An Alaska State Trooper conducts a traffic stop outside Wasilla in early 2024. (Photo courtesy of Alaska State Troopers)
The House State Affairs committee advanced a governor’s appointee for a public seat on the Alaska Police Standards Council with some skepticism on Tuesday.
Gov. Mike Dunleavy appointed Veronica Lambertsen to serve in one of four public seats on the 13-member Alaska Police Standards Council, which oversees law enforcement standards across the state.
The council is charged with setting and enforcing standards for law enforcement certification, as well as training and retention for all police, probation, parole and correctional officers. Members are also tasked with adopting state regulations and investigating police misconduct, like officer discipline and use-of-force.
Lambertsen is a small business owner, and since 2001 has operated the Bird Creek Motel in Bird Creek, a small unincorporated area south of Anchorage, according to her resume. She has volunteered on the Turnagain Arm Community Council since 2023, which serves the communities of Bird Creek, Indian and Rainbow.
Lambertsen’s resume lists no formal educational or professional training experience, and describes her education as “homeschooled.”
Lawmakers seemed skeptical of her qualifications, and asked Lambertsen about her connection with law enforcement or public safety issues at a confirmation hearing on Tuesday.
Members of the House State Affairs Committee consider the governor’s appointees for the Alaska Police Standards Council and the Board of Parole on Apr. 7, 2026. (Photo by Corinne Smith/Alaska Beacon)
Rep. Steve St. Clair, R-Wasilla asked if she had law enforcement experience.
“Not active duty or anything,” said Lambertsen by phone. “But being a small business owner, and in reflection of owning a cafe and a motel, I’ve had a lot of experience with law enforcement, and yes, there’s a lot of incidents that have happened regularly, and there’s been a relationship.”
The council has 11 seats reserved for members in leadership positions with law enforcement or corrections, and four seats for members of the public, including two from communities of 2,500 population or less.
Rep. Rebecca Himschoot, I-Sitka asked Lambertson what perspective she would bring to the statewide council. “How will you help make this a better council?” she asked.
Lambertsen told lawmakers she would bring a “public perspective” and said she’s interested in working on standards for training.
Committee members were unsure on Tuesday if police training is required for appointees to the Council. Lambert said it was not, but added that members have the opportunity to take police standards classes.
Officials with the Alaska Department of Public Safety confirmed Wednesday public members of the council do not need to have any law enforcement connection.
Lambertsen serves as the volunteer secretary for the Anchorage chapter of Moms for Liberty, according to her resume, a far-right national group that advocates for parental rights, and is known for its advocacy against school curricula that includes LGBTQ rights. Some chapters advocate for book bans.
The group has been deemed an “antigovernment” group by the Southern Poverty Law Center, a civil rights organization, and has known ties to other extremist or hate groups.
Lawmakers did not ask about Lambertsen’s affiliation with the group, or how it would affect her role on the Alaska Police Standards Council.
Lambertsen responded to questions about her affiliation with the group by email on Wednesday, saying that her position with Moms for Liberty “had nothing to do with anti-student inclusion.”
“My understanding of Moms for Liberty was asking for curriculum being provided by teachers to educate children to be age appropriate, especially for Early Childhood Learning to 6th Grade Learning, for parents to ask questions about curriculum of the School Districts and not allow “soft porn books” in schools and libraries for children of all ages to have access to,” she said. “Certain books should be available in older age sections with accessibility to that age group.”
Lambertsen did not respond to questions about how her political views would influence her role on the council.
In an interview Wednesday, Rep. Ashley Carrick, D-Fairbanks, chair of the House State Affairs Committee, said the committee’s review process is “like a job interview” and a procedural step before a full vote before a joint session of the Legislature. But she said she has concerns about partisan conservative nominees appointed by Dunleavy, including Lambertsen, across state boards.
“It really leads to a lean of our state boards and commissions and those decision making services towards potentially a partisan flavor,” she said. “And I think after eight years of this administration, we are seeing some of the impacts of that.”
Carrick said each lawmaker does their own research on nominees for a final vote in a joint session of the Legislature. She said she prefers to contact nominees privately with concerns, rather in the committee process, and also relies on public input.
“I think at this point I would really need to hear from folks around the state if they’re also concerned,” she said. “And hopefully the hearing just brought just a little bit of attention to this appointee and what she’s being appointed for.”
Sen. Robert Myers, R-North Pole, speaks on House Bill 57 in the Alaska Senate on Monday, April 28, 2025. (Photo by James Brooks/Alaska Beacon)
By: Sean Maguire, Alaska Beacon
Sen. Robert Myers, R-North Pole, speaks on House Bill 57 in the Alaska Senate on Monday, April 28, 2025. (Photo by James Brooks/Alaska Beacon)
The Alaska Senate last week advanced a bill that would allow for the anonymous surrendering of infants in so-called infant safety devices.
The boxes are located on the exteriors of buildings. They are climate controlled and monitored by video. When the device is opened, a 911 request is automatically made.
Alaskans have been able to surrender infants since 2008. Newborns must be given directly to police officers, firefighters, doctors or other medical personnel. They are then turned over to the Alaska Office of Children Services for adoption.
In Alaska, an infant must be aged 21 days or younger to be surrendered legally.
North Pole Republican Sen. Robb Myers is the lead sponsor of Senate Bill 9. It would allow newborns to be surrendered in climate-controlled boxes, located outside police stations, fire departments, hospitals and other locations.
Myers said that around one baby a year has been surrendered in Alaska since 2008. Despite that, three infants have been found abandoned in Alaska since 2013: Two were found dead; one newborn was discovered alive in Fairbanks in a box in winter.
Myers said safe surrender devices would help save lives. Parents can feel shame or the fear of potential recognition when giving a child to another person, he said. The climate-controlled boxes are intended to remove that barrier.
