By Tim Bradner
Alaska Journal of Commerce

The Legislature threw down the glove to Gov. Sarah Palin Tuesday, March 18, with the state House giving an unanimous vote on final approval to a supplemental spending bill that contains $70 million in capital projects Palin vetoed last summer.

The bill contains appropriations to state agencies that ran short of money during the year due to unforeseen circumstances. It also includes an appropriation of $3.6 billion in surplus revenues to two state cash reserve accounts.

The vetoed capital projects remain a point of contention, however. In a statement released after the vote, Palin expressed disappointment and said she would continue working with the Legislature, but gave little hint of whether she will veto the projects again. The final vote in the state House was 37-0.

Palin strongly objected to including the capital projects in the bill, arguing it should be in the regular state capital budget.

Legislators said timing issues in getting materials ordered in time for summer barge deliveries made it important to get the projects approved earlier.

If Palin vetoes the projects again, it is likely to invite a rare effort by the Legislature to override her action.

“This is not a political battle of wills. Nor is it personal. As I consider options to deal with a growing capital project list that has been placed in the supplemental budget, I recognize we are spending other people's money. That's a responsibility I take seriously in determining a fair and appropriate budget process,” Palin said in a written statement. “The best interest of all Alaskans will remain our focus as we move forward from here. This administration has been diligent in initiating and promoting a cooperative effort in developing a longer-term savings and spending plan. Although I am disappointed that legislative leaders chose not to take us up on our offer to work together toward this worthy goal, we remain committed to it.”

Tim Bradner can be reached at tim.bradner@alaskajournal.com.