Dunleavy's ARP proposal introduced to the legislature on Monday

As Gov. Mike Dunleavy announced his plan to allow anyone traveling to Alaska to receive a vaccine for COVID-19 at his press conference on Friday at the Alaska Native Heritage Center in hopes to attract more tourists to visit Alaska, he also announced his plan to distribute over $1 billion in Federal American Rescue Plan discretionary funds, as well as another $518 of non-discretionary funds. The ARP was signed March 11 and authorizes use of certain funds through the end of 2024, although further Federal guidance from the Treasury Department is expected.

“This proposed allocation of federal ARP funds is intended to assist and mitigate economic fallout from COVID,” said Governor Dunleavy. “My administration will work with the Legislature to refine these appropriations as additional guidance is provided by the federal government. I look forward to implementing a robust plan for these federal funds for the benefit of all Alaskans.”

The $1.02 billion in total from the ARP will be distributed in a variety of ways to offset the COVID-19 pandemic impacts in Alaska. The plan will be formally introduced in the Legislature on Monday, April 19. A total of $80 million will go toward protection of Alaskans. That portion of funding includes $6 million for the impacts of domestic violence as well as individual security, food security, protection for fishermen and portable equipment.

A total of $150 million has been set aside for a revitalization of the tourism industry. Those funds will promote tourism and their adaptation of services to cope with the potential loss of a second cruise ship season this summer.

“This year will likely be another tough year for tourism. We feel there is breathing room now to reimagine who and what the tourism industry looks like throughout Alaska,” said ANHC Executive Director Emily Edenshaw.

Another $325 million has been set aside to invest in Alaska’s infrastructure. The press release issued by Dunleavy’s office notes a need for improvements of sewer systems, improving safe water accessibility, and local broadband. These funds will leverage local and other matching fund programs for mutual benefits.

Dunleavy set aside $139.26 million to offset the general fund expenditures, and another $230.7 million provided by the ARP will go to communities. Of those payments, $185.4 million requires an appropriation by the state of Alaska. Another $220 million in increased federal funding will go toward public health and safety, workforce development, education, transportation and emergency management.