Murkowski urges unity, warns of fuel risks, and presses state to meet federal matches in annual address

March 31, 2026 – US Sen. Lisa Murkowski delivered her annual address Tuesday to a joint session of the Alaska House and Senate, covering a wide sweep of issues, from national security and resource development to education, fisheries, health care, and Alaska’s ferry system, but breaking little new ground.

The speech, more reflective than newsmaking, emphasized policymaker cooperation, fiscal realities, and the need for Alaska to better leverage federal dollars already flowing to the state.

Murkowski warned lawmakers that dysfunction in Washington continues to ripple into Alaska, pointing to the recent Department of Homeland Security shutdown that left federal workers without pay and contributed to airport security delays affecting travelers across the state. She cautioned that shutdowns have become “far too routine” and that policymakers are growing numb to their real-world impacts.

At the same time, she turned the focus back on Alaska, urging the Legislature and administration to do a better job meeting state match requirements needed to unlock federal funding. In some cases, she noted, the barrier is relatively small, hiring a few staff or providing modest matching funds, but delays have left money on the table.

She highlighted the Alaska Marine Highway System as a continuing priority, noting that federal infrastructure funding has provided roughly $700 million in recent years. But she warned that relying on federal programs to cover nearly half of operating costs is not sustainable and that renewal of those funds is not guaranteed.

Health care funding also drew attention, particularly changes tied to federal reconciliation efforts. Murkowski said she held her vote until adjustments were made to reduce harm to Alaska, but acknowledged concern that some residents could still fall through the cracks as requirements change. She added that Alaska is set to receive significant federal dollars but must implement programs effectively or risk losing them.

On fisheries, Murkowski addressed the ongoing salmon collapse, cautioning against blaming a single cause. She cited climate change, bycatch, and other factors, while warning lawmakers not to demonize one sector of Alaska’s fishing industry. Commercial fishing, she said, remains an economic backbone for many coastal communities.

Education was another major theme. Murkowski said she finds it “appalling” that many Alaska schools remain in poor condition, describing facilities with mold, asbestos, and failing infrastructure. She also stressed the need for competitive teacher pay, affordable housing, and retirement benefits to retain educators.

She warned that federal visa fee increases could harm Alaska’s ability to recruit teachers from abroad, noting that the state relies heavily on international hires to fill classroom vacancies.

Workforce challenges also featured prominently. Murkowski said Alaska has experienced 13 straight years of net outmigration and relies heavily on nonresident workers. She emphasized that students who graduate from Alaska universities are more likely to stay, and encouraged continued investment in higher education and workforce development.

Of tensions involving Iran and potential disruptions to global fuel supply chains, Murkowski said Alaska communities, especially in western Alaska, could face both higher prices and possible shortages of refined fuel delivered in the spring.

She noted that Alaska sits at the end of the supply chain and warned that Asian buyers often secure available product first, leaving rural Alaska vulnerable. Even if tensions ease, she said, supply disruptions can take time to unwind, raising concern that some communities may struggle to pay fuel bills or secure supply for the following season.

Murkowski closed with a call for unity, urging lawmakers to avoid regional divisions and partisan battles, and to focus on shared interests. She noted that Alaska’s economies are interdependent and said the state must work together to address challenges ranging from infrastructure and education to fisheries and workforce development.

The address covered a wide range of topics: national debt, earmarks, resource development, ferry funding, education, health care, and global instability, but ultimately served more as a status update and policy reflection than a venue for major announcements. Unlike the Democrats in the Legislature who pounded on Congressman Nick Begich and Sen. Dan Sullivan during their remarks, the members from both sides of the aisle in the House and Senate treated Murkowski with respect and did not badger her with petulant remarks.