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The state ferry Matanuska will not return to service from its winter overhaul as scheduled next month and will require millions of dollars more of steel replacement work if it is ever to get back to work. In its place, the Alaska Marine Highway System plans to put the Columbia back to sea after almost 30 months in layup status to save money. The loss of the Matanuska will mean more than a month without ferry service for Petersburg. The ship had been scheduled to resume sailings the first week of February to replace the Kennicott, which was...
For the 10th year in a row, more Alaskans moved out last year than new residents moved in. That’s a draining fact, with no real plan to plug the leak. To confirm the Alaska Department of Labor’s statistics about population and persistent out-migration, drive no farther than U-Haul. America’s do-it-yourself movers reported this month on its annual numbers for traffic into states and one-way rentals leaving each state. The traffic count for Alaska is not good. The state fell 25 spots in the nationwide ranking of growth states, from 16th place...
The halibut charter boat fleet in Southeast and the Gulf of Alaska will be able to collectively buy quota shares from commercial fishermen under a provision in the federal omnibus budget bill passed at the end of December. The program would be funded by a fee charged for every angler aboard a halibut charter. Seward’s Andy Mezirow is on the North Pacific Fishery Management Council and has been a champion of the program for a while. He said it’s a long time coming. The program was vetoed by President Donald Trump in his final weeks in office and...
Wrangell — The borough’s target date is 2024 for the sale of the first 22 residential lots in the proposed subdivision of the former Wrangell Institute property upland from Shoemaker Bay. The assembly last month approved $2.2 million for installing utilities and putting in streets across a portion of the 134-acre property, which the borough acquired in 1996. “Our goal is to start construction this fall,” Borough Manager Jeff Good said last week. “That’s our target right now.” The borough is moving closer to receiving its U.S. Army Corps of...
Newly reelected Gov. Mike Dunleavy last week unveiled his proposed state spending plan for the next budget year. By far, the largest single expense in the entire state budget is the Permanent Fund dividend. The governor’s budget proposes no increase in state funding for public schools and a reduction in funding for the university system. No significant increases for road repairs, snow removal, mental health services, or more staff to help the backlog of food stamp applications which has created hours-long hold times for callers needing help. L...
The world will continue to need liquid fuels refined from crude oil for decades. But it likely will need less in the decades ahead as it transitions to renewable energy sources in hopes of stemming the damages caused by a warming planet. Which means oil companies generally are looking for the least risky projects, the environmentally smartest ones, the ones with the quickest payback to recover their investment. No producer wants to sink billions into a new development, only to find that delays, cost overruns and political or permitting...
More people moved out of Alaska than moved in every year between 2015 and 2021. If not for a healthy birth rate, the state population would have shrunk even more than it did. Wrangell has steadily lost population over the past 20 years, with the decline projected to continue. These are not good statistics. Even worse, these are self-fulfilling projections of future economic troubles. Fewer residents means fewer available workers, which means labor shortages for the goods and services people need. Business across the state already suffer from a...
WRANGELL — School districts statewide be looking to the Legislature next year for an increase in state funding, but any boost in the state’s per-pupil formula likely will depend in large part on oil revenues and also Permanent Fund earnings. And neither looks good this month, less than seven weeks before lawmakers are scheduled to convene in Juneau. The state funding formula for K-12 education hadn’t moved in about five years before this year’s 0.5% mini-nudge upward. Meanwhile, districts statewide are facing budget deficits and program...
Restoration of Inter-Island Ferry Authority service from Coffman Cove on Prince of Wales Island to Wrangell and Petersburg would take money. The service ended in 2008, and the two communities will talk about what it would take to bring back the run, how much it would cost and who would pay. The Petersburg borough assembly last month voted unanimously to send a letter to the Wrangell assembly to start talks on possibly restoring the route. Wrangell assembly members at their Oct. 25 meeting directed Borough Manager Jeff Good to talk with his...
WRANGELL—“Not happy” was how Borough Manager Jeff Good described his mood last week when he received word that Wrangell was left off the list of Alaska communities sharing in $27 million in the final round of federal pandemic assistance funding. Wrangell was not alone in receiving nothing. Juneau, Sitka and Anchorage also came up empty. The funding formula was based on federal acreage within each borough, with population and economic conditions, such as poverty levels and unemployment, factoring into the formula. “I think Treasury got it wron...
Workers, families and retirees are not the only Alaskans squeezed by inflation, rising interest rates and tumbling investments. The state is in the same tight spot. And it could get worse. The price for Alaska North Slope crude oil was down to $86.57 a barrel as of last Friday, dropping a third from almost $128 in early June. U.S. benchmark West Texas Intermediate was even lower, at $78.74. The stock market, where the Alaska Permanent Fund invests much of its money, as of Friday was down 20% from the start of the year. Bond and real estate...
A statewide coalition of fisheries and economic development organizations, led by the Southeast Conference, has won a $49 million federal grant to help build up Alaska’s mariculture industry. “This is a moon shot,” Robert Venables, executive director of the Southeast Conference, said of the challenges ahead and the potential rewards of growing the industry to raise and harvest shellfish and seaweed in larger commercial quantities. “It’s a big deal,” said Wrangell’s Julie Decker, executive director of the Alaska Fisheries Development F...
