Money on their minds

WASILLA — Legislators at a town hall meeting Saturday fielded questions about a dozen or more issues, but most had to do with one thing — money.

Be it the state’s budget or the nation’s economy, it seems Valley citizens mostly had money on their minds.

Why is the budget predicated on $70-per-barrel oil instead of a more realistic $38?

“We asked the governor for a revised budget,” Rep. Mark Neuman, a republican representing the Valley from Meadow Lakes to Talkeetna, said. “Seventy-four dollars is not real.”

But, he said, his goal is diversifying that revenue by diversifying Alaska’s economy. He wants to see more manufacturing and value-added petroleum products.

“Ninety percent of our revenue comes out of the tail end of one pipe,” he said, referencing the Trans-Alaska Pipeline.

Senator Linda Menard, a Valley Republican, brought up the idea of the longevity bonus. The program was cut under governor Frank Murkowski, but she said she wants to re-instate it, even if it means making the payments smaller.

“I feel we have desensitized ourselves to seniors,” Menard said.

The idea brought mixed reactions in the room. If some seemed in favor, others said the state couldn’t afford it with a projected budget shortfall and still others said they didn’t like the way it was structured.

Bob Andres, a stock-trader and owner of the Trout House, spent a lot of time at the meeting questioning the legislators about the state’s budget. In essence, Andres said that with the national economy contracting, the state should be trimming the fat and growing more efficient.

“In the private sector we’ve already had to cut back,” he said. “You’ve got to appreciate that this is a different world we live in.”

Andres has been something of a budgetary gadfly, having fought a crusade to warn the folks in charge of the Permanent Fund Dividend that their portfolio was heading for ruin in the housing market. He sees similar problems in state investments.

“Why are we risking money that we can’t afford to lose? There’s a bell been ringing and no one’s listening,” Andres said.

Neuman responded that, “people have been listening.”

But, he said, he’s a professional woodworker with little in the way of financial expertise. He has to depend on the expert advice the state pays for. He encouraged Andres to apply for a seat on the fund’s board and pointed out that legislators have little say over what the permanent fund does.

Carl Gatto, R-Palmer, said that those folks heard for years that the bubble was gong to burst, but most of the advice they’d received was wrong. The market kept going up. Until now.

Gatto also said at the meeting that one of his main priorities for the year will be to get the Palmer Senior Center built.

As far as priorities go, Neuman said one of his is fixing the nine dangerous miles of the Parks Highway that run through Big Lake.

“We can’t let people keep dying there,” he said.

Gatto also offered some predictions. On Neuman’s bill to move the legislature from Juneau to whatever community submits the best proposal, he predicted failure.

“Two people on the committee that that bill sees live in Southeast. So what’s the likelihood that that bill will even make it past that first committee?” he said.

And, as for his own bill, the right to work bill dealing with unions and making sure folks aren’t forced to join, he also predicted failure.

Considering the power of unions in the state, he said, “if you want to get re-elected, it’s not the thing to do. But it’s the right thing to do.”

Contact Andrew Wellner at andrew.wellner@frontiersman.com or 352-2270.