Alaska's Asset Portfolio, Management Issues

DATE STUDY OVERALL SUMMARY ASSUMPTIONS RECOMMENDATIONS CHAIRS

December 1998 Alaska's Asset Portfolio: Managing for Maximum Return Alaska' assets were examined to identify the management principles which, if consistently applied, would improve their financial return and enhance Alaska's economic stability. 1. Assets from the state land-grant should be managed consistently with the constitutional mandate to maximize their use and benefit to the people of Alaska.
2. The constitutional prohibition against dedicated funds is recognized as a policy principle which provides that the public interest is served when all state revenues are available for appropriation by the legislature.
3. There are 2 types of returns: financial and beneficial and each must directly or indirectly benefit the people.
4. Effective asset management requires a flexible structure.
5. Performance measures are essential.
6. Private enterprise should be the first resource to develop public assets.
7. Maximizing returns will enhance revenue to the state and provide economic stability. 1. Clarify roles and responsibilities.
2. Measure and disclose performance.
3. Manage assets as a portfolio.
4. Pay returns to the general fund.
5. Create a system to achieve these recommendations. Nancy Usera, Scott Goldsmith

Commonwealth North Reports

Commonwealth North

DATE	STUDY	OVERALL SUMMARY	ASSUMPTIONS	RECOMMENDATIONS	CHAIRS
December 1998	Alaska's Asset Portfolio: Managing for Maximum Return	Alaska' assets were examined to identify the management principles which, if consistently applied, would improve their financial return and enhance Alaska's economic stability.	1. Assets from the state land-grant should be managed consistently with the constitutional mandate to maximize their use and benefit to the people of Alaska. 2. The constitutional prohibition against dedicated funds is recognized as a policy principle which provides that the public interest is served when all state revenues are available for appropriation by the legislature. 3. There are 2 types of returns: financial and beneficial and each must directly or indirectly benefit the people. 4. Effective asset management requires a flexible structure. 5. Performance measures are essential. 6. Private enterprise should be the first resource to develop public assets. 7. Maximizing returns will enhance revenue to the state and provide economic stability.	1. Clarify roles and responsibilities. 2. Measure and disclose performance. 3. Manage assets as a portfolio. 4. Pay returns to the general fund. 5. Create a system to achieve these recommendations.	Nancy Usera, Scott Goldsmith