Legislature(1995 - 1996)

1996-04-15 House Journal

Full Journal pdf

1996-04-15                     House Journal                      Page 3746
HB 394                                                                       
The following was read the second time:                                        
                                                                               
HOUSE BILL NO. 394                                                            
An Act authorizing a program of natural gas and coal bed                      
methane development licensing and leasing; relating to regulation              
of certain natural gas exploration facilities and coal bed methane             
exploration facilities for purposes of preparation of discharge                
prevention and contingency plans and compliance with financial                 
responsibility requirements; amending the duties of the Alaska Oil             
and Gas Conservation Commission as they relate to natural gas                  
exploration activities and coal bed methane exploration activities;            
and amending the exemption from obtaining a waste disposal                     
permit for disposal of waste produced from coal bed methane                    
drilling.                                                                      
                                                                               
with the:                                                 Journal Page         
                                                                               
	O&G RPT  CS(O&G) NT 2DP 4NR 1AM                                  2909         
	FISCAL NOTE (DNR)                                                2910         
	ZERO FISCAL NOTE (DEC)                                           2910         
	RES RPT  CS(RES) NT 2DP 4NR 1AM                                  3146         
	FISCAL NOTE (DNR) 2/28/96                                        3147         
	ZERO FISCAL NOTE (DEC) 2/28/96                                   3147         
FIN RPT CS(FIN) NT 7DP 1NR                                       3737         
FISCAL NOTE (DNR) 2/28/96                                        3738         
ZERO FISCAL NOTE (DEC) 2/28/96                                   3738         

1996-04-15                     House Journal                      Page 3747
HB 394                                                                       
Representative Vezey moved and asked unanimous consent that the                
following committee substitute be adopted in lieu of the original bill:        
                                                                               
CS FOR HOUSE BILL NO. 394(FIN)                                                
An Act authorizing shallow natural gas leasing from sources                   
within 3,000 feet of the surface; relating to regulation of natural            
gas exploration facilities for purposes of preparation of discharge            
prevention and contingency plans and compliance with financial                 
responsibility requirements; addressing the relationship between               
shallow natural gas and other natural resources; and adding, in the            
exemption from obtaining a waste disposal permit for disposal of               
waste produced from drilling, a reference to shallow natural gas.              
                                                                               
There being no objection, it was so ordered.                                   
                                                                               
                                                                               
Amendment No. 1 was offered  by Representative Brown:                           
                                                                               
Page 4, line 6:                                                                
	Delete "or"                                                                   
                                                                               
Page 4, line 9, following "land":                                              
	Insert "; or                                                                  
		(C)  the valid existing selections of the Alaska Mental                    
Health Trust Authority made for the purpose of reconstituting                  
the mental health trust established under the Alaska Mental                    
Health Enabling Act, P.L. 84-830, 70 Stat. 709 (1956), that                    
become subject to management under AS 38.05.801, or  of                        
land that has been designated by law for or is subject to                      
designation for conveyance to the Alaska Mental Health Trust                   
Authority"                                                                     
                                                                               
                                                                               
Representative Brown moved and asked unanimous consent that                    
Amendment No. 1 be adopted.                                                    
                                                                               
Representative Ogan objected.                                                  
                                                                               
The question being:  Shall Amendment No. 1 be adopted?  The roll               
was taken with the following result:                                           

1996-04-15                     House Journal                      Page 3748
HB 394                                                                       
                                                                               
CSHB 394(FIN)                                                                  
Second Reading                                                                 
Amendment No. 1                                                                
                                                                               
YEAS:  17   NAYS:  16   EXCUSED:  1   ABSENT:  6                             
                                                                               
Yeas:  Brown, Davies, B.Davis, G.Davis, Elton, Grussendorf, James,             
Kott, Kubina, Long, Mackie, Navarre, Nicholia, Parnell, Robinson,              
Therriault, Willis                                                             
                                                                               
