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Parnell: Energy issue at governors' meeting

Posted: March 1, 2011 - 8:49am

JUNEAU — Gov. Sean Parnell says he’s working with other governors on shared challenges with the federal government.

He provided few details in Facebook posts stemming from the National Governors Association meeting in Washington, D.C. He said other governors discussed challenges in getting project permits, while he shared what he called Alaska’s struggle to create jobs and opportunities from offshore drilling.

Parnell said the governors also discussed rising Medicaid costs, which he said are unsustainable. He wants greater flexibility in the way the state handles Medicaid so services can be provided without creating a financial burden on Alaska.

Parnell’s budget director estimates the state may have to pay another $123 million next fiscal year if the federal government adjusts the reimbursement rate for Medicaid or other health and social service programs.

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