Itta says, "I'm not trying to stop the oil, but...."

Will Mayor Edward Itta Cause Suffering and Exodus for Future Generations Of North Slope Borough Residents?

In a July 18 Parade Magazine cover story, Mayor Edward Itta (NGP Photo) was quoted as saying, "I'm not trying to stop the oil, but if whales disappear, so will our culture."  (See attached article.)

We believe all Alaskans emotionally support Itta's desire to maintain modern subsistence lifestyles, but Parade readers may not grasp the larger picture.  Alaska's economy is 1/3 dependent on oil.  Alaska's state budget is 90% dependent on oil.  The massive, expensive and even lavish government of the North Slope Borough serves 7,500 citizens at a cost of about 1/4 billion annually ($33,000+/capita).  It requires the infusion of a river of money from federal, state and North Slope oil industry property tax and contracting sources.  In short, without oil subsidizing Alaskan lifestyles, subsistence would become a necessity not a pleasant hobby for whaling captains -- many of whom have six figure incomes.

With Alaska's oil production declining at about 5-6% annually and the state budget increasing at about 10%, Alaska's economy is on a collision course with economic reality.  That reality will affect Mayor Itta's constituents and all other Alaskans as well...and their children and future generations.  The only way future generations of North Slope residents can hope to enjoy what in today's world may be regarded as the 'luxury' of a subsistence lifestyle, is for ANWR to be developed, for a massive new oil discovery on state lands, or for Alaskan OCS to be developed and for the Federal government to share OCS rents, royalties and bonus monies with Alaska.  A gas pipeline would help, too, but the economics of that project in some degree rest on the overall attractiveness of Alaska's investment climate to oil producers.  Also, long-term gas pipeline financing is helped by increased gas discovery in ANWR, OCS or elsewhere along the pipeline route.

If the 'only way' to maintain a comfortable Alaskan, subsistence lifestyle is to support successful, new oil and gas exploration and development projects, one could conclude that lifestyle is in jeopardy.  To date, the biggest obstacle to OCS development in Alaska is Mayor Itta and his environmental extremist allies.  He has supported lawsuits delaying OCS permitting.  He has supported efforts to use jury-rigged legislation (SB4) to provide additional obstacles to oil, gas and mining activity.  He has supported Senator Begich's misguided effort to create additional, Regional Citizen Advisory Councils giving 'super voices' to certain citizens that can only delay oil and gas revenue producing efforts.  He uses every public forum to say, "Well I'm not really against oil, but...."  This comes from a man representing people whose lifestyles would not exist with today's comforts without oil and which will not exist with today's comforts if oil investment retreats from Alaska.  

And if oil investment retreats from Alaska, sucking the air out of this economy, so will many Alaskans begin the long exodus South.  Will some future North Slope families look back and say, wistfully, "We had a good life up here in the Arctic, but my dad and mom lost their jobs because of Mayor Itta.  Yes, we can live up here and hunt whales, but we have no money for guns, ammunition, fast boats and outboard engine gas.  We eat mostly subsistence food and can't afford to shop."

Respectfully, this writer would remind Mayor Itta that Alaskan oil companies haven't killed whales.  It is mostly the fairly well-healed folks enjoying modern oil-economy lifestyles, boats and weapons who kill whales today.

If Parade magazine were to interview me, I'd say, "I'm not against whales, but if oil disappears, so will many, comfortable subsistence lifestyles."