Godfather's Pizza. What are you waiting for? And now, Channel 2 News with John Larson and Maria Downey, John Hernandez with Forks, and David Celeste with The Weathers. Good evening. The news most cities in Alaska have been anxiously waiting for came from Governor Sheffield today. The state will only pick up the tab for one-third of all capital project costs. That means many cities will have to find the rest of the money somewhere else. More on the story from Jerry DeHogue. The news came at a press conference this morning. The state is cutting capital project funds by two-thirds. That means the state will save $230 million, a big chunk of the $900 million budget shortfall. State officials say it would take a miracle for cities to get any more state money this year. Some combination of occurrences or events that make the revenue picture brighter. And that could be the legislature in regular session passing a series of measures that provide other sources of income that make the problem go away. It could be a change in the price of oil upward. So none of Anchorage's capital projects were cut. But at this time, city officials aren't sure which of the 67 projects they'll go ahead with. We're still going through our same analysis the state is, our final cash flow analysis on our projects. And most importantly, Mr. Hogan said today that he said is a real effort being made to give communities some flexibility on their major projects. The flexibility comes in if the city can lump state money from several projects together for one big project, like a gluten up. Budget officials will let the cities know what they can and can't do in the next few days. Jerry DeHogue, Channel 2 News. 1,300 state jobs are in jeopardy. That today from Bob Miller, the communications director for the governor. Last night, members of Alaska's largest union said no to a 10% pay cut. The governor had asked state employees to take a cut as a way to help make up the $900 million budget shortfall. Now the governor has to look at other alternatives, which include massive layoffs. If 1,300 workers are fired, the state would save about $80 million. Meanwhile, the Anchorage School District is proposing $10.5 million in budget cuts, but there are still several million more to go. They say over $17 million will have to be cut because of the 10% drop in school aid from the state. Over 140 positions will be eliminated. About half of those are already vacant. So about 70 people so far will lose their jobs. Food service, transportation, instruction, support areas, administration. And these are actual areas, probably in the supply areas, equipment areas. We have looked at some people. Any contracted service we're looking at trying to eliminate. The school board has yet to vote on these budget cuts. They'll also be looking at other areas for savings, like after school activities, student transportation, and an increase in the teacher to student ratio. The drop in oil prices has affected all of us in one way or another, but it is especially hurting the oil companies. Today Standard Oil announced a national loss of $681 million for the second quarter of this year. Last year at the same time, Standard reported a profit of $390 million. President of Standard Alaska, George Nelson, says they anticipated this loss, which is why 120 people were laid off last week, and the budget in Alaska for operations and exploration has been reduced. And still to come on Channel 2 News, Mark Ayer is flying cargo for the Contras in Nicaragua. And local tourism officials are giving the summer mixed reviews. Tonight's closing gold and silver prices are brought to you by Deke International, offering one of the world's widest selections of foreign currencies and commission-free travelers checks. Mm. Excuse me. Did you know that light and lean ham not only tastes great, it's low in calories? What? No way. Oh, come on. I'll forget it. Oh, come on. You gotta be kidding. I don't believe it. No way. Oh, come on. You can't fool me. Give me a break. No. What's that? Uh-oh. Believe it. Oh, for sure. I'd agree with that. You bet. Oh, of course. OK. Never doubted it. You betcha. I'm with you, big guy. Light and lean ham and ham lunch meat from Hormel. Big taste. Ha ha. Little calories. Believe it. Mark Air. Their advertisements say there's something special in the air. Well, the Anchorage-based air carrier has been making special flights into Central America to help the CIA-backed Nicaraguan contras. The cargo shipments, seven and all so far, were part of a $27 million aid package approved by Congress. Neil Burk, owner of Mark Air, says his planes took the cargo to a contra-military base in Honduras. The National Transportation Safety Board is considering launching a special study to look into air safety in the state of Alaska. In the past few years, the number of crashes involving commuter air carriers has been skyrocketing. The number of crashes which include these carriers is up over 100% in the last two years. Dr. John Lobber, a board member with the NTSB, says the government agency is very concerned with Alaska's high accident rate. Based on an overall impression of the accident rates and the kinds of accidents that are happening, I think it's clear that among other issues and areas that we'll want to look at are questions having to do with pilot training and pilot experience and how that relates to the kinds of accidents that we're seeing. Besides pilot training and operations, the NTSB says their proposed study