The Alaska Senate advanced the bill on an 18-2 vote. Sens. Bert Stedman, a Sitka Republican, and Löki Tobin, an Anchorage Democrat, voted no.
Tobin said the anonymity of surrendering a child into a baby box could lead to abuse of women. She said the boxes introduce the potential that traffickers could surrender babies without a mother’s consent.
“The potential misuses for these devices far outweigh the benefits,” Tobin said.
All 50 states allow for the surrendering of infants. Almost half of states allow for newborns to be surrendered in baby boxes, which has accelerated since Roe vs. Wade was overturned, particularly in Republican-led states.
If the bill passes, the Alaska Department of Public Safety would be tasked with drafting regulations for the placement of infant safety devices. Each infant safety device is estimated to cost $16,000. That excludes surveillance and security costs, which state officials say could be “significant.”
SB 9 now advances to the House for its consideration. Similar legislation has been advancing through that legislative chamber.
Kinross’s Fort Knox mine outside of Fairbanks in seen in this undated photo. Fort Knox produced 239,508 ounces of gold in 2024, according to the Alaska Department of Labor and Workforce Development, and it is one of the state’s six major mines. (Photo provided by Kinross Gold Corporation)
Metals mining has a prominent place in Alaska history. Today, it remains a prominent economic driver in the state.
Over the past decade, the metals mining sector has made up 3% to 4% of Alaska’s gross domestic product, and those mined metals rival Alaska seafood as top exports from the state, according to a state Department of Labor and Workforce Development analysis.
Metals such as zinc produced at the Red Dog mine in Northwest Alaska, silver produced by the Greens Creek Mine in Southeast Alaska and gold, lead and copper produced by various mines, now support an industry worth close to $3 billion a year, according to the analysis, published in the current issue of Alaska Economic Trends, the department’s monthly research magazine.
Alaska has six major metals mines, three of which produce more than one type of metal, and hundreds of small placer operations.
Among the mined products coming from Alaska is germanium, a byproduct of zinc that is classified as a critical mineral and used in electronics. In 2024, the Red Dog mine produced about 10 tons of germanium, according to the analysis, making it a critical source to the nation because China cut off deliveries of its germanium. That year, the Red Dog mine was the only U.S. mine producing germanium, though prior to 2023, a Tennessee mine was also producing the mineral, said Karinne Wiebold, the state economist who wrote the Alaska Economic Trends report.
Mining’s share of Alaska’s gross domestic product has grown considerably, as this graph shows. The graph includes values for metals mining and mining of coal, gravel and sand, but it does not include oil or gas production. Dollar figures are inflation-adjusted to 2024. (Graph provided by the Alaska Department of Labor and Workforce Development research and analysis section)
The value of Alaska’s mining sector, including coal, gravel and sand as well as metals, actually peaked in 2011 at nearly $3.5 million and close to 5% of the state’s gross domestic product. That peak reflected extremely high metals prices and the startup of the Kensington gold mine in Southeast Alaska.
Still, mining has been a strong economic factor in Alaska for the last two decades, after jumping in value in 2006. Every year since then, its total value to the state has generally been above $2 billion and usually accounted for 3% to 4% of Alaska’s gross domestic product.
Metals mining has also become a big employment driver as well, according to the analysis.
There were 3,533 metal mining and support jobs in Alaska in 2024, the most recent data available, and jobs in the sector grew by 37% over the past decade, compared to an overall state job growth rate of 0.3%, Wiebold’s analysis said.
The average metal mining job paid $135,000 in 2024, well above the state average of $71,000 that year and second only to the average pay for workers in the oil and gas sector, the analysis said.
But a large percentage of mine workers are not Alaska residents. Wiebold’s analysis puts resident hire at 56%. That puts the non-resident hire percentage in the metals mining sector well above the state average.
In 2024, the most recent year for which data is available, 22.9% of workers in the state were not Alaska residents, according to an annual report published by the Department of Labor and Workforce Development. That is the highest percentage since such records began in state average, which is the highest percentage since records started in the 1990s.
A visitor to the Donlin Gold mine site on June 23, 2025, touches core samples collected from exploration work. Donlin is one of the major Alaska projects that could be developed in the future. (Photo by Yereth Rosen/Alaska Beacon)
Wiebold noted that the nonresident hire in the mining sector is about the same as that in the oil and gas sector, which in 2024 was 40.5%, according to the state’s report.
Mining and oil and gas work in Alaska is conducive to nonresident employees because it is generally conducted at remote locations, typically with rotating schedules of two weeks on and two weeks off, she said.
“This combo means most folks don’t live near the mine and have to commute and stay at the worksite, and that there is not a significant time/cost/commute savings for living in the state,” she said by email. “As a result, miners from out of state can work in Alaska and live somewhere less expensive or more appealing to them.”
Another reason for the high percentage of nonresidents lies in Alaska’s demographics, she said. “In the last several years, with Alaska’s working age population fairly stagnant after a decade of significant declines, more jobs are being held by out of state workers,” she said.
The sector is poised for future growth, with projects like the Donlin gold mine in Southwestern Alaska, the Graphite One graphite mine in Northwestern Alaska and, potentially, the commercialization of the copper-rich but isolated Ambler Mining District in Northwestern Alaska.
But none of those proposed mines can be expected to be developed quickly, and development itself is uncertain, Wiebold’s article said.
“Mines take years to come to fruition — exploration, feasibility studies, environmental reviews, and permitting are expensive, and all have the potential to derail a project. Public concerns and controversy can also slow or stop development,” the article said.
Sen. Lyman Hoffman, D-Bethel, speaks during a joint session of the Alaska Legislature on Tuesday, March 10, 2026. (James Brooks photo/Alaska Beacon)
By: Sean Maguire, Alaska Beacon
Sen. Lyman Hoffman, D-Bethel, speaks during a joint session of the Alaska Legislature on Tuesday, March 10, 2026. (James Brooks photo/Alaska Beacon)
The Alaska Senate on Wednesday advanced a constitutional amendment that would establish a dedicated fund for public education.
