Senate Republican Caucus  Highlight on Success
“Making a Difference”

Juneau – The five members of the Senate Republican Caucus commented today on their role during the 25th Legislative Session and highlighted policy areas where their interaction made a difference.

“We focused on five significant areas where we believed we could make a difference in the process,” Sen. Gene Therriault, R-North Pole, said.  “Although the majority in our political system has control of the political levers, the minority tries to ensure that the majority’s power is used correctly, fairly, and with the best interests of the entire state in mind.  The minority’s role is to use its voice to highlight problems, when necessary, and work cooperatively on solutions to them.”

With that in mind, the Senate Republican Caucus focused on five key issues:  1) Restoring credibility to a legislature damaged by recent criminal convictions, 2) ensuring adequate and dependable education funding, 3) saving state oil revenue surplus, 4) developing a long-term fiscal policy, and 5) securing energy cost relief.

Restoring Credibility  In December of 2007 the Senate Republican Caucus urged the Senate leadership to make changes in key leadership positions in light of the ongoing public corruption investigation.

“We appreciate the Senate leadership replacing the chair of the powerful Rules Committee,” Sen. Fred Dyson, R-Eagle River, said.  “Although a small step, it was a positive move in the direction of restoring public trust.”

Education Funding   A long time advocate for fair and reliable education funding, Sen. Gary Wilken, R-Fairbanks, called attention to an oversight that involved HB 273, publicized as the bill that increased student funding $100 per student.  Wilken discovered that HB 273 removed previously funded school grants, with the effect that the $100 increase to the student BSA was a mere $11.58 in the first year.  Wilken offered an amendment on the Senate floor that would increase funding, but the amendment was rejected by the Senate coalition.

Although the Senate coalition refused to fix the problem before HB 273 passed, they eventually agreed to a temporary fix that would provide an additional $20 million in the form of energy relief grants to the school districts.

“I’m pleased that they responded to the information that I provided and made good on the promises made early on in the session to educators,” Wilken said.

Saving Surplus  The Senate Republican Caucus has always advocated that the legislature control spending in an attempt to increase savings.  During this session, the Senate Republican Caucus kept up the call for savings.  On March 19, in a press release distributed statewide, the Senate Republican Caucus publically challenged the Senate to save an additional $3.6 billion.

“At that time the State Department of Revenue had projected FY 2008 revenues to exceed $8.5 billion,” Therriault said.  “Saving a total of $7 billion seemed reasonable.  The Legislative Finance Division assured us that this amount was justifiable if the operating and capital budgets stayed reasonably contained, or even reduced from the amount spent last year.”

The Senate Republican Caucus tried to increase savings one last time when the state’s FY 2009 operating budget was on the Senate floor.  Therriault offered an amendment to set aside an additional $1.9 billion of the projected oil tax revenue.  The amendment was rejected by the Senate coalition.

“Although my amendment was voted down, we were pleased that our continued pressure paid off in the end,” Therriault said. “By April 2, the Senate had set aside a total of $5 billion dollars.”

Long Term Fiscal Policy  Sen. Dyson and his colleagues are proponents of the state developing a long-term fiscal policy that would guide future legislators and encourage more disciplined spending and savings.  Last year Wilken and Dyson both introduced bills to that end:  SB 25 and SB 134.

“We hoped to get these bills on the table to encourage debate and to put many minds to the task of developing a plan,” Dyson said.  “That’s the benefit of the committee process.”

Although the bills got little attention in committee, the Senate Republican Caucus kept up the pressure throughout 2007 and 2008.

Eventually the Senate passed HB 125, Budget Planning & Long-range Fiscal Plan, which incorporated some of the contents of Dyson’s SB 25.

“Although the expectations set forth in the bill are vague, which might cause the governor confusion about what to submit each year to the legislature, this was a positive step forward,” Dyson said.

Energy Cost Relief  Recognizing that the soaring cost of oil would heavily burden Alaska citizens while at the same time fill state coffers with record breaking revenues, Wagoner and Therriault pre-filed SB 217.  After initial criticism the bill was changed to provide a $750 per year credit to every Alaska resident’s electric bill.

Instead of discussing options for immediate energy cost relief, the Senate appropriated funds to expand an existing program that provides weatherization grants to low income homeowners, a long-term approach to the problem.

“Weatherizing homes is good for lowering fuel consumption and will reduce the future cost to homeowners, but we haven’t done anything to deal with costs suffered by homeowners this winter,” Therriault said. “Constituents want energy relief now.”

“It’s shameful,” Wilken said during a floor debate.  “We’ve got $13 billion sitting in a coffee can and we can’t help people across the state who are hurting.  We have nine days left to do something.  If we don’t do something while we are here, shame on us.”

That same day on the Senate floor Wagoner offered to remove his name from the bill if doing so would inspire the co-chair of the Finance Committee to hear the bill.

“My bill could provide relief to Alaskans now by lowering electric bills $750 in this coming year,” Wagoner argued.  “The way the bill is set up, it could assist about 90 percent of all Alaskans.”

Shortly after the Republican Caucus members’ impassioned floor speeches, the legislature appropriated $10 million into the capital budget for an energy assistance program that targets energy needs of some Alaskans.

“I’m glad that the Senate coalition reached a little deeper to find funds for energy relief for a few,” Wagoner said, “but this is one of the Senate’s biggest failures this year.  There are many middle-class Alaskans also feeling the pinch that could have used some help.  My bill would have provided that help and also set up an energy council to look at how to address energy needs and distribution in Alaska long term.”

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