Nays:  Austerman, Barnes, Foster, Green, Ivan, Kohring, Martin,                
Masek, Moses, Mulder, Ogan, Phillips, Porter, Rokeberg, Sanders,               
Toohey                                                                         
                                                                               
Excused:  Brice                                                                
                                                                               
Absent:  Bunde, Finkelstein, Hanley, Kelly, Vezey, Williams                    
                                                                               
And so, Amendment No. 1 was adopted.                                           
                                                                               
Amendment No. 2 was offered  by Representative Brown:                           
                                                                               
Page 4, line 22, following determines:                                         
Insert that the land proposed for lease is geologically prospective           
for shallow natural gas, is within 100 miles of a community that               
could utilize the gas, and that                                                
                                                                               
Representative Brown moved and asked unanimous consent that                    
Amendment No. 2 be adopted.                                                    
                                                                               
Representative Ogan objected.                                                  
                                                                               
**The presence of Representative Hanley was noted.                             
                                                                               
Amendment to Amendment No. 2 was offered  by Representative                     
Davies:                                                                        
                                                                               
Delete 100                                                                    
Insert 50                                                                     
                                                                               
                                                                               

1996-04-15                     House Journal                      Page 3749
HB 394                                                                       
Representative Davies moved and asked unanimous consent that the               
amendment to Amendment No. 2 be adopted.                                       
                                                                               
Representative Rokeberg objected.                                              
                                                                               
The question being:  Shall the amendment to Amendment No. 2 be                 
adopted?  The roll was taken with the following result:                        
                                                                               
CSHB 394(FIN) am                                                               
Second Reading                                                                 
Amendment to Amendment No. 2                                                   
                                                                               
YEAS:  11   NAYS:  25   EXCUSED:  1   ABSENT:  3                             
                                                                               
Yeas:  Brown, Davies, B.Davis, Elton, Finkelstein, Green, Long,                
Navarre, Nicholia, Robinson, Willis                                            
                                                                               
Nays:  Austerman, Barnes, Bunde, G.Davis, Hanley, Ivan, James,                 
Kelly, Kohring, Kott, Kubina, Mackie, Martin, Moses, Mulder, Ogan,             
Parnell, Phillips, Porter, Rokeberg, Sanders, Therriault, Toohey, Vezey,       
Williams                                                                       
                                                                               
Excused:  Brice                                                                
                                                                               
Absent:  Foster, Grussendorf, Masek                                            
                                                                               
And so, the amendment to Amendment No. 2 was not adopted.                      
                                                                               
                                                                               
Representative Bunde moved and asked unanimous consent that the                
question be divided.                                                           
                                                                               
The Speaker ruled that the question was divisible.                             
                                                                               
Representative Bunde moved and asked unanimous consent to                      
withdraw the motion.  There being no objection, it was so ordered.             
                                                                               
                                                                               
Representative Brown moved and asked unanimous consent to                      
withdraw Amendment No. 2.  There being no objection, it was so                 
ordered.                                                                       
                                                                               

1996-04-15                     House Journal                      Page 3750
HB 394                                                                       
Amendment No. 3 was offered  by Representative Brown:                           
                                                                               
Page 5, lines 21-23, following lease.:                                         
Delete If rent is not paid when due the director shall mail the               
lessee written notice of nonpayment at the end of each month,                  
while the rent remains unpaid, for a period of two months.                     
                                                                               
Insert If rent is not paid when due, the director shall mail the              
lessee one written notice of nonpayment at least 30 days before                
the lease is to be terminated.                                                 
                                                                               
Representative Brown moved and asked unanimous consent that                    
Amendment No. 3 be adopted.                                                    
                                                                               
Representative Ogan objected.                                                  
                                                                               
                                                                               
Amendment to Amendment No. 3 was offered  by Representative                     
Green:                                                                         
                                                                               
