Although they were substantial, the pay raises approved for executives of the Knik Arm Bridge and Toll Authority are nowhere near the top salaries paid to some state employees.
Among those who earn higher salaries are the top officials of the Alaska Railroad Corp., the University of Alaska, the Alaska Permanent Fund, the Alaska Aerospace Development Corp., and the Alaska Industrial Development and Export Authority. More than three dozen other state employees also earn more than $130,000.
Still, news that three executives of the KABATA were awarded huge pay raises angered some Alaskans, while others said the move was compatible with the private sector.
The KABATA board, meeting in June, approved salary increases from $104,496 to $130,000 for executive director Henry Springer; from $90,342 to $130,000 for deputy executive director Darryl Jordan, and from $90,324 to $129,000 for chief financial officer Kevin Hemenway.
Those raises were publicized in a news release from Rep. Les Gara, D-Anchorage, who read about them in the Alaska Budget Report, a private subscription newsletter published in Juneau.
Gregg Erickson, editor at-large for the Alaska Budget Report, has appealed to Alaska Transportation Commissioner Mike Barton for records considered by the KABATA board during its June executive session. Erickson said KABATA has refused to provide the requested documents to him.
Erickson urged Barton to conduct a full factual investigation to determine if KABATA's claim of privilege has already been waived by disclosure of any of these records to persons outside the executive branch. Erickson said believes there may have been such a disclosure.
According to published state reports on executive position salaries and benefits for calendar year 2005, the highest state salary for the year was $274,865, paid to Patrick Gamble, president and chief executive officer of the Alaska Railroad Corp.
Mark Hamilton, president of the University of Alaska, earned $265,750, not including housing and a vehicle provided with his job. The state schedule of compensation for executive positions did not specify the value of those amenities.
Steve Jones, chancellor of the University of Alaska Fairbanks, earned $245,741, not counting housing and a vehicle provided with the job. Daniel Fauske, executive director of the Alaska Housing Finance Corp., earned $215,000, and Elaine Maimon, chancellor of the University of Alaska Anchorage, earned $210,867, not including housing and a vehicle provided.
Mike Burns, executive director of the Alaska Permanent Fund Corp., was paid $206,417.
John Pugh, chancellor of the University of Alaska Southeast, was paid $178,923, and also had use of a vehicle. Craig Dorman, vice president for research for the statewide university administration, was paid $174,097.
Pat Ladner, executive director of the Alaska Aerospace Development Corp., received $169,669 in salary.
Joe Beedle, vice president for finance for the statewide university administration was paid $158,820, and Ron Miller, executive director of the Alaska Industrial Development and Export Authority, was paid $158,250.
A copy of the state report listing compensation to executives is online at http://fin.admin.state.ak.us/dof/financial_reports. It is published each year in January.
Another report, provided on request by the state Division of Personnel, showed a total of 44 other state positions paid more than the three KABATA executives in fiscal 2005-06. The second report lists the positions and salaries only, not names of employees.
These included $234,197 for a captain for the state Department of Transportation's fast ferry, $205,083 to a forensic psychiatrist for the Alaska Department of Health and Social Services; $189,075 to the assistant medical director for DHSS; $174,723 apiece to two staff psychiatrists at Alaska Psychiatric Institute, $174,563 to another captain with Alaska Marine Highway's fast vehicle ferry, and $174,320 to the medical officer, with the Alaska Department of Corrections.
An advisor on the natural gas line was paid $174,150 and a forensic psychiatrist for DHSS was compensated $172,906.
Thirty other state jobs, in health and social services, transportation and natural resources, also paid more than $130,000, including the director of the division of oil and gas, at $148,802.
"Most people who make a lot of money (in state jobs) are responsible for projects that actually exist and for large numbers of employees," Gara said. "These guys are largely responsible for getting more money from the Legislature for a bridge they admit they haven't even designed yet. The issue isn't how much these people are worth.
"These people took jobs for $90,000 a year. In the private sector, no one would give them $40,000 more just for being there. The private sector says you pay what you need to pay people to get them to take the job, and that is what the $90,000 salary was."
Gara said the second big issue "is this agency has all the markings of what's worst about government waste.
"We gave them $100 million. They don't have a project, so they are spending it on salaries. I voted against the $100 million, and that's one of the reasons I did. You shouldn't spend money on a project before you know what it costs," he said.
According to an Associated Press report, Jordan said the raises were justified because the project was now a reality, and the board wanted to bring its executives' salaries in line with other organizations doing similar work. He could not say which other organizations were used for salary comparisons.
Springer was on vacation and unavailable for comment. Hemenway said it was agreed before he took the job that he would get the higher salary. Hemenway, who was previously under contract to KABATA, joined the staff shortly before the raises were approved.
According to Hemenway, the perspective "was to bring the authority's pay scale online with comparable organizations in the state," like Alaska Housing Finance Corp., Alaska Industrial Development and Export Authority, and the Alaska Railroad Corp.
Margaret Bauman can be reached at margie.bauman@alaskajournal.com.