WRANGELL — The borough followed through on discussions from earlier this summer and the assembly last week approved a contract for reassessment of the value of all commercial and residential properties in the community. The intent is not to raise revenue — that is determined by the property tax rate the assembly sets every spring as part of the budget process. The reassessment is to ensure that valuations are “equitable across the board,” explained Borough Manager Jeff Good. After the assembly adopts its annual budget, it considers availab...
Lust for a supersize Alaska Permanent Fund dividend and giving the government a larger role in dictating personal choices are about as miserable a pair of reasons for rewriting the state constitution as imaginable. Problem is, they are not imagined, they are real. Alaskans will vote in 12 weeks whether they want to convene a constitutional convention to embark on rewriting the state’s founding document. The constitution requires that voters get a chance every 10 years to decide if they want a do-over on the 1950s’ guiding principles of law...
8,832 passengers and 2,515 vehicles boarded the ferry in Petersburg in 2011, and 9046 passengers and 2,434 vehicles arrived in town. In 2021, the ridership into Petersburg was 829 passengers, a decrease of about 90 percent from a decade before. Vehicles dropped 75 percent to 595, according to statistics provided by the Alaska Marine Highway System. And 2021's numbers are up from the pandemic-worst travel year. In 2020, just 409 passengers and 313 vehicles disembarked in Petersburg. But...
The state will receive about $36 million less in federal funding than expected for this year’s Alaska Marine Highway System operating budget, requiring the use of state dollars to cover the gap. No reduction in service is expected because of the budget shuffle, state officials said. But it could mean that legislators next year will need to approve additional state funds to fully make up for the loss of federal aid, exposing the ferries to another vote in the political process. The governor had looked to federal infrastructure money to r...
Alaska voters will go to the polls on Tuesday, August 16 to mark their ballots in a couple of firsts: The first election under the state's new ranked-choice voting system and the election of Alaska's first new member of the U.S. House in 49 years. The three finalists for Congress selected in the July special primary election are Republicans Nick Begich, a Chugiak businessman, and former Gov. Sarah Palin, and former Bethel state legislator Democrat Mary Peltola. At a recent candidate forum in...
Inflation smacks drivers in the wallet when they fill up the tank, punches shoppers in the stomach when they load up a grocery cart, and brings travelers down to Earth when they want to buy an airline ticket. The public complains loudly about rising prices that escalate without limits. Why then so quiet about unlimited contributions to political campaigns — it’s just as harmful to democracy as inflation. Maybe even more so. Inflation eventually will come down. Campaign donation limits will only come back when the Legislature and governor tak...
Beer and wine have been available at the bars on board the state ferries Matanuska and Kennicott since late May after the amenities were closed seven years ago, reportedly to save money. The ferry system “has collected feedback on the bar reopening through customer surveys answered by Kennicott and Matanuska passengers — all positive comments,” Sam Dapcevich, Department of Transportation spokesman, said last week. “I’ve also heard from a few Southeast Alaska residents who are happy to see the bars reopened.” There is no additional staff expense...
Election-year politics have a way of bringing bad ideas to the top — when they belong at the bottom of the settling pond. Yes, fuel prices are high, painfully so in many communities and particularly so for people and businesses that have no choice but to fill up the tank and drive to work or deliver for a living. But suspending the federal tax on gasoline and diesel would not accomplish much good. Same for getting rid of the state tax. The Alaska Legislature this past session, with the support of Gov. Mike Dunleavy, considered suspending the s...
The Alaska Marine Highway System has enough crew to operate its summer schedule, though it still lacks a sufficient cushion to handle worker illnesses, injuries and personal leave without holding over staff for extra shifts. “We have been holding people longer than they would like,” Transportation Department spokesman Sam Dapcevich said last week. And the state ferry system is far short of the additional staff that would have been needed to bring the Columbia back to service after a three-year absence for maintenance and a money-saving tie...
Legislators, the governor, members of the public — and most certainly candidates in this year’s state elections — should be paying attention to stocks, bonds, real estate and other investments. Energy prices are fueling high inflation; stock markets are tumbling steeply downhill; Russia’s war on Ukraine is disrupting most everything in the world of finance and commerce; and a growing number of economists are talking “recession.” But rather than focusing on their own savings, elected officials and candidates need to pay close attention t...
The weekend headline in Anchorage said an Alaska North Slope natural gas pipeline project “could be closer than ever, Alaska politicians say.” The first clue was “Alaska politicians say.” No offense, but pinning your hopes on what politicians say in an election year is like believing your kid really cleaned up his room like you asked. The kid will tell you what you want to hear to avoid punishment, just like a candidate will tell tall tales and exaggerate to avoid losing an election. The only difference being the politician should know better....
The Legislature adjourned on time last month, a nice change from past special sessions that got in the way of summer fishing, watching baseball, eating anything off the grill (except eggplant) and sitting outdoors in the sun doing nothing. Lawmakers settled on a healthy and wealthy but not necessarily wise dividend that will put $12,800 into the hands of a family of four this fall. As expected months ago, that single issue consumed the largest amount of political negotiating in the Legislatures final days. House and Senate members also passed...
After 56 years of service in the Alaska Marine Highway System fleet and almost three years tied up at a Ketchikan dock, unused and in need of costly repairs, the Malaspina is headed to another career as a privately owned floating museum and employee housing. Plans also call for using the ship as a classroom for maritime industry jobs. The state last week accepted $128,250 for the 408-foot-long passenger and vehicle ferry from the recently formed Ketchikan company M/V Malaspina. The company is a subsidiary of Ward Cove Dock Group, owned by John...
