University of Alaska Board of Regents chairman John Davies, left, and Gov. Mike Dunleavy sign an ... [+]
On Tuesday Alaska Governor Mike Dunleavy unveiled a new budget plan for the University of Alaska (UA), reversing course from his controversial plan to slash the university’ budget by $135 million in FY 2020. Dunleavy and university leadership reached an agreement that would slice the reduction in half, a $70 million cut spread out over three years ($25 million in each of the next two years, and $20 million in FY 2022).
The deal is the latest development in the back-and-forth between Dunleavy, the Alaska legislature and the University of Alaska system. With it, the immediate budget crisis that led to the University declaring a financial exigency and facing possible loss of accreditation is postponed, but not resolved. Staff reductions, program closures and possible campus consolidation remain on the horizon, and three years is a very short period to absorb what still amounts to a 21% cut in state support.
The Alaska situation has been seen as a national symbol for the defunding of public higher education, a threat that many see lurking under the wings of other conservative governors and legislatures. But more immediately it should be viewed as an example of a governor demonstrating how not to govern, the result of hubris, haste and heedlessness. The Governor’s approach to his state’s budget brings to mind the image of the fire-setter who turns fireman and then wants to be admired for heroism.
The University of Alaska fiasco revealed three fundamental faults in Governor Dunleavy’s approach to governing and the consequences he has brought upon himself as a result.
1. The budget deal might not stand up. The two-page agreement signed by Dunleavy and University officials is problematic on a couple of grounds. First, and most important, the legislature was not a party to it. In Alaska, as in all other states, the power of appropriation rests with the legislature, and while the signed agreement indicates that the governor will “propose, support and permit” the agreed-to budget for the University over the next three years, it binds the legislature to nothing. By failing to include the legislature in the compact, the Governor and University officials inked a deal that may or may not be honored. Second, the agreement specifies commitments the University must make going forward – such as increasing research income and strengthening the role of community campuses. Good luck with those initiatives in the face of $70 million less revenue. The loopholes are there; UA officials better hope the Governor or the legislature doesn’t crawl through them. Those same loopholes give UA ample wiggle room as well.
2. Budget brinkmanship probably won’t work a second time. Dunleavy didn’t reverse course on just UA’s budget, he was forced – by public opinion – to undo several other budget vetoes he had recently touted. He’s restoring $8.8 million in funding for early education, including Head Start and Parents as Teachers. And he’s adding back funding to the Alaska Senior Benefits Payment Program, an income-based subsidy for some of Alaska’s oldest citizens. According to Dunleavy, he’s making the restorations because it “became pretty clear…that Alaskans value our elders, out seniors, and we value our children, our youngest, and that’s our future.” What isn’t clear is why Dunleavy didn’t understand those values before he cut the funding he’s now putting back in place and whether he now understands how much he overplayed his hand.
3. The Governor lost considerable political capital. What Governor Dunleavy also failed to anticipate was the force that would be mobilized against his reckless approach to governing. It came quickly. Just a few days ago, Alaskans started a recall drive and early indications was that it was gathering steam quickly, with both Republicans and Democrats joining in to sign the recall petition, based on allegations that Dunleavy had violated Alaska law and its constitution. Only a few days after Recall Dunleavy was announced, the Governor announced he was reversing several of his budget cuts, including those to the University of Alaska. Of course, the Governor claimed his latest budget decisions were not influenced by the recall effort, a claim as dubious as the political and fiscal analysis upon which he based his earlier budget actions.
The Univeristy of Alaska still faces a perilous future, and now so does Governor Dunleavy, whose management of his budget now looks foolish and feckless. Time will tell who pays the bigger price.