would take a good look at airline management. The Fairbanks Pioneer Home has been put on notice that it has serious health and safety problems. The state has granted the Fairbanks Home a six month provisional license. The state health department says the home is understaffed and its rooms are too small. State officials say the Pioneer Home is making progress and can use this health report to get changes made. Incidentally, the Anchorage Pioneer Home has been granted a full one year license. And John Hernandez joins us now with sports. We keep talking about budget cuts in the news, state workers and such. It's also affecting school sports. Yes, unfortunately it does affect the schools and the schools means sports. And it looks like it could be a major problem here. Of course, Governor Bill Sheffield is asking all educational agencies to make 10% budget cuts. That means over $10 million for the Anchorage School District. One of the possible, possible targets, all after school activities as in sports, football, basketball, volleyball, et cetera, et cetera. Ed Nash is with the Alaska School Activities Association. He's here with us in the studio. Now, Ed, they are talking about wholesale cuts. Is it a smoke screen or is it a real possibility that all sports may be eliminated? The school district, John, has to look at all possibilities. There is no smoke screen about the cut. What is the impact of that possible cut on a district like the Anchorage School District? Well, it's a very major impact. They have over 3,200 students that participate, individuals that participate in activities. And they have to think very clearly what those students are going to do if there are not activities to participate in. Now, you oversee sports and school activities all over the state. Is there a similar impact around the rest of Alaska? Every district in the state is going through the same thing. I met with 42 superintendents on Wednesday and Thursday in Juneau. And they discussed the very same thing. And not one, though, has, at this point, any inclination to cut all activities. Is it a bad idea in your mind to make wholesale cuts? Maybe I'm biased, but yes, I think it's a very bad idea because the history, Alaska is not new to this. The cuts have been taking place for 10 years in the lower 48. And every time they've cut it, they find that the dropout rate goes up, the vandalism goes up, the drug usage goes up. And those are things we don't want to happen to the students in this state. OK, Ed Nash, thank you very much. We should know more about this on Monday when the school district meets. Seems like there's been a steady diet of sports in the courts lately. Today, indictments in the Len Bias case, acquittals in that Minnesota basketball rape case, and a preliminary hearing for two New York Mets. As far as the Bias case goes, the indictments are sealed. But sources say Brian Tribble is charged with distribution of drugs. Bias' teammates, Terry Long and David Gregg, said to be facing possession charges. In Madison, Wisconsin, former gopher Mitch Lee is one of three men acquitted of rape. So were a couple of teammates, George Williams here and Kevin Smith. Their accuser's testimony swayed the jury in their favor. In Houston, New York Mets Ron Darling and Tim Tuffell showed up for a hearing. That was in regards to a scuffle last Saturday in a Houston bar. Just one person, an off-duty police officer, testified, and the judge sent the case to the grand jury. Now, there is a full schedule tonight in the majors. We will have all the scores at 10 o'clock tonight. There are three games scheduled in the Alaska League. Oilers and Bucks are supposed to play at Mulcahy. The chances don't look good. Word is the weather is not wet yet in Palmer. Pilots and minors scheduled there. And the Palouse Empire Cougars play up in Fairbanks. Got to figure it's the end of the line for Joe Theismann. He failed his preseason physical. And today, the Redskins put him on waivers. Theismann is not fully recovered from that gruesome broken leg he suffered last fall. I'm sure you remember it. Here it is one more time. The Redskins wanted him to retire. But by going on waivers, Theismann picks up $65,000 in injury money. His medical bills are paid for the next year. Robin Grahl made a big name for herself playing basketball for UAA last season. But as John Carpenter reports, she is not a one-sport woman. On the basketball court, Robin Grahl is one of the best there is. And when she trades a basketball for a soccer ball, Grahl doesn't lose a thing. A superb athlete, soccer for Grahl is just another way to stay in shape. Especially during the summer, I like to keep in shape for basketball. And this seemed like a good way to do it. Grahl plays center midfielder for the Yukon Kickers. Currently, she leads the team in assists and is second in scoring. Her coach, Dick Hanlon, has become quite a Robin Grahl fan. She's an aggressive player, but at the same time, she's a finesse player. She has the right amount of speed where she can defend at the same time. She can turn it on and turn a breakaway into a goal. Right now, Grahl has helped the Kickers become a legitimate contender for the Anchorage Women's Soccer League title. But to Hanlon, she's done even more. I think more than anything, she strengthened the Anchorage Women's Soccer League. She's made the whole league a much better team because she's given us a dimension of soccer that women's soccer hasn't seen up here for a while. John