Juneau -- By a 15 to 5 vote, the Senate today approved a measure to review state functions that can be privatized. Senate Bill 33 calls for the creation of a commission to identify which services provided by the state can more easily and inexpensively be provided by private firms.

"When enacted, this bill will evaluate which services could be provided more efficiently by the private sector as well as highlight those services that are better provided by the government," said Senator Jerry Ward (R-Anchorage/Kenai), sponsor of SB 33. "This will be the first all-encompassing look at privatizing governmental services in Alaska."

"With a $1.2 billion budget shortfall, the state needs to reconsider the way it does business," said Ward. "The residents of Alaska expect us to make tough decisions and to streamline state operations to save costs. This legislation will do just that.

Senate Bill 33 will also look into the state's contracting procedures to make sure Alaskans are getting the most of every dollar spent, noted Ward.

"During times of economic downturn, the savings in revenues could be the difference in the ability to offer critical serviced as an optimum level," said Ward. "Privatization will not work in every situation. However, the potential savings needs to be discussed."

SB 33 now goes to the House for consideration.

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