Gov. Mike Dunleavy held a press conference Friday announcing his proposal to use $1.02 billion in federal American Rescue Plan Act funds directed to the State for discretionary COVID-19 recovery efforts. This announcement comes as the state’s $4.5 billion tourism economy is in jeopardy. The announcement was made from the Alaska Native Heritage Center.
Alaska received a total of $1.02 billion in ARP funds to assist in recovery efforts from COVID-19. The plan includes $80 million for emergency response costs including addressing the domestic violence impacts of COVID-19. $150 million in industry relief to promote tourism and adapt services for the potential loss of cruise ship season. $325 million in relief to businesses and organizations impacted by the pandemic and preparing Alaska’s economy to emerge as a destination for workers, investors and families. $325 million for Alaska’s backlog of infrastructure needs, including safe water, sewer and broadband needs.
He said, “Some of that money will be sent directly to entities such as school districts, tribes, etc. Some of that money will come through the state. We are going to be proposing for the legislature to take a look at traunches of money in various categories. We have about $1 billion that will be heading our way. We want to be able to talk to the Legislature about how do we help our businesses across the state. How do we help, again, with tourism recovery. How do we help with infrastructure in the state of Alaska – bridges, roads, potential harbors, ports, etc. How do we help protect Alaskans, for example food security, helping our fishing industry, etc.”
Dunleavy says he’s losing hope on the thought of a cruise ship season this year, “What my concern is, this will be two years in a row that we may lose some of this investment on a permanent basis. We’re going to work to not have that happen, but we need a little help from the CDC and from the federal government. All we’re asking them is to let us work with our cruise ship industry just like we did with the other industries. In the event that doesn’t occur, we’re fully prepared to file suit.”
The proposal will be submitted to the Alaska Legislature for consideration and collaboration on a final program in the form of an appropriation bill. Additional information on the Governor’s proposal can be found here.
