Issue Position: Get the State Government Fiscal Footing on Solid Ground

Issue Position

Return 100% of the PFD to the people. We need to rethink the way our government does business, not just cut budgets or look for easy revenue.

Raiding the permanent fund to increase State spending is a symptom of the cancer that persists in the thinking of our elected representatives. The permanent fund is an inappropriate source of revenue for our unsustainable State government. Alaskans are not allowed to own mineral rights like other states' citizens are. The PFD is the way we get to exercise our rights to our land. Local communities benefit far more from the PFD when locals spend it than when Juneau spends it.

Innovation is the key to meaningful reductions in spending and lasting financial improvement. Innovation is very unlikely to come from the public sector without intense scrutiny and determination. This election is about putting the right people in place to force innovation. A conservative governor and real conservatives in the legislature are required for success. The season is ripe for change.

We need to tackle education and health and social services. These bureaucratic organizations are the elephants in the room that must be dealt with if we are to improve our long-term financial health. Our fine public-school teachers can figure out how best to educate our youth without burdensome government bureaucracy. How do I know this? Because it is being done every day in the private sector. It is the antiquated public-school system, not the teachers, that needs to innovate.

Government bureaucracy is expensive, self-protective and hasn't been reduced to sustainable levels. Only when it has been reduced in scope should we talk about additional revenue. Even the most efficient State government requires funding to operate. We need to improve our long-term revenue stability through diversification -- reducing our reliance on oil and gas tax revenue -- and a reduction of the tax burden on the drivers of economic growth. Reduce the small and medium sized business tax responsibility and leverage our seasonal population fluctuation with a modest partial year sales tax. Most tourists are already accustomed to paying a sales tax in their home state, therefore a modest sales tax is unlikely to dissuade future tourism.

If necessary, we should institute a modest personal flat tax. The burden of funding our State government should be shared by all equally and a flat tax is the least costly option for the State government to maintain. Of course, a flat tax should be unnecessary with a growing economy and a more efficient State government.

No progressive income tax. Ever. It is a productivity killer and a factor that helps perpetuate big government growth.

Source