From Juneau to You! Dear Friends, Happy New Year! As we leave 2021 behind, we have a lot to look forward to in this new year. We are gearing up to finish the second half of the 32nd Alaska State Legislative year. I'm hopeful that 2022 will be a year of prosperity and I want to personally thank my constituents for your support. I am looking forward to continuing to serve as your Senator. As previously mentioned, I plan to introduce two new bills once session begins on January 18, 2022. Caretaker Bill will increase wages, restore hours and reduce barriers to access and provide care. Sex Education Bill would require age-appropriate sex education to be taught in schools. Non-Discrimination Bill is a companion bill to Representative Josephson's HB17 that would make it illegal to discriminate against one based on sexual orientation and gender identity or expression. Many of you may recall the bills I introduced earlier this year, but in case you're not familiar, I introduced: SB 1 CHOKEHOLD BAN SB 2 PEACE OFFICERS: DE ESCALATION, MISCONDUCT SB 3 POLICE OFFICERS: ORAL WARNING/DE-ESCALATE SB 4 PROHIBIT PEACE OFFICERS FROM SHOOTING AT A MOVING VEHICLE SB 5 PROCLAIM JUNETEENTH DAY A HOLIDAY SB 7 STATE TROOPER POLICIES: PUBLIC ACCESS SB 46 LAW ENFORCEMENT: REGISTRY; USE OF FORCE SB47 VEHICLE REGISTRATION/PERSONS W/DISABILITY- PASSED IN 2021 SB 80 PUBLIC SCHOOLS MENTAL HEALTH EDUCATION Governor Dunleavy's Budget Proposal FY 2023 Budget Totals: The FY23 operating, mental health, and capital budget totals $4.6 billion in Unrestricted General Funds (UGF). $912 million in Designated General Funds (DGF) $792 million in Other State Funds $4.6 billion in Federal funding The UGF difference between FY 22 and FY 23 is a meager $4.9 million. Total spending = $10.8 billion (Including Federal funds) Considerations: The Governor's budget proposal includes using Federal pandemic relief money to replace $375 million in UGF funds. Under a status quo budget scenario, there would be a $375 million hole in future budgets. How do we fill that hole? The CBR is projected to hold $1.4 billion at the end of FY 2022 POMV & PFDs: Governor Dunleavy is proposing to split the FY 23 POMV draw in half. 50% for the 2022 PFD. 50% to help pay for essential state services. The 2022 PFD would be $2,560 per person. The 2022 PFD would cost $1.7 billion. Governor Dunleavy is also proposing a supplemental PFD in 2022. The supplemental PFD would be $1,215. The supplemental PFD would cost $795.6 million. As proposed, the budget would result in a total payout in 2022 of $3,775 per person. The cost of the total PFD payout would be $2.5 billion. Specific Items in the Budget: Increases University of Alaska budget by $4 million. $24 million for the Department of Public Safety. (Troopers and VPSOs) Fully funds school bond debt reimbursement. ($79 million) $870,000 for the Dept. of Revenue to retain and recruit investment officers. (Wage increase) $2 million for the Permanent Fund Dividend Division "to hire a private company to screen all applicants' identity." The Department of Public Safety would get $700,000 to support firefighting staff, education, and training efforts in rural Alaska. The new Rural Fire Training and Education program would allow specialists to travel to rural Alaska for hands-on training. ($280,000) The Department of Public Safety would get $1.8 million to cover costs "for a new contract for dispatching with the Kenai Peninsula Borough, which operates the Soldotna Public Safety Communications Center." $500,000 for the creation of the Alaska Family Justice Center to help victims of domestic violence, sexual assault, and sex trafficking. $700,000 for the Department of Public Safety to hire 6 people to help with missing persons. $1.2 million for the Department of Public Safety to hire 6 "new forensic scientists and support staff to reduce turnaround times on DNA testing from a year to three months." $4 million increase (18%) for fire suppression preparedness. (The budget includes $40 million for fire suppression) $180,000 to sponsor Future Farmers of America (FFA). $500,000 for 3 new foresters in the Alaska Department of Natural Resources. (Plus an equipment operator position in Fairbanks) $10 million in federal pandemic relief for the Alaska Department of