Carpenter, Channel 2 News. American Greg Lamont, another day closer to winning the Tour de France. He did not win today's 21st stage, but he's got a lead that, at this point, looks to be unbeatable. The Tour ends Sunday in Paris. Maria and John, that's it for now. Of course, that would be history making. Greg Lamont would be the first American to win the Tour. How long has it been going on now? The Tour is about, oh, three weeks. Seems long, doesn't it? Yeah, it is a long, grueling, sometimes gruesome event. Better them than us. Thanks, John. And still to come tonight, a reunion of sorts above Anchorage. The Ketchum family welcomes you to the real Alaska. Ketch, Marguerite, and Craig Ketchum have welcomed many, many visitors over the years to the unique wilderness experiences. Breath-taking aerial vistas of Mount McKinley or of the mighty Columbia Glacier. We have learned from years of float plane flying where to expect to see wildlife, where to go for a relaxing river float trip, and where to find some of the finest fishing, river floating, and hunting in Alaska. Stay at fully equipped cabins, lodgers, or secluded tent camps. Get away from the roads and crowds. Ketchum Air Service at Lake Hood, 243-5525. This weekend, only 99 cents delivers anything to your home at Color Time, America's largest rent-to-own system. That's right, only 99 cents pays your first week's rental on VCRs, color TVs, stereos, and home entertainment centers. Just 99 cents delivers washers and dryers, refrigerators, and freezers. At Color Time, there's no credit required, immediate delivery, and brand name products. Get what you want at Color Time. 99 cents delivers this Saturday and Sunday only. Free Coke and hot dogs courtesy of Coca-Cola and Color Time. Open 10 to 8 both days. 28 people have been killed in boating accidents around the state so far this year. The latest fatality came yesterday. 51-year-old Harlan Essink of Virginia is believed to have drowned in a rafting accident on the Nanana River. Essink was with a group of seven people being taken down the Cable Rapids by the Denali Raft Adventure Company when that raft overturned. No one else was injured. This summer's tourist season is getting mixed reviews. Alaska was supposed to experience a banner year for tourism due to terrorism in Europe and falling gas prices at home. But some tour companies and state officials were expecting tourism to jump by as much as 15% this summer. But by the end of this summer season, Anchorage may actually see much, much less. Well, I think we tend as an industry to overreact to things. Maybe all industries do. At that time, you could tell there were some people just talking to each other. And the more they heard it from each other, the more it became the truth. By the end of the summer, more than 500,000 tourists will have visited Anchorage. That's about 40,000 more than last summer, an overall increase of only about 8%. And a sudden increase in teen runaways has led to an increase in runaway shelters, which in turn has led to a need for more volunteers and household items to keep the centers running. Last year, just five beds were available for runaways. That number has just risen to 27. The homes need everything from beds to major household appliances to kitchen utensils. Shelter coordinator Lionel Jones says, with winter on its way, it's now important to keep the kids off the street. Our concern is that due to the economic crisis and other things that are occurring around the state, that the kids will be beating down our doors and we don't have facilities that are fully operable at this time to provide a service to them. If you'd like some information on what you can do to help out, you can call Alaska Youth Advocates at 274-6541. Most of us have been to one sort of reunion or another, but probably none like the reunion today near Fort Richardson. As Jackie Purcell reports, it was a get together for paratroopers. No more explanation necessary. Today's was no ordinary jump. Rather, it was what the soldiers call a Hollywood jump, an easy one for fun. And the uniqueness is that we have about 500 paratroopers in the air at one time, over two passes, so the sky will fill with the paratroopers. The Air National Guard flew up to Fort Wainwright this morning to pick up the soldiers. After gearing up, they load back on the C-130s. Now they wait. Then the DZ, or drop zone, near Fort Rich looms ahead. I believe it's more a sense of excitement, a thrill, when the doors open up, hearing the wind rushing by. It's like an excitement to get out of the plane. Everybody gets pretty excited about that. It's over in a few seconds. The sky is now dotted with paratroopers. The trip down takes only about a minute. On the ground, family and friends await. It'll now be another year before they can see something like this again. Jackie Purcell, Channel 2 News. Two New York artists are at Anchorage to display their impressions of Alaska. The exhibition started Tuesday at the Visual Arts Center. Michelle Stewart used beeswax to put together three murals. Each represents the forest at night, during the day, and the Alaskan sky itself. The murals are big, 45 feet wide and eight feet long. Nancy Holt's piece is called Pipeline. She was impressed by the structure in March. She says she tries to involve her location in her work. The place always inspires me. And I try to sense the psychology of the place, the sociology, as well as the topography, the indigenous materials, the built environment. And