Legislators not the only ones who need to prepare for budget cuts

Alaskans who remember the 1980s know just how difficult a fiscal crisis can be. Back then, plummeting oil prices led to a mass exodus from the state, which in turn caused the housing market to collapse under the weight of homes left vacant by those who couldn’t pay the mortgage. It was a dark time for Alaska, with shuttered shops replacing the bustling commercial districts that sprouted up around the 1970s oil boom.

Oil is again in the tank, and the state faces a multibillion-dollar deficit that threatens to again send Alaska into a deep recession – or worse. And while the onus for fixing this problem will fall heavily on the shoulders of Alaska’s elected officials, it will be up to everyday Alaskans to foot the bill.

It’s not a prospect any of us is looking forward to. For decades, Alaskans have enjoyed an almost fairytale world in which each of us was not only exempt from paying statewide income taxes, but received a yearly Permanent Fund Dividend check just for living here.

Those days are over.

In fact, the reality of the situation is such that we could very likely see both an income tax and cuts to the dividend program — something that would have seemed unthinkable just a few short years ago.

Many who resist these realities say the state government is bloated and needs cutting before new revenues are brought online. Those people are simply wrong. There is, frankly, no realistic amount of cuts that can achieve a balanced budget. The gap is just too big, and roads still need to be plowed, cops still need to get paid and teachers still need to teach.

Budget cuts will definitely be part of the solution. But Alaskans need to realize it’s time for us to start paying our fair share for the state’s budget. If that means new taxes and cuts to the permanent fund, that’s the way it’s going to have to be.

Back in the ‘80s, plenty of people turned tail and headed back to the Lower 48. There’s a good bet many will do the same this time around, and that’s their prerogative. But we think it’s part of the Alaskan way to chip in and pull together when times are tough — and times are about to get very tough.

We have enjoyed the benefits of Alaska citizenship for decades. But with these benefits come responsibility, including having to pay for services used. We encourage residents to pay close attention as the search for solutions continues. Now more than ever, it is essential that we hold our elected officials — and ourselves — accountable as we embark on this critical conversation about the state’s future.