If passed, lawmakers could design a new source of state revenue to go toward the fund that would be used specifically for schools. The resolution states that the Legislature could only appropriate money from the fund for public education.
The Alaska Constitution explicitly prohibits the dedication of funds in most cases. Supporters say that prohibition was intended to give the Legislature flexibility in budgeting, and avoid mandated funds.
Bethel Democratic Sen. Lyman Hoffman said before Wednesday’s vote that education is his No. 1 priority. A dedicated education fund could be a “tremendous tool” to improve schools in Alaska, he said. Hoffman co-chairs the Senate Finance Committee which sponsored the constitutional amendment.
The Legislature last year approved an historic increase in school funding through the state’s complex formula, overriding two separate vetoes by Republican Alaska Gov. Mike Dunleavy. Still, advocates say that substantially more school funding is needed with school districts facing sizable budget shortfalls and decades of deferred maintenance.
Two Alaska school districts in January sued the state, arguing that Alaska’s education funding levels violate a constitutional duty to fund schools adequately. School districts across Alaska have long complained about crumbling buildings that have reached crisis level.
Republican Sen. Bert Stedman represents Sitka, home of Mt. Edgecumbe High School, a state-run boarding school which has reported leaking roofs and buildings in disrepair. Stedman said Alaska is one of the nation’s richest states, but the condition of its schools is “kind of embarrassing.”
Surrounded by school children in the Senate’s public galleries, Stedman said that “we should be doing better for our kids.”
“Every generation needs to make a little step forward and this is our little step,” he said in support of the resolution before the final vote.
The Alaska Senate approved the resolution on a 17-3 vote. At least 14 of 20 senators are needed to support a constitutional amendment. Two-thirds of the Alaska House of Representatives would need to vote for the same resolution to put the proposal before voters at the November election.
All 14 members of the bipartisan Senate majority supported the constitutional amendment, alongside three minority Senate Republicans — Sens. Robert Yundt of Wasilla, Mike Cronk of Tok and James Kaufman of Anchorage.
Three minority Senate Republicans voted no: Sens. Robb Myers of North Pole, Cathy Tilton of Wasilla and George Rauscher of Sutton.
Myers said the drafters of the Alaska Constitution sought to block the proliferation of dedicated funds, which would consume the annual budget.
He said that establishing a dedicated fund for education “removed any sort of flexibility for the Legislature.” He said that avoiding annual debates about school funding was “not necessarily a good thing.” Education spending could effectively be “out of sight, out of mind,” he said.
Myers said the state has numerous other priorities such as health care and natural resource management, but they would not receive the same dedicated funds.
The resolution now advances to the House. If approved by 27 of 40 House members, it would then be placed before voters at the Nov. 3 election. A simple majority of voters is needed to approve an amendment to the Alaska Constitution.
A governor cannot block a constitutional amendment from appearing on the ballot with their veto pen. The Alaska Constitution was last amended in 2004.
Fishing vessels are seen in Homer’s harbor on Oct. 22, 2025. A resolution passed by state lawmakers urges federal officials to extend the ban on Russian seafood imports. Russian fish competes for market share with Alaska’s fish. (Photo by Yereth Rosen/Alaska Beacon)
A legislative resolution urging a continued and better-enforced ban on Russian seafood in the United States is headed to Gov. Mike Dunleavy.
Part of a series of actions by Alaska lawmakers to try to shore up the state’s ailing seafood industry, House Joint Resolution 29 won final passage last week and was transferred to the governor on Monday.
The resolution calls for continuation of the ban on Russian seafood imports imposed in 2022, after that country’s invasion of Ukraine. The ban was expanded in 2023 to cover imports of Russian seafood to the U.S. through a third-party country, usually China, where fish are processed.
The import ban is set to expire later this year. That makes the resolution timely, supporters aid.
Among the supporters is Jeremy Woodrow, executive director of the Alaska Seafood Marketing Institute.
Woodrow, in testimony to the Senate Resources Committee on Feb. 27, said a stockpile of Russian fish that was in the U.S. before the ban went into full effect is just now being depleted.
“We need more time to really capture the U.S. marketplace. Our industry has not recovered yet,” Woodrow said. Even though last year’s fishing season was better, it was still one of the worst years in the last 20 years, he said.
“This is one measure that will help our fishermen. We’re starting to see the fruits of this ban coming into play, but we need more time to provide stability to our industry. We need more time to see it come to fruition,” he told the committee.
In addition to seeking an extension of the import ban, the resolution calls for stronger monitoring and enforcement to “ensure fair trade, protect the state’s seafood industry, and promote sustainable and ethical seafood production.”
Legislative resolutions do not have the power of law, but they can influence actions by Congress, the federal executive branch or other institutions.
The Russian seafood import ban resolution was not among the measures introduced by the Joint Legislative Task Force Evaluating Alaska’s Seafood Industry, formed in 2024. However, it addresses an aspect of international trade, one of the issues raised by the task force. The task force’s report recommended an update to a Russia-focused resolution passed by the legislature in 2022, Senate Joint Resolution 16.
Russian king crab is displayed at a Costco in Anchorage on Nov. 14, 2022. The crab, from the Barent Sea, was distributed by Arctic Seafoods of San Francisco, and was part of inventory stockpiled before the U.S. government banned fish imports from Russia. (Photo by Yereth Rosen/Alaska Beacon)
The eight-member task force, comprising Senate and House members from fishery-dependent districts, issued its recommendation report in January 2025, at the start of last year’s session. Recommendations for action resulted in the introduction of a series of bills intended to help the industry, which has struggled with low fish prices, glutted international markets, high costs and other challenges.
Other bills focus on tax credits and revenues
One of the task force’s bills, aimed at encouraging seafood product development and diversification, is headed for a vote in the Senate this week.
