Legislature(2017 - 2018)

2017-07-15 Senate Journal

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2017-07-15                     Senate Journal                      Page 1561
                                                                                                                                
                                SENATE JOURNAL                                                                               
                                                                                                                                
                           ALASKA STATE LEGISLATURE                                                                          
                                                                                                                                
                            THIRTIETH LEGISLATURE                                                                            
                                                                                                                                
                            SECOND SPECIAL SESSION                                                                           
                                                                                                                                
Juneau, Alaska                     Saturday                    July 15, 2017                                                  
                                                                                                                                
                                Thirtieth Day                                                                                
                                                                                                                                
                                                                                                                                
Pursuant to adjournment the Senate was called to order by President                                                             
Kelly at 10:21 a.m.                                                                                                             
                                                                                                                                
The roll showed eighteen members present. Senators Begich, Costello                                                             
were absent.                                                                                                                    
                                                                                                                                
Senator Micciche moved and asked unanimous consent Senator                                                                      
Costello be excused from a call of the Senate today. Without                                                                    
objection, Senator Costello was excused.                                                                                        
                                                                                                                                
The prayer was offered by the Chaplain, Jacob Pennell, Senate Page.                                                             
Senator Hoffman moved and asked unanimous consent that the prayer                                                               
be spread. Without objection, it was so ordered.                                                                                
                                                                                                                                
          Dear Lord,                                                                                                            
                                                                                                                                
          Thank You for the life that inhabits this incredible                                                                  
          planet and thank You for allowing us to be among it.                                                                  
          May You bless us and give us the wisdom to                                                                            
                   appreciate all that we have.      Amen.                                                                     
                                                                                                                                
Senator Dunleavy led the Senate in the Pledge of Allegiance.                                                                    
                                                                                                                                
                                                                                                                                
                                                                                                                                

2017-07-15                     Senate Journal                      Page 1562
                                Certification                                                                                
                                                                                                                                
Senator Micciche moved and asked unanimous consent that the                                                                     
journal for the twenty-ninth legislative day of the second special                                                              
session be approved as certified by the Secretary. Without objection, it                                                        
was so ordered.                                                                                                                 
                                                                                                                                
                                Communications                                                                               
                                                                                                                                
Disclosure letters received from the Select Committee on Legislative                                                            
Ethics, in accordance with AS 24.60, will be published in Senate                                                                
Journal Supplement No. 6.                                                                                                       
                                                                                                                                
                        Consideration of the Calendar                                                                        
                                                                                                                                
                                  Citations                                                                                  
                                                                                                                                
Senator Micciche moved and asked unanimous consent that the                                                                     
following citations be made a special order of business. Without                                                                
objection, it was so ordered.                                                                                                   
                                                                                                                                
                          Special Order of Business                                                                          
                                                                                                                                
Honoring - Annie Route                                                                                                          
Senator(s) Costello, Kelly, Begich, Bishop, Coghill, Dunleavy, Egan,                                                            
Gardner, Giessel, Hoffman, Hughes, MacKinnon, Meyer, Micciche,                                                                  
Olson, Stedman, Stevens, von Imhof, Wielechowski                                                                                
                                                                                                                                
Honoring - Colin Arnold                                                                                                         
Representative(s) Kreiss-Tomkins                                                                                                
Senator(s) Kelly, Begich, Bishop, Coghill, Costello, Dunleavy, Egan,                                                            
Gardner, Giessel, Hoffman, Hughes, MacKinnon, Meyer, Micciche,                                                                  
Olson, Stedman, Stevens, von Imhof, Wielechowski                                                                                
                                                                                                                                
Honoring - Dr. Karen O'Neill                                                                                                    
Representative(s) Foster                                                                                                        
Senator(s) Kelly, Begich, Bishop, Coghill, Costello, Dunleavy, Egan,                                                            
Gardner, Giessel, Hoffman, Hughes, MacKinnon, Meyer, Micciche,                                                                  
Olson, Stedman, Stevens, von Imhof, Wielechowski, Wilson                                                                        
                                                                                                                                

2017-07-15                     Senate Journal                      Page 1563
In Memoriam - William Bush                                                                                                      
Senator(s) Coghill, Kelly, Begich, Bishop, Costello, Dunleavy, Egan,                                                            
Gardner, Giessel, Hoffman, Hughes, MacKinnon, Meyer, Micciche,                                                                  
Olson, Stedman, Stevens, von Imhof, Wielechowski, Wilson                                                                        
                                                                                                                                
