August 19, 2014 ballot measure election
August 19, 2014
| Brittany Clingen provides a quick run-down on Measure 1. |
Today's August 19 primary election in Alaska marks the end of one of the most contentious and confusing ballot measure battles the state has seen in recent history. Voters will take to the polls to decide the fate of Senate Bill 21 via a "yes" or "no" vote on Ballot Measure 1, with a "yes" vote repealing the bill and a "no" vote upholding it.
SB 21 was passed by the state legislature and signed into law by Gov. Sean Parnell (R) - an ardent supporter of the bill - on May 21, 2013. It implemented a new tax structure for companies extracting oil in the state. Under the previous tax code, Alaska's Clear and Equitable Share (ACES), oil companies paid a base rate of 25 percent on the first $30 of net profits from a barrel of oil, plus a 0.4 percentage point increase in tax rate for each subsequent $1 in profit per barrel.[1]
Under the new tax code outlined in SB 21 - referred to as the More Alaska Production Act (MAPA) - oil companies pay a base rate of 35 percent, but the additional add-on tax matching the market price of oil is removed. Given the new provisions detailed in SB 21, it is estimated that the tax on oil will ultimately be approximately 14 percent.[1]
Those supporting the referendum and seeking to repeal SB 21 believe the tax breaks will only benefit oil companies and not the citizens of Alaska. Those who are against the referendum believe the tax cuts outlined in SB 21 are necessary to incentivize these companies to continue drilling for oil in Alaska. A majority of Alaska's budget is balanced using revenue from oil taxation.[2]
The past several months have seen an influx in campaign contributions, particularly to the opposition campaign, which has raised $14.2 million as of August 18, primarily from large oil companies. Meanwhile, those supporting the measure have garnered approximately $487,000 in contributions.[3] A recent poll reveals a dead heat with 16 percent of voters undecided, making the result of tonight's election anyone's guess.
| Alaska Measure 1 (2014) | |||||||||||||||||||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Poll | Support | Oppose | Undecided | Margin of error | Sample size | ||||||||||||||
| Public Policy Polling 7/31/2014 - 8/3/2014 | 42% | 42% | 16% | +/-3.8 | 673 | ||||||||||||||
| Note: The polls above may not reflect all polls that have been conducted in this race. Those displayed are a random sampling chosen by Ballotpedia staff. If you would like to nominate another poll for inclusion in the table, send an email to editor@ballotpedia.org. | |||||||||||||||||||
See also
Footnotes
- ↑ 1.0 1.1 Alaska Dispatch, "Deadline looming, Alaska oil tax repeal petition gains momentum," June 11, 2013
- ↑ Anchorage Daily News, "Critics of oil tax cuts move ahead with referendum to repeal the legislation," April 18, 2013
- ↑ State of Alaska, "Campaign Disclosure: Forms," accessed August 13, 2014
