The Alaska Senate subcommittee on the governor's FY '26 budget adopted a final budget action and wordage report for the Office of the Governor that reduces general funds for the infrastructure office by $831,300 and approves several structural changes, the subcommittee chair said.

The decision closes out the governor's FY 2026 operating budget for that office and leaves $250,000 for infrastructure office operations, according to staff. Pete Eklund, staff to Senator Hoffman and the Senate Finance Committee, told the panel the infrastructure office currently employs a half-time person and uses a contractor on an as-needed basis.

"If you go to page 2 of the budget action report, you can see number 1, Mr. Chairman, is a reduction of 831,300.0 general UGF, general funds from the office of the governor, infrastructure office," Eklund said. He said the legislature had funded the office previously at $1 million per year and that the appropriation had grown because of COLA and other costs. "With this reduction, it would leave $250,000 in the office of office of infrastructure for operations," he added.

Eklund summarized other items in the closeout: a position and funding transfer from the Department of Administration to the Department of Law to monitor contractual negotiations (not additive to the budget because the funding moves with the position); a denied small UGF increase of $7,400; and acceptance of three structural changes listed as items 4, 5 and 6. He also noted an attached wordage report containing language regarding the Human Rights Commission and Central Services cost allocation rates.

Lehi Painter, Legislative Finance Director, was available to answer questions, but committee members raised none. Senator Stedman moved "the attached final budget action and wordage reports for the office of the governor from subcommittee and give legislative finance the ability to make any technical and conforming changes as necessary." Senator Hoffman asked, "Is there objection to the motion?" and, "Seeing none, that motion is adopted and we are adjourned," indicating adoption by unanimous consent.

The action authorizes Legislative Finance to make technical and conforming changes to the reports as necessary; no debate, recorded roll-call votes, or amendments were recorded in the transcript. The adopted closeout therefore documents the $831,300 UGF reduction to the governor's infrastructure office, the interdepartmental position transfer, the denial of the $7,400 request, and the acceptance of three structural changes. The wordage report attached to the closeout includes language from the Human Rights Commission and updates to Central Services cost allocation rates.

The subcommittee's action completes the subcommittee-level closeout for the Office of the Governor's FY 2026 operating budget; the transcript does not specify subsequent steps or an effective date for the changes.