Gov. Mike Dunleavy touted his administration’s accomplishments and outlined plans for his final two years in office — what he called "the fourth quarter" of his administration — during his seventh annual State of the State address on Tuesday.
"I'm optimistic about this final quarter, and that's because I can look back at the past six years and see what we've accomplished by working together as a team of Alaskans to fulfill the destiny embedded in our state motto, quote, north to the future," he told a joint session of the Alaska House and Senate.
Dunleavy argued that the state had made significant progress on a number of key issues, from jobs to public safety to oil and gas development on the North Slope and progress toward a long-sought natural gas pipeline, and that the Trump administration's moves to expand resource development were a boon to the state.
Despite the progress on the North Slope, though, Dunleavy suggested short-term solutions to a gas shortage in Cook Inlet "may be painful, and certainly won't be popular," a reference some lawmakers took as acknowledgement that the state may be forced to import natural gas from Outside to address the crisis.
The governor also offered clues about his approach to working with the Legislature this year on some of House and Senate leaders’ key priorities. Both bipartisan majority caucuses are working on bills that would significantly boost education funding — but Dunleavy said those funding boosts should be paired with reforms.
"I'll talk to anyone about money if the conversation is also about different approaches and better outcomes," Dunleavy said.
Dunleavy, a former teacher, administrator and school board member, praised alternatives to traditional neighborhood schools like homeschooling and charter schools during Tuesday’s speech, but he did not offer details about a “comprehensive” education bill he said he plans to introduce. Senate leaders say they remain skeptical about one key proposal Dunleavy pushed for last year, which would allow the governor-appointed state school board to authorize new charter schools.
Dunleavy also touted his approach to the state budget, saying his administration has held government spending in check. But Sen. Bill Wielechowski, D-Anchorage, said that doesn’t square with the $1.5 billion deficit Dunleavy proposed ahead of this session. Wielechowski said he’s glad to see progress on oil and gas and other resource projects — but he argued the benefits aren’t widely felt across the state.
"It's a tale of two economies," Wielechowski said. "You have one group of people doing very well — the wealthy, the powerful, the privileged, the connected, the huge corporations doing great, but the average Alaskan, I think if you ask them on the street, 'How are you doing,' they're struggling to get by."
Even so, Senate leaders said they were glad to hear Dunleavy call for lawmakers to work together on bipartisan issues. Senate Minority Leader Mike Shower, R-Wasilla, said he hoped lawmakers would work collaboratively, especially on education bills.
"I see a lot of movement towards people going, 'We all acknowledge that to make this work, we're going to have to kind of meet in the middle somewhere here,'" he said.
