Which is actually silly. What you're saying is, okay, the governor can pick any Alaskan citizen who is eligible for Congress. That is a huge wide open door for the governor's whim. Then you restrict it with, oh, but no one related to you!! What about a political family where a qualified person is related to the governor? This is one of the tricky things about direct democracy (ballot items) vs. representative democracy, I guess.
Note, this is an abstract point, not really particular to the current Alaskan governor, who is a moron.
this is part of my "government is reactionary" argument. we put in laws that say, "oh! but no family members!" in response to nepotism claims. the same kind of loopholes are apparent in the "no golden parachute" bailout. the strict language only applies to about 1/2 of a percent of CEOs.
but, it's not just alaska in this certain palin-dominted news-cycle. the same thing could happen in all of your states. if you want to be a realist, no one's bitching about the races in delaware, illinois, and connecticuit.