That measure, Senate Bill 130, concerns the state’s fisheries product development tax credit system. Currently, seafood companies are allowed to deduct the cost of new equipment used to develop value-added products from salmon, herring, pollock, sablefish and Pacific cod. The bill would expand that to all fish species, including shellfish. That is in line with the recommendation in the task force report, which identifies arrowtooth flounder, fish meal and crab shells as examples of some underused or discarded products that could be processed into something marketable.
The bill, in the amended form before the Senate, also seeks to expand the range of technology for which investment would qualify for credits, and it would extend the sunset date for the credit to 2037. Currently, the tax credit is due to expire next year.
The revenue impact of the bill, if it wins final passage, is difficult to determine because there are several unknown variables, said the fiscal note prepared by the state Alaska Department of Revenue. Estimated annual revenues losses to the state would range from $1 million to nearly $4 million, according to the fiscal note.
Another task force bill, aimed at helping fishery-dependent local governments, had not moved out of the Senate Finance Committee as of Tuesday. That measure, Senate Bill 135, would allow municipalities to increase their share of fisheries business tax and fishery resource landing tax revenues. Currently, the state and local governments split those tax revenues equally. The bill would allow local governments to get up to 75% of the tax revenues.
The legislature passed two seafood task force bills last year, each of which had wide support. However, Dunleavy vetoed one of the bills.
The bill that escaped the governor’s veto, House Bill 116, allows for the formation and operation of member-owned commercial fishing insurance cooperatives. Such cooperativesexist in other states and were used by some Alaska fishers. The bill passed unanimously.
The vetoed bill, Senate Bill 156, would have transferred $3.69 million from a defunct state loan fund to the Alaska Commercial Fishing and Agriculture Bank. The state-owned bank needed the boost to keep serving the seafood industry, bill supporters argued. But Dunleavy argued that the cost of the action was too great for the state budget to bear.
Members of the House and Senate voted to sustain Gov. Mike Dunleavy’s veto of SB 113, a corporate income tax bill tied to education funding by a vote of 45 to 16. 46 votes were needed to override the veto on Jan. 22, 2026 (Photo by Corinne Smith/Alaska Beacon)
The Alaska Senate on Tuesday advanced a constitutional amendment that would lower the threshold for veto overrides of spending decisions.
The Alaska Constitution currently has two thresholds to override a governor’s vetoes: it takes two-thirds of legislators to override a veto of a policy bill and three-quarters of lawmakers to override a budget veto or a veto of legislation that spends money.
Anchorage Democratic Sen. Matt Claman’s proposed the constitutional amendment that would reduce vetoes of spending decisions to the same two-thirds threshold.
Sen. Matt Claman, D-Anchorage, speaks at a March 19, 2024, news conference held by the Senate majority caucus. (Photo by Yereth Rosen/Alaska Beacon)
Claman’s resolution passed the Senate along caucus lines on a 14-6 vote. All 14 members of the bipartisan Senate majority voted for the resolution while each member of the all-Republican Senate minority voted no.
At least 14 of Alaska’s 20 Senators are needed to reach the two-thirds threshold to advance a constitutional amendment. Twenty-seven of the 40 House members would need to approve Claman’s resolution for the proposed amendment to appear on November’s ballot.
The last time the Alaska Constitution was amended was in 2004.
Claman, a Democratic candidate for governor, said the drafters of the Alaska Constitution intended to create a strong executive branch. But the high hurdle to override a veto on spending decisions had “undermined the balance of power between the Legislature and the executive,” he said.
Alaska is the only state with a three-quarter veto override threshold for spending decisions.
In a statement following the vote on Tuesday, minority Senate Republicans said the governor’s veto power was one of few tools to curb the Legislature’s wide-reaching power. Members of the caucus stated that Gov. Mike Dunleavy had used that authority to veto tax bills, among other measures.
“The framers of our Constitution saw the wisdom in giving the governor considerable power to reduce state spending,” said Tok Republican Sen. Mike Cronk, the Senate minority leader. “The fiscal override threshold is high for a reason.”
While the Legislature has voted to override a governor on 40 occasions for policy bills since statehood, veto overrides for spending decisions have only occurred five times, Claman said.
The most recent override of a spending veto occurred last August in a special session Lawmakers voted to reject Dunleavy’s veto of more than $50 million in public school funding. The vote was 45-14, the minimum number of lawmakers needed to override a budget veto.
If approved by the House, the constitutional amendment would appear on the ballot at the Nov. 3 election. If approved by a majority of voters, the constitutional threshold for budget vetoes would then be lowered starting in 2027, also the beginning of a new governor’s term.
Unlike legislation, an Alaska governor cannot veto a constitutional amendment.
Joint Education Committee Hearing, March 30 2026, courtesy of Gavel Alaska
Alaska education leaders told lawmakers Monday, that the state’s public schools are in a “crisis” due to rising vacancies, high teacher and principle turnover and growing student needs, all while enrollment declines.
Testifying before the joint education committee, meaning both the House and the Senate, superintendents, principals, special education directors and recruitment experts described the education system as strained by flat funding.
They stressed housing and visa barriers for teachers, and a growing share of students needing intensive support.
Jennifer Schmitz, director of the Alaska Educator Retention and Recruitment Center, said Alaska’s annual turnover has reached about 30% for teachers and 35% for principals.
“We are in a crisis time right now with teacher turnover and principal turnover,” Schmitz said.
Districts are also depending on hundreds of international teachers and emergency teaching certificates to staff classrooms.
In many districts, she said, international teachers have become deeply rooted in communities and students rely on them for stability.
But new federal visa costs and restrictions, including a potential $100,000 price tag for some H‑1B visas, threaten those positions, especially for rural schools.
