Legislators approved operating and construction budgets but little else. The Senate adjourned shortly after 7:30 p.m. and the House followed 25 minutes later.

One contentious issue was resolved hours before adjournment when Palin appointed former Juneau Mayor Dennis Egan to a vacant Senate seat. Senate Democrats approved the appointment and joined Palin in front of the Capitol to introduce Egan.

"It took awhile but I'm just thankful we are where we are today with a very good senator that will do a great job of representing the diversity of the Juneau population," Palin said.

Another contentious appointment was resolved in a less amicable fashion on April 16 when lawmakers broke with historical precedent by failing to confirm a cabinet pick, Wayne Anthony Ross, for attorney general.

Legislative leaders in January said their focus in the 90-day session would be a spending plan in response to the dramatic drop in the price of crude oil, the source of roughly 90 percent of state income. Oil reached a high of $144.59 per barrel in July but dropped to the low $30s by year's end.

By February, lawmakers were faced with the surreal juxtaposition of cutting state spending while managing a huge influx of federal dollars through President Barack Obama's federal stimulus plan - and a governor who said she would not accept much of the cash because of strings attached.

Lawmakers kept their word. They passed a flat operating budget, a tight public works budget and, upon concluding the stimulus money carried minimal strings, accepted virtually Alaska's entire share.

Critics said the Legislature missed opportunities to address some of Alaska's glaring social problems, and Palin may ultimately reject some stimulus money, but legislative leaders pronounced themselves satisfied with their performance.

"A lot of good legislation was coming through and a lot of it didn't pass this year," said Sen. President Gary Stevens, R-Kodiak. "But it has the chance to be worked on next year and become even better and become law next year."

House Speaker Mike Chenault, R-Nikiski, said managing the state's money and providing services Alaskans need was primary.

"We don't have the revenue we had before so we had to make the tough decisions," Chenault said. "It's the job we were sent down here for."

Legislators earlier in the week completed work on a $9.7 billion operating budget for the fiscal year that begins July 1. Sunday, they put the final touches on a $1.8 billion capital budget, about $500 million less than the governor proposed.

Palin praised lawmakers for their work in cutting the budget.

She said she had not decided what she would do with the stimulus money. Palin has often said "managing expectations" is a potential problem for accepting the money. She said she was not referring just to the public but also to state and local governments.

"I believe it's a big problem for bureaucracy to grasp," she said. "The nature of the beast of government is to continue programs and to grow programs," Palin said.

"We just have to make sure that everyone is cognizant of this: that the dollars that we received are one-time, temporary funds."

Lawmakers found virtually no strings attached other than the requirement to account for the dollars. Palin said they did a good job reviewing the money.

Several contentious issues took up time but did not pass into law. Hearings were held and much public testimony taken on Chenault's bill to reinstate the death penalty. The measure never made it to a floor vote.

A bill by Rep. John Coghill, R-North Pole, requiring parental consent for an abortion of a girl under 17, morphed into a compromise requiring parental notification in most cases. Palin supported the original but said she would back the compromise. State Sen. Betty Davis, D-Anchorage, said Friday the measure needed more work and it remains in her committee.

One less weighty matters did make it through - lawmakers set up a special day to honor the marmot.

Left on the table for next year are several of the governor's top priorities, including continued work to advance an in-state natural gas pipeline, a Railbelt utilities plan, a natural gas tax and the continuing dilemma of how to pay for government in a time of diminishing income.

In her State of the State Address, Palin said she looked forward to working with lawmakers on adjustments to children's health insurance. Alaska is one of five states that funds the State Children's Health Insurance Program, known in Alaska as Denali KidCare, below 200 percent of the federal poverty line. The federal government picks up two-thirds of cost of the program, which provides government-funded health insurance for poor and middle-class children. A bill by Sen. Davis would have raised it to that level. It was passed by the Senate but could not get out of the House Health and Social Services Committee, chaired by Rep. Wes Keller, R-Wasilla.

Legislation requiring the Alaska Permanent Fund Corp. to divest itself of Sudan investments because of the violence in Darfur failed to move out of the House Finance Committee.

Despite last minute concerns, lawmakers did fund most of the governor's $9 million request for advance work on an in-state natural gas pipeline. Some lawmakers said the intent language in a spending bill Friday was geared toward a private company's efforts to build a line.

They eventually agreed to fund the gas line at $7 million and broadened the language.

Palin also reached an agreement with a pair of Republican lawmakers who in March had called for her to review the state license awarded to TransCanada Corp. for a $30 billion North Slope natural gas pipeline. Reps. Jay Ramras, R-Fairbanks, and Craig Johnson, R-Anchorage had said the global recession and availability of potentially cheap gas Outside had changed the project's dynamics. They also said a $500,000 state investment under the Alaska Gasline Inducement Act may no longer sound.

Ramras announced Sunday they had reached an agreement with the governor to receive progress reports on the project on April 30 and again Oct. 31 rather than only in January. Ramras said the reports will contain information on project milestones and TransCanada's hiring of Alaskans and use of state businesses.

The Legislature will reconvene Jan. 19.