Legislature(2021 - 2022)
2021-05-14 House Journal
Full Journal pdf2021-05-14 House Journal Page 1075 HB 81 The following was read the second time: HOUSE BILL NO. 81 "An Act authorizing the commissioner of natural resources to modify a net profit share lease." with the: Journal Page RES RPT CS(RES) 1DP 5NR 1AM 411 FN1: INDETERMINATE(DNR) 411 FN2: INDETERMINATE(REV) 411 FIN RPT CS(RES) 8DP 1DNP 1AM 801 FN1: INDETERMINATE(DNR) 801 FN2: INDETERMINATE(REV) 801 Representative Claman moved and asked unanimous consent that the following committee substitute be adopted in lieu of the original bill: CS FOR HOUSE BILL NO. 81(RES) (same title) There being no objection, it was so ordered. **Representative Zulkosky, who was excused (page 1057), left the Chamber. Amendment No. 1 was offered by Representative Wool: Page 1, line 1 (title amendment): Delete "authorizing the commissioner of natural resources to modify a net profit share" Insert "relating to the modification of a royalty or net profit share in an oil and gas or gas only" 2021-05-14 House Journal Page 1076 Page 7, following line 20: Insert new bill sections to read: "* Sec. 6. AS 38.05.180 is amended by adding a new subsection to read: (mm) The commissioner may grant a royalty or net profit share modification under (j) of this section only if the Alaska Royalty Oil and Gas Development Advisory Board recommends that the commissioner approve the royalty or net profit share modification. * Sec. 7. AS 38.06.040(a) is amended to read: (a) The board shall (1) in accordance with the criteria set out in AS 38.06.070, develop a plan for the wise development of the state's oil and gas royalty interests; the plan of development shall be consistent with (A) growth of the private sector of the economy; (B) environmental standards required by law; and (C) public fiscal stability; (2) hold public hearings on proposed sales, exchanges, or other disposals of royalty oil or gas to determine whether the proposals comply with AS 38.06.070; (3) examine proposed sales, exchanges, or other disposal of, and recommend to the legislature that it approve or disapprove a proposed sale, exchange, or other disposal of (A) the oil or gas that is obtained by the state as royalty under AS 38.05.182; or (B) the rights to receive future oil or gas production under state leases; [AND] (4) recommend to the commissioner of natural resources the conditions relating to the sale, delivery, transportation, refining, or processing of oil or gas that [WHICH] the commissioner may include in the offer and sale of oil or gas obtained by the state as royalty under AS 38.05.182; and (5) review a royalty or net profit share modification under AS 38.05.180 and recommend that the commissioner approve or disapprove the modification." Representative Wool moved and asked unanimous consent that Amendment No. 1 be adopted. 2021-05-14 House Journal Page 1077 Representative Rasmussen objected. Amendment No. 1 to Amendment No. 1 was offered by Representative Eastman: Page 1, line 11: Delete "Advisory" Representative Eastman moved and asked unanimous consent that Amendment No. 1 to Amendment No. 1 be adopted. Representative Hannan objected. Representative Eastman moved and asked unanimous consent to withdraw Amendment No. 1 to Amendment No. 1. There being no objection, it was so ordered. The question being: "Shall Amendment No. 1 be adopted?" The roll was taken with the following result: CSHB 81(RES) Second Reading Amendment No. 1 YEAS: 22 NAYS: 15 EXCUSED: 3 ABSENT: 0 Yeas: Claman, Drummond, Eastman, Edgmon, Fields, Foster, Hannan, Hopkins, Johnson, Josephson, Kreiss-Tomkins, Ortiz, Patkotak, Prax, Schrage, Snyder, Spohnholz, Story, Stutes, Tarr, Vance, Wool Nays: Carpenter, Cronk, Gillham, Kaufman, Kurka, LeBon, McCabe, McCarty, McKay, Merrick, Rasmussen, Rauscher, Shaw, Thompson, Tilton Excused: Nelson, Tuck, Zulkosky And so, Amendment No. 1 was adopted, and the new title follows: CS FOR HOUSE BILL NO. 81(RES) am "An Act relating to the modification of a royalty or net profit share in an oil and gas or gas only lease." 2021-05-14 House Journal Page 1078 Representative Claman moved and asked unanimous consent that CSHB 81(RES) am be considered engrossed, advanced to third reading, and placed on final passage. There being no objection, it was so ordered. CSHB 81(RES) am was read the third time. The question being: "Shall CSHB 81(RES) am pass the House?" The roll was taken with the following result: CSHB 81(RES) am Third Reading Final Passage YEAS: 37 NAYS: 0 EXCUSED: 3 ABSENT: 0 Yeas: Carpenter, Claman, Cronk, Drummond, Eastman, Edgmon, Fields, Foster, Gillham, Hannan, Hopkins, Johnson, Josephson, Kaufman, Kreiss-Tomkins, Kurka, LeBon, McCabe, McCarty, McKay, Merrick, Ortiz, Patkotak, Prax, Rasmussen, Rauscher, Schrage, Shaw, Snyder, Spohnholz, Story, Stutes, Tarr, Thompson, Tilton, Vance, Wool Excused: Nelson, Tuck, Zulkosky And so, CSHB 81(RES) am passed the House and was referred to the Chief Clerk for engrossment.