Legislature(2015 - 2016)
2015-04-13 House Journal
Full Journal pdf2015-04-13 House Journal Page 0891 HB 100 The following, which was advanced to third reading from the April 11, 2015, calendar (page 854), was read the third time: 2015-04-13 House Journal Page 0892 CS FOR HOUSE BILL NO. 100(FIN) "An Act establishing a credit against the net income tax for an in- state processing facility that manufactures urea, ammonia, or gas- to-liquid products; relating to establishing the value of the state's royalty share of gas production based on contracts with certain in- state processing facilities that manufacture urea, ammonia, or gas- to-liquid products; and providing for an effective date." Representative Gara moved and asked unanimous consent that CSHB 100(FIN) be returned to second reading for the specific purpose of considering Amendment No. 1. There being no objection, it was so ordered. The Speaker stated that, without objection, CSHB 100(FIN) would be returned to second reading for all amendments. Amendment No. 1 was offered by Representative Gara: Page 1, line 5, following "products;" (title amendment): Insert "providing an optional exemption from municipal property taxation for certain in-state processing facilities that manufacture urea, ammonia, or gas-to-liquid products;" Page 1, following line 6: Insert a new bill section to read: "* Section 1. AS 29.45.050 is amended by adding a new subsection to read: (x) A municipality may by ordinance approved by the voters exempt or partially exempt from taxation an in-state processing facility whose primary function is the manufacturing and sale of urea, ammonia, or gas-to-liquid products to third parties in arm's length transactions. An exemption under this subsection may be of limited or unlimited duration." Page 1, line 7: Delete "Section 1" Insert "Sec. 2" Renumber the following bill sections accordingly. 2015-04-13 House Journal Page 0893 Page 2, line 25, following "manufacturing": Insert ", from natural gas from a state lease," Page 2, lines 28 - 30: Delete "the percentage of the amount of royalty paid under AS 38.05.135 on natural gas from a state lease that is delivered in the taxable year of the taxpayer for use at the in-state processing facility equal to" Insert "the lesser of 50 percent of the tax due from the taxpayer in the taxable year or $2,000,000. A credit under this section may be apportioned based on" Page 3, lines 1 - 2: Delete "A tax credit or portion of a tax credit under this section may not be used to reduce the taxpayer's tax liability under this chapter below zero." Page 3, line 16: Delete "sec. 2" Insert "sec. 3" Page 3, line 21: Delete "Sections 1, 2, and 4" Insert "Sections 1 - 3 and 5" Page 3, line 22: Delete "Section 3" Insert "Section 4" Representative Gara moved and asked unanimous consent that Amendment No. 1 be adopted. Representative Saddler objected. The question being: "Shall Amendment No. 1 be adopted?" The roll was taken with the following result: CSHB 100(FIN) Second Reading Amendment No. 1 YEAS: 12 NAYS: 26 EXCUSED: 1 ABSENT: 1 2015-04-13 House Journal Page 0894 Yeas: Claman, Drummond, Gara, Gruenberg, Guttenberg, Josephson, Kawasaki, Kito, Ortiz, Tarr, Tuck, Wool Nays: Chenault, Colver, Edgmon, Foster, Gattis, Herron, Hughes, Johnson, Keller, LeDoux, Lynn, Millett, Munoz, Nageak, Neuman, Olson, Pruitt, Reinbold, Saddler, Seaton, Stutes, Talerico, Thompson, Tilton, Vazquez, Wilson Excused: Kreiss-Tomkins Absent: Hawker And so, Amendment No. 1 was not adopted. Amendment No. 2 was offered by Representative Gara: Page 1, line 2, following "products;" (title amendment): Insert "and" Page 1, line 5 (title amendment): Delete "; and providing for an effective date" Page 2, line 31, following "facility.": Insert "A credit under this section may only be earned in and applied against the first five consecutive calendar years or partial years in which a taxpayer earns taxable income from an in-state processing facility whose primary function is the manufacturing and sale of urea, ammonia, or gas-to-liquid products to third parties in arm's length transactions." Page 3, lines 13 - 22: Delete all material. Representative Gara moved and asked unanimous consent that Amendment No. 2 be adopted. Representative Saddler objected. The question being: "Shall Amendment No. 2 be adopted?" The roll was taken with the following result: 2015-04-13 House Journal Page 0895 CSHB 100(FIN) Second Reading Amendment No. 2 YEAS: 11 NAYS: 26 EXCUSED: 1 ABSENT: 2 Yeas: Claman, Drummond, Gara, Gruenberg, Josephson, Kawasaki, Kito, Ortiz, Tarr, Tuck, Wool Nays: Chenault, Colver, Edgmon, Foster, Gattis, Herron, Hughes, Johnson, Keller, LeDoux, Lynn, Millett, Munoz, Nageak, Neuman, Olson, Pruitt, Reinbold, Saddler, Seaton, Stutes, Talerico, Thompson, Tilton, Vazquez, Wilson Excused: Kreiss-Tomkins Absent: Guttenberg, Hawker And so, Amendment No. 2 was not adopted. CSHB 100(FIN) was automatically in third reading. The question being: "Shall CSHB 100(FIN) pass the House?" The roll was taken with the following result: CSHB 100(FIN) Third Reading Final Passage YEAS: 27 NAYS: 8 EXCUSED: 1 ABSENT: 4 Yeas: Chenault, Colver, Edgmon, Foster, Gattis, Hawker, Herron, Johnson, Josephson, Keller, LeDoux, Lynn, Millett, Munoz, Nageak, Neuman, Olson, Ortiz, Pruitt, Saddler, Seaton, Stutes, Talerico, Thompson, Tilton, Wilson, Wool Nays: Claman, Gara, Gruenberg, Guttenberg, Kawasaki, Kito, Reinbold, Tuck Excused: Kreiss-Tomkins Absent: Drummond, Hughes, Tarr, Vazquez And so, CSHB 100(FIN) passed the House. 2015-04-13 House Journal Page 0896 Representative Millett moved and asked unanimous consent that the roll call on the passage of the bill be considered the roll call on the effective date clause. There being no objection, it was so ordered. Representative Gruenberg later gave notice of reconsideration of the vote on CSHB 100(FIN), and reconsideration was taken up then.