In Memoriam - Kenneth Gene Zerkel                                                                                               
Senator(s) Costello, Kelly, Begich, Bishop, Coghill, Dunleavy, Egan,                                                            
Gardner, Giessel, Hoffman, Hughes, MacKinnon, Meyer, Micciche,                                                                  
Olson, Stedman, Stevens, von Imhof, Wielechowski, Wilson                                                                        
                                                                                                                                
Senator Micciche moved and asked unanimous consent that the                                                                     
citations be adopted. Without objection, the citations were adopted and                                                         
referred to the Secretary for transmittal.                                                                                      
                                                                                                                                
                                                                                                                                
                             Unfinished Business                                                                             
                                                                                                                                
Senator Meyer moved and asked unanimous consent to be excused                                                                   
from a call of the Senate from July 23 through July 26. Without                                                                 
objection, Senator Meyer was excused.                                                                                           
                                                                                                                                
Senator Gardner moved and asked unanimous consent to be excused                                                                 
from a call of the Senate from morning plane time, November 1                                                                   
through evening plane time, November 30. Without objection, Senator                                                             
Gardner was excused.                                                                                                            
                                                                                                                                
Senator Stedman moved and asked unanimous consent to be excused                                                                 
from a call of the Senate from September 15 through October 31.                                                                 
Without objection, Senator Stedman was excused.                                                                                 
                                                                                                                                
                                                                                                                                
                                    Recess                                                                                   
                                                                                                                                
Senator Kelly, Acting Majority Leader, moved and asked unanimous                                                                
consent that the Senate stand in recess to a call of the Chair. Without                                                         
objection, the Senate recessed at 10:34 a.m.                                                                                    
                                                                                                                                
                                 After Recess                                                                                
                                                                                                                                
The Senate reconvened at 10:33 p.m.                                                                                             
                                                                                                                                

2017-07-15                     Senate Journal                      Page 1564
Senator Micciche moved and asked unanimous consent the Senate                                                                   
return to Reports of Special Committees. Without objection, the                                                                 
Senate returned to:                                                                                                             
                                                                                                                                
                          Special Committee Reports                                                                          
                                                                                                                                
HB 111                                                                                                                        
                                                                July 15, 2017                                                   
                                                                                                                                
Mr. President:                                                                                                                  
Mr. Speaker:                                                                                                                    
                                                                                                                                
The Conference Committee considering CS FOR HOUSE BILL                                                                          
NO. 111(FIN)(efd fld) "An Act relating to the oil and gas production                                                            
tax, tax payments, and credits; relating to interest applicable to                                                              
delinquent oil and gas production tax; relating to carried-forward lease                                                        
expenditures based on losses and limiting those lease expenditures to                                                           
an amount equal to the gross value at the point of production of oil and                                                        
gas produced from the lease or property where the lease expenditure                                                             
was incurred; relating to information concerning tax credits, lease                                                             
expenditures, and oil and gas taxes; relating to the disclosure of that                                                         
information to the public; relating to an adjustment in the gross value                                                         
at the point of production; and relating to a legislative working group"                                                        
                                                                                                                                
and                                                                                                                             
                                                                                                                                
SENATE CS FOR CS FOR HOUSE BILL NO. 111(FIN) "An Act                                                                            
relating to credits against the oil and gas production tax; relating to the                                                     
applicability of certain credits earned under the oil and gas production                                                        
tax to the tax on corporations; relating to tax credit certificates against                                                     
the oil and gas production tax and the issuance and assignment of                                                               
those certificates; relating to interest applicable to delinquent taxes;                                                        
relating to lease expenditures; relating to the oil and gas tax credit                                                          
fund; and providing for an effective date"                                                                                      
                                                                                                                                
requests limited powers of free conference on the following specific                                                            
points:                                                                                                                         
                                                                                                                                
                                                                                                                                

2017-07-15                     Senate Journal                      Page 1565
          Sections 1, 2, 3, 16, 26, 27, 29, 30, 36, 37 (House)                                                                  
                                                                                                                                
           Sections 1, 4, 5, 6, 7, 14, 17, 18, 20, 24, 27, 30, 33,                                                             
          38, 39-43 (Senate)                                                                                                    
                                                                                                                                
