Contents
Features
By Tasha Anderson
By Tasha Anderson
By Mikel Insalaco
Laying the Foundation for Education
By Rachael Kvapil
By Isaac Stone Simonelli
$500 Hotels, Rental Car Shortages, and The Dawn of the Independent Traveler
By Danny Kreilkamp
By Richard Perry
By Richard Perry
By Tasha Anderson
By Tasha Anderson
By Mikel Insalaco
Laying the Foundation for Education
By Rachael Kvapil
By Isaac Stone Simonelli
$500 Hotels, Rental Car Shortages, and The Dawn of the Independent Traveler
By Danny Kreilkamp
Quick Reads
Top 49ers’ dominant subsidiaries deserve recognition
Corrections to September 2021: On page 30, we misspelled the name of one of RSA’s principals: the correct spelling is Channing Lillo.
On page 96, we errantly stated that the Biden Administration “intervened” in a lawsuit that aimed to halt construction at ConocoPhillips’ Willow development; to clarify, the US Department of Justice argued that the BLM and the US Fish and Wildlife Service, defendants in the lawsuit, properly followed environmental laws leading up to the project’s initial federal approval.
On page 98, it reads, “The passage of Ballot Measure 1 was an important step in that process.” Alaskans voted against Ballot Measure 1; its failure to pass was an important step in building fiscal stability for the oil and gas industry to operate.
About The Cover
“Look, look again.” The words from our cover story speak to the narrative of the 2021 Top 49ers. Last year threw a lot at the world, and as it became evident that our definition of “normal” would require some reimagination, Alaska Business decided it was time to call for a shift in perspective.
The 2020 Top 49ers theme explored the triumphant journeys of the companies that made the list. It was a celebration of Alaska businesses who weathered an unprecedented upheaval. Now that journey has brought us back to a place that looks a little less familiar than before. But one small change of perspective is all it takes for things to look surprisingly sunnier.
Sometimes we find success by looking at the same problems through a different lens, which is exactly what it took to be a 2021 Top 49er. It also makes for a fun artistic challenge—we hope you take one more look at our cover and agree.
Top 49ers’ dominant subsidiaries deserve recognition
Corrections to September 2021: On page 30, we misspelled the name of one of RSA’s principals: the correct spelling is Channing Lillo.
On page 96, we errantly stated that the Biden Administration “intervened” in a lawsuit that aimed to halt construction at ConocoPhillips’ Willow development; to clarify, the US Department of Justice argued that the BLM and the US Fish and Wildlife Service, defendants in the lawsuit, properly followed environmental laws leading up to the project’s initial federal approval.
On page 98, it reads, “The passage of Ballot Measure 1 was an important step in that process.” Alaskans voted against Ballot Measure 1; its failure to pass was an important step in building fiscal stability for the oil and gas industry to operate.
About The Cover
“Look, look again.” The words from our cover story speak to the narrative of the 2021 Top 49ers. Last year threw a lot at the world, and as it became evident that our definition of “normal” would require some reimagination, Alaska Business decided it was time to call for a shift in perspective.
The 2020 Top 49ers theme explored the triumphant journeys of the companies that made the list. It was a celebration of Alaska businesses who weathered an unprecedented upheaval. Now that journey has brought us back to a place that looks a little less familiar than before. But one small change of perspective is all it takes for things to look surprisingly sunnier.
Sometimes we find success by looking at the same problems through a different lens, which is exactly what it took to be a 2021 Top 49er. It also makes for a fun artistic challenge—we hope you take one more look at our cover and agree.
From the Editor
Mopping up water and sweeping leaves into my trash can, I told her that, in recent weeks, if I see a bunch of flowers for $10 or less—and it catches my eye—I just buy it. I used to need a justification to buy flowers, cheap or not, especially for myself.
Kerry Tasker
Billie Martin
press@akbizmag.com
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or more than forty years, the development of the Ambler Mining District in the southern Brooks Range has been discussed as a way to bring jobs and revenue to the residents of the Northwest Arctic Borough, surrounding villages and landowners, and the state of Alaska. Located 168 miles east of Kotzebue, 22 miles northeast of Kobuk, and 162 miles west of the Dalton Highway, this remote area is considered a prime target for mineral exploration and production.
or more than forty years, the development of the Ambler Mining District in the southern Brooks Range has been discussed as a way to bring jobs and revenue to the residents of the Northwest Arctic Borough, surrounding villages and landowners, and the state of Alaska. Located 168 miles east of Kotzebue, 22 miles northeast of Kobuk, and 162 miles west of the Dalton Highway, this remote area is considered a prime target for mineral exploration and production.
