Parnell’s 2013 budget a good example of disciplined spending

It is no news flash to state we are living in challenging economic times. As a country, we are burdened nearly to the breaking point by a ballooning and unsustainable federal budget. Closer to home, families and businesses are increasingly forced to re-examine their own spending habits and often are faced with difficult financial decisions.

So it is encouraging to see Gov. Sean Parnell set a positive example with another responsible proposed budget, which he introduced on Thursday. Following the “hold the line” approach he took to the current fiscal year budget, Parnell’s spending plan for fiscal year 2013 is the very definition of “disciplined,” with a $600 million decrease in state general fund spending.

While our elected officials in Washington continue to spend beyond our means, Parnell’s proposed budget does not exceed current revenue forecasts. To the contrary, it would spend considerably less than the state takes in and allow for a nearly $4 billion surplus to be used for savings and future investment in much-needed job-creating infrastructure.

In these days of declining oil production, this is a wise course of action that Alaskans should feel good about. It will forestall the need for the kind of crisis decisions with which many states are now struggling, while providing time for larger development initiatives to take root and flourish.

Among these larger projects that will see continued funding in the new budget are a few of special interest to Mat-Su residents:

Susitna-Watana hydroelectric project

Recipient of $65 million in the current fiscal year, this massive infrastructure initiative holds the promise of long-term, reliable, affordable, sustainable and clean energy. When complete, it will provide half the Railbelt’s energy needs and help the state meet its admirable goal of getting 50 percent of its electrical power from renewable sources.

Port MacKenzie

In addition to the proposed operating and capital budgets, Gov. Parnell is proposing a $350 million bond package to fund ongoing capacity expansion of the state’s vital ports, including our own. Included in this is another $110 million for the rail extension to the port, which will provide a critical economic link to natural resources in the Interior.

Goose Creek Correctional Facility

Parnell has made a timely opening of the new prison at Point MacKenzie a priority.

Additionally, Knik-Goose Bay Road, long a dangerous and troubled corridor, is targeted for safety improvements. The KGB project is part of $32 million in borough road projects that also includes realignment of the Glenn Highway at Mile 49 and reconstruction of the Glenn between Mile 34 and Mile 42.

Residents of the Mat-Su should feel good about the money proposed to come our way. As with the rest of the capital budget, local projects are designed for statewide benefit for the long haul. We applaud the governor for his sound, thoughtful and sustainable budgets, and encourage lawmakers to approach the budgets with the same sense of responsibility in the upcoming legislative session.