ANCHORAGE: After signing the two largest budgets in state history and taking Alaska from a $5 billion surplus to a $2 billion deficit, Sean Parnell is bragging about his fiscal record.  In a fundraising email remarkable for its unintended irony, Parnell pats himself on the back for cutting state spending, when the state’s operating budget is actually larger this year than last. According to the Legislative Finance Division, the final numbers reveal an increase of about $107 million in operating funds.  Parnell made not a  single veto.

“This is no way to manage Alaska’s finances. I’m the only one in this race with real business experience,” said Byron Mallott, who ran Alaska’s Permanent Fund and Sealaska Corporation.  “We must face fiscal reality and deal more intelligently with our choices.”

Conservatives have slammed Parnell for overspending, including signing the two largest budgets in state history.  State operating spending grew approximately 20% as Sean Parnell liquidated budget surpluses.  Under Sean Parnell, Alaska has undergone an unprecedented fiscal collapse.  Parnell took a $5 billion surplus and turned it into a $2 billion deficit.

Despite massive spending increases elsewhere, Parnell made the decision not to increase regular classroom education funding, with additional cuts “locked in” for the future.  As a result, school districts across Alaska are struggling with teacher layoffs.  Mallott stressed that education is his number one priority.

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