Additionally, the committee requests that Uniform Rule 42(a) and (b)                                                            
be suspended to allow for free conference powers on the following                                                               
specific points:                                                                                                                
                                                                                                                                
           Addition of transition language relating to tax credits                                                             
           eligible for purchase by the state during calendar year                                                             
          2017.                                                                                                                 
                                                                                                                                
Signing the report: Senator Giessel, Chair, Senators Stedman, Olson;                                                            
Representative Tarr, Chair, Representatives Josephson, Talerico.                                                                
                                                                                                                                
President Kelly granted the Senate conferees limited powers of free                                                             
conference on the specific points as requested.                                                                                 
                                                                                                                                
Senator Micciche moved and asked unanimous consent the Senate                                                                   
waive Uniform Rule 42(a) and (b), and that the President grant the                                                              
Senate conferees powers of free conference under Uniform Rule 42(b)                                                             
for the limited purpose of including:                                                                                           
                                                                                                                                
           Addition of transition language relating to tax credits                                                             
           eligible for purchase by the state during calendar year                                                             
          2017.                                                                                                                 
                                                                                                                                
Without objection, Uniform Rule 42(a) and (b) was waived and                                                                    
President Kelly granted the Senate conferees powers of free                                                                     
conference as requested.                                                                                                        
                                                                                                                                
The Secretary was requested to notify the House.                                                                                
                                                                                                                                
HB 111                                                                                                                        
The following report was received and distributed at 9:52 p.m., July                                                            
15:                                                                                                                             
                                                                                                                                

2017-07-15                     Senate Journal                      Page 1566
                                                                July 15, 2017                                                   
Mr. President:                                                                                                                  
Mr. Speaker:                                                                                                                    
                                                                                                                                
The Conference Committee with limited powers of free conference                                                                 
and powers of free conference considered                                                                                        
                                                                                                                                
CS FOR HOUSE BILL NO. 111(FIN)(efd fld) "An Act relating to the                                                                 
oil and gas production tax, tax payments, and credits; relating to                                                              
interest applicable to delinquent oil and gas production tax; relating to                                                       
carried-forward lease expenditures based on losses and limiting those                                                           
lease expenditures to an amount equal to the gross value at the point of                                                        
production of oil and gas produced from the lease or property where                                                             
the lease expenditure was incurred; relating to information concerning                                                          
tax credits, lease expenditures, and oil and gas taxes; relating to the                                                         
disclosure of that information to the public; relating to an adjustment                                                         
in the gross value at the point of production; and relating to a                                                                
legislative working group"                                                                                                      
                                                                                                                                
and                                                                                                                             
                                                                                                                                
SENATE CS FOR CS FOR HOUSE BILL NO. 111(FIN) "An Act                                                                            
relating to credits against the oil and gas production tax; relating to the                                                     
applicability of certain credits earned under the oil and gas production                                                        
tax to the tax on corporations; relating to tax credit certificates against                                                     
the oil and gas production tax and the issuance and assignment of                                                               
those certificates; relating to interest applicable to delinquent taxes;                                                        
relating to lease expenditures; relating to the oil and gas tax credit                                                          
fund; and providing for an effective date" and recommends                                                                       
                                                                                                                                
           CONFERENCE CS FOR HOUSE BILL NO. 111                                                                                 
           "An Act relating to credits against the oil and gas                                                                  
           production tax; relating to the applicability of                                                                     
           certain credits earned under the oil and gas                                                                         
           production tax to the tax on corporations; relating to                                                               
           tax credit certificates against the oil and gas                                                                      
           production tax and the issuance and assignment of                                                                    
           those certificates; relating to interest applicable to                                                               
           delinquent taxes; relating to lease expenditures;                                                                    

2017-07-15                     Senate Journal                      Page 1567
           relating to the oil and gas tax credit fund; relating to                                                            
              a legislative working group; and providing for an                                                                
           effective date"                                                                                                      
           (Title Change SCR 12)                                                                                                
                                                                                                                                
be adopted.                                                                                                                     
                                                                                                                                
The following fiscal information was published today:                                                                           
 Fiscal Note No. 7, Department of Revenue                                                                                       
                                                                                                                                