“We are in an educational crisis, and we are doing harm to the children of Alaska. An urgent response is needed to address the dire vacancy rates and the need for in person educators and support personnel across Alaskan schools.” Said David Nogg, principle of Goldenview Middle school.
In a separate Senate Labor and Commerce Committee hearing, lawmakers heard similar testimony when discussing Senate Joint Resolution 28, warning that steep federal fee hikes and new placement limits on visa programs are not only worsening worker shortages in schools but tourism and other key industries across the state as well.
“Visa workers are vital to filling Alaska’s diverse workforce. Foreign worker visa programs are extremely useful for highly seasonal industries such as tourism. Alaska has the largest seasonal employment swing in the country, this is not a marginal fluctuation, it is a structural feature of our economy.” Said Mike Mason, legislative assistant to Senator Löki Tobin.
Education leaders also pointed the Base Student Allocation (BSA), saying, even after last year’s increase, inflation has eroded its value.
“All boats rise and fall on the same tide, and for Alaska school districts, that tide is the BSA,” Randy Trani, Superintendent of the Mat-Su district said, calling for “timely, reliable, predictable” funding so districts can plan and focus on academics instead of annual cuts.
School finance officials also stressed that most dollars already go directly to students and there are funding needs beyond the classroom that districts are struggling to meet.
Anchorage budget director and Alaska Association of School Business Officials president Katie Parrott said about 75% of districts’ operating spending in FY2025 went to instruction, while only 2% went to district-level administration and 5% to administrative support like payroll and HR.
“There are a lot of competing priorities eating into these slices of the pie.” She said, “It’s truly imperative that the state does increase and inflation proof funding for pupil transportation as one of the key strategies to address chronic absenteeism, make sure kids are getting to school that they have equitable access.”
Throughout the hearing, educators said they remain committed to students and to Alaska, but warned that constant uncertainty is pushing many out of the profession or out of the state, saying, “when you starve a system, you see the impacts of that.”
The vast National Petroleum Reserve-Alaska extends west of ConocoPhillips’ massive Willow oil project. (ConocoPhillips)
Global energy leaders have convened here this week, spiffed up in dark suits and polished shoes, to discuss the industry’s most pressing issues: war in the Middle East, Venezuela, artificial intelligence.
But behind the scenes at this annual conference of industry executives — known formally as CERAWeek by S&P Global but nicknamed the “Super Bowl of energy” — a big story about Alaska oil is unfolding.
It involves a massive lease sale in the Arctic, a remarkable show of interest from global oil giants that had faded from Alaska’s frontlines and an emerging race to find deposits potentially worth billions of dollars. Industry proponents say a flood of crude from the largely undeveloped western Arctic, if companies can locate and produce it, could open a new era for the state’s industry.
In what was by far the highest-value federal lease sale in the vast National Petroleum Reserve–Alaska in more than two decades, oil companies last week snatched up more than 1 million acres across the western Arctic.
The scale of interest, with 11 companies participating and a record $163 million spent on bids, was itself notable. But so were the identities of some of the bidders. Two, in particular, surprised even industry insiders: ExxonMobil and Shell.
Both supermajors have a history in Alaska.
ExxonMobil still owns shares of existing Arctic oil fields and the trans-Alaska pipeline. But Shell no longer operates in the state and hasn’t drilled a well in Alaska since its failed offshore exploration campaign more than a decade ago. And ExxonMobil hadn’t bid on leases in years.
Energy historian Dan Yergin, left, speaks with Wael Sawan, chief executive of Shell, at the CERAWeek oil industry conference in Houston this week. (Grant Miller Photography/CERAWeek by S&P Global)
Their renewed interest — along with continued investment from established players like ConocoPhillips and Colorado-based wildcatter Bill Armstrong — accelerates an industry revival that was already playing out on the North Slope.
Just a few years ago, new production and investment in the region lagged as some companies struggled to raise money and even pulled out of Alaska amid successful advocacy campaigns against Arctic drilling.
But major geologic discoveries by Armstrong — and a pair of big new oil fields now under construction — have made the North Slope a more attractive investment. And the industry also has political tailwinds coming from a Trump administration keen to boost resource extraction in Alaska.
“This sale absolutely shows the world the potential for Alaska,” Armstrong, one of the primary bidders, said in an interview at CERAWeek. “This could be a game-changer for the state.”
Bill Armstrong (Max Graham/Northern Journal)
The region still faces obstacles to development, like high costs and competition from other basins where drilling is cheaper.
And the lease sale is just a preliminary step, far from an assurance of future production: No new wells have been drilled yet, and companies often spend years doing exploratory work before deciding whether to start pumping oil.
Conservation groups, meanwhile, continue to fight the industry’s expansion in the reserve — where, they note, federal law instructs policymakers to not only to oversee oil development but also to protect the environment and cultural values. Multiplelawsuits are challenging the Trump administration’s oil-friendly policies in the Arctic, and advocates have asked a judge to invalidate leases set to be awarded after last week’s sale.
Four small lakes sit on the northwestern side of Teshekpuk Lake, a key wildlife habitat within the National Petroleum Reserve – Alaska that’s also seen interest from oil companies. (Craig McCaa/U.S. Bureau of Land Management)
“What we saw last week were companies pushing into some of the most sensitive areas of the reserve,” said Suzanne Bostrom, an attorney with a conservation-focused Anchorage law firm, Trustees for Alaska, that represents some of the organizations suing the administration. “We and the groups that we work with are going to continue to fight for this area, and fight for the protections that it deserves,” Bostrom added.
But even amid the pending legal questions, the sale’s results are still a step toward new development; further investment and competition in the petroleum reserve are likely to follow, conference participants told Northern Journal in Houston this week.
A surprising sale
Leading up to the sale, there were signs that oil companies could show up in force.
It was the first auction in NPR-A in seven years, and more acreage was up for grabs than in many previous sales. The offerings included large swaths of tundra and wetlands that Democratic administrations had designated off-limits to drilling.
