JUNEAU, Alaska (AP) – Alaska legislators have voted to cut oil and gas drilling subsidies from the budget.
The Juneau Empire reports the compromised proposal was approved late Saturday in an 18-0 vote in the Senate and a 33-6 vote in the House. Officials say the move will save the state nearly $200 million per year within three years.
Gov. Bill Walker said in a statement that the approval is a “meaningful step to shore up our financial situation.”
The state has a deficit of over $2 billion per year while its Constitutional Budget Reserve will have only $2 billion left at the end of the current fiscal year. Lawmakers have been looking at cutting spending, raising taxes or drawing from the Alaska Permanent Fund to solve the issue.
Walker is expected to sign the bill.
Information from: Juneau (Alaska) Empire, http://www.juneauempire.com
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