Mayors speak out against Legislature

JUNEAU -- A resolution issued by the Alaska Conference of Mayors, Alaska Municipal league, expresses "no confidence in the willingness of the Alaska Legislature to address the state's fiscal gap."

"We're very concerned about this," said Palmer Mayor Jim Cooper. "Basically, we're fast approaching a cliff, and we don't have a plan to bail us out."

Budget woes are particularly on the minds of local mayors, but Mat-Su Borough Mayor Tim Anderson believes that "this is a bigger issue than just the budget." Anderson commented that the resolution challenges the Legislature's fiscal decision-making ability as a whole, stating: "The bottom line was that we had no confidence in the Legislature's ability to handle the state's fiscal affairs based on their performance in the last two or three years."

In recent years, according to Cooper and Anderson, the state has shifted an increasing number of its fiscal woes onto municipal governments, a move that is not without its effects on local spending trends.

"We've had to cut money out of our budget to accommodate the Legislature," Anderson said. The resolution itself placed the blame for higher taxes squarely upon legislative ineptitude, stating that property taxes "have grown nearly 33 percent in the past six years, largely because of the state shifting the expense of services, under-funding schools, and cutting traditional revenue sharing programs."

However, most affected by the Legislature's fiscal difficulties are small rural communities such as McGrath. According to the resolution, more than 30 rural communities have already been forced to eliminate or severely reduce essential services such as public safety and road maintenance due to budget mismanagement.

"It's not just the big guys who are hurting here," Anderson said, "it's the little guys too."

Cooper stressed the fact that Palmer and Wasilla have the advantage of a substantial tax base to help handle the funding demands of the state Legislature, but smaller communities such as McGrath and Skwentna lack this aid. "A few years ago, the state cut revenue sharing, and that's 90 percent of many small communities' budgets," he said. Cooper also noted that the state has removed grants for maintenance and rehabilitation of many rural facilities, a move that damaged the growth potential of small communities.

For years, the Conference has been seeking to hold a joint session with Alaska legislators to discuss possible solutions for the state's fiscal problems, but these plans have never come to fruition.

"This resolution is really born out of frustration after so many years of trying to deal with the legislators," said Cooper. "We [city mayors] have experience dealing with taxes, water and sewer grants, everything. We're really where the rubber meets the road."

Wasilla Mayor Dianne M. Keller agreed with this sentiment. "I think this resolution sends a message that we need to work together on this problem," she said.

Anderson said the Legislature needs to take a new view of the entire fiscal planning process before a solution is reached; the existing methods are insufficient. "They need to get their act together and make a plan to balance the budget without borrowing or worrying about oil prices," he said.

As the time remaining to draw fiscal lines dwindles, local mayors become increasingly outspoken about eschewing political divisions in the search for a solution. "I'd like to see a non-partisan solution to this, but our legislators just can't seem to cross party lines." Cooper agreed, stating, "This is not a party problem; it's an Alaskan problem."