And after years of comparatively tepid industry interest, recent oil discoveries have expanded the known resources on the North Slope, said Bob Fryklund, a top oil and gas analyst at S&P Global Energy, a research firm.
“It’s kind of been a sleeper basin,” he said.
This map of Alaska’s North Slope shows the National Petroleum Reserve – Alaska and the Arctic National Wildlife Refuge. Two oil companies are building large developments near the reserve’s eastern edge, and a major lease sale recently auctioned off land deeper into the reserve. Prudhoe Bay is the hub of existing North Slope development.
A decade ago, the petroleum reserve was beyond the western edge of the North Slope’s oil infrastructure, making it more expensive to bring in equipment and drill.
But the industry has been moving in its direction: Construction is now underway at two big new oil fields in the area — ConocoPhillips’ Willow project and Santos’ Pikka project. Both will tap into a long-overlooked oil-rich geologic formation, known as the Nanushuk, that Armstrong initially discovered near the reserve’s eastern boundary.
It was no surprise, then, that ConocoPhillips, Santos and Armstrong all showed up at the recent auction, analysts said.
An exploration rig drills for oil at ConocoPhillips’ Willow prospect in the National Petroleum Reserve – Alaska. (ConocoPhillips)
Few people, however, predicted that so many other companies would put in bids, or that major corporations like ExxonMobil and Shell would participate.
ExxonMobil, committing more than $7 million on some 138,000 acres, came as a particularly big surprise.
That company, headquartered in Houston, owns shares in the existing Point Thomson and Prudhoe Bay oil fields on the North Slope. But it doesn’t manage either field, and the company has not been active in exploration and new development in the state: Until last week, ExxonMobil had not bid on a federal or state oil and gas lease in Alaska in more than a decade, according to data provided by Welligence, an industry research firm.
Meanwhile, Shell, in a partnership with a Spanish company, Repsol, submitted some of the highest bids. The two companies offered more than $2 million on many individual tracts, and committed more than $90 million in total.
A map produced by the U.S. Bureau of Land Management shows winning bids from last week’s lease sale.
Experts said the return of those players was likely influenced by the ongoing development in the area.
Although neither the Willow nor Pikka project is producing yet, the multibillion-dollar investments by ConocoPhillips and Santos may have given other companies more faith in the surrounding geology and the ability to pump oil in the area, analysts said.
“What you saw Shell do, and even Exxon, was validation of the work done by other players on the North Slope in recent years,” an oil company executive said in Houston, speaking on the condition of anonymity because he was not authorized to speak publicly.
Industry headwinds subside
Shell’s interest represents a reversal from its announcement a decade ago that it was pulling out of Alaska. The company had spent some $7 billion on its failed effort to drill for oil offshore in the Chukchi Sea, citing Obama administration policies and high costs when it departed the state.
In 2020, another major, BP, also pulled out of Alaska, selling its assets to Hilcorp, a privately owned Texas business.
Those decisions both seemed like signals of the industry’s decline in the state, as the daily flow through the trans-Alaska pipeline shrank to 500,000 barrels from a high of 2 million decades earlier. An era of oil giants spending freely on big new projects was giving way to one of smaller companies wringing the last drops of crude out of aging fields.
An oil and gas rig drills at a Hilcorp development in the Cook Inlet basin in Southcentral Alaska. (Nathaniel Herz/Northern Journal)
At the time, companies were contending not only with the usual impediments to drilling in Alaska, like high costs and opposition from environmental groups, but also with growing political pressure from climate-minded shareholders and activists opposed to expanding fossil fuel production. Even oil executives acknowledged that advocacy against the oil industry, which is a major driver of climate change, was deterring investment in Alaska.
But even as the burning of fossil fuels continues to warm the planet, global demand for oil remains high — and industry confidence in the North Slope’s potential appears only to be growing.
The newly discovered oil deposits there “have proven that Alaska is not over,” Fryklund said.
ConocoPhillips, ExxonMobil and Santos declined to make officials available for on-record interviews. Shell did not respond to a request for comment.
“This marks an important step in our continued commitment to responsible energy development in Alaska and the U.S.,” an Exxon spokesperson said in an emailed statement.
Once the company’s leases are finalized, ExxonMobil will work with the state and local communities as it evaluates “potential next steps for the area,” the statement said.
“I wish I were 30 years younger”
For those who work in the oil industry, the central plank of Alaska’s economy, the sale stirred excitement, and some relief: New activity in the federal reserve could bring more gigs for contractors that have long wondered if there would be enough development on the North Slope to sustain their businesses.
“We’ve all had this little worry of, ‘Well, what’s next?’” said Greg Miller, vice president of operations at Cruz Construction, a Palmer-based company with oil-related contracts on the Slope. “Now, there’s a little bit of reason to be a little bit more hopeful and positive about the next 10, 20 years.”
The sale won’t lead to immediate growth for Miller’s business, he said. But new exploration activity, if and when it happens, will create jobs: A single project can provide a year’s worth of wages for as many as 100 employees at Cruz, Miller added.
For the president of another Alaska oil services company, Kevin Durling, the hype around the petroleum reserve is reminiscent of the boom days when oil started flowing through the trans-Alaska pipeline, in the 1970s and 1980s.
The trans-Alaska oil pipeline pumps some 500,000 barrels a day. (Nathaniel Herz/Northern Journal)
“I wish I was 30 years younger,” he said.
The state’s conservation community, meanwhile, has reacted with disappointment, and concern for the western Arctic ecosystem.
The vast, largely undeveloped region contains important habitat for migratory birds, and it sustains tens of thousands of caribou, some of which calve around Teshekpuk Lake, a major water body in the northern part of the petroleum reserve.
“I’ve had better weeks at work. No question about that,” said Andy Moderow, senior policy director at Alaska Wilderness League, one of the environmental groups suing the Trump administration. But, he added: “The war is still well in front of us.”
