Individual news stories are posted in the Alaska News category and you can subscribe to APRN’s news feeds via email, podcast and RSS.Download AudioParnell Sends Legislature His Budget Plan for Next YearDave Donaldson, APRN – JuneauGovernor Parnell today presented his versions of the operating and capital projects budgets that the legislature will work on during next year’s session.Speaking to the Anchorage Chamber of Commerce, he said lawmakers shouldn’t expect to spend more in their versions of the budgets than he approved when he signed the current budgets last spring.Parnell says the new budgets reflect $600-million in spending cuts – and the elimination of 284 state jobs. He says he won’t allow spending to spike just because there’s surplus money available.With that lower starting point on dollars and positions, we can have a public conversation with the legislature about needs versus wants, about efficiencies and about more effective use of the public’s dollars.The budget leaves a $3.7-Billion unspent surplus over projected Revenue. Parnell says that needs to join the $13-Billion already in various state savings funds. He calls for restraints against an uncertain future.Oil production is declining, and oil prices can be volatile. The European debt crisis threatens not only Europe, but the United States potentially heading into recession in 2012. And certainly our own federal fiscal situation and our $15-Trillion national debt is reason for concern. Alaska on the other hand will lead in fiscal responsibility. We do not set a lower starting point for our spending that we will overspend and create worse … create more vulnerability for ourselves as a state down the road.He says he’s holding the operating budget steady despite several sizeable, unavoidable increases, such as new state employee contracts, the planned opening of the new Goose Creek prison in the Matsu, increased state contributions to cover Medicaid costs, and the unfunded pension liability for state employees.Like the Federal government has to deal with Social Security and Medicare as its elephant in the room, our elephant in the room – financially – is this unfunded pension liability that we will deal with.Meeting with reporters following his speech, Parnell said one extra he is looking for is a $350-million package of projects to pay for improvements to ports in communities around the state. $200-million of that will go to complete the renovation underway at the Port of Anchorage. He explained that he wants to put the projects before the public to approve as General Obligation Bonds, not to pay for them with cash.Our savings accounts are making more money than the cost of financing this three hundred fifty million dollars. So where we have to pay three percent on G.O. Bond financing but we’re making five percent, six percent, in some cases even more in some of our savings accounts, it makes sense to use this cheaper money and make more on our savings. We’ll have that discussion with the legislature.Other projects in the bond package include $110-million for a port in the Matsu Borough, and $10-million dollars each for work on the ports in Emmonak, Ketchikan and Seward.House Minoriity Leader Beth Kerttula points out that the governor does not allow for any inflationary costs in his spending plan. She says that will be especially difficult for schools since the governor’s budget amounts to a decrease in spending power for local districts.The budget bills will be formally introduced at the start of the legislative session that begins January 17th.Senate Confirms Judge Morgan ChristenLibby Casey, APRN – Washington DCThe U.S. Senate voted to confirm Judge Morgan Christen on Thursday to the Ninth Circuit Court of Appeals. The tally was 95-3. The “no” votes came from conservative Republican Senators Jim DeMint of South Carolina, Rand Paul of Kentucky and David Vitter of Louisiana.Alaska’s Senators sung her praises Thursday morning on the Senate floor before the vote. Republican Lisa Murkowski noted the barrier-breaking significance Christen’s seating would be.“This is really Mr. President an historic nomination. Only two Alaskans have had an opportunity to serve on the 9th Circuit. And both those judges were somewhat predictably men,” Murkowski said.Christen has been a justice on the Alaska Supreme Court. She had bipartisan support from the Alaska delegation to move to the 9th Circuit. She was also previously elevated in her career by both Democratic Governor Tony Knowles and Republican Governor Sarah Palin. Democratic Senator Mark Begich says she’s been recognized for her volunteer work and philanthropy in Alaska.