Under the insertion clause following notice:                                   
Insert , certified return receipt requested,                                  
                                                                               
Representative Green moved and asked unanimous consent that the                
amendment to Amendment No. 3 be adopted.                                       
                                                                               
Objection was heard and withdrawn.  There being no further objection,          
it was so ordered.                                                             
                                                                               
The question being:  Shall Amendment No. 3 as amended be                       
adopted?  The roll was taken with the following result:                        
                                                                               
CSHB 394(FIN) am                                                               
Second Reading                                                                 
Amendment No. 3 as amended                                                     
                                                                               
YEAS:  22   NAYS:  10   EXCUSED:  1   ABSENT:  7                             
                                                                               
Yeas:  Brown, Bunde, Davies, B.Davis, Elton, Green, Hanley, James,             
Kott, Kubina, Long, Mackie, Martin, Mulder, Navarre, Parnell,                  
Phillips, Robinson, Therriault, Toohey, Williams, Willis                       
                                                                               

1996-04-15                     House Journal                      Page 3751
HB 394                                                                       
Nays:  Austerman, G.Davis, Foster, Ivan, Kelly, Kohring, Ogan, Porter,         
Rokeberg, Vezey                                                                
                                                                               
Excused:  Brice                                                                
                                                                               
Absent:  Barnes, Finkelstein, Grussendorf, Masek, Moses, Nicholia,             
Sanders                                                                        
                                                                               
Kelly changed from "Yea" to "Nay".                                             
                                                                               
And so, Amendment No. 3 as amended was adopted.                                
                                                                               
Amendment No. 4 was offered  by Representative Brown:                           
                                                                               
Page 3, line 28, following "LEASES.", through page 4, line 9:                  
	Delete all material and insert:                                               
	"(a)  The provisions of this section apply only                              
		(1)  to gas, whether methane associated with and derived                    
from coal deposits or otherwise, developed from a source that is               
within 3,000 feet of the surface; and                                          
		(2)  to authorize the lease of land if the land may be                      
subject to an oil and gas exploration license or lease issued under            
AS38.05.131 - 38.05.134."                                                      
                                                                               
Representative Brown moved and asked unanimous consent that                    
Amendment No. 4 be adopted.                                                    
                                                                               
Representative Ogan objected.                                                  
                                                                               
Representative Ogan placed a call of the House on the bill.                    
                                                                               
The call was satisfied.                                                        
                                                                               
The question being:  Shall Amendment No. 4 be adopted?  The roll               
was taken with the following result:                                           
                                                                               
CSHB 394(FIN) am                                                               
Second Reading                                                                 
Amendment No. 4                                                                
                                                                               
YEAS:  12   NAYS:  27   EXCUSED:  1   ABSENT:  0                             

1996-04-15                     House Journal                      Page 3752
HB 394                                                                       
                                                                               
Yeas:  Brown, Davies, B.Davis, Elton, Finkelstein, Grussendorf,                
Kubina, Mackie, Navarre, Nicholia, Robinson, Willis                            
                                                                               
Nays:  Austerman, Barnes, Bunde, G.Davis, Foster, Green, Hanley,               
Ivan, James, Kelly, Kohring, Kott, Long, Martin, Masek, Moses,                 
Mulder, Ogan, Parnell, Phillips, Porter, Rokeberg, Sanders, Therriault,        
Toohey, Vezey, Williams                                                        
                                                                               
Excused:  Brice                                                                
                                                                               
And so, Amendment No. 4 was not adopted.                                       
                                                                               
Amendment No. 5 was offered  by Representative Brown:                           
                                                                               
Page 6, line 18, following state:                                              
Insert ;                                                                      
			(4) gas produced from the lease may not be                                 
transported out of the state or sold for use in a gas processing               
facility                                                                       
                                                                               
Representative Brown moved and asked unanimous consent that                    
Amendment No. 5 be adopted.                                                    
                                                                               
