Shellhorn: I have seen the enemy, and he is us

We have been living the dream, getting something for nothing for the past 36 years

The City of Cordova as seen on Monday, June 4, 2018. (Photo by Emily Mesner/The Cordova Times)

Life is full of paradoxes. As you grow older, one anticipates wisdom and tranquility; yet I feel growing befuddlement; and know, like many others in the 70s and beyond, that dreams of peaceful nights are a fallacy interrupted, by among other things, frequent trips to the bathroom.

Aging gracefully is a challenge. I try to maintain a perennial cheerful outlook; for as Amor Toles pointed out in A Gentleman in Moscow, probably the greatest book I have ever read, “The surest sign of wisdom is constant cheerfulness.”

Well, unless you have been hibernating in a cave, the early Valentine gift that Gov. Mike Dunleavy gave Alaskans on Feb. 13 in his proposed state budget, should make every one of us very uncheerful, and cause all of us many sleepless nights.

He and budget guru Donna Arduin announced $1.8 billion in cuts that will severely harm many of the most fundamental services we expect from government; and as details of their impact filtered out, are truly frightening.

Take, for example, the proposed $320 million in cuts to state funding for education, from $1.66 to $1.34 billion. Big numbers are hard to comprehend, so consider their effect on a local level.  According to Cordova School Superintendent Alex Russin “the state contribution to the Cordova schools would be reduced by approximately one million dollars.”

Ouch. Hard choices lie ahead for our school board and those all over the state.

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That impact fits in perfectly with the chilling logic used in the statewide TV presentation outlining the cuts, in which Arduin indicated that since Alaska schools are underperforming compared to the rest of the country, the cuts were justified.

Right. Make schools better by cutting their funding. Fewer teachers, increased class size, less programs and activities — why, that ought to do the trick.

Other gems were hidden in the education funding proposal. Research has shown repeatedly that early childhood education is the key to future success. Dunleavy’s proposal for those programs: funding for pre-kindergarten programs drops from $8 million to zero, and funding for Head Start grants is eliminated.

Higher education took an even more dramatic hit. While the worldwide demand for better trained and more highly educated workers is a major concern for keeping the U.S. competitive and giving our children jobs, Dunleavy axed state support for the University of Alaska by 41 percent, from $327 million to $193 million. Locally, Prince William Sound Community College, which has helped many Cordovans launch successful college careers, will surely be affected.

Another close-to-home hit is ferry service. The high per mile cost to operate ferries statewide, compared to the 4 cents per mile cost of highways, was touted as a reason to cut the Marine Highway budget from $140 million to $44 million. Have you tried to drive to Valdez lately?

This $96 million, 69 percent reduction will dramatically impact an estimated 33 Alaska communities, all small and isolated. If you think the recent Cordova-Whittier-Valdez ferry cancellations caused by F/V Aurora mechanical issues were a problem, look forward to decreased service next year, and don’t be surprised by a dramatic increase in the cost of ferry tickets, to achieve the goal of making the ferry system pay for itself.

Already e-mails and protests are inundating Juneau. As they should.

However, here are a couple facts that we should all seriously consider. Alaska currently has no state sales tax and no state income tax. The latter was abolished when oil revenue started pouring in. In fact, since 1982, the state has been giving money to every one of us in the form of a Permanent Fund Dividend (PFD). We are the only state in the union that has no major state taxes, and annually pays its residents money to live within its confines. (For a minimum of 180 days per year, by the way.)

Last year, 33 percent of state revenue came from oil, and 58 percent from earnings of the Permanent Fund. We did not pay a dime. We have been living the dream, getting something for nothing for the past 36 years.

And let’s face it, one of the reasons Dunleavy won in a landslide was because he promised to be the biggest Santa Claus in Alaska history, with an original $6,000 PFD proposal that included a payback-bonus. Note that he has already cut that back to $3,000. (And I note that my former high school U.S. government class teacher, who argued that the first duty of a politician is to get elected, was correct.)

Guess what that $3,000 PFD will cost? $3000 times 615,590 Alaska recipients equals $1.846 billion. Which is almost exactly the savings from all of Dunleavy’s massive cuts.

Yet in fact the election of Dunleavy may have been a wise choice.

His budget proposal is a much-needed wakeup call for all Alaskans. We elected him and should not be surprised by the brutal truth reflected in his budget: It was a nice ride, but there is no longer any such thing as a free lunch.

We need to decide whether we want to pay taxes for necessary and fundamental services or bear the impact of the cuts Dunleavy has proposed, or finally wean ourselves off the PFD; which incidentally, former Gov. Bill Walker, from nearby small-town Valdez, bravely cut in order to balance prior budgets.

If the PFD is reduced, the budget can be balanced with no taxes, and we can still have most of our cake and eat it too. A modest $1,000 PFD would put $1.2 billion back in the budget.  Most Alaskans seem to forget, that after a flat $1,000 PFD in the inauguration of that program back in 1982, the next two years it was at the mid-$300 level.

Serious re-examination of potential savings by every department of government, and a willingness to share the burden, will also be necessary to make up the remaining deficit and balance the budget.

Back in the days when newspapers came in ink-stained form that was also great for packing or fire-starter, the comic stripes were one of my must-reads. One of my favorites was Pogo, and his all-time best was the one that finished with “I have seen the enemy, and he is us.”

Look in the mirror tomorrow morning and ask yourself what got us into this mess.

And who needs to get us out.

It’s going to take some brave legislators, backed by the will of the people. And sacrifices by us all.

Your state legislators can be contacted at representative.Louise.Stutes@akleg.gov , and senator.Gary.Stevens@akleg.gov. The governor can be reached through gov.alaska.gov.

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Dick Shellhorn
Dick Shellhorn is a lifelong Cordovan. He has been writing sports stories for the Cordova Times for over 50 years. In his Cordova Chronicles features, he writes about the history and characters of this Alaska town. Alaska Press Club awarded Shellhorn first place for Best Humor column in 2016 and 2020, and third place in 2017 and 2019. He also received second place for Best Editorial Commentary in 2019. Shellhorn has written two books about Alaska adventures: Time and Tide and Balls and Stripes. Reach him at dshorn44@gmail.com.