Superior Court Judge dismisses bonding plan lawsuit

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FAIRBANKS, Alaska - Superior Court Judge Jude Pate dismissed a challenge against Former Governor Bill Walker's plan to pay off Alaska's obligations on oil and gas tax credits with bonding. The plan says that a new state corporation would be able to sell $1 billion in bonds to pay off past tax credits.

According to the Associated Press, Pate stated in a written order on Wednesday that he is granting the state's request to dismiss the challenge by resident Eric Forrer. Pate went on to say that he is not supposed to make economy policy judgments but apply the law of the state Constitution as interpreted by the Alaska Supreme Court.

The judge said, "The court should not engage in second guessing the wisdom of the legislature's fiscal policy decisions, even when those decisions may have a negative impact on the State's credit rating."