“I’ve known Morgan for years and am continually impressed by her keen legal mind, her oustanding ecord of public service and her ability to carve plenty of time out of her schedule for extensive volunteer work” Begich said.The seat on the 9th Circuit has been vacant for 18 months since Judge Andrew Kleinfeld took senior status. The Circuit has jurisdiction over much of the west, including Alaska, California, Washington and Montana. It’s headquartered in San Francisco and is the largest of the nation’s 13 courts of appeals.Judicial confirmations have been happening slowly in the Senate because they’ve become political cannon fodder. A handful of Republicans have intentionally held up votes, even when the judges’ actual nominations aren’t controversial.Spending Bill Proposes Pipeline Office CutsLibby Casey, APRN – AnchorageThe Federal Office that’s coordinating plans for an Alaska natural gas pipeline project takes a huge hit in a spending bill unveiled by the U.S. House over night. The Office of the Federal Coordinator would get $1 million in funding – a cut from about $4 million. The 75 percent reduction would mean a major reorganization of the office, according to its head, Larry Persily. He says it’s too early to predict exactly what would be cut. The office has staff in Washington and Anchorage.It does have money left over from past savings to the tune of about $2 million, but Persily says he’s concerned running through that money to plug the basic budget would leave the office without any safety net and would give federal appropriators a false sense of how much money is needed to run the office.The funding for the gas line coordinator’s office is part of a massive $1 trillion omnibus spending bill House Republicans unveiled just before midnight Wednesday. It would fund the government through 2012. Democrats in the Senate have not yet signed off on the package. But there’s pressure to pass it and avoid a government shutdown this weekend – right now the government is only funded through tomorrow.Potential Norton Sound Health Aides Strike May Result In Job LossBen Matheson, KNOM – NomeCommunity Health aides across Norton Sound learned today that they could lose their jobs if they go ahead with a strike on Monday. But Health aides in all 15 villages say the strike is still on if two supervisors are not removed from their roles.ASD Superintendent Search Down To Two FinalistsLen Anderson, KSKA – AnchorageThe search for the next Anchorage School District superintendent is down to two finalists. Thursday, the board announced the names and described the final selection process, which includes a community forum with each candidate.NPFMC Considers Requiring Active Participation for Crab FisheryStephanie Joyce, KUCB – UnalaskaWho should profit from the Bering Sea and Aleutian Islands crab fisheries?That was the big question at the North Pacific Fishery Management Council meeting over the weekend. Answering it generated more than six hours of public testimony and resulted in a vote that split the council.At the heart of the debate is a practice called quota leasing.Crab fishing used to be a race. There was a set amount that could be taken, and vessels competed to get as many pounds as possible before it all ran out. Six years ago, fisheries managers switched over to a system that distributed shares of the harvest to vessel owners based on how much they had caught historically.For many owners, the share they received wasn’t big enough to make fishing profitable. Others simply didn’t want to be part of the industry anymore. The result was a massive consolidation of the crab fleet. Two hundred and thirty boats fished Bristol Bay red king crab in 2001. This year, only 62 fished.But many of the owners who no longer have vessels that fish for crab still own crab shares. They lease those shares to active boats in exchange for part of the profits.Anecdotal evidence suggests that in some fisheries, like Bristol Bay, more than half of the total harvest is leased. Quota holders in that fishery charge boats up to 70 percent for the right to fish their shares.What that potentially means is that some quota holders receive large profits from their shares, without assuming any of the risk of owning a vessel or actually catching crab.Councilor Sam Cotten described it as ‘collecting rent’ when he asked crabber Tyler Schmeil whether the practice bothered him.“Do you care if the people you lease your quota from are active in the fishery? Does it make any difference to you as part of your business? Or does it offend you as a matter of policy? Do you think we ought to make any changes there?”Schmeil said it didn’t bother him. And so did crabber Brian Hayworth, who also testified.“To hear that owners of the boats are sitting on beaches in tropical locations, receiving checks that most of us can only dream of, doesn’t really phase me. Good for them. They were truly the ones who took the financial risk of owning their boats, dealing with crews, dealing with insurance companies, before the IFQ