after absorbing all of those elements, I come up with an idea for a work of art. It's like Nancy has to fix a leak in one of her pieces. The exhibition runs through August 22. And David Seleski is here with the weather. Sir, tomorrow is the Eagle River Parade. Tonight's your street dance. A lot is going on. Tonight is your street dance. Tonight, the garb of the evening should be yellow rainwear. It would be very fashionable wear this evening. I think they did move it indoors. They did plan to have it back. That was a good idea. Street dance indoors would be fine this evening. And tomorrow for the parade, I would suggest maybe some rain here in the morning, changing way to some bathing suits. Bathing suits, what would this be actually? I don't know. Yeah, well. Yeah. Yeah. Yeah. Yeah. Yeah. Yeah. Yeah. Harold and I have been friends for a long time. Right, Harold? Right, Rocky. And the thing about it is, we're always in friendly competition with each other. Right, Harold? Right, Rocky. We're all heroes here at the nerd to go out and buy a brand new Bronco. And my friend, Terry Ford, without even asking me. Now what's a guy to do? I think he should let me drive it home. Right, Harold? Wrong, Rocky. Can you recognize the early warning signs of a Godfather's Pizza emergency? Godfather's Pizza. No hot slice in just minutes. What are you waiting for? This is Charles J. Givens. You probably already feel like you're paying far too much in income taxes, making investments that never seem to make any money for you, particularly after you pay the commissions. And I can promise you, you're wasting $0.50 out of every dollar you're now paying for automobile insurance, life insurance, and even your home mortgage payments. I'll show you how to profit from the coming tax reform, teach you how to protect yourself from the coming reversal in the stock market. I'll show you 25 checking accounts that are now paying 11% insured, and show you four places you can put your IRA account that will guarantee you 20% interest. Spend an exciting half hour this week and learn the secrets of the man that today shows Bryant Gumbel called a financial wizard. These scheduled times on this channel will be the most important of your viewing week. Rain showers right now over Anchorage. Heavy rains. As a matter of fact, there is a advisory at the seaving for most of the streams in the localized area. Up on the current conditions, again, 56 degrees is our temperature. The barometer is at 2.9.92, still dropping off. Winds are southeast. The past 24 hours, we've had 0.03 of an inch of rain. Good air quality over Anchorage. Satellite shot for tonight, a lot more rain on the way. Here's what's happening over the area. Low pressure sitting up off the western part of the state is now moving in this evening as we speak. And an awful lot of rain falling through most of south central Alaska and down the southwest. Likely to see anywhere from 6 tenths upwards to an inch and a half out of this system as it passes through tonight and through tomorrow morning. There are stream advisers out for rising water throughout most of the Sittin Valley area and for Little Campbell Creek here in Anchorage. Meanwhile, high pressure building in behind that. So the rain will move through real fast. And by mid-morning tomorrow, skies will start clearing. Low pressure down for southeast Alaska today, but even down the very tip of southeast and some sun shining through. 67 this afternoon for the high temperature. Ketchikan 58 degrees reported for the big city in Sitka. Up north in the interior, not too bad a high of 60 degrees this afternoon. 58 a high here in Anchorage and 53 degrees today for the folks in Nome. Locally here in south central Alaska, temperatures were in the 50s and the 60s. The exceptions being, of course, Palmer at 61 degrees and Homer a high of 60 degrees. Everywhere else is between 52 to 58 above. Cold spot for the state is Barrow. Our hot spot belongs to a net at 67. Low of 48 right now, clouds and some heavy rain showers throughout most of the central rocky states this evening, up into Wyoming and, of course, into Utah. Rain showers also developing for central California this afternoon. Some very heavy thunderstorms spread throughout most of the southeast today, all the way from central Florida up into the Georgia area. Atlanta picked up almost two inches of rain from thunderstorms this afternoon, also causing some power failures in that part of the country. 90s throughout most of the southeast again. No break for the drought in South Carolina and North Carolina and up into the Rockies this afternoon. Temperatures were up in the 60s and the 70s. Hot spot for the nation is Gila Bend, Arizona. Cold spot for the lower 48 is Gunnison, Colorado. And our forecast this evening, first of all, for the Kenai Peninsula, heavy rain tonight. I guess you can spell tonight that way. Local river advisors again this evening for the streams on the peninsula. Lows will be in the 40s. Daytime highs will be in the 50s. Up north in the Matsu Valley, again, there are stream advisors posted this evening for the heavy rain showers. Lows tonight will be in the 50s, daytime highs, upper 50s to low 60s. And here in Ike Ridge, rain tonight, heavy at times. Stream advisors for Campbell Creek. The rain will end by Saturday morning and clearing by Saturday afternoon. A little bit of that's going to be 51. The high tomorrow, 60, our four. The outlook calls for a very nice Sunday and Monday. Daytime highs