Representative Ogan objected.                                                  
                                                                               
Representative Green moved and asked unanimous consent that the                
question be divided.                                                           
                                                                               
The Speaker ruled that the question was divisible.                             
                                                                               
Representative Vezey objected.                                                 
                                                                               
The question being:  Shall the question be divided?  The roll was              
taken with the following result:                                               
                                                                               
CSHB 394(FIN) am                                                               
Second Reading                                                                 
Amendment No. 5                                                                
Divide                                                                         
                                                                               
YEAS:  32   NAYS:  7   EXCUSED:  1   ABSENT:  0                              

1996-04-15                     House Journal                      Page 3753
HB 394                                                                       
                                                                               
Yeas:  Austerman, Brown, Bunde, Davies, B.Davis, G.Davis, Elton,               
Finkelstein, Green, Grussendorf, Hanley, Ivan, Kelly, Kohring, Kott,           
Kubina, Long, Mackie, Martin, Moses, Mulder, Navarre, Nicholia,                
Parnell, Phillips, Porter, Robinson, Sanders, Therriault, Toohey,              
Williams, Willis                                                               
                                                                               
Nays:  Barnes, Foster, James, Masek, Ogan, Rokeberg, Vezey                     
                                                                               
Excused:  Brice                                                                
                                                                               
And so, Amendment No. 5 was divided into two parts.                            
                                                                               
                                                                               
Part A of Amendment No. 5:                                                     
                                                                               
Page 6, line 18, following state:                                              
Insert ;                                                                      
			(4) gas produced from the lease may not be                                 
transported out of the state                                                   
Delete or                                                                     
                                                                               
The question being:  Shall Amendment No. 5, Part A be adopted?                 
The roll was taken with the following result:                                  
                                                                               
CSHB 394(FIN) am                                                               
Second Reading                                                                 
Amendment No. 5, Part A                                                        
                                                                               
YEAS:  17   NAYS:  22   EXCUSED:  1   ABSENT:  0                             
                                                                               
Yeas:  Brown, Bunde, Davies, B.Davis, Elton, Finkelstein, Green,               
Grussendorf, Kelly, Navarre, Nicholia, Parnell, Robinson, Therriault,          
Toohey, Williams, Willis                                                       
                                                                               
Nays:  Austerman, Barnes, G.Davis, Foster, Hanley, Ivan, James,                
Kohring, Kott, Kubina, Long, Mackie, Martin, Masek, Moses, Mulder,             
Ogan, Phillips, Porter, Rokeberg, Sanders, Vezey                               
                                                                               
Excused:  Brice                                                                
                                                                               
And so, Part A of Amendment No. 5 was not adopted.                             
                                                                               

1996-04-15                     House Journal                      Page 3754
HB 394                                                                       
Part B of Amendment No. 5:                                                     
                                                                               
Page 6, line 18, following state:                                              
Insert ;                                                                      
			(4) gas produced from the lease may not be sold for                        
use in a gas processing facility                                               
                                                                               
The question being:  Shall Amendment No. 5, Part B be adopted?                 
The roll was taken with the following result:                                  
                                                                               
CSHB 394(FIN) am                                                               
Second Reading                                                                 
Amendment No. 5, Part B                                                        
                                                                               
YEAS:  8   NAYS:  31   EXCUSED:  1   ABSENT:  0                              
                                                                               
Yeas:  Brown, B.Davis, Elton, Finkelstein, Grussendorf, Nicholia,              
Robinson, Willis                                                               
                                                                               
Nays:  Austerman, Barnes, Bunde, Davies, G.Davis, Foster, Green,               
Hanley, Ivan, James, Kelly, Kohring, Kott, Kubina, Long, Mackie,               
Martin, Masek, Moses, Mulder, Navarre, Ogan, Parnell, Phillips,                
Porter, Rokeberg, Sanders, Therriault, Toohey, Vezey, Williams                 
                                                                               