While there are many challenges facing the establishment of the mining district, including delays caused by COVID-19, perhaps the largest—and currently the most controversial—is the construction of a 211-mile controlled industrial access road that would provide permitted access to the district.
The proposed route would begin at milepost 161 of the Dalton Highway and stretch westward to the Ambler Mining District, covering 125 miles of state-owned property, 51 miles of federally owned and managed property, and 3.6 miles of land owned by the Northwest Arctic Borough. The remainder of the route is owned by private landowners, including ANCSA (Alaska Native Claims Settlement Act) corporations Doyon, Limited and NANA.
Once the road is completed, Ambler Metals, a joint venture between Trilogy Metals of Canada and South 32 of Australia, would prospectively develop a mine to access a large copper-zinc mineral belt that also contains deposits of gold and silver. Not only would the mine benefit Alaska, it would serve as a domestic resource for the critical minerals required by the nation’s tech-focused and developing green economy.
Are you ready?
Are you ready?
nchorage-based Microcom has been leading the way in satellite communications in Alaska since 1984. Microcom pioneered many of the industry’s “firsts” in the state: the first direct-broadcast satellite reception system, first 24-hour live broadcast television reception, first rural cable modem installation, and first Ku-Band satellite communications system. So it’s only fitting that the innovator spearhead efforts to bring ubiquitous broadband to Alaska.
In Q4 2021, Microcom is launching OneWeb’s low-earth-orbit (LEO) statewide commercial broadband service through its sister company Pacific Dataport. LEO satellites, which normally orbit less than 1,400 kilometers above the earth, can deliver dependable, less-expensive, low-latency, high-speed internet access to Alaska—even to the most remote and treacherous terrain. Pacific Dataport will connect to OneWeb’s LEO network and wholesale capacity to telecoms, schools, health clinics, and tribal organizations. “We’re in the process of signing up customers for beta trial opportunities,” says Alexander Schumann, Microcom’s director of satellite broadband. “We’re preparing for full service to launch in November.”
ong haul truck drivers are a unique breed. But those navigating the northernmost highway in the United States transporting supplies to the Prudhoe Bay oil fields occupy a much loftier position.
The adventure begins when truckers start their trek up the 414-mile road from Livengood (2020 census population 11 residents) 84 miles north of Fairbanks—and ends a few miles short of the Arctic Ocean in Deadhorse and Prudhoe Bay.
Maps refer to it as the Dalton Highway or Alaska Route 11. Truckers call it the North Slope Haul Road.
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laska Airlines continues to soar far beyond its humble beginnings in the Last Frontier. In just 2021, and among other endeavors, Alaska Airlines:
- Announced plans to expand its fleet, adding seventeen new Embraer 175 jets in 2022 and 2023 and exercising an option to accept thirteen Boeing 737-9 MAX deliveries in 2023 and 2024.
- Partnered with Airspace Intelligence for the use of Flyways AI, which uses artificial intelligence and machine learning to assist dispatchers in making flight operations more efficient and sustainable.
hampion Painting Specialty Services Corporation is a specialty coatings applicator; since its founding in 2006, the company has covered a range of projects and industries: terminals, power infrastructure, tanks, theme parks, cranes, cruise ships, and stadiums, as well as projects related to road and bridge construction, energy, pharmaceutical and chemical/petro chemical industries, water and wastewater, food and beverage, pulp and paper, the defense sector—and more.
Champion
Champion
hen John Hendrix’s company, HEX, acquired Furie Operating Alaska in July of last year, after much negotiating and an almost dead deal, the longtime Alaska resident had a lot to contend with. Furie had filed Chapter 11 bankruptcy after a few years of losses, and Hendrix planned to revive it by cutting costs and hiring an Alaskan workforce. Furie owed lenders about $440 million, but was owed about $103 million in refundable Alaska tax credits.
Hendrix had already bought Furie Operating Alaska’s Cook Inlet Kitchen Lights Unit at a December 2019 bankruptcy auction with a winning bid of $15 million, financed in part by money from Hendrix’s own retirement savings in addition to a $7.5 million loan from the Alaska Industrial Development and Export Authority, though the deal almost fell through because of a dispute over the structure of the sale.
