This is an unrealistic and dangerous proposition:  there is zero chance of cutting the state budget to its funding levels under the current oil "tax" code, no income tax, no sales tax.  You can lay off 100% of state employees, but not come close to balancing the budget.  Tax reform is key:  end paying oil companies for losses in past years (the state should NOT assume the risk of a private enterprise in the first place) - and generate revenue from MORE than just residents.  I "fair tax" (a modified sales tax) is probably best - but it alone would not be enough to pay what the state needs.  However - it WOULD generate money from ALL visitors - spreading the tax load to non-Alaskan residents.  An income tax would also generate money from non-resident workers - which remarkably do exist in some numbers - also helping spread the tax burden a bit.  The governor - at least privately - admits we need both.  He is correct.