State legislative leaders are urging fiscal discipline in the midst of oil price volatility due to the ongoing war in the Middle East.
House Majority Coalition leaders on March 9 called for restraint as they continue work on the state budget, noting that the Department of Revenue’s spring revenue forecast is expected in the coming days and will help guide final budget decisions.
“A few weeks of high oil prices does not change our responsibility to pass a balanced budget that reflects the realities of our revenue outlook,” said Speaker of the House Bryce Edgmon, U-Dillingham. “As a rural legislator, I’m also extremely concerned about the skyrocketing cost of energy, including diesel, which affects the cost of living and basic goods everywhere in the Bush.”
“While an unexpected increase in state revenues is undeniable, it may be short-lived,” said House Finance Committee Co-chair Rep. Andy Josephson, D-Anchorage. “We are cognizant that volatile oil prices, whether favorable or unfavorable, make balancing a 12-month budget difficult.”
Leaders of the House coalition said lawmakers would continue monitoring developments and reviewing the upcoming revenue forecast as budget discussions move forward.