reaching up into the 70s. Too bad we come back and go to work on Monday. That's all right. But could be a blue flu. Catch a cold in the rain tonight and on Saturday. Could be possible. Remember, you heard it here first. That's right. That's on tape. Thanks, Dave. Just ahead tonight, local firemen take off their boots for charity. And Mary Lou pays the city a visit. I'm going to go. Alaska Mutual Bank introduces free checking with our new Super Savings account. I just got free checking by opening a Super Savings account at Alaska Mutual Bank. Super Savings pays high interest on a low monthly balance. But the best part is I get free checking. You can be a Super Saver. But only at Alaska Mutual Bank. Alaska Mutual Bank, the bank that works as hard as you do. Everyone's dream, a new home. Now Pacific Rim Homes can help you achieve that dream at an amazingly affordable price. Pacific Rim has an innovative way to build your home with pre-manufactured panels. Plans vary from 752 to 1,248 square feet. And included are all the components of a complete home, even the kitchen sink. And the price, from only $16,795. Build it yourself or subcontract it. Either way, you'll save big. Call Pacific Rim Collect today, 503-249-1457. Anchorage firefighters were out stopping traffic this afternoon as part of their annual fundraising drive for muscular dystrophy. The firefighters were at five of the city's busiest intersections collecting money in, yes, their boots. In fact, the campaign is called Fill the Boot. They'll be out until about 7 tonight. The goal is to raise $10,000. Last year, they brought in about $8,000. Humana Hospital and Anchorage is celebrating the completion of a new five-story $23 million addition. Nearly every department in the hospital has been expanded or modernized, like their new intensive care nursery and their updated emergency room. Paul Gross of Humana Incorporated says they expanded in Alaska because they saw a need that wasn't being met. We saw a significant number of people in Anchorage and in Alaska that, for one reason or another, were dependent on the lower 48 for their health care. They were going down into the Seattle, Tacoma, Washington area. Well, as you probably already know, there was a celebrity on hand for the official ribbing cutting ceremony at Humana this afternoon. Olympic gold medalist Mary Lou Retton was brought to Alaska by Humana Hospital. She read from a prepared speech at that dedication. In this regard, I'm looking forward to seeing a lot of the hospital's faculties hosting tomorrow's gymnastics demonstration at 11 AM. Make sure you're all here. I hope it doesn't rain on that. And to meeting with the Anchorage Organizing Committee, where I'll learn more about Anchorage. I don't think Mary Lou was reading, do you? No, I don't think so. OK. That's our report for tonight. I'll see you at 10 o'clock. We close tonight with a look back at the week's events and the people who make this newscast possible every night. Good night. Good night. Project. I mean, the commitment is really there. And sooner or later, that project will be funded and will be completed. It would be very difficult, if not impossible, for any one city of the state or any one region this size of the state to receive 90% or more than 90% of all the money available for capital projects within the state of Alaska. We pray that as we continue in our lives, that we will so live that we may be assured of your presence with each of us, and that we might be affected by the validity of the life that Jim shared before us. We pray you bless this family. Touching each other, did we not? Right. That was the last time. All right. That's a close-up of the patient. He's coming out. Yeah! Yeah! Oh! Oh! Oh! Oh! Oh! Oh! Oh! Oh! Oh! Oh! Oh! Oh! Oh! Oh! Oh! Oh! Oh! Oh! Oh! Oh! Oh! Oh! Oh! Oh! OK. When I ask about size Dodge trucks. Now get 5.5% factory authorized financing or take 500 cash back from Chrysler Corporation. Then take a $2,500 dealer discount from Anchorage Dodge. Save $3,000, maybe more on the best built, best backed trucks in America. Buy five financing or 500 cash back plus a $2,500 dealer discount. Count on it at your new Anchorage Dodge Truck Center, 2501 East Fifth. Take your car's worst enemy. It's been clinically proven that taking your car to an automatic car wash is better for your auto than hand washing it yourself, not to mention all the time, energy and water wasted. So treat your car with the tender loving care it deserves. Take it to an automatic car wash and get a thorough wash and wax. Save your car and yourself. Brought to you by the Alaska Car Wash Association. This is Charles J. Givens. You probably already feel like you're paying far too much in income taxes, making investments that never seem to make any money for you, particularly after you pay the commissions. And I can promise you, you're wasting 50 cents out of every dollar you're now paying for automobile insurance, life insurance, and even your home mortgage payments. I'll show you how to profit from the coming tax reform, teach you how to protect yourself from the coming reversal in the stock market. I'll show you 25 checking accounts that are now paying 11% insured and show you four places you can put your IRA account that will guarantee you 20% interest. Spend an exciting half hour this week and learn the secrets of the man that today shows Bryant Gumbel called a financial wizard. These scheduled times on this channel will be the most important of your viewing week.