ANCSA Regional Association Opposes Ballot Measure 1 Economic Study Shows Thousands of Lost Jobs and Billions in Economic Harm

Media contact: Kim Reitmeier
kim@ancsaregional.com
907-952-0027


Anchorage, Sept. 29, 2020 – Thousands of well-paying jobs that support families across Alaska are at risk, according to an economic study of Ballot Measure 1 commissioned by the ANCSA Regional Association. As Alaska faces a global pandemic and economic uncertainty, now is not
the time to once again change our oil tax structure. If passed, Ballot Measure 1 will cost Alaska thousands of jobs, billions of dollars, and create more problems for communities statewide where the jobs of 40,000 Alaskans have already been lost.

The ANCSA Regional Association (ARA) stands in opposition to Ballot Measure 1. The study we commissioned to analyze Ballot Measure found multiple dangerous outcomes from the new tax proposal, including:

• More than 6,300 Alaska jobs would be at risk of elimination
• Future oil and gas investment activity in Alaska would decrease by 14%, costing our state billions of dollars

Additionally, there is a complete lack of transparency about who wrote the ballot measure, and no public process to request amendments or changes to the ballot measure.

“It is hard to imagine a worse time to throw out the system that drives investment behavior of our state’s largest private sector contributor,” said Kim Reitmeier, ARA’s executive director. “Ballot Measure 1 is untested, was written out of public view by unidentified people, and comes at a time when the economy is reeling. Our board feels strongly that Ballot Measure 1 is bad public policy, and we hope this study will help inform our shareholders about the risks the measure presents, not only to Alaska Native people, but all Alaskans and our communities.”

ARA began examining the potential impacts of Ballot Measure 1 months ago. During that process, they discovered that there was insufficient economic analysis in the public domain showing what potential impacts the ballot measure could have on the economy and jobs. As such, ARA leadership decided to conduct its own research, and commissioned the American Action Forum to analyze the ballot measure. The study determined a number of negative impacts would result from Ballot Measure 1’s passage, cementing ARA’s opposition to it.

“The study we commissioned to analyze Ballot Measure 1 revealed unacceptable consequences,” said Aaron Schutt, president and CEO at Doyon Limited, and ARA Board chair. “Thousands of lost jobs, less revenue to the State, and a decrease in investment activity are all bad news for Alaskans, especially the 135,000 shareholders represented by ARA’s member organizations. Make no mistake, it would be harmful to Alaska and Alaskans if this passed, and we urge a No vote.”

A full copy of the report is available here.

ARA’s mission is to promote and foster continued growth and economic strength of the Alaska Native regional corporations for the benefit of their Alaska Native shareholders and communities. More information about the organization is found at www.ancsaregional.com.