Legislature(2017 - 2018)BARNES 124

03/14/2017 03:00 PM RESOURCES

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* first hearing in first committee of referral
+ teleconferenced
= bill was previously heard/scheduled
-- Continued from 3/13/17 Meeting at 1:00 PM --
+= HB 111 OIL & GAS PRODUCTION TAX;PAYMENTS;CREDITS TELECONFERENCED
Moved CSHB 111(RES) Out of Committee
<Bill Held Over from 3/11/17>
-- Testimony <Invitation Only> --
+ HB 87 CONFLICT OF INTEREST: BD FISHERIES/GAME TELECONFERENCED
Heard & Held
-- Public Testimony --
+ HJR 12 OPPOSING GEN. ENGINEERED SALMON TELECONFERENCED
Scheduled but Not Heard
-- Public Testimony --
*+ HB 32 LABEL GENETICALLY MODIFIED FOOD TELECONFERENCED
Scheduled but Not Heard
-- Public Testimony --
**Streamed live on AKL.tv**
       HB 111-OIL & GAS PRODUCTION TAX; PAYMENTS; CREDITS                                                                   
                                                                                                                                
3:21:16 PM                                                                                                                    
                                                                                                                                
CO-CHAIR TARR  announced that the  first order of  business would                                                               
be  HOUSE BILL  NO. 111,  "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;  and                                                               
providing  for  an  effective  date."    [Before  the  committee,                                                               
adopted as a work draft  on 3/10/17, was the committee substitute                                                               
(CS) for HB 111, Version 30-LS0450\N, Nauman, 3/10/17.]                                                                         
                                                                                                                                
3:21:20 PM                                                                                                                    
                                                                                                                                
CO-CHAIR TARR  directed the committee's  attention to  the fiscal                                                               
note  analysis  [Identifier:   HB111CS(RES)-DNR-DOG-03-13-17]  on                                                               
page 2, paragraph 1, that refers  to Section 26(n), Version N, HB                                                               
111, which requires the Department  of Natural Resources (DNR) to                                                               
develop  regulations  to  establish   a  preapproval  process  as                                                               
follows:                                                                                                                        
                                                                                                                                
     This  bill  would  require the  department  to  analyze                                                                    
     lease  expenditures that  could qualify  to be  carried                                                                    
     forward and  determine if  those expenditures  meet the                                                                    
     requirements set out in regulations  yet to be written.                                                                    
     Because  the  regulations  are  not  yet  written,  the                                                                    
     extent  of the  required  analysis is  not  clear.   As                                                                    
     written  the  fiscal  impact to  the  department  could                                                                    
     range from  minimal to significant, depending  on final                                                                    
     regulations.                                                                                                               
                                                                                                                                
                                                                                                                                
CO-CHAIR TARR  acknowledged the  fiscal note is  not as  clear as                                                               
the committee would have liked.   As discussed at prior hearings,                                                               
the state  currently is not  engaged during  the early part  of a                                                               
project, and thus  does not have any influence  over spending, or                                                               
a mechanism to dispute any of  the spending that has taken place.                                                               
She explained  that the aforementioned  provision in the  bill is                                                               
an  attempt to  work with  DNR to  determine how  the legislature                                                               
could be better engaged in the  early part of a project through a                                                               
clear  and  regulated  process.     Previous  industry  testimony                                                               
revealed that when  a project in Alaska is proposed  by a company                                                               
to its  board of directors,  the project must  be proven to  be a                                                               
good investment  relative to  other locations;  in fact,  this is                                                               
the same kind  of information that would be  part of [industry's]                                                               
"conversation"  with  the  state  [through  the  proposed  review                                                               
process].    Furthermore,  a review  process  through  regulation                                                               
would  also  provide  the  opportunity  for  public  comment  and                                                               
stakeholder engagement.                                                                                                         
                                                                                                                                
CO-CHAIR JOSEPHSON stated  that the review provision  in the bill                                                               
creates  a need  for  new regulations  and  cooperation from  the                                                               
department.   He opined  the provision  came about  because there                                                               
was concern about costs associated  with future developments that                                                               
are unforeseen by  the state, and so there was  a desire for some                                                               
type  of  review process  by  DNR.   He  acknowledged  subsequent                                                               
committees may modify [Version N, Section 26(n)], which read:                                                                   
                                                                                                                                
          (n)  The  Department  of Natural  Resources  shall                                                                    
     adopt  regulations  that  require  the  preapproval  of                                                                    
     lease  expenditures  carried  forward under  (a)(3)  of                                                                    
     this section.   Regulations  under this  subsection may                                                                    
     add  additional  requirements  or restrictions  on  the                                                                    
     ability of  a producer or  explorer to carry  forward a                                                                    
     lease expenditure under (a)(3) of  this section.  For a                                                                    
     lease  expenditure  to  qualify under  (a)(3)  of  this                                                                    
     section, a  producer or explorer  shall provide  to the                                                                    
     Department   of  Natural   Resources  the   information                                                                    
     necessary  to  determine  whether a  lease  expenditure                                                                    
     qualifies  to  be  carried  forward  under  regulations                                                                    
     adopted under this subsection.                                                                                             
                                                                                                                                