One potential hurdle for development is a legally disputed conservation area around Teshekpuk Lake. The protections, across about 1 million acres, were set aside by the Biden administration for the nearby Iñupiaq village of Nuiqsut, where many people still depend on caribou and other wildlife for food.
The Trump administration canceled the protections late last year, touting the area’s oil and gas potential and aiming to authorize leasing there. Nuiqsut’s leaders then sued, saying the move violated a prior agreement and threatened the village’s subsistence traditions.
Two days before the lease sale results were announced, a federal judge restored the Teshekpuk protections while the lawsuit played out.
But the area still attracted bids from a few companies — including ExxonMobil.
The administration has not said whether it plans to award leases in the disputed area to high bidders — or how, exactly, it intends to navigate the apparent conflict between the sale results and the court ruling.
Nathaniel Herz contributed reporting from Anchorage.
Northern Journal contributor Max Graham can be reached at max@northernjournal.com. He’s interested in any and all mining related stories, as well as introductory meetings with people in and around the industry.
This article was originally published in Northern Journal, a newsletter from Nathaniel Herz. Subscribe at this link.
Members of the Alaska House of Representatives convene on the first day of the second session of the 34th Alaska State Legislature on Jan. 20, 2026 (Photo by Corinne Smith/Alaska Beacon)
The Alaska Legislature on Wednesday approved a stopgap budget bill amid an ongoing debate among lawmakers around war-driven oil revenues and whether to draw from state savings.
The stopgap budget bill contains $449.6 million in state spending including for disaster relief, construction, education, correctional officer overtime and some public assistance programs — expenses accrued since the Legislature and Gov. Mike Dunleavy adopted the state budget last year.
But the question of how and when all the items will be funded is still uncertain. Lawmakers chose to rely on anticipated oil revenue to fund the bill rather than drawing from savings.
The Alaska Senate passed the budget bill by a 19 to 1 vote on Wednesday, with Sen. Robert Meyers, R-North Pole opposing. The bill was quickly transferred to the Alaska House where it passed unanimously by all 40 members. The bill now moves to the governor’s desk for his consideration.
The Legislature created a select bicameral conference committee to hammer out differences between House and Senate versions of the budget bill over the last week.
The final bill includes $75 million for disaster relief to cover the state’s response to the Western Alaska storms last fall, and almost $100 million for fire suppression. It contains $20 million for the Alaska Department of Corrections for overtime spending, as well as $34.4 million for Medicaid and $12.8 million for other public assistance programs through the Alaska Department of Health. The bill allocates nearly $130 million toward the Alaska Higher Education Fund which provides grants and scholarships to students.
The spending bill also includes a time-sensitive appropriation for Alaska’s construction industry. It contains $70.2 million in state dollars to unlock roughly $630 million in federal grant funding that industry groups have said is essential for the summer construction season.
But how the nearly $450 million budget bill is funded is still in question.
Legislators have been closely watching oil prices since the start of the Iran war, which state forecasters have projected could potentially generate hundreds of millions in state revenue for Alaska.
Lawmakers agreed that if oil-driven state revenues from now until June 30, the end of the fiscal year, are not sufficient to cover the stopgap budget, then the Legislature will draw from state savings. That roughly pencils out to an average of $74 per barrel of oil through June to cover state spending, according to data provided by the House Finance Committee.
But that vote to confirm drawing from savings again failed in the House on Wednesday — the fourth vote held in the House this year. To draw from Alaska’s main $3 billion savings account requires support from three-quarters of the House and Senate.
The Senate approved the immediate draw from savings on Wednesday by a 16 to 4 vote, but it failed to pass the House by a vote of 22 to 18. It takes 30 votes in the House to spend from the savings reserve.
On Thursday, House Speaker Rep. Bryce Edgmon, I-Dillingham, expressed concern at sending the budget bill to the governor with what he said was no “backstop” funding from savings.
“So if the price of oil goes down, the governor may not have the money ultimately, to finish up or to pay for operations,” he said for this fiscal year.
Edgmon said he is concerned with banking on future oil prices to pay the state’s bills.
“It’s the first time, I think maybe perhaps in Alaska’s history, we’ve ever done it this way,” he said. “It’s going to be very interesting to see how this plays out, because oil prices can certainly go up as well, but they can also go down. And it’s not the way that I like to operate in terms of being fiscally responsible.”
Members of the Republican House minority caucus in opposition from drawing from savings expressed confidence in oil revenues providing enough funding to cover state expenses.
“Everything in this bill the state currently projects enough revenues to fund,” said Rep. Will Stapp, R-Fairbanks on Wednesday. “We still have many days in session, happy to revisit in the event oil price changes and we need to structure something in order to meet our obligations. That is not a requirement at this moment.”
The stopgap budget bill now moves to Dunleavy who can sign or veto the bill or let it pass into law without his signature.
Alaska Gov. Mike Dunleavy delivers the annual State of the State address on Tuesday, Jan. 28, 2025, in the Alaska Capitol. (Photo by James Brooks/Alaska Beacon)
By: Sean Maguire, Alaska Beacon
Alaska Gov. Mike Dunleavy delivers the annual State of the State address on Tuesday, Jan. 28, 2025, in the Alaska Capitol. (Photo by James Brooks/Alaska Beacon)
Alaska Gov. Mike Dunleavy has proposed eliminating property taxes for the Alaska LNG project to incentivize development of the $46 billion gas line and export facilities.
The bill was introduced to the Legislature on Mar. 20 and would exempt the project from local taxes in Alaska, including property and sales taxes. Instead, a volume-based tax would be levied once the pipeline starts producing significant quantities of gas from the North Slope.
In a statement, Dunleavy said his legislation “removes a structural barrier” that would help get the gas line built. The project is expected to create thousands of construction jobs, spur the development of new industries and potentially lower power and heating bills for consumers.