Excused:  Brice                                                                
                                                                               
And so, Part B of Amendment No. 5 was not adopted.                             
                                                                               
                                                                               
Amendment No. 6 was offered  by Representatives Ogan and Brown:                 
                                                                               
Page 6, line 13:                                                               
Delete ;                                                                      
Insert .                                                                      
                                                                               
Page 6, lines 14-18:                                                           
Delete all material                                                           
                                                                               
Representative Ogan moved and asked unanimous consent that                     
Amendment No. 6 be adopted.  There being no objection, it was so               
ordered.                                                                       
                                                                               

1996-04-15                     House Journal                      Page 3755
HB 394                                                                       
Amendment No. 7 was offered  by Representatives Ogan and Rokeberg:              
                                                                               
Page 4, line 16, following fee:                                                
Insert up to $500                                                             
                                                                               
Page 4, line 17:                                                               
Delete or                                                                     
Insert and                                                                    
                                                                               
Page 4, line 18:                                                               
Delete or                                                                     
Insert and                                                                    
                                                                               
Representative Ogan moved and asked unanimous consent that                     
Amendment No. 7 be adopted.                                                    
                                                                               
Objection was heard.                                                           
                                                                               
Amendment to Amendment No. 7 was offered  by Representative                     
Davies:                                                                        
                                                                               
Following up to $500:                                                          
Insert .                                                                      
                                                                               
Add to the amendment:                                                          
Page 4, lines 16-18:                                                          
Delete , as the commissioner may determine, as a condition                   
of submitting or processing the lease application or obtaining                 
the lease                                                                      
                                                                               
Representative Davies moved and asked unanimous consent that the               
amendment to Amendment No. 7 be adopted.  There being no                       
objection, it was so ordered.                                                  
                                                                               
There being no further objection, Amendment No. 7 as amended was               
adopted.                                                                       
                                                                               
Amendment No. 8 was offered  by Representatives Rokeberg and Ogan:              
                                                                               
Page 4, line 4, following that is:                                             
Delete included in the final findings                                         

1996-04-15                     House Journal                      Page 3756
HB 394                                                                       
Insert described in and is part                                               
                                                                               
Representative Rokeberg moved and asked unanimous consent that                 
Amendment No. 8 be adopted.                                                    
                                                                               
Representative Brown objected.                                                 
                                                                               
The question being:  Shall Amendment No. 8 be adopted?  The roll               
was taken with the following result:                                           
                                                                               
CSHB 394(FIN) am                                                               
Second Reading                                                                 
Amendment No. 8                                                                
                                                                               
YEAS:  33   NAYS:  6   EXCUSED:  1   ABSENT:  0                              
                                                                               
Yeas:  Austerman, Barnes, Bunde, B.Davis, G.Davis, Elton, Foster,              
Green, Hanley, Ivan, James, Kelly, Kohring, Kott, Kubina, Long,                
Mackie, Martin, Masek, Moses, Mulder, Navarre, Ogan, Parnell,                  
Phillips, Porter, Rokeberg, Sanders, Therriault, Toohey, Vezey,                
Williams, Willis                                                               
                                                                               
Nays:  Brown, Davies, Finkelstein, Grussendorf, Nicholia, Robinson             
                                                                               
Excused:  Brice                                                                
                                                                               
And so, Amendment No. 8 was adopted.                                           
                                                                               
                                                                               
Amendment No. 9 was offered  by Representative Brown:                           
                                                                               
Page 4, line 22, following determines:                                         
Insert that the land proposed for lease is within 100 miles of a              
community that could utilize the gas, and that                                 
                                                                               
Representative Brown moved and asked unanimous consent that                    
Amendment No. 9 be adopted.                                                    
                                                                               
Representative Ogan objected.                                                  
                                                                               
The question being:  Shall Amendment No. 9 be adopted?  The roll               
was taken with the following result:                                           

