Governor Dunleavy unveils FY24 budget proposal

FAIRBANKS, Alaska (KTVF) - The next Alaska legislative session begins on January 17, and in advance of that gathering, Governor Mike Dunleavy has released his draft budget for Fiscal Year (FY) 2024.

In a press conference, the governor outlined some of his major priorities.

He has proposed a statutory Permanent Fund Dividend (PFD) payment next year, estimated at $3,800.

Dunleavy also asks for 2.5 million dollars for the Alaska State Defense Force, creating a rapid response team for emergencies and disasters.

The governor proposes five million dollars for a campaign to market Alaska to outside businesses.

He identified Public Safety as his number one public policy priority, and says this proposed budget is a starting point for conversations going forward. “Our FY23 revenue estimates are down 1.8 billion [dollars] from when I signed the current budget in June, and as we know, oil prices go up, they go down, especially in a chaotic situation we have going across the world right now, with wars in the Ukraine and policy decisions regarding fossil fuels, et cetera. We continue to have prices on oil and gas going up, going down, going all over the place. The FY 24 budget is projected to have a deficit of 265 million dollars. That 265 million dollars will come out of the CBR [Constitutional Budget Reserve], and what will be left in the CBR is approximately two billion dollars.

Incoming Senate President Gary Stevens released a reaction to the budget proposal.

He also called the budget a good starting point, and voiced concerns over the PFD amount being proposed and the lack of additional education funding resources.

The three-person senate minority released a statement agreeing with the governor’s effort to reduce the state’s operating budget and provide a statutory PFD.

The House Republican caucus offered its support for some parts of the budget, calling it “judicious.”

More information about the budget proposal can be found here.

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