Candidates debate issues at Business Alliance forum

WASILLA — Republican candidates for two Valley-area state legislative seats faced questions from the business community at a Mat-Su Business Alliance forum Friday.

State House District 12 candidates borough assembly member Ron Arvin and former legislative staffer Cathy Tilton and State Senate District F candidates Palmer mayor DeLena Johnson and State Rep. Bill Stoltze attended the forum ahead of the Aug. 19 primary.

An informal straw poll taken after the event favored Stoltze over Johnson 39 to 12 and Arvin over Tilton, 30 to 21.

The questions — reflecting the sponsorship group and business community in the audience — primarily revolved around state capital funding for local projects, transportation infrastructure, and energy. MBA members submitted written questions, and moderator Marvin Yoder read a few for candidates to answer.

“There are many folks in each district that have great projects that just need a little state money to be viable. What criteria will you use to determine which projects you will propose for the capital budget?” he said.

Stoltze said he favored infrastructure projects over those with a potential entrepreneurial bent, an approach he said local agencies, like the borough government, also support.

“We worked on looking at what the criteria are, and it’s been infrastructure, it’s been really meat-and-potatoes type stuff we’ve done,” he said. “Our ports, roads … I was criticized for increasing the budget at the end.”

Increases to the Fiscal Year 2015 budget funded construction on Bogard Road.

“There are a lot of people there ready to cut the ribbons and make speeches, even while they’re criticizing the spending,” he said.

Economic development, infrastructure, and education would remain priorities for the Legislature moving forward, Stoltze added.

The state should take a long view toward potential capital projects, Johnson said.

“We do have to look forward at a long-term investment strategy and a long-term infrastructure plan because without some sense of where we’re going, any road will get you there,” she said. “I’m afraid we tend to just throw money at things as they pop up. Lots of things seem like a good idea at the time, but until we have some kind of sense that we’re investing in this state … then we’re not taking a long-term approach. When we have excess money, like we’ve had in the last two years, it’s easy to just throw money out there, things sound like a good project, but the things you need to look at are: does this help everyone in the state, does it have a long-term benefit in the state, and can we afford it?”

Johnson also mentioned energy as an area state legislators ought to focus on.

“We’re one of the most energy-rich states in the country, but we don’t have energy affordable to us in our Valley,” she said.

Tilton emphasized finishing existing projects over starting new work.

“We need to finish what we’ve already started,” she said. “We need to look at things that are … going to deal with the health and safety of our communities, and look at projects that are going to lower costs and the tax burden to our citizens. To me the role of government is not to be creating more things, but to create the environment that allows the private businesses to do what they need to do.”

Another forum question focused on energy.

A long-term energy plan could highlight efficient ways to manage consumption in the state, and better state fiscal management could encourage more production in Alaska, Johnson said.

“If I was an oil company and I … see what’s happening with the state budget and I realize that costs are spiraling out of control and where does that money come from, and most of it by far … over 90 percent of your operating budget is coming from oil revenue, I’d be thinking they’re going to be coming to me for a little bit more, they’re going to be dipping into my pockets a little bit more,” she said.

Stoltze focused on another high-profile ballot issue in his answer.

“Probably more important than any of our individual candidacies here and in any of the other districts is the fate of Proposition 1,” Stoltze said, in answering a question about potential energy development in Alaska. “If we take that backwards step, what’s gonna happen is we’ll have sent another signal about instability. It probably won’t happen the first day or the first month or the first week, but we’ll go backwards.”

Stoltze also said he favored adding hydroelectric to the valley’s energy portfolio in the form of the Susitna-Watana Dam.

Energy was a critical economic issue, Arvin said.

“Poverty in rural Alaska is a direct result of the cost of energy, make no mistake,” he said. “Southcentral is different because we have natural gas here.”

Improved energy infrastructure and diversified sources, like biomass boilers and wood pellets, would improve the situation, as would the completion of a liquid natural gas trucking program, Arvin said.

The state tax structure plays a critical role in energy costs, Tilton said.

“Alaska needs to create a reasonable and stable tax structure and common sense regulatory framework so that those who are creating that energy are able to create it so that we are able to afford it,” she said.

Tilton also endorsed a “no” vote on Proposition 1, a voter referendum that seeks to revert to the state’s former oil tax structure.

The debate was mostly amiable and focused on the issues, though Johnson drew at least one sharp distinction to Stoltze. Business owners in Alaska faced abrupt changes from legislators, causing uncertainty and stymieing their ability to plan for the future, she said.

“May I point out that my opponent — who’s been in Juneau for about 32 years — has never done business under the regulations that he’s helped to create,” Johnson said.

Her own experience as a small business owner would prevent similar changes, she added.

Contact Brian O’Connor at 352-2269 or brian.oconnor@frontiersman.com