CO-CHAIR JOSEPHSON added,  "But we thought this was  a good start                                                               
for  beginning  the  process   of  reviewing  lease  expenditures                                                               
through a preapproval system."                                                                                                  
                                                                                                                                
3:24:54 PM                                                                                                                    
                                                                                                                                
REPRESENTATIVE  BIRCH   strongly  disagreed   and  said   he  was                                                               
expecting a fiscal  note that actually had "some  numbers tied to                                                               
it."  He observed the fiscal  note indicates the fiscal impact to                                                               
the  department   could  range   from  minimal   to  significant,                                                               
depending on  final regulations.   He pointed  out that  the bill                                                               
also requires the department to  manage data, [the cost of which]                                                               
is  indeterminable;   in  fact,  the  department   is  unable  to                                                               
determine  the   fiscal  impact  of  the   proposed  legislation.                                                               
Representative Birch recalled the  committee has discussed fiscal                                                               
uncertainty  and  instability  of  the  investment  climate,  and                                                               
opined  the  fiscal note  speaks  to  the concerns  members  have                                                               
voiced  when  comparing  "these massive  changes  to  ...  what's                                                               
already  working vis-a-vis  our  oil  and gas  tax  policy."   He                                                               
acknowledged that  credits do  need to  be reviewed;  however, he                                                               
expressed deep disappointment that  the committee did not receive                                                               
a more  substantive fiscal  note from  the Department  of Natural                                                               
Resources.   He concluded, "I  don't see this is  acceptable ....                                                               
It's incomplete."                                                                                                               
                                                                                                                                
REPRESENTATIVE RAUSCHER  agreed with Representative Birch  on the                                                               
incomplete fiscal note and emphasized  the magnitude and scope of                                                               
the  provision,  especially since  DNR  was  asked to  provide  a                                                               
fiscal note in one day.  He  said, "It seems like two arms almost                                                               
simultaneously  doing two  things,  competing  for different  ...                                                               
properties of the  same project, and trying to  define, 'whose is                                                               
whose?'    [That]  seems  to  be a  little  bit  of  a  problem."                                                               
Representative  Rauscher  expressed  his understanding  that  the                                                               
Department  of   Revenue  (DOR)   operates  under  a   policy  of                                                               
confidentiality,  and  he questioned  whether  DNR  has the  same                                                               
policy.  Further,  since DNR would be working  with similar data,                                                               
he asked, "How do we overcome that with the DNR?"                                                                               
                                                                                                                                
3:28:05 PM                                                                                                                    
                                                                                                                                
CO-CHAIR TARR, in response  to Representative Rauscher, explained                                                               
DOR receives  information from tax returns,  which reveal "after-                                                               
the-fact-spending"  and is  confidential  tax  information.   The                                                               
provision in the bill envisions  DNR as Alaska's resource manager                                                               
that  would,  for  example,  review   the  pre-spending  type  of                                                               
information,  such as  what types  of projects  are underway  and                                                               
when projects would  come on line.  Further,  DNR could determine                                                               
whether there  is good  management of  a project:   if  the state                                                               
allows losses to  be carried forward and  used against production                                                               
tax liability, even  though the state does not write  a check for                                                               
a  credit, there  is  lost revenue.   However,  if  DNR can  make                                                               
certain every dollar is spent  as strategically as possible, then                                                               
the state is assured certain  spending was necessary to bring the                                                               
development on line.   Co-Chair Tarr related the  example of poor                                                               
management  that caused  construction  season  delays, forcing  a                                                               
project  into another  year  and resulting  in  a more  expensive                                                               
project.   In this  case, the state,  through the  application of                                                               
the  subsequent   losses  against  future  revenue,   would  have                                                               
invested in poor management.   She continued, noting that because                                                               
of  the  current  fiscal  crisis,  the  state  seeks  to  control                                                               
expenses, and  it is appropriate  for DNR to  develop regulation,                                                               
because it offers every company  a unique development profile and                                                               
an opportunity  to comment.   She  observed the  legislature does                                                               
not have  the opportunity [to develop  regulations]; however, the                                                               
sponsors  are  interested  in  refining   the  provision  in  the                                                               
legislation if it would result in clarification.                                                                                
                                                                                                                                
CO-CHAIR JOSEPHSON added that the  sponsors' concern is that even                                                               
with a reduced  net operating loss (NOL) not treated  as a credit                                                               
through the carry forward allowance, the  state is a partner in a                                                               
joint  venture  but  does  not enjoy  the  full  privileges  that                                                               
normally come  to partners  in a  joint venture;  conversely, the                                                               
companies  see  