1996-04-15                     House Journal                      Page 3757
HB 394                                                                       
                                                                               
CSHB 394(FIN) am                                                               
Second Reading                                                                 
Amendment No. 9                                                                
                                                                               
YEAS:  13   NAYS:  26   EXCUSED:  1   ABSENT:  0                             
                                                                               
Yeas:  Brown, Bunde, Davies, B.Davis, Elton, Finkelstein,                      
Grussendorf, Kubina, Mackie, Navarre, Nicholia, Robinson, Willis               
                                                                               
Nays:  Austerman, Barnes, G.Davis, Foster, Green, Hanley, Ivan,                
James, Kelly, Kohring, Kott, Long, Martin, Masek, Moses, Mulder,               
Ogan, Parnell, Phillips, Porter, Rokeberg, Sanders, Therriault, Toohey,        
Vezey, Williams                                                                
                                                                               
Excused:  Brice                                                                
                                                                               
And so, Amendment No. 9 was not adopted.                                       
                                                                               
                                                                               
Amendment No. 10 was offered  by Representative Brown:                          
                                                                               
Page 4, line 22, following determines:                                         
Insert that the land proposed for lease is geologically prospective           
for shallow natural gas and that                                               
                                                                               
Representative Brown moved and asked unanimous consent that                    
Amendment No. 10 be adopted.                                                   
                                                                               
Representative Ogan objected.                                                  
                                                                               
The question being:  Shall Amendment No. 10 be adopted?  The roll              
was taken with the following result:                                           
                                                                               
CSHB 394(FIN) am                                                               
Second Reading                                                                 
Amendment No. 10                                                               
                                                                               
YEAS:  12   NAYS:  27   EXCUSED:  1   ABSENT:  0                             
                                                                               
Yeas:  Brown, Davies, B.Davis, Elton, Finkelstein, Grussendorf,                
Kubina, Mackie, Navarre, Nicholia, Robinson, Willis                            
                                                                               

1996-04-15                     House Journal                      Page 3758
HB 394                                                                       
Nays:  Austerman, Barnes, Bunde, G.Davis, Foster, Green, Hanley,               
Ivan, James, Kelly, Kohring, Kott, Long, Martin, Masek, Moses,                 
Mulder, Ogan, Parnell, Phillips, Porter, Rokeberg, Sanders, Therriault,        
Toohey, Vezey, Williams                                                        
                                                                               
Excused:  Brice                                                                
                                                                               
And so, Amendment No. 10 was not adopted.                                      
                                                                               
                                                                               
Representative Vezey moved and asked unanimous consent that                    
CSHB394(FIN) am be considered engrossed,  advanced to third                    
reading and placed on final passage.                                           
                                                                               
Objection was heard.                                                           
                                                                               
                                                                               
The question being:  Shall CSHB 394(FIN) am be advanced to third               
reading on the same day?  The roll was taken with the following                
result:                                                                        
                                                                               
CSHB 394(FIN) am                                                               
Second Reading                                                                 
Advance to Third Reading                                                       
                                                                               
YEAS:  26   NAYS:  13   EXCUSED:  1   ABSENT:  0                             
                                                                               
Yeas:  Austerman, Barnes, Bunde, G.Davis, Foster, Green, Hanley,               
Ivan, James, Kelly, Kohring, Kott, Martin, Masek, Moses, Mulder,               
Ogan, Parnell, Phillips, Porter, Rokeberg, Sanders, Therriault, Toohey,        
Vezey, Williams                                                                
                                                                               
                                                                               
Nays:  Brown, Davies, B.Davis, Elton, Finkelstein, Grussendorf,                
Kubina, Long, Mackie, Navarre, Nicholia, Robinson, Willis                      
                                                                               
Excused:  Brice                                                                
                                                                               
And so, lacking the necessary 30 votes, CSHB 394(FIN) am failed to             
advance and will be in third reading on tomorrow's calendar.