Valley tapped for budget ideas

WASILLA -- The House Special Committee on Ways and Means is on a tour of Alaska communities, seeking suggestions for turning the state's fiscal problems around.

Rep. Mike Hawker, co-chairman of the committee, said he's looking forward to finding out from local representatives and residents how the Valley would like to see the state budget balanced -- where to cut or how to raise revenue.

Hawker said the committee was tasked with two goals -- reducing the cost of government and finding ways to raise new state revenues.

"What we have been doing is going to communities throughout Alaska and holding community meetings to get the public's perspective," Hawker said, "as well as spending the day with local assemblies and boards."

The overriding goal is to develop a long-range fiscal plan for the state, and the committee is asking a few specific questions they hope will help get them there.

"How much of the budget to cut -- if any -- and where we should cut it," Hawker said is one main question. He said they also hope to discuss what people believe the role of the permanent fund earnings should be in a state fiscal policy and where the revenues necessary should come from, should the permanent fund earnings not be a part of the state's fiscal plan.

The fiscal problem has faced Alaska legislators for years -- and one that's been avoided for as long. Meanwhile, the state's fiscal reserves are continuing to dwindle.

"If you accept that we, in fact, do have a fiscal problem, and the solution is more than just cutting the budget, the debate continues on what the solution ought to be," Hawker said. Meanwhile, he said, the state has an estimated two to five years left in its savings account, if the price of oil remains level.

And the committee has been tasked with finding a solution before time runs out. Created last year, the nine-member committee is tasked with bridging the state's fiscal gap.

"We really are constitutionally challenged with leading the way on this issue," Hawker said.

Three afternoon meetings are scheduled Thursday, followed by a public hearing. The committee will meet with the Palmer City Council at 10 a.m. in the council's chambers. A meeting with the Mat-Su Borough Assembly follows at noon, and a meeting with the Wasilla City Council will take place about 2 p.m. A public hearing will be held at Wasilla's Legislative Information Office at 600 Railroad Ave. from 6 to 8 p.m. All meetings are open to the public.