Lump of coal from Santa Murkowski

July 7, 2006

SPECTRUM/John Binkley

Frank Murkowski wore a Santa Claus hat when he approved the state's $2.3 billion capital budget last week - the largest in Alaska's history - creating the image he was giving away Alaska's financial resources to one and all. I am sure he felt his election-year political theater would help his campaign, but the bottom line is he delivered residents of the Mat-Su Borough a lump of coal.

In a multibillion-dollar budget, Murkowski targeted and vetoed appropriations from the Railbelt Energy Fund that could have helped reduce energy costs for thousands of Alaskans. Not only does Murkowski's bad policy decision show us how out of touch he is, it's another broken promise.

Utilities around the state negotiated a deal with Murkowski early this year to help lower energy costs for Alaskans. Once the money was appropriated and it came time to sign the budget, they found themselves the target not of fiscal restraint, but of political influence. The money vanished: no warning, no communication, no trust.

Two specific items would have helped Mat-Su Borough residents:

€ an appropriation to Matanuska Electric Association for new substations and transmission lines, generation-site acquisition and infrastructure development to support the Mat-Su Regional Medical Center and improve transmission reliability in the Mat-Su grid; and

€ an appropriation for a 115-kilovolt transmission line from the Douglas substation to the Stevens substation to improve electrical transmission in the upper Mat-Su Valley.

One could argue the state should not subsidize electrical co-ops and municipally owned utilities, however the Railbelt Energy Fund was created and funded years ago with the goal to reduce the cost of power in the Railbelt. There is no question that the grants approved by the Legislature would have met the goal of reducing energy costs.

The state of Alaska is enjoying increased revenues from the high price of oil, but increased energy costs are taking a toll on Alaskans. It is like a hidden tax. It is plain wrong for the governor to spend all our surplus revenues and at the same time take away the modest attempt to provide some relief to Mat-Su residents.

Your legislative delegation, including Sen. Lyda Green as co-chair of the Senate Finance Committee, and Rep. Bill Stoltze on the House Finance Committee, worked hard to improve the quality of life in the Valley. It is unfortunate that we do not have a governor who listens to the needs of the people and works cooperatively with legislators.

Secret packages and surprise gifts may work for Christmas, but they are bad for public policy and a sign of failed leadership. As your governor, I will put the needs of Alaskans first and work to keep your trust.

Republican candidate for governor John Binkley is a former co-chairman of the Senate Finance Committee, former chairman of the Alaska Railroad Corporation and a longtime small businessman.