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Everybody seems to have an opinion on whether the proposed short-term energy assistance is a freebie government handout and/or whether the source of the money is ill-gotten over-taxation of oil companies.
Few things are as offensive to me as the “nanny state” mentality that presumes that “government knows best” and is there to spend your money to take care of you. In that scenario, the more government can tax, the better off they say we will all be. Such thinking removes most incentive for personal responsibility and profit and ultimately removes competitive market forces that have made this a great nation. It is a big mistake to judge the proposed short-term energy assistance program as a “nanny state” action. Such limited judgment ignores key considerations:
• The source of the revenue is NOT “other people’s earnings” as has been averred. Instead it is a percentage of the market value of an Alaska non-renewable resource that belongs to Alaskans. “Alaska’s Clear and Equitable Share” (ACES) captures revenue that rightfully belongs to the citizens of Alaska. While it has proven difficult to determine what is “equitable,” recent huge oil company profits and increased investment in Alaska indicate we have not gone too far. Natural resources are ours to sell or not sell for the price we set — much like your car or home are yours to sell or not sell for the price you set.
• Alaska is an owner state. The pending surplus belongs to the people, not the government the people have created. To give Alaskans access to ACES revenue is comparable to delivery of several barrels of your own crude oil each month, and a whole lot more useful.
• The high cost of energy must not be viewed as a tool to change the behavior of Alaskans. It is the right and responsibility of Alaskans to spend their own money as they see fit … and to deal with the consequences/benefits of their spending or over-spending. The program respects Alaskans’ spending choices by simply returning funds for a portion of each families fixed budget, thereby freeing an equivalent amount for discretionary spending.
• There is an indeterminate cost (individual and as a whole) if Alaskans begin to cut corners on their families’ health, education, investment and even recreation. Contrary to what seems to be the opinion of some, many Alaska families simply do not have surplus income and the rising energy costs will have devastating effects.
• While $1.2 billion is a huge number, it is less significant in the context of the total surplus that will be on the table if oil prices stay as high as they are. I would much rather that Alaskans spend their own money than subjecting that surplus to the normal legislative process that is heavily influenced by special interests who are very good at lobbying for their own needs.
• In the same note, spending $1.2 billion on short-term assistance will have little effect on whether the Legislature can look ahead and develop long-term infrastructure. Hydro projects, nuclear power, bridges, roads will be built in spite of this $1.2 billion depending on who voters send to Juneau to represent them.
• There is little chance of this becoming an “entitlement.” Entitlements go to constituencies who have the expertise and means to either lobby or hire lobbyists — and are often driven by federal regulations tied to matching funds. Alaska voters as a whole do not get entitlements. This is legitimate “SHORT-TERM” assistance.
It is a very big mistake to equate the proposed energy assistance program to the typical government handout. The mistake is the failure to consider what it means to be an Alaskan. Personally, it is a very warm feeling to think of Alaskans continuing to commute freely to work, driving to favorite summer spots to fish, hunt, boat, hike and to continue to provide our sons and daughters with quality post-secondary education — largely unaffected by the recession caused by high cost of energy. Rest assured that as your Greater Wasilla representative in Juneau, I’ll continue to be your voice for common-sense government.
Wes Keller, R-Wasilla, represents District 14 in the state House of Representatives.