The first three weeks of Alaska’s legislative session have painted a grim picture of state spending. While the need for schools, infrastructure and energy continues to grow, the state’s revenue hasn’t kept up.
It’s set up a session of what one legislature called “the business of no” as they attempt to meet the state’s needs, recognizing that they can’t afford everything.
As of Friday, that includes the automatic pay changes tied to inflation that a commission recommended for legislators, the governor, the lieutenant governor and top political appointees in state government. In a 19-0 vote, the Senate approved a measure rejecting the automatic pay raises, calling the move unacceptable when nearly every part of the public sector is feeling the pinch.
“As we all know, we’re faced with a substantial budget deficit that we, as the appropriators, have to carefully consider adjustments,” said Sen. Bill Wielechowski during the floor debate on the measure. “It is important that we address the many challenges that are facing Alaskans today.”
The changes were proposed by the Alaska State Officer Compensation Commission, a board appointed by the governor to recommend adjustments to legislator and executive pay. The group has been the source of quite a bit of controversy in recent years. The governor replaced the board entirely after its members recommended no pay adjustments for legislators. After replacing the board, the new members readily approved a 67% pay increase for legislators and a 20% increase for him and his cabinet.
The commission’s recommendation to tie salaries to automatic adjustments for inflation also came at a conspicuous time. The Dunleavy administration has blocked a salary study for most employees from being released and has school districts are facing a major financial crisis in large part because funding has not kept up with inflation.
“It’s just the wrong thing to do,” said Sen. Bert Stedman, the Sitka Republican who co-chairs the Senate Finance Committee.
Stedman has regularly warned about the state getting roped into spending that it can’t control. He said inflation-proofing for legislators and executive salaries could lead to long-term problems for the state.
The House and the governor still need to approve the measure before it officially rejects the adjustments. It’s possible that the governor could veto the measure, but legislators will likely command enough votes to override his veto.
Matt Acuña Buxton is a long-time political reporter who has written for the Fairbanks Daily News-Miner and The Midnight Sun political blog. He also authors the daily politics newsletter, The Alaska Memo, and can frequently be found live-tweeting public meetings on Bluesky.
