Is statehood jeopardized?

• Author: Harbour, Dave
• Position: FROM THE EDITOR

We believe Alaska's economic outlook for the 2017-18 fiscal year is very bright 1) if OPEC efforts to increase oil prices are effective; 2) if the Legislature and governor act decisively to cut the cost of government; 3) if officials don't seek to keep government whole at the expense of the private sector; and 4) if politicians can begin appreciating and not demonizing the state's largest investors while adopting a new credo, "In Alaska, a deal is a deal."

If such corrective action doesn't happen in the next two fiscal years, we will bequeath to our children an impossible debt burden and a dysfunctional state. The blame game will become intense and solve nothing. All will suffer, especially rural Alaska.

Alaskan pioneers created a state to escape territorial status in 1959. Alaska's imprudent financial managers increasingly jeopardize statehood and expose citizens to a new era of reliance on federal government funding and oversight.

--Dave Harbour

Publisher

Northern Gas Pipelines

Alaska's future is bright with opportunity; however, we must address our fiscal challenges in order to reap those benefits. With a $3.4 billion budget deficit and rapidly diminishing savings, it is critical that lawmakers work together this session to pass a complete fiscal plan and bring economic stability back to our state. This will require us to implement a combination of cuts, new revenue, and a restructuring of our financial assets to close the hole in our budget. My administration is committed to working with the Legislature to fix Alaska's fiscal crisis so we can move on to building Alaska in the years to come.

--Governor Bill Walker

Juneau's economic outlook for 2017 is positive/stable. Industries that bring outside money into Juneau's economy are strong. Tourism is expected to grow by about 4 percent next year, as the number of cruise passengers visiting Juneau continues to grow. Juneau's mines continue to have a steady workforce and strong production. We anticipate the same level of fish harvesting activity as 2016 and the potential for more products to be processed in and around Juneau. Juneau continues to see a vibrant arts and culture economy supporting jobs. Construction sector seems poised for a steady year in 2017 with continued opportunities for road spending and municipal infrastructure investments. Juneau will be susceptible to potential government induced economic crisis if state government is subjected to further substantial cuts and deteriorated business confidence if no long-term fiscal plan emerges. The forecast for 2017, therefore, is mostly sunny with a threat of severe rain.

--Brian Holst

Juneau Economic Development Council

Positive developments at the federal level should continue to be a bright spot for Alaska's economy in 2017. A predictable transportation program and military construction, especially in the Interior, will create new jobs and deliver a much needed economic boost. Furthermore, preparation for the F-35s and other assets should be encouraging for the housing and consumer sectors. New leadership at key federal agencies and growing prospects for regulatory reform are also positive signs for Alaska's business community and resource development sector, particularly our efforts to refill the trans-Alaska Pipeline System. I also remain optimistic about the opportunities for economic development in the Arctic, which will benefit the communities in the region, as well as our state as a whole.

--Senator Lisa Murkowski

The state's current fiscal dilemma stems in large part to an over reliance on one industry--really, one single commodity-on which to fund our government and its operations. Considering the cyclical, and occasionally volatile, nature of commodity prices, this really isn't a prudent model for stability and sustainability. When it's good, it's really good, and when it's bad, it's really bad! What's needed is greater diversification of our economy, in terms of business activity, and also diversification of our revenue base, in terms of additional tax payers beyond a handful of oil producers. Exports, and other international business, can play a role in fostering such diversification. Already a...