Legislature(2011 - 2012)HOUSE FINANCE 519
02/06/2012 01:30 PM House FINANCE
| Audio | Topic |
|---|---|
| Start | |
| HB142 | |
| HB 118 | |
| HB198 | |
| HB180 | |
| Adjourn |
* first hearing in first committee of referral
+ teleconferenced
= bill was previously heard/scheduled
+ teleconferenced
= bill was previously heard/scheduled
| += | HB 142 | TELECONFERENCED | |
| + | HB 180 | TELECONFERENCED | |
| + | HB 198 | TELECONFERENCED | |
| += | HB 118 | TELECONFERENCED | |
HOUSE BILL NO. 142
"An Act relating to the creation of a rebuttable
presumption that the project licensed under the Alaska
Gasline Inducement Act is uneconomic because of
insufficient firm transportation commitments during
the first open season."
1:35:30 PM
Co-Chair Thomas MOVED to ADOPT proposed committee
substitute for HB 142, Work Draft 27-LS0451\E. Co-Chair
Stoltze OBJECTED for purpose of discussion.
RENA DELBRIDGE, STAFF, REPRESENTATIVE MIKE HAWKER, spoke on
behalf of the sponsor, Speaker Mike Chenault. She discussed
changes contained in the committee substitute. Dates were
changed to update the legislation to 2012:
· Page 11, Line 9: July 15, 2011, is changed to May
15,2012
· Page 1, Line 12: Aug. 1,2011 is changed to May 30,
2012
· Page 1, line 13: July 15, 2011 is changed to May
15,2012
· Page 2, line 3: Aug. 15,2011, is changed to June
15,2011
· Page 2, line 7: 2013 is changed to 2014
Ms. Delbridge explained that the dates corresponded to
deadlines contained in the legislation.
Co-Chair Stoltze asked if there were any substantive
issues. Ms. Delbridge observed that a year had passed since
the legislation was introduced and that the sponsor felt
that it was appropriate to encourage a more timely process.
Deadlines were shortened by a couple of months. The first
benchmark of July 15, 2012 was changed to May 15, 2012. She
pointed out that the open season would have been in effect
for two years.
Ms. Delbridge noted that throughout the bill, "firm
transportation commitments" were changed to "commitments to
acquire firm transportation capacity". Firm transportation
commitments were not the expected outcome of an open
season. Instead the expected outcome was precedent
agreements or commitments to iron out conditions that
become firm transportation capacity. The changes were made
in the title; page 1, line 10; page 1, line 12 - 13; page
1, line 14; and page 2, line 10.
Ms. Delbridge observed that the last change was to the
standard for commitments to acquire firm transportation
commitments, which had been changed to require sufficient
commitments to support development of the project licensed
by the Alaska Gasline Inducement Act (AGIA). The new
standard replaced "construction" with "development" of the
project. The change was reflected on page 1, line 10. The
committee substitute struck prior language requiring those
commitments to be "sufficient to support the construction
of the project." The change was also reflected on page 2,
line 9. The word "credit" was deleted; the project had to
have sufficient "support" and finance "development".
1:41:02 PM
Co-Chair Stoltze WITHDREW his OBJECTION. There being NO
further OBJECTION, committee substitute for HB 142, Work
Draft 27-LS0451\E was adopted.
HB 142 was HEARD and HELD in Committee for further
consideration.