Labor and Workforce Development to provide training opportunities to Alaskans impacted by COVID-19. The Alaska Department of Fish and Game wants to move several jobs from the sportfish division to the commercial fisheries division as part of a consolidation of stock assessment programs. $5 million for DEC to take over 404 Clean Water Act permitting from the EPA. 28 jobs 404 permits cover discharge of dredged or fill material into federal waters and wetlands. Gov. Dunleavy wants to use $100 million in federal pandemic relief to offset $100 million in UGF funds that would be spent on programs in the Dept. of Corrections. $3 million for a new mental health unit and booking areas at the Hiland Mountain Correctional Center in Eagle River. (The center houses only women) $900,000 for 14 new jobs in the Dept. of Corrections to do non-security work. This will free up staff that can do security work. The Court System will get an additional $1.2 million to restore some employees to the standard 37.5-hour workweek. (Some staff saw their hours cut to 36 hours per week due to budget cuts) $1.5 million for the Department of Commerce, Community and Economic Development to keep professional licensing programs fully operational without raising fees. $100,000 for a new position to help process applications for nursing licenses in Alaska. The Office of Public Advocacy is slated to get $90,000 to hire a public guardian to serve the Western Alaska region. $430,000 for new positions in the Public Defender Agency. $330,000 for the Division of Elections to hire 2 people to deal with election security. $6.3 million for domestic violence and sexual assault prevention programs. Fully funding for the base student allocation for education. Department of Health and Social Services: FY 23 Medicaid spending is projected to be $2.4 billion. Up 2% compared to FY 22. ($45 million) Gov. Dunleavy is reviving his proposal to split the Alaska Department of Health and Social Services into 2 departments. Department of Health Department of Family and Community Services The proposed Department of Family and Community Services would contain: Pioneer Homes Alaska Psychiatric Institute Office of Children’s Services and Juvenile Justice Village Public Safety Officers $2.9 million for 10 new Village Public Safety Officers and a tribal liaison position. (Note: VPSOs work under a contract and are not state employees) Includes a $2 an hour pay increase. 22% increase for the VPSO program. ___________________________________________________________________________Revenue Forecast On December 15, the Alaska Department of Revenue released the Fall 2021 Revenue Sources Book. FY 22 Unrestricted General Fund (UGF) revenue is forecast to be $2.7 billion. FY 23 UGF is forecasted at $2.6 billion. FY 23 POMV draw is expected to be $3.4 billion. The POMV draw is Alaska's largest source of revenue. The POMV draw is expected to annually make up 54% of all state revenue. The Dept. of Revenue is forecasting North Slope to average $75.72 per barrel in the current fiscal year. ($71 per barrel in FY 23) ANS oil production is expected to average 486,700 barrels per day in FY 2022 and 500,200 barrels per day in FY 2023. The Dept. of Revenue is forecasting oil production of 586,200 barrels per day by FY 2031. FY 22 oil revenues are projected at $2.2 billion. $48.9 million in forecasted mining taxes in FY 22. ($9 million in FY 2021) $48.8 million in mining taxes in FY 23. Marijuana taxes are forecasted to bring in $7.9 million in the current fiscal year. Marijuana taxes are forecasted to bring in $8.6 million in FY 23. $29.2 million from fisheries taxes in FY 23. ($28.3 million in FY 22) $36.5 million in motor fuel taxes in FY 23. $20.9 million in alcohol taxes in FY 23. $225 million from cigarette taxes. If you have any questions or concerns, please reach out to my office at any time: L. Keith Bauguess Legislative Staff 907.269.0174 Besse Odom Legislative Staff 907.269.0155 Send us an Email Follow Me on Facebook Follow Me on Twitter I’m Senator Elvi, always..... "Listening and Representing Your Interests!” Alaska Senate Democrats | Capitol Building, 4th Avenue & Main Street, Juneau, AK 99801 Unsubscribe [email protected] Update Profile | Constant Contact Data Notice Sent by [email protected]