Shipbuilding
Tech
onditions in arctic and sub-arctic regions are often prohibitive, which results in tight timelines for engineering projects. This also applies to the maritime industry in the state, but a recent project completed by Stillwater Marine Service (SMS) demonstrated how to tackle some of these challenges utilizing the latest engineering technology.
onditions in arctic and sub-arctic regions are often prohibitive, which results in tight timelines for engineering projects. This also applies to the maritime industry in the state, but a recent project completed by Stillwater Marine Service (SMS) demonstrated how to tackle some of these challenges utilizing the latest engineering technology.
Various considerations must be made when servicing a vessel at sea: the ice season creates a narrow window of time in which the work can be completed, accessing areas of the ship to assess them can be difficult, and existing blueprints are often outdated. Due to these factors, projects requiring fabrication typically required field fitment, costing more in time and resources. To complete this project within the client’s required timeline, SMS partnered with Eagle Harbor Engineering and Catalyst Marine Engineering.
we’ll help protect it.
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ecall Rubin’s vase, an exercise in optical illusion: when presented with a specific image, some see a vase while others see two faces. Something viewed from one perspective can look radically different from another. And when a shift in perspective leads to a shift in perception, it often yields surprising results.After all, a grizzly and a sockeye may share the same stream—but hardly the same view.
“Look. Now look again.”
These words aptly describe the economic landscape of the Last Frontier as seen through the eyes of the Alaska Business editorial team, which selected the theme for this year’s Top 49ers Special Section in which we explore changing perspectives.
Accounting for the
Double Counted
n recognition of Alaska-grown and Alaska-owned businesses, Alaska Business publishes the Top 49ers. Each year it gives a rundown of Alaskan-owned industry players based on gross revenues. Most of the Top 49ers qualify for the list year after year, adapting to changes in markets, resource access, and investment opportunities. But occasionally, staple names that Alaskans have seen year after year on the list disappear.
One such company is Alaska Industrial Hardware.
“We were part of the 49ers for years,” Alaska Industrial Hardware President and CEO Terry Shurtleff says. “Before BSNC [Bering Straits Native Corporation] acquired us.”
LOCAL 375 FAIRBANKS, ALASKA 907-479-6221
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laska Business’ annual list of Top 49ers features local companies that generate billions of dollars in revenue, employ thousands of workers, and contribute significantly to the community. Inevitably, some businesses barely miss the ranks, even after making the list in previous years. One such company is Keller Williams (ranked 49 in 2019) which achieved outstanding productivity and growth in 2020 and is a company to watch in the future—and this year is being recognized as the ‘50th 49er’.
“We are honored,” says CEO/Team Leader Joshua Nelson, reacting to receiving this year’s special designation. “We have 392 associates in Alaska, and it’s a testament to the work they have put in and the amazing businesses they have built.”
his year’s Top 49ers is all about looking at the world anew, whether that’s reconsidering priorities as an individual or a business, re-thinking a five-year plan, or searching out new ways to do traditional business.
To us, there may be no better experts on how to consistently change, adapt, and grow than the Top 49ers, the top forty-nine, Alaskan-owned companies ranked by gross revenue.
This year as we surveyed the Top 49ers to update the ranks, we asked each organization the following:
After 2020 and the first half of 2021, people are eager to move beyond the pandemic and a struggling Alaska economy; but as difficult as it’s been, overcoming challenges can provide a new perspective. What best practices, lessons learned, and in-the-moment (but perhaps becoming permanent) adaptations is your organization building into a fresh paradigm as you look at where we’ve been—and where we’re headed?
Their answers, in their entirety, are below.
for Education
ew school construction happens on a limited basis in Alaska. It’s more common for school districts to renovate existing schools or construct additions to an existing structure than to completely start from scratch. The process of applying for state funding for a capital improvement project (CIP), designing, and building a new school is time-consuming—an option that school districts choose only when the existing building is unsafe, beyond student capacity, or absolutely unable to fulfill the requirement standards set by the state.
Tim Mearig, facilities manager for the Alaska Department of Education and Early Development (DEED), says the number of new school construction projects have abated as student populations and birth rates in parts of the state have leveled off or declined. However, enrollment is only one factor that prompts a school district to apply for state funding through the CIP grant process. CIP funds are available for both renovations and new school constructions, so school districts go through a detailed evaluation process to determine whether a replacement school is absolutely necessary. This evaluation is in line with DEED’s CIP application and covers age and condition of an existing facility, the number of current students and an estimate of students in seven years, relationship of project cost to annual operational cost savings, and more.
Span Alaska’s new Anchorage Service Center (ASC) means even better service and more options for our customers statewide.
