Alaska Legislature Races to Finish Bills Before May Deadline

The state’s lawmakers are sprinting toward the end of their session, with less than two weeks left to pass a budget and other urgent measures before the constitutional deadline on May 20. Both chambers say a special session could focus on the Alaska LNG pipeline after the regular period ends, but many bills still need to be completed. Key priorities such as school funding and criminal‑law reforms have not yet been resolved, and leaders like Senate President Gary Stevens and House Speaker Bryce Edgmon warn that they likely won’t finish the governor’s top wish—a tax break for the pipeline—before adjournment. “There doesn’t seem to be any imminent pathways to getting a bill to the governor’s desk during regular session, ” Edgmon said. The governor’s office, however, says there is still time and urges legislators to finish the bill before adjournment. “Governor Dunleavy believes there is still time remaining in the session and encourages legislators to work together, ” a spokesperson said. Since the start of this two‑year cycle, lawmakers have introduced 683 bills and many resolutions. With the deadline looming, they must decide which to fast‑track and which to let expire. The operating budget is a major focus: the House and Senate will soon form a six‑member conference committee to reconcile differences between their drafts. The main disputes involve the size of the Permanent Fund dividend and one‑time school funding. If oil prices rise, the Senate’s plan would give every eligible Alaskan $1, 150 and provide up to $140 million for schools. The House prefers a $1, 500 dividend and $158 million in school funds regardless of oil prices. Senate cuts also reduce funding for programs such as heating assistance, higher Medicaid rates for certain health workers, childcare recruitment and community jails. Instead, more money is directed to community assistance programs that share state revenue with local governments, a move aimed at countering higher fuel costs. The capital budget, which covers infrastructure projects, was approved by the House Finance Committee and will soon be voted on. It seeks to use unexpected oil revenue for neglected school maintenance projects. Republicans unsuccessfully tried to restore funding for a controversial road project west of the Susitna River, which would open access to a new mining area. The majority now wants federal transportation money to go toward safer roads in Anchorage, where fatality rates are high.The LNG tax‑break bill remains stalled after weeks of hearings and amendments. Governor Dunleavy wants a substantial property‑tax reduction for the pipeline’s developer, which could cost the state nearly $1 billion annually but would bring in $26 billion over three decades. Both substitute bills are still waiting for final committee votes, and it is unclear which, if any, will survive the session. Education funding bills have been a staple of recent sessions, but a permanent increase in the Base Student Allocation is unlikely. Lawmakers are instead looking at one‑time funding for school utilities and other needs. Senator Jesse Kiehl says the highest priority is money, noting that rising heating costs could force schools to cut staff. Several bipartisan proposals aim to provide targeted funding for career‑tech programs and reading grants, while another seeks to change how school districts calculate attendance figures. With little time left, lawmakers may bundle multiple education measures into a single bill to push them through. An omnibus crime package, spanning over 50 pages, is slated for a Finance Committee hearing next week. It covers everything from raising the age of consent to banning AI‑generated child sexual abuse material and revising liability laws for faulty airbags. The package is built around a bill that already passed the House, allowing it to move quickly through the Senate and back to the House for concurrence. A significant pension bill that would restore defined‑benefit plans for public workers has cleared both chambers. Governor Dunleavy must decide by May 18 whether to sign it, veto it or let it become law without his signature. A late‑session veto could trigger another override vote and create a contentious end to the session. New revenue proposals have been largely rejected, but lawmakers acknowledge that some form of new revenue may appear before the session ends. The Senate Resources Committee has drafted options such as reducing oil tax credits, applying corporate income taxes to private oil firms and online sales, and introducing a head‑tax on workers. Though the governor has opposed stand‑alone revenue measures, modest additions may still surface in last‑minute legislation.