Alaska Governor wants to give residents $100 a month to use on energy costs

Fisher

Has No Life - Lives on TB
Fair use
http://www.adn.com/politics/story/407821.html

Excerpt

Palin wants to give residents $100 a month to use on energy
By SEAN COCKERHAM
Published: May 16th, 2008 12:17 AM
Last Modified: May 16th, 2008 10:19 AM

Gov. Sarah Palin is proposing an energy cost relief plan to give Alaskans $100-a-month debit cards and pour state dollars into electric utilities so they'll slash their bills to ratepayers.

Palin's ambitious program, unprecedented in any other state, would last a year and cost $1.2 billion. The money would come out of the huge budget surplus the state government is enjoying because of the same high oil prices afflicting consumers at the pump.

Palin wants the Legislature to approve the plan this summer so it can start in September. She said the utility grants would mean a 60 percent reduction for all ratepayers.

Every Alaskan who qualifies for this year's Permanent Fund dividend check would also be eligible for an "Energy Debit Card" giving them $100 a month from the state.

The cards would have "merchant codes" so they could be used only for energy purchases at gas stations, fuel distributorships, utilities and the like. The $100-a-month for children could be added onto the balance of their parents' cards. Any Alaskan who activates a card would have to pay the federal income taxes on it, but unused balances on the card would roll over from one month to the next.

The plan was announced the same day that Alaska became the first state where the average pump price for a gallon of unleaded gas topped $4, according to the American Automobile Association. It was just under that around Anchorage and Fairbanks on Thursday and much higher across much of the rest of the state.

Palin said it makes sense to return some of the state surplus to the suffering public.

"It's really atrocious, the situation that Alaskans are in today," Palin said. "Where we, as the owners of the energy resources, are paying outrageous prices for use of those resource."

The debit cards would be expected to cost the state $729 million. The grants to electric utilities would be another $475 million. Palin said the state can afford it.

Oil prices of around $120 per barrel mean far more money from oil taxes and royalties than the state expected at its last revenue forecast a month and a half ago.
 

mbabulldog

Has No Life - Lives on TB
Not taking anything away from Alaskan residents, but don't they already get some kind of benefit annually from the State?
 

MikeD

Inactive
Bill for the electricy in Alaska:

May '08 - $140.06

June '08 - $240.06

or

Gas in Alaska:

May '08 - $3.70 gallon

June '08 - $4.70 gallon

*Or some combination of that.

Hey, how about they stop taking all this money from thier people in the first place.
 

Fisher

Has No Life - Lives on TB
Not taking anything away from Alaskan residents, but don't they already get some kind of benefit annually from the State?

mbabulldog,

Yes, every Alaskan gets a check every October.

When Alaska entered statehood in 1959 all mineral rights reverted to the state and Federal Government and eventually some native corporations. Individual Alaskans cant own a oil well or other mineral deposits like they can in the lower 48 states. Unless they are the leaseholder for those rights. As I understand it the Federal Government made it condition that Alaskans had to give up personal mineral rights in order to become a state.

Many Alaskans now wish we would have stayed a territory.

Fisher
 

mbo

Membership Revoked
mbabulldog,

Yes, every Alaskan gets a check every October.

When Alaska entered statehood in 1959 all mineral rights reverted to the state and Federal Government and eventually some native corporations. Individual Alaskans cant own a oil well or other mineral deposits like they can in the lower 48 states. Unless they are the leaseholder for those rights. As I understand it the Federal Government made it condition that Alaskans had to give up personal mineral rights in order to become a state.

Many Alaskans now wish we would have stayed a territory.

Fisher

But then would'nt you have silly-looking money with whales and polar bears on it?


:lkick:



.
 

mbabulldog

Has No Life - Lives on TB
mbabulldog,

Yes, every Alaskan gets a check every October.

When Alaska entered statehood in 1959 all mineral rights reverted to the state and Federal Government and eventually some native corporations. Individual Alaskans cant own a oil well or other mineral deposits like they can in the lower 48 states. Unless they are the leaseholder for those rights. As I understand it the Federal Government made it condition that Alaskans had to give up personal mineral rights in order to become a state.

Many Alaskans now wish we would have stayed a territory.

Fisher



Thank you for clarifying this!
Personally, I would have called the Fed's bluff; how long do you think they would have risked losing a treasure like Alaska before capitulating?
 

BigBadBossyDog

Inactive
Wouldn't it be easier to simply cut their state taxes?

Politicians will do anything, ANYTHING to appease the citizens. And people are basically stupid enough to fall for it!

amazing.....
 

Freeholder

This too shall pass.
Alaska has no state income tax, and only certain municipalities have sales taxes. There are even some areas of Alaska left where there are no property taxes, at least for now. (No services of any kind, either, for the most part, in those areas.) Pretty much everything is paid for from revenue from mineral leases, mostly oil. The product is (mostly) being shipped out of state, so it's only fair that some income from it stays in the state to recompense the people of Alaska for the natural resource that is disappearing. Unfortunately, what happens is pretty much a boom and bust economy. When things are good, like now with the high prices, everything is great, everybody gets extra money, and everybody spends it. Then it crashes again, and people suffer because they didn't prepare during the good times. Just like people everywhere.

IMO, Alaska needs to become more self-sufficient. It could -- there is good agricultural land that could be farmed, there are large coal deposits, lots of wood and other resources. But in order to do that, Alaska needs to cut the umbilical cord that ties it to the Lower 48, in particular a law requiring Alaska's products be shipped out through Seattle (don't remember the name of the law, it was one of Dad's pet peeves).

When it came time to vote on whether Alaska was to become independent or become a state, many if not most Alaskans voted for independence. But military stationed in the territory were also allowed to vote on the issue (IMO, it should have been a vote for permanent residents only), and my Dad believed to his dying day that the military vote is what swayed the election to statehood rather than independence.

Kathleen
 

Fisher

Has No Life - Lives on TB
Alaska has no state income tax, and only certain municipalities have sales taxes. There are even some areas of Alaska left where there are no property taxes, at least for now. (No services of any kind, either, for the most part, in those areas.) Pretty much everything is paid for from revenue from mineral leases, mostly oil. The product is (mostly) being shipped out of state, so it's only fair that some income from it stays in the state to recompense the people of Alaska for the natural resource that is disappearing. Unfortunately, what happens is pretty much a boom and bust economy. When things are good, like now with the high prices, everything is great, everybody gets extra money, and everybody spends it. Then it crashes again, and people suffer because they didn't prepare during the good times. Just like people everywhere.

IMO, Alaska needs to become more self-sufficient. It could -- there is good agricultural land that could be farmed, there are large coal deposits, lots of wood and other resources. But in order to do that, Alaska needs to cut the umbilical cord that ties it to the Lower 48, in particular a law requiring Alaska's products be shipped out through Seattle (don't remember the name of the law, it was one of Dad's pet peeves).

When it came time to vote on whether Alaska was to become independent or become a state, many if not most Alaskans voted for independence. But military stationed in the territory were also allowed to vote on the issue (IMO, it should have been a vote for permanent residents only), and my Dad believed to his dying day that the military vote is what swayed the election to statehood rather than independence.

Kathleen

Freeholder,

The Copper river basin out near Glennallen is one those areas. I've always thought about buying some land there because of no property taxes. Winters can be very tough out in that area though and Anchorage is cold enough for me.

Natural resource wise Alaska is the richest state in the union. The enviromentalists sue everytime anyone tries to get anything started though.

I've heard the same story about the military vote. I also heard they brought in a bunch of new troops just before the statehood vote. I believe the same thing may have happened with federal railroad workers also.

Fisher
 
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