“We bring more gas into Alaska and stabilize supply — that lowers cost for families like yours and businesses,” Dunleavy said Wednesday on social media.
The state of Alaska is expected to collect over $22.5 billion in new revenue from the project over the next 36 years, primarily from production taxes and royalties, according to state economists.
In addition to exempting the project from property and sales taxes during its ramp-up period, the Alaska Department of Revenue estimates Dunleavy’s bill would equate to a 90% reduction in property tax revenue, once the pipeline is at full capacity.
Municipal governments are expected to take the biggest hit from that change. If the project was built under current tax law, they would collect an extra $13 billion in revenue through 2062, or $360 million annually.
Some long-time lawmakers have questioned whether the pipeline will result in reduced gas prices. Others have questioned why such a sharp reduction in property taxes is needed.
‘Industrial renaissance’
An 800-mile pipeline from the North Slope to deliver natural gas to market has been a dream in Alaska for decades. But prior efforts have all fallen short.
Supporters say its prospects have never been stronger. Key permits are in hand, several Asian nations are interested in buying Alaska’s gas, and President Donald Trump has voiced support for the project.
Former Democratic U.S. Sen. Mark Begich has been hired by the Dunleavy administration to help advance the pipeline. He told lawmakers the 1973 oil shock helped spur development of North Slope oil. Now, war in the Middle East has upended LNG production and raised prices, which makes Alaska natural gas more attractive, he said.
“This is our moment,” he said to the House Resources Committee on Monday, calling the gas line “an incredible project.”
Glenfarne, a New York-based company, signed on to develop the pipeline last January. It owns 75% of the project while the Alaska Gasline Development Corp., a state agency, owns the remaining 25%.
But the economics of the $46 billion gas line remain uncertain.
Glenfarne chose to split the project in two. The first phase would see construction of a pipeline for domestic consumption, with delivery of gas targeted for 2029. The second phase would construct a plant and shipping terminal in Cook Inlet for export.
Alaska’s current tax structure means a 2% property tax can be levied on oil and gas infrastructure.
Dunleavy’s tax proposal would impose a volume-based alternative. A new tax would be levied at 6 cents on every thousand cubic feet of gas, which would increase by 1% annually.
The tax would only be imposed once the pipeline delivers an average of 1 billion cubic feet of gas per day or 10 years after gas starts being produced.
Dan Stickel, economist with the Department of Revenue, on Wednesday said reducing property taxes would help with front-end costs. He said the agency is not examining Dunleavy’s bill as a tax cut because it would help spur the pipeline and potentially lead to new state revenue.
Stickel told the House Resources Committee that AGDC and Glenfarne have said the project will not move forward without property tax relief.
At full capacity, the pipeline is expected to deliver 3.5 billion cubic feet of gas per day. Southcentral Alaska’s demand for Cook Inlet gas equates to roughly 70 billion cubic feet of gas per year.
Glenfarne Group CEO and founder Brendan Duval and Alaska LNG President Adam Prestidge stand while Gov. Mike Dunleavy recognizes them during his State of the State address on Jan. 22, 2026. (Photo by Corinne Smith/Alaska Beacon)
Adam Prestidge, president of Glenfarne Alaska LNG, said the project would be an “industrial renaissance” for Alaska. It could create 7,000 jobs during construction and spur new opportunities such as data centers, he said.
Wearing a lapel pin in a House Resources Committee hearing that said “build the line,” Prestidge told lawmakers discussions on gas agreements are ongoing with Alaska utilities. He said agreements could be signed and made public in the next couple of months.
“This is the only way to significantly bring down the cost of energy for Alaskans,” he said.
‘Huge give’
The Alaska Department of Revenue estimates the state would receive $22.5 billion in revenue from the gas line through 2062. The majority of that windfall would come from production taxes and royalties.
Compared to Alaska’s current tax regime, Dunleavy’s proposal would see the state miss out on $200 million per year from property taxes once the pipeline is at full capacity, projections show.
The alternative tax structure proposed by the governor would see $64 million per year collected by municipalities at full gas production and $9 million annually by the state.
For municipalities, there would be a bigger hit.
The gas line is expected to be built through four municipalities that collect property taxes: the North Slope Borough, Denali Borough, Matanuska-Susitna Borough and the Kenai Peninsula Borough.
Under Alaska’s current tax structure, municipal governments would be expected to share in $17.3 billion from the pipeline through 2062. Under Dunleavy’s tax bill, it would be below $4 billion.
Anchorage Democratic Sen. Bill Wielechowski, vice-chair of the Senate Resources Committee, spoke at a Tuesday news conference. He said legislators would look closely at Dunleavy’s proposed tax break and determine whether a 90% cut in property taxes is appropriate.
“I don’t know anybody in the Legislature who doesn’t want a gas pipeline. The question is, what is it going to take to get it?” Wielechowski said.
State projections show that under both tax systems, the owners of the pipeline are expected to collect $60 billion over the next 36 years.
Anchorage Republican Sen. Cathy Giessel, chair of the Senate Resources Committee, estimates Alaska has invested $1.1 billion to build a natural gas pipeline, but nothing has been built.
On Tuesday, Giessel cited costs like public safety that could be borne by communities along the proposed pipeline. She said it would likely take until the second phase of the project before 1 billion cubic feet of gas is produced per day. Meaning, it could take years before municipalities collect Dunleavy’s volume-based tax, she said.
“That’s a long time for these communities to have no property tax,” she said.
State data suggests local governments would take $6.3 billion in property taxes through 2042. Dunleavy’s volume-based tax would net them $1.3 billion over the same period.
“This is a huge give to the company,” Giessel said. “Will it still be enough for them? I don’t know.”
Mayors in impacted communities are set to testify on the governor’s tax proposal on Friday afternoon before the Senate Resources Committee.