Our new facility increases our capacity, improves our security, offers customizable storage areas, and streamlines freight handling — all to enable faster, smoother, and more consistent delivery of your cargo to its final destination.
Stop by our new ASC and see what Span Alaska can do for you.
Or, to schedule a pickup or find the terminal nearest you, call 1-800-257-7726 or visit us at spanalaska.com.
Span Alaska’s new Anchorage Service Center (ASC) means even better service and more options for our customers statewide.
Our new facility increases our capacity, improves our security, offers customizable storage areas, and streamlines freight handling — all to enable faster, smoother, and more consistent delivery of your cargo to its final destination.
Stop by our new ASC and see what Span Alaska can do for you.
Or, to schedule a pickup or find the terminal nearest you, call 1-800-257-7726 or visit us at spanalaska.com.
or Alaska Native corporations (ANCs), developing seafood interests means more than merely making profit; they seek to benefit shareholders and descendants in other ways.
For Bristol Bay Native Corporation (BBNC) and Sealaska, holdings in the seafood industry provide many benefits to their shareholders and descendants. The profits of these business lines offer opportunities for shareholders and descendants such as job search and employment placement assistance, higher education and vocational training, and leadership development/management training programs, to name a few.
or Alaska Native corporations (ANCs), developing seafood interests means more than merely making profit; they seek to benefit shareholders and descendants in other ways.
For Bristol Bay Native Corporation (BBNC) and Sealaska, holdings in the seafood industry provide many benefits to their shareholders and descendants. The profits of these business lines offer opportunities for shareholders and descendants such as job search and employment placement assistance, higher education and vocational training, and leadership development/management training programs, to name a few.
The seafood industry is an essential holding for many ANCs as it is an integral part of a diverse portfolio of investments and other business ventures.
But while interests in the fishing industry have long-term potential, year over year the risks and benefits can vary significantly.
In the August 2021 Alaska Economic Trends article “The Pandemic and Jobs by Area,” Neil Fried notes that Alaska’s fishing industry is an essential economic driver, although it continues to be volatile. With the COVID-19 pandemic, rising sea levels, and rising temperatures, the fishing industry remains vigilant in adapting and appraising data as they navigate each fishing season.
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roviding essential services for a population of about 731,000 over roughly 663,000 square miles has forced the evolution of a healthcare ecosystem in Alaska that’s unlike any in the Lower 48.
“We operate on a scale here that no one else in the country, potentially the world, does,” says Jared Kosin, president and CEO of Alaska State Hospital and Nursing Home Association. “A big part of that is because of the way our beds and facilities are distributed.”
Alaska’s population is not connected by a continuous road system, resulting in isolated pocket markets that serve relatively small populations in rural parts of the state.
With over two decades of history in the Anchorage community, Dorsey & Whitney provides full-service legal counsel to clients in the Alaska market and beyond. Backed up by the resources of an international law firm with over 525 attorneys across 19 offices, we offer global reach, local resources, and productive relationships. All with a deep understanding of our clients’ businesses, the risks they face, and the goals that drive them. Making us a wise choice for smart businesses everywhere.
ecently our CEO Paula Bradison discussed the labor shortage in Alaska. Alongside other panelists, Paula described a variety of factors impacting Alaska’s workforce. She asked if there could be additional factors causing this shortage, “Do we have an engagement issue?” She validated her question with observations that stem from years of coaching and facilitation. The truth is that our younger generation engages differently. They are not necessarily “entitled” or “lazy,” rather they seek opportunities to contribute to meaningful work. Paula is not doubting the economic impact COVID-19 has had on the labor market, nor is she stating that the facts and figures are inaccurate. Honestly, none of us can deny the magnitude of pressure the state’s economic challenges have placed on the labor market.
According to Jon Bittner, State Director of the Alaska Small Business Development Center, “The difficulties in the labor market are a huge problem for the state’s economy. If businesses can’t remain open or operate normal hours, they won’t be able to take full advantage of the economic recovery and it will take us significantly longer to get back to normal. Businesses in the rest of the country have more resources and lower hurdles for their workforce such as cheaper housing and lower cost of living, and that could result in us losing more Alaskans to opportunities in the Lower 48.” Paula and the other speakers discussed several factors that are contributing to the lack of available talent. Many of these factors can be addressed immediately like engagement and uncertainty. People AK routinely works with our clients to improve engagement and develop clear expectations.
- Our Doctors in Pediatrics are specialists, and parents.
- Same day appointments available – in person or telemed.
