Alaska Media Caves to Pressure – Not the Alaska Landmine

A few days ago the Anchorage Daily News, Alaska Journal of Commerce, Peninsula Clarion, and Mat-Su Valley Frontiersman published an opinion piece from Governor Bill Walker about why he reduced the PFD in 2016. The article included a link to a campaign video of Walker addressing the Alaska Legislature saying essentially the same thing that was in the opinion piece.

The next day, Alaska Republican Party Propaganda Minister Suzanne Downing published an article saying the Bill Walker broke campaign laws or state laws. As usual, she makes things up to try and prove her point. She asserts that state employees used state resources to write the piece, yet as usual she offers no proof of this. The Walker campaign informed me that no state employees or state resources were used for the piece. She also asserts that the piece was an illegal campaign donation from the ADN and the Journal of Commerce. She directs her readers to contact the Attorney General and the Alaska Public Offices Commission. Talk about a Loose Unit!

She even says, “The question that APOC should ask is “Who penned this op-ed? Was it official staff or campaign staff?” That will get to the root of the problem.” Showing that even she doesn’t know.

The pro-Dunleavy independent expenditure group, Dunleavy for Alaska, shared the article on their Facebook page. They even responded to a question about whether or not Walker is going to be arrested or fined. I guess the “lock him up” chants will start soon.

Not long after her article went up, the ADN and Journal of Commerce took down the article. The Frontiersman took out the first sentence of the article and the Clarion removed the link to the video. What is more disturbing than a GOP blogger making things up is the Alaska media outlets that would take her seriously. It says a lot more about them than it does about her.

The media has an important role to play. By Downing’s logic no elected official can ever write an opinion piece during campaign season. If this was a Republican governor you better believe she would have no problem with it. What a joke.

The Alaska Landmine values the ideas and opinions of our elected officials and leaders. This is an important role the media plays. We will publish pieces from anyone as long as they aren’t libelous or violate basic standards of decency. We may suggest edits if they are needed. But no one, especially partisan bloggers, dictates what content we will include or not include. And certainly not after an article has been published. People have tried before, always unsuccessfully.

Here is the full piece that Governor Walker wrote. I invite Mike Dunleavy, Mead Treadwell, Mark Begich, or any other candidates for office to send us their opinion pieces. You better believe once we publish them we won’t take them down or change them.

By Governor Bill Walker

Why did I reduce the PFD in 2016?

Before you make up your mind on the decisions about the budget and the fiscal plan, please take a moment to watch this video.

The decision to reduce the PFD in 2016 in response to Alaska’s fiscal crisis will be one of the defining issues of this election. Our opponents on both the left and the right have criticized this decision. Some Alaskans believe that it was a terrible decision that we never should have considered — that this decision was unnecessary, that if we had cut more out of state government, we could have avoided making any changes to the way we manage the Permanent Fund.

Other Alaskans believe that restructuring the Permanent Fund was an essential step to creating a long term fiscal plan and to making sure that the Permanent Fund and the Dividend could continue to grow for future generations.

One of the main reasons I ran four years ago was because Alaska was running a large deficit ($1.6 billion) and nobody was talking about it. This gap between our spending and what we were bringing in could have been addressed by budget cuts alone, without a PFD reduction or any new revenue…

However, days after we were elected, the price of oil collapsed to $26/barrell, reducing state revenues by more than eighty percent. Alaska went from having the largest savings account in the country to the largest budget deficit of any state in the country ($3.7 billion)… overnight.

In our first year, before we looked at any changes to the Fund, we went to work to reduce the state budget. We did not want to propose changes before we had cut everything we felt we could. That meant closing over 40 state facilities. It meant a loss of 77 positions at the Department of Public Safety alone (and that was the Department with one of the smallest reductions). It meant reducing the state spending by 44%, or $1.7 billion, from 2013. Ultimately, we reduced the budget down to 2007 levels, with state employment at its lowest level in fifteen years.

Additional cuts would mean hurting our schools. Additional cuts would mean cutting the people that keep our roads and airports running. Additional cuts would mean cutting our ability to fund troopers, prosecutors, and our response to the opioid epidemic. Additional cuts would mean cutting the things that keep businesses and workers invested in Alaska. Additional cuts would mean eliminating our state share of Federal grants that match our share up to ten times over. We will continue to look for ways to reduce the budget and spend our money smarter. But we are literally at the point where large additional cuts could cost us more money then they would save.

That’s why, while you see both of our opponents advocating for “additional cuts”, you won’t see them specify where those cuts should go.

Alaskans knew that we could not cut our way out of the fiscal crisis we were in. The alternative was either make some changes, or just completely spend down our savings.

And that’s what the Legislature chose to do. Rather than risk the political cost of change, the Legislature spent down $14 billion in savings. That’s fourteen billion that we will never have back to invest in our schools, infrastructure, and public safety.

We were behaving like a guy who loses his job and decides to spend down all his family’s savings before looking for a new job. We were about to lose the house…

At the rate the Legislature was spending down our savings, and I believed that the Permanent Fund itself was at risk. Once we spent our savings, the only thing left to meet our debts would be the Permanent Fund earnings account, from which the dividend itself is paid out each year. . That put the Dividend at risk of going away. Forever.

I reduced the PFD in 2016 because the Legislature had made it clear that they were not willing to be the first to take any action that would result in less money going out to Alaskans. I had Legislators tell me privately: “We’re going to make you do what we should be doing.”

I reduced the PFD in 2016 in order to leave that money in the Fund, so that it could continue to earn interest and grow the Fund, strengthening Alaska’s greatest asset. Every dollar that I vetoed from the PFD stayed in the Fund.

I reduced the PFD in 2016 so that the Legislature would find the courage to pass a fiscal plan compromise. That compromise has provided the stability that businesses need to invest in Alaska. It has reduced our budget deficit by 80%. It has allowed us to forward fund education rather than pink slipping our teachers at the end of every school year. It has allowed us to bring on badly needed prosecutors and troopers in the fight against opioids.

Ultimately, I believe that the decision to restructure the Permanent Fund will allow both the Permanent Fund and the Dividend to grow long-term. That’s what we saw this year, with the PFD increasing to $1,600, well above the historic average.

The decision to reduce the PFD was the hardest decision I’ve ever made. It impacted many Alaskans, no question about it. Byron and I believed that the alternative would hurt much worse, by endangering the future of the Permanent Fund and the Dividend long term. I didn’t make my decision because it was “politically correct.” My job as Governor isn’t to be politically correct. My job is to put Alaska on the strongest path possible for the future.

If you have questions, let us know and we’ll try to answer them. If this video and this information was helpful to you, please share to your Facebook page so other Alaskans can consider it as well. Thank you for taking the time.

I can’t promise that you will always like the decisions I make as your Governor. But I can promise you that I will always tell you the truth and that I will always put Alaska’s future first.

– Bill Walker

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Bill Brown
5 years ago

Totally disagree with you. The governor shouldn’t be able to use the media like another arm of his campaign staff. I was completely unaware of the situation until I read your article but quicly saw through your very one sided argument.

Martin Becker
5 years ago
Reply to  Bill Brown

I disagree with your disagreement. What incumbent doesn’t express his political views? If s/he does so from a governmental office, is that illegal use of the venue, since shelter, lighting, etc. is paid for by the public? Jeff is right-on.

Elstun Lauesen
5 years ago

Thank you, Jeff. The Alaska Media is in the thrall of the party apparatchiks. Independent Writers like yourself and Dermot Cole are all that we can rely on.