Resolution to Oppose Ballot Measure 1

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Resolution to Oppose Ballot Measure 1

Greater Ketchikan Chamber of Commerce
Board of Directors
Resolution to Oppose Ballot Measure 1

WHEREAS, for more than 50 years, the oil and gas industry has played a central role in Alaska’s economic growth and job creation; and,

WHEREAS, more than one-third of all Alaskan jobs are tied to the oil and gas industry and those jobs are spread across the economic sectors of transportation, construction, engineering, housing, retail sales, hospitality, professional services, government, and many other areas where there is an indirect impact from the energy industry; and,

WHEREAS, these jobs have a ripple effect throughout the economy and, according to a 2011 independent economic analysis, for each new company direct job, “nine jobs are generated in the Alaskan economy;” and,

WHEREAS, about 90 percent of the state’s unrestricted revenues come from oil taxes and royalties; and,

WHEREAS, Alaska’s oil production has been declining by an average of six percent per year for the last six years, and production consistently declined under the old punitive tax system (ACES) put in place in 2007; and,

WHEREAS, Alaska’s ranking as an oil producing state fell from second to fourth in the time since 2007 as our production has continued to decline; and,

WHEREAS, Alaska’s massive oil pipeline that spans the state from the North Slope to Valdez now runs at about X of its capacity; and,

WHEREAS, in April 2013 the Alaska Legislature and the Governor approved new tax reforms to increase the amount of oil Alaska produces; and,

WHEREAS, the new oil tax structure creates an investment climate favorable to increasing the oil production that provides for a growing and vibrant Alaskan economy; and,

WHEREAS, the goal of oil tax reform is to encourage companies to invest now in Alaska, grow Alaska’s economy, and make the state a more attractive place for companies to do business; and,

WHEREAS, Alaska’s new oil tax structure will lead to more jobs in both large and small companies as they invest in Alaska; and,

WHEREAS, Ballot Measure 1, if approved by voters, will return Alaska to the old, failed tax system that did not spur production and did nothing to stop the oil production decline; and,

WHEREAS, Ballot Measure 1 places a cloud of uncertainty over the state’s economic future; and,

WHEREAS, the new tax reform is already having an impact; oil-producing companies have already announced new projects and investments that will add oil production and create new jobs across Alaska’s economy; and the new tax system needs to be given a chance to work to secure Alaska’s future; now therefore,

BE IT RESOLVED, that we, the undersigned, oppose the passage of Ballot Measure 1 in the Alaska statewide primary election on August 19,2014 and urge all Alaskans to vote No on 1.

Approved this 1st day of January, 2014

Nancy Christian, President
Chelsea Goucher, Business Manager

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