Just a brief update on the Anchorage economy. Anchorage and Alaska are still in a better economic place than most of the lower 48, but no state will escape its repercussions altogether.
* The Alaska legislature is currently considering raising the minimum wage from $7.15 per hour to $8.75. There is also a bill under consideration that would keep Alaska's minimum wage at least a $1.00 more per hour than what is federally mandated.
* The budget shortfall for the State of Alaska is much more than what was reported two months ago. The estimate now stands at $1.65 billion. Lower gas and oil prices are the culprits for the increase in the estimated deficit. Governor Palin has put forward a proposal to tap into the state's savings account as well as implementing budget cuts.
* Acting Mayor Claman has begun his reductions in spending, which is estimated to save Anchorage $7.3 million. There is an estimated shortfall of $17 million in the city's budget.
* The Assembly has approved $100 million in bonds for Anchorage residents to vote on in the April ballot. The bonds would affect schools, infrastructure and public safety.
* As California, Nevada and Florida have learned, double-digit increases in value may be "heaven" for awhile. But, it does not take long for those inflationary prices to go south, bringing all kinds of problems along with it. Slow and stead wins the race.
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