Outside of the energy stimulus money, the bulk of the vetoes were for programs where the authorizing bill did not pass, there were duplicate appropriations, or where legislators increased funding for projects the administration wanted to fund at lower levels.

However, the governor also axed almost $5 million in projects in Sitka and Ketchikan, Senate Finance co-chairman Bert Stedman's district.

Stedman had battled the administration on several issues during the session. The vetoed projects in Ketchikan and Sitka were funded from the $50-per-passenger cruise tax fund. If the money isn't spent it just stays in the fund.

The governor signed six appropriation bills, including the state operating and capital budgets, separate operating and capital budgets for state mental health programs, a bill reappropriating funds previously approved by lawmakers, a special one-time appropriation for low-income energy assistance and a bill approving non-transportation federal stimulus funds.

Approval of stimulus funds used for transportation was given by legislators and signed by Palin earlier this year.

Despite pressure from some lawmakers and others to accept the federal money for energy, Palin said she won't accept funds tied to adoption of building codes by local governments.

"Alaskans and our communities have a long history of independence and opposing many mandates from Washington, D.C.," Palin said in a statement announcing the veto. "This principle of maximum self-government for local communities is also set out in our constitution. There isn't a lot of support for the federal government to coerce Alaska communities to adopt building codes, but lawmakers can always exercise checks and balances by overriding my veto."

Palin had earlier accepted about $900 million in other federal stimulus funds, all available to the state except the energy funds.

Sens. Bill Wielechowski, D-Anchorage, and Lesil McGuire, R-Anchorage, who head the Senate Resources Committee, have urged Palin to accept the money to address needs in a state with some of the highest energy costs in the nation.

Palin has said she feared doing so would require Alaska to adopt a statewide energy code for new and renovated buildings.

Wielechowski said Palin was essentially writing checks for other states because unused money does not stay in the federal treasury but is reallocated to other states. House co-chair Rep. Mike Hawker, R-Anchorage, said Palin made the reduction for political reasons, to preserve credibility with conservative groups on the national level.

Wielechowski and McGuire said Alaska would have eight years to meet the energy efficiency standards by adopting an energy code. Both senators have introduced legislation creating a statewide energy code that would apply to both rural and urban areas, without growing government, they said.

They also have said many structures built with public money in rural communities through agencies such as the Alaska Housing Finance Corp. already have an energy code requirement. Also, rural projects paid for through the Denali Commission incorporate energy efficiency standards into their design.

The Legislature could overturn the veto. Wielechowski said he would support a move to override her decision but added it would take three-fourths support from members of both the Alaska House and Senate.

The budget signed by the governor did have substantial funds for energy, however. The bill includes $25.5 million for Alaska Energy Authority projects, $25 million for renewable energy, $38 million for power cost equalization and $26.4 million for heating assistance, along with other money for energy conservation.

An appropriation of $20 million for the Port of Anchorage expansion is also in the capital budget bill signed by the governor.

Journal reporter Tim Bradner contributed to this article.