Signing the report: Senator Giessel, Chair, Senators Stedman, Olson;                                                            
Representative Tarr, Chair, Representatives Josephson, Talerico.                                                                
                                                                                                                                
Senator Micciche moved that the Senate adopt the Conference                                                                     
Committee Report.                                                                                                               
                                                                                                                                
The question being: "Shall the Senate adopt the Conference                                                                      
Committee Report?" The roll was taken with the following result:                                                                
                                                                                                                                
CCS HB 111                                                                                                                      
Shall the Senate Adopt the Conference                                                                                           
Committee Report on HB 111?  Effective Dates                                                                                    
                                                                                                                                
YEAS:  18   NAYS:  0   EXCUSED:  1   ABSENT:  1                                                                               
                                                                                                                                
Yeas:  Bishop, Coghill, Dunleavy, Egan, Gardner, Giessel, Hoffman,                                                              
Hughes, Kelly, MacKinnon, Meyer, Micciche, Olson, Stedman,                                                                      
Stevens, von Imhof, Wielechowski, Wilson                                                                                        
                                                                                                                                
Excused:  Costello                                                                                                              
                                                                                                                                
Absent:  Begich                                                                                                                 
                                                                                                                                
and so, the report was adopted, thus adopting:                                                                                  
                                                                                                                                
          CONFERENCE CS FOR HOUSE BILL NO. 111                                                                                  
          "An Act relating to credits against the oil and gas                                                                   
          production tax; relating to the applicability of certain                                                              
          credits earned under the oil and gas production tax to                                                                
          the tax on corporations; relating to tax credit                                                                       
          certificates against the oil and gas production tax and                                                               
          the issuance and assignment of those certificates;                                                                    
          relating to interest applicable to delinquent taxes;                                                                  

2017-07-15                     Senate Journal                      Page 1568
          relating to lease expenditures; relating to the oil and                                                               
          gas tax credit fund; relating to a legislative working                                                                
          group; and providing for an effective date."                                                                          
                                                                                                                                
Senator Micciche moved and asked unanimous consent that the vote                                                                
on the adoption of the Conference Committee Report be considered                                                                
the vote on the effective date clauses. Without objection, it was so                                                            
ordered.                                                                                                                        
                                                                                                                                
The Secretary was requested to notify the House.                                                                                
                                                                                                                                
                                                                                                                                
                        Introduction and Reference of                                                                        
                              Senate Resolutions                                                                             
                                                                                                                                
SR 201                                                                                                                        
SENATE RESOLUTION NO. 201 BY SENATOR GIESSEL,                                                                                   
                                                                                                                                
          Supporting the ongoing review of and the gathering                                                                    
          of information related to the state's oil and gas fiscal                                                              
          policy; and expressing an intention, in a good faith                                                                  
          effort with the House of Representatives, to evaluate                                                                 
          and act on the recommendations of the oil and gas                                                                     
          fiscal policy experts recently retained by the                                                                        
          Legislative Budget and Audit Committee.                                                                               
                                                                                                                                
was read the first time.                                                                                                        
                                                                                                                                
Senator Micciche moved and asked unanimous consent the Senate                                                                   
take up SENATE RESOLUTION NO. 201. Without objection, the                                                                       
resolution was before the Senate on final passage.                                                                              
                                                                                                                                
The question being: "Shall SENATE RESOLUTION NO. 201                                                                            
Supporting the ongoing review of and the gathering of information                                                               
related to the state's oil and gas fiscal policy; and expressing an                                                             
intention, in a good faith effort with the House of Representatives, to                                                         
evaluate and act on the recommendations of the oil and gas fiscal                                                               
policy experts recently retained by the Legislative Budget and Audit                                                            
Committee, pass the Senate?" The roll was taken with the following                                                              
result:                                                                                                                         
                                                                                                                                

2017-07-15                     Senate Journal                      Page 1569
SR 201                                                                                                                          
Final Passage                                                                                                                   
                                                                                                                                
YEAS:  18   NAYS:  0   EXCUSED:  1   ABSENT:  1                                                                               
                                                                                                                                
Yeas:  Bishop, Coghill, Dunleavy, Egan, Gardner, Giessel, Hoffman,                                                              
Hughes, Kelly, MacKinnon, Meyer, Micciche, Olson, Stedman,                                                                      
Stevens, von Imhof, Wielechowski, Wilson                                                                                        
                                                                                                                                
