"He couldn't convince the Superior Court"
I would say that the Superior Court, specifically Judge Morse, got it wrong as he functioned under a belief that the AK Constitution is partially impervious to its own amendment process.  His focus on the governor's line item veto as "intended by the writers of the Constitution" is moot when the AK Constitution is amended.  Previous provisions of the AK constitution, such as the governor's line item veto, are changed or "amended" to accommodate the provisions of the amendment, such as the PF amendment.  A validly ratified amendment is just as much a part of a constitution as the preamble and articles.  For example, to use the US Constitution, the Tenth Amendment was greatly eclipsed when the Fourteenth Amendment was ratified.  Short of any specific language or implied intent to open the PF to line item vetoes Judge Morse was off base with his decision.