Post by Logan on Jun 30, 2016 20:58:18 GMT -6
‘Day of reckoning’: Gov. Walker vetoes hundreds of millions in spending, caps Permanent Fund dividend at $1,000
Saying the Alaska Legislature failed to do enough to solve the state's deep financial woes, Gov. Bill Walker used his veto pen Wednesday to slash next year's state spending, including likely cuts in Permanent Fund dividends, a delay in paying tax breaks for the oil industry and cuts in education programs and road projects.
At a news conference in Anchorage called to announce and explain the vetoes, Walker said the state is facing a $4 billion hole in budget revenues due to low oil prices and dwindling oil production. He said the state can no longer afford high annual dividends from the $52 billion Alaska Permanent Fund, like the $2,072 payout in 2015 to every adult and child resident.
The state's fiscal position is dire, he said. "We've lost 80 percent of our income in about a year and a half," he said.
His Alaska Permanent Fund veto allows for a $1,000 annual dividend this year, Walker said. High dividends are not sustainable, he added, and reductions in the payout are needed to keep the fund alive.
Read more: www.adn.com/politics/2016/06/29/walker-budget-vetoes-include-capping-permanent-fund-divdends-at-1000/
Saying the Alaska Legislature failed to do enough to solve the state's deep financial woes, Gov. Bill Walker used his veto pen Wednesday to slash next year's state spending, including likely cuts in Permanent Fund dividends, a delay in paying tax breaks for the oil industry and cuts in education programs and road projects.
At a news conference in Anchorage called to announce and explain the vetoes, Walker said the state is facing a $4 billion hole in budget revenues due to low oil prices and dwindling oil production. He said the state can no longer afford high annual dividends from the $52 billion Alaska Permanent Fund, like the $2,072 payout in 2015 to every adult and child resident.
The state's fiscal position is dire, he said. "We've lost 80 percent of our income in about a year and a half," he said.
His Alaska Permanent Fund veto allows for a $1,000 annual dividend this year, Walker said. High dividends are not sustainable, he added, and reductions in the payout are needed to keep the fund alive.
Read more: www.adn.com/politics/2016/06/29/walker-budget-vetoes-include-capping-permanent-fund-divdends-at-1000/