Excused:  Costello                                                                                                              
                                                                                                                                
Absent:  Begich                                                                                                                 
                                                                                                                                
and so, SENATE RESOLUTION NO. 201 passed the Senate and was                                                                     
referred to the Secretary for engrossment and enrollment.                                                                       
                                                                                                                                
SB 23                                                                                                                         
Pursuant to AS 24.05.100, Senator Micciche moved and asked                                                                      
unanimous consent the Thirtieth Legislature convene a third special                                                             
session to consider SENATE BILL NO. 23 APPROPRIATION:                                                                           
CAPITAL BUDGET.                                                                                                                 
                                                                                                                                
The question being: "Shall the Thirtieth Legislature convene in a third                                                         
special session?" The roll was taken with the following result:                                                                 
                                                                                                                                
                                                                                                                                
Shall the 30th Legislature Convene in a                                                                                         
Third Special Session?                                                                                                          
(Pursuant to AS 24.05.100)                                                                                                      
                                                                                                                                
YEAS:  17   NAYS:  1   EXCUSED:  1   ABSENT:  1                                                                               
                                                                                                                                
Yeas:  Bishop, Coghill, Dunleavy, Egan, Gardner, Giessel, Hoffman,                                                              
Hughes, Kelly, MacKinnon, Meyer, Micciche, Olson, Stedman,                                                                      
Stevens, von Imhof, Wilson                                                                                                      
                                                                                                                                
Nays:  Wielechowski                                                                                                             
                                                                                                                                
Excused:  Costello                                                                                                              
                                                                                                                                
Absent:  Begich                                                                                                                 
                                                                                                                                
and so, seventeen Senators voted affirmatively to convene a third                                                               
special session.                                                                                                                
                                                                                                                                
The Secretary was requested to notify the House.                                                                                
                                                                                                                                

2017-07-15                     Senate Journal                      Page 1570
                                Announcements                                                                                
                                                                                                                                
Rule 23(d) of the Alaska State Legislature Uniform Rules is currently                                                           
in effect.                                                                                                                      
                                                                                                                                
Announcements are at the end of the journal.                                                                                    
                                                                                                                                
                                                                                                                                
                                 Adjournment                                                                                 
                                                                                                                                
Senator Micciche moved and asked unanimous consent that the                                                                     
Second Special Session of the Thirtieth Alaska State Senate adjourn                                                             
sine die. Without objection, the Senate adjourned at 11:58 p.m.                                                                 
                                                                                                                                
                                                                    Liz Clark                                                   
                                                     Secretary of the Senate                                                    
                                                                                                                                
                                                                                                                                

2017-07-15                     Senate Journal                      Page 1571
                                Announcements                                                                                
                                                                                                                                
Americans with Disabilities Act Notice - Persons with disabilities who require                                                  
special accommodation or alternative communication formats to access                                                            
committee meetings may contact the appropriate committee office or the                                                          
Legislative Information Office in their community. Reasonable advance                                                           
notice is needed to accommodate the request. For further information, call the                                                  
ADA Coordinator at 465-3854 Voice/465-4980 TDD.                                                                                 
                                                                                                                                
                                                                                                                                
                               JOINT COMMITTEES                                                                              
                                                                                                                                
                          LEGISLATIVE BUDGET & AUDIT                                                                         
                                                                                                                                
Jul 25        Tuesday                   Anch Lio Conf Rm              9:30 AM                                                 
+             Preliminary Audit Reports - EXECUTIVE SESSION                                                                     
              a. Real Estate Commission (Sunset)                                                                                
              b. Board of Marital and Family Therapy (Sunset)                                                                   
              c. Board of Professional Counselors (Sunset)                                                                      
              d. FY 16 Single Audit                                                                                             
                   ----------------------------------------                                                                    
                                                                                                                                
                            CONFERENCE COMMITTEES                                                                            
                                                                                                                                
                        CONFERENCE COMMITTEE ON HB 111                                                                       
                                                                                                                                
Jul 15        Saturday                           Barnes 124           1:00 PM                                                 
+= HB 111 OIL & GAS PRODUCTION TAX;PAYMENTS;CREDITS                                                                             
              -- Testimony <Invitation Only> --                                                                                 
              **Streamed live on AKL.tv**