ASEA Fights Proposals to Privatize Print E-mail
ASEA/AFSCME Local 52 has mobilized to retain union jobs that the Murkowski administration is trying to eliminate through privatization. The administration announced it is conducting studies to determine the feasibility of contracting out state jobs in the Southeast Region Procurement Section of the Department of Transportation & Public Facilities and the Alaska Marine Highway (AMHS).

Recently, the work of Fort Richardson-based Trooper Radio Dispatchers was included for a similar study.

The news has prompted union members and staff to examine state proposals and organize campaigns to prevent job loss. Two multi-union workgroups have challenged the state to demonstrate that the privatization proposals have measurable economic benefit.

Current proposals to privatize state jobs will affect 109 GGU employees and their families if Gov. Murkowski succeeds in contracting out the work.

Recommendations to adopt a corporate model for the Marine Highway System have been submitted to a commission appointed by the governor to study the ferry system. During a Nov. 20 presentation to the Marine Transportation Advisory Board, Department of Transportation and Public Facilities’ Deputy Commissioner Tom Briggs compared AMHS operations to the British Columbia ferry system.

Briggs went on to say that the state ferry system should adopt a business model similar to the B.C. system, which was privatized last spring. During his presentation he recommended outsourcing Marine Highway reservations and marketing functions, suggested contracting food service to fast food outlets like Burger King, and turning ferry terminal operations over to the communities in which they are located.

At later meeting of the MTAB Marketing Committee on Dec. 18, Deputy Commissioner Briggs downplayed his earlier suggestions and said the state will try to find ways of saving money other than contracting work out. “We’re looking at everything, everything’s on the table for purposes of saving money,” Briggs explained.

Dave Kensinger, MTAB chairman, said the board has asked Briggs to investigate a corporate model. Later Kensinger said, “By corporate model we don’t mean privatizing.”

Afterwards at a MTAB Employee Committee meeting, Briggs talked about “outsourcing some of our functions,” but denied ever discussing privatizing the Marine Highway System with the MTAB. Briggs said “Privatization of the system is a bogeyman, privatization was never mentioned, not discussed, not mentioned, we have never discussed that.”

However, Briggs invoked the GGU contract, saying that it “admits, recognizes the responsibility, the right of the system to look at contracting out, the viable consideration of doing such a contracting effort.”

While it is unclear what the MTAB and Murkowski administration have in mind exactly, it is certain that they intend to perform an operational analysis to determine the feasibility of contracting out work. The analysis will affect the AMHS ferry ticket and reservations functions, ferry terminal operations and maintenance and marketing efforts.

ASEA/AFSCME Local 52 represents 87 GGU employees who work for the Marine Highway System. ASEA members are not the only union members facing job losses in the outsourcing scheme. The AMHS proposal could affect up to 300 state employees in various bargaining units.

Privatizing DOT&PF procurement jobs in Southeast Alaska is especially worrisome because it opens the door for further privatization of state jobs. When questioned by union staff at the pre-proposal conference, the contracting officer in charge stated that additional agencies could be added to the proposal at a later time. The Request for Proposals states “[I]f successful, it is anticipated that additional pilot agencies or instrumentalities of the state will be included under this contract—subject to feasibility studies and approval by the Department of Administration.”

Adding to the harm of privatizing state procurement and dispatcher jobs is the waiver allowing private contractors to avoid following state procurement laws and procedures.

The successful bidder on the Southeast Region procurement proposal would be responsible for $54 million of supply purchases, professional services, revenue services and contracts with the State of Alaska.

Hundreds of small vendors throughout the state will be affected if state contracts are let to business out of state or even overseas.

The union needs your involvement to turn back the administration’s attempt to contract out state services. Please call your state and local officials today and urge them to retain good jobs in Alaska! We do not want to join the “race to the bottom.”

If you are in a position threatened by privatization or have an interest in preventing unnecessary outsourcing, contact your nearest ASEA office to join one of the union workgroups.