Even then, lawmakers likely would have to come back later this year to address the deficit.

“The question is, is it worth it for them to do that and not provide opportunities for public education,” House Minority Leader Chris Tuck, D-Anchorage, said of potentially tapping those pots.

House Finance Committee Co-Chairman Mark Neuman, R-Big Lake, said he didn’t think there was much appetite to tap those funds, but he said different options have been laid out for how the state can pay its bills.

A spokeswoman for Gov. Bill Walker said by email that Walker would like to see the Legislature pass a fully funded budget, not a partially funded one. Walker budget director Pat Pitney said that once the new fiscal year starts July 1, the government would be able to operate into the fall with existing revenue before a draw from the constitutional budget reserve would be needed.

In an interview Thursday, Senate President Kevin Meyer also raised the specter of coming back to revisit the three-quarters vote later this year.

Failure to reach agreement on the budget sent the Legislature, which had been scheduled to adjourn on Sunday, into overtime. Talks have been occurring not only between the House and Senate but also between the House majority and minority.

“Right now, we’re trying to make sure that we have a package put together that all of us can walk out saying that we understand Alaska’s limitations but we also know our potential,” Tuck said. “And we need to have a budget that expresses those values in both ways.”

Chenault, R-Nikiski, said he hoped to still reach the three-quarters vote, but not at any cost. Republican leaders have bristled at adding to the budget in the face of multibillion-dollar deficits given the fall in oil prices.

House Democrats say they’ve offered alternatives to offset items they would like to see restored or added to the budget, including revisiting the state’s oil tax credits or expanding Medicaid and accepting the federal dollars that come with that.

More in News

Homer High School sophomore Sierra Mullikin is one of the students who participated in the community walk-in on Wednesday, April 24. Communities across the state of Alaska held walk-ins in support of legislative funding for public education. (Photo by Emilie Springer)
Teachers, staff and community members ‘walk-in’ at 9 district schools

The unions representing Kenai Peninsula Borough School District staff organized a widespread,… Continue reading

Economist Sam Tappen shares insights about job and economic trends in Alaska and on the Kenai Peninsula during the Kenai Peninsula Economic Development District’s Industry Outlook Forum at Soldotna Regional Sports Complex in Soldotna, Alaska, on Thursday, April 25, 2024. (screenshot)
Kenai Peninsula job outlook outpaces other parts of Alaska

During one of the first panels of the Kenai Peninsula Economic Development… Continue reading

Angel Patterson-Moe and Natalie Norris stand in front of one of their Red Eye Rides vehicles in Seward, Alaska, on Wednesday, April 24, 2024. (Jake Dye/Peninsula Clarion)
Seward’s Red Eye Rides marks 2 years of a ‘little idea’ to connect communities

Around two years ago, Angel Patterson-Moe drove in the middle of the… Continue reading

Jake Dye/Peninsula Clarion
Oliver Trobaugh speaks to representatives of Bear Creek Volunteer Fire Department during Career Day at Seward High School in Seward on Wednesday.
Seward students explore future ambitions at Career Day

Seward High School hosted roughly two dozen Kenai Peninsula businesses Wednesday for… Continue reading

Foliage surrounds the Soldotna Police Department sign on Tuesday, Aug. 30, 2022 in Soldotna, Alaska. (Ashlyn O’Hara/Peninsula Clarion)
Ninilchik resident charged with vehicle theft arrested for eluding police

Additional charges have been brought against a Ninilchik resident arrested last month… Continue reading

U.S. Department of Justice Logo. (Graphic by Jake Dye/Peninsula Clarion)
Sterling resident charged with wire fraud involving COVID-19 relief funds

Sterling resident Kent Tompkins, 55, was arrested last week, on April 16,… Continue reading

Poster for Kenai Peninsula Trout Unlimited Fishing Gear Swap. (Courtesy Kenai Peninsula Trout Unlimited)
Trout Unlimted gear swap to return, expands to include outdoor gear

The Kenai Peninsula Chapter of Trout Unlimited will host its second annual… Continue reading

The Kasilof River is seen from the Kasilof River Recreation Area, July 30, 2019, in Kasilof, Alaska. (Photo by Erin Thompson/Peninsula Clarion)
Bait prohibited on Kasilof River from May 1 to May 15

Emergency order issued Tuesday restores bait restriction

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

Most Read