- Complimentary no charge pre-natal meeting so expectant parents can meet our doctors and staff to be sure we’re a good fit for the entire family.
- On-site lab and radiology diagnostics, same day results.
- Our Doctors in Pediatrics are specialists, and parents.
- Same day appointments available – in person or telemed.
- Complimentary no charge pre-natal meeting so expectant parents can meet our doctors and staff to be sure we’re a good fit for the entire family.
- On-site lab and radiology diagnostics, same day results.
t went nearly as fast as it came.
For Alaska’s tourism industry, the summer of ‘21 lured in an opportunistic mix of travelers wrestling with cabin fever, a stop-start cruise schedule, and, in some cases, a simple lack of alternatives.
With the uncertainty surrounding cruise itineraries early in the year, many companies—particularly those whose operations were traditionally tied to group travel—weren’t entirely sure what to expect. But this uncertainty was quickly replaced with a sense of urgency, as businesses scrambled to attract a new, less predictable type of visitor: one that didn’t rely on the vertically integrated model so popularized by the Holland Americas and Princess Cruises.
Industry and
Economic
Development
in Alaska
business with us year after year.
Allan Gallant at the Alaska Commercial Co. office, circa 1984.
Sam Gallant
Sam Gallant
isionary businessman with bold ideas and the passion to make them happen. Astute deal maker with a gift for connecting with people. Ardent community activist with a heart for improving lives. The Dancing Bear: the nickname Alaska villagers affectionately gave to the jovial, former leader of Alaska Commercial Company, or AC, as it is commonly called.
These are just some of the words colleagues and friends used to describe Allan David Gallant, one of the original Alaska Business Publishing founders, who passed away on July 24, 2021 at the age of 87. Though he had not lived in Alaska since 1985, Gallant’s legacy remains strong through the success of the AC stores that continue to enhance the lives of Alaskans throughout the state.
communications on Earth.
santos.com | oilsearch.com
13% change from previous month
Source: Alaska Department of Natural Resources
-5% change from previous month
Source: Alaska Department of Natural Resources
-6.6% Unemployment
Source: US Bureau of Labor Statistics
Alaska Trends
ven before the pandemic, working from home was a growing trend. Publications including Forbes, The New York Times, Insight, Inc., Marketplace, and countless others have all written about younger generations, namely Millennials, demanding changes to the nature and culture of the workplace to find a better balance between work and life.
According to the Forbes article “Millennials Want A Healthy Work-Life Balance. Here’s What Bosses Can Do.” by Franziska Alesso-Bendisch, approximately 50 percent of workers are now considered Millennials, and their sheer numbers are having an effect.
She writes, “It is best to view work-life balance more as integration, rather than equilibrium. Millennials seek flexibility in their roles that allows them to thrive outside of work.” And for many, the option to work remotely is key.
At a Glance
Lies My Teacher Told Me: Everything Your American History Textbook Got Wrong by James W. Loewen.
The Nature Conservancy, Alaska.
To be honest, it’s let my dog out. And not long after that I’m grabbing a glass of wine [she laughs].
Argentina.
I wouldn’t. Let ‘em be wild.
At a Glance
Lies My Teacher Told Me: Everything Your American History Textbook Got Wrong by James W. Loewen.
The Nature Conservancy, Alaska.
To be honest, it’s let my dog out. And not long after that I’m grabbing a glass of wine [she laughs].
Argentina.
I wouldn’t. Let ‘em be wild.
Off the Cuff
aren King could’ve been whoever she wanted to be.
Though a high school aptitude test accurately predicted her career in advertising, she just as easily could have ended up a successful food entrepreneur with a line of artisan chutneys, or perhaps an interior designer tasked with outfitting a hot new art gallery.
Spawn Ideas’ President and CEO has worked on ground-breaking campaigns on a national scale for companies like Coca-Cola and General Mills and locally for the likes of GCI and the Alaska Railroad.
f your 2022 marketing plan includes advertising in Alaska Business (and it should), you will need a powerful starting point. Consider kicking it off with an ad in the 2022 Power List.
The Power List, published in January, is the state’s most comprehensive business directory targeted to business owners and C-Suite executives who need a resource for well organized information on businesses in all sectors. The Power List leads readers and decision makers to details on potential clients, vendors, and future business associates.
Our editorial and design teams work hard throughout the year curating directories of all of Alaska’s major industries (from Accounting through Utilities) and then present them annually in this highly functional business directory issue. Alaska Business has been publishing the Power List for nineteen years, and each year it just gets better and better.
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