Embracing a Sustainable Budget Philosophy

The current system of state spending has already demonstrated that it does not work! I would be honored to work with all citizens of Alaska, all branches of our State government, federal lawmakers, and the President of the United States to build a budget spending system for our state that is sustainable. One that saves and earns money instead of wasting it.

We can do better than our current system that wastes billions of dollars each year. We must be clear that it is not people who are responsible for wasteful spending. It is our system that is, by design, wasteful.

The State has already done much to move our state budget spending in a new direction. HB 76 in 2022 allowed school districts to keep more than the maximum 10% of their budget funds. Nearly every district responded by saving more money! Senator Bill Wielechowski of Anchorage and other legislators are finding sources of wasteful spending. The Alaska Housing Finance Corporation (AHFC) is a self-supporting public corporation that provides accessible mortgages to Alaskans for affordable housing, energy efficiency, senior housing and more while contributing billions of dollars to the state's general fund.

Let's draft legislation that encourages all departments and organizations to save and invest for the future, make sound financial decisions, avoid "fake inflation", and control their own spending timelines. Let's develop a system that uncovers improper spending practices before they happen.

At JP4 Governor of Alaska, our budget management philosophy prioritizes designing a budget spending system that provides for our needs and is sustainable. Our state constitution requires sustainable practices be used for all of the state's resource management. Alaska's budget is a state resource and should be governed by sustainable practices.

The Permanent Fund has grown from three hundred million in 1976 to over 81 billion today. We can apply this concept to our state funds and over time, departmental and program coffers will grow their own funds in addition to what they receive each year. We believe our state funds are resources that should be sustainable. 

Our approach to budget management will save billions that we can then use to support larger citizen dividends, return defined benefits and wages to state employees and educators, restore lost programs/services, and add new programs/services as needed. By treating the budget as a permanent fund, we can create a model that focuses on long-term prosperity and shared success for all residents. 

Let's all get to work on a system that works for all of us!