SB 271: "An Act amending the purpose of the Alaska Natural Gas Development Authority to include planning, developing, constructing, managing, or operating an economically viable gas pipeline project from the North Slope of Alaska by a route that parallels the Trans Alaska Pipeline System or the Alaska Highway; authorizing evaluation of opportunities for private sector involvement in the project; amending requirements related to the Authority's preparation of a development plan; and providing for an effective date."
00 SENATE BILL NO. 271 01 "An Act amending the purpose of the Alaska Natural Gas Development Authority to 02 include planning, developing, constructing, managing, or operating an economically 03 viable gas pipeline project from the North Slope of Alaska by a route that parallels the 04 Trans Alaska Pipeline System or the Alaska Highway; authorizing evaluation of 05 opportunities for private sector involvement in the project; amending requirements 06 related to the Authority's preparation of a development plan; and providing for an 07 effective date." 08 BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF ALASKA: 09 * Section 1. The uncodified law of the State of Alaska is amended by adding a new section 10 to read: 11 FINDINGS. The legislature finds that 12 (1) the Alaska Natural Gas Development Authority was created for the 13 purpose of planning, developing, constructing, managing, and operating a gas pipeline from
01 the North Slope of Alaska to tidewater at a point on Prince William Sound and a spur line to 02 the southcentral Alaska natural gas distribution grid, but there may exist other economically 03 viable projects to bring Alaska gas from the North Slope to market; and 04 (2) it is in the best interests of the state 05 (A) to include any economically viable project for consideration by the 06 Alaska Natural Gas Development Authority by a route that parallels either the Trans 07 Alaska Pipeline System or the Alaska Highway; 08 (B) to expand the purpose of the Alaska Natural Gas Development 09 Authority to include planning, developing, constructing, managing, and operating an 10 economically viable gas pipeline from the North Slope of Alaska by a route that 11 parallels the Trans Alaska Pipeline System or the Alaska Highway to the Canadian 12 border for interconnection with a related Trans Canada line; and 13 (C) to authorize, as part of the Authority's development planning, 14 evaluation of opportunities for private sector involvement in the planning, 15 development, construction, management, and operation of the project. 16 * Sec. 2. AS 41.41.010(d) is amended to read: 17 (d) The acquisition of natural gas from the North Slope and its delivery to 18 [TIDEWATER FOR SHIPMENT TO] market by the authority is an essential 19 government function of the state. 20 * Sec. 3. AS 41.41.990(3) is amended to read: 21 (3) "project" means the gas transmission pipeline, together with all 22 related property and facilities, to extend from the Prudhoe Bay area on the North Slope 23 of Alaska by a route that parallels the Trans Alaska Pipeline System or the 24 Alaska Highway to the Canadian border for interconnection with a related Trans 25 Canada line, or by a route to tidewater at a point on Prince William Sound, and a 26 [THE] spur line [FROM GLENNALLEN] to the Southcentral gas distribution grid, 27 and includes planning, design, and construction of the pipeline and facilities as 28 described in AS 41.41.010(a)(1) - (5). 29 * Sec. 4. The uncodified law of the State of Alaska enacted in sec. 5(a), 2002 General 30 Election Ballot Measure 3, is amended to read: 31 (a) Not later than January 1, 2005, [ONE YEAR AFTER THE FIRST
01 MEETING OF] the board of directors of the Alaska Natural Gas Development 02 Authority [, THE BOARD] shall produce [A] development plans [PLAN]. Each 03 [THE] development plan must include 04 (1) estimates of construction costs and timelines; 05 (2) gas procurement prices; 06 (3) use of the state's royalty gas; 07 (4) estimates of revenue to the general fund and the Alaska permanent 08 fund; 09 (5) a revenue sharing plan with municipal governments; 10 (6) a plan for delivery and pricing of natural gas to communities along 11 the pipeline route and to Southcentral Alaska through a spur line; 12 (7) a plan for delivery and pricing of LNG to Yukon River and coastal 13 communities; 14 (8) a payment schedule to companies providing permits or other 15 valuable assets; 16 (9) a marketing plan to approach potential buyers; 17 (10) a plan to maximize Alaska hire, including project labor 18 agreements; [AND] 19 (11) a plan to ensure meeting the highest environmental and safety 20 standards, including a citizens advisory council; and 21 (12) an evaluation of the opportunities for private sector 22 involvement in the planning, development, construction, management, and 23 operation of the gas transmission pipeline project. 24 * Sec. 5. This Act takes effect immediately under AS 01.10.070(c).