Oil wealth masks challenges facing Alaska economy

[HopeHoops]

Source: AFP via Yahoo News

JUNEAU, Alaska (AFP) - However much executive experience Republican vice presidential pick Sarah Palin has gained from her 21 months as Alaska governor, it is unlike that of any chief executive in the 50 US states.
...
...Alaska's oil-rich status and federal funding have effectively meant Palin has been able to govern without making the sort of thorny fiscal decisions that burden leaders of other states.
...


Read more: http://news.yahoo.com/s/afp/20080907/ts_alt_afp/usvotepalinalaskaeconomy_080907170804;_ylt=Ai5_VRZW4X7F.GGTIDnC3jKs0NUE

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Read the entire article - it is a weird mix of factors in play.

[Blue_In_AK]

1. That article is quite accurate.

Good analysis of our situation re the oil companies. They're like a fourth branch of our government, the ones we love to hate but upon which we are entirely dependent and over which we really have no control. I think the reason there was so much bipartisan support of Sarah's tax overhaul was because everyone was so happy to see someone finally try to stick it to them a bit.

[StClone]

3. This is the point I've made

I know I may sound anti-Alaskan (no just anti-Redneck Palin) but Alaska has much akin to a Lower 48 welfare state like Mississippi.

They come on all independent and self-reliant when in fact there are living off the vast resources of Alaska (at least what the big Corps toss 'em to keep the Alaskan populace compliant). Impetus for Alaskan Independence is in part fueled by having nothing to do all winter getting the money and the whining about being under the aegis of the Lower 48 especially those eggheaded Easterners. Am I wrong for this view?

[Blue_In_AK]

5. Well, you're a little off,

but I'll only briefly quibble. As for "having nothing to do" all winter, I'm not sure I agree with that. Most of us hold jobs of one sort or another. People in the Bush are busy surviving, which isn't always easy. And the athletes among us have lots of winter sports to keep them busy. We're not just sitting on our butts all winter whining about the Lower 48. Really, we don't give you guys much thought at all while we're going about daily lives.

[StClone]

9. Thanks Blue_In_AK

I know I am off.

The picture I paint is not accurate but the impression I get from watching that video about the Alaska Independence thingy. We live in the non-Alaskan milieu where people (aside Vermont and Upper Michigan) need to part of America down here. I've never been on welfare, assisted living, Medicare, Food States or Unemployment. To see some up there contemplating Independence from us because they want to be "independent" and get plenty of welfare is upsetting.

[Arctic Dave]

8. Alaska is a lot like a welfare state.

We get more tax dollars then we put into the pot, this in part to "uncle ted". Alaskan are we want it all and don't want to have to pay for it.
You see this type of mentality the further out of town you go (this because people don't want to pay taxes so they move out of the city limits, Libertarian types). The population doesn't want to pay any taxes but the bitch to no end when their road isn't plowed immediately or when the potholes aren't fixed the next day.

[StClone]

10. Thanks

For the reply. I feel slightly vindicated for my impression but I know part of my thinking is envy. I would love to live in the splendor of Alaska and know if I had a job and the money from the state life would be pretty good there.

[roguevalley]

13. there are also isolated places, the bush and all, that are desperately

poor and without even the basics. we have stuff going on here that you can't find in the lower 48.

[Blue_In_AK]

11. Hi, Dave.

Aren't you just loving how we've become the Alaska version of Snopes.com? I sure hope they manage to send Sarah back here after November so we can get back to our regularly scheduled lives. :rofl:

[Arctic Dave]

12. For once I know something that others don't

I'm feelin like the smartest kid in the class.:D
They can send sarah, ted and don back and we can send Mark and Ethan to Washington D.C. (too bad about Diane) What did you think of Marks entrance to the Egan that night?

[Blue_In_AK]

14. You know, I wasn't even paying attention.

What happened? Yeah, I'm still depressed about Diane -- just having a hard time "feeling the love" for Ethan. He leaves me cold. I'm a little disppointed in both him and Mark for their praise of Sarah Palin after the announcement, but I guess they were just being polite, I don't know.

[Arctic Dave]

15. Politics is the art smiling at your foe

when you'd rathter poke them in the eye.

[Blue_In_AK]

16. I want to see some poking, damn it!

I'm tired of everybody playing nice.

[Arctic Dave]

17. Me too. To hell with all this high falutin niceness!

:rofl:

[xxxyyyzzz]

7. Both Oil and Mining.....

.....corporations are like a fourth branch of Alaska Government.

Alaska has different real estate laws than most other US-states.
Alaska has "split-estate" land ownership.
If you buy land in Alaska you don't own anything deeper than 1-inch below the footings of your house foundation..
..it's wise to file a mineral claim where your house is too if you think anybody might want to mine the layer of coal or metals that might be under your land. You might buy riverfront land and discover later you can't tap the energy out of the flowing water because some outfit in Texas has already claimed that right without needing to notify you.
There is movement afoot to make the same problems for harvesting the wind above your land too.

Conoco Phillips owns Driscopipe ... but for 30years has been insisting with the other 7-sisters that the NorthslopeGas has been "stranded gas" impossible to bring to market.
...here's proof that the NorthSlope Gas has always been able to be shipped to the closest available market.
http://s281.photobucket.com/albums/kk209/DistantThunderbolt/?albumview=slideshow
There's at least 2-trillion cubic feet of propane in just the wet-gas Prudhoe gasfield, much more can be found in several other gasfields on the slope. Palin blew it when she didn't direct ANGDA to immediately facilitate a local Alaska marine company to purchase a LPG-tankership, or begin rapid mass-production of 10,000gallon LPG-ISO tanks. This excessive amount of propane could be used to eliminate Alaska's energy emergency. Instead she found it was easier to listen to her "qualified experts" and just write a $1200 check to all 660,000 Alaskans.
The State of Alaska has in the past 2years spent more on cleaning up oil-spills in the villages than it would cost to initiate a statewide propane delivery and storage network .
....instead a new position of "State Energy Czar" was created and a glorified meter-reader was installed there.
Who thinks America needs more Czars???.... Chertoff?? I think Chertoff needs to turn in one of his passports, real Americans don't need dual citizenship.


.....a little birdie told me so.

[Arctic Dave]

2. That is a pretty accurate view of Alaska.

It is easy to govern when you have a huge checkbook. The money shortage other states have is not an issue for her. Anything she cut was at her will.
She is having a lot of praise rained on her for things that are out of her hands.

[HopeHoops]

4. Almost like running an oil company in Texas - how can you fail? No, wait, scratch that.

Bush can fail at anything.

[soupkitchen]

6. Isn't the well-being of Alaska completely tied into the well-being of big oil?

Or to put it another way, could a Governor, or Ex-Governor of Alaska, ever approach energy questions in an impartial, disinterested way? I think not; the conflict of interest (between what's good for the Alaska and what's good for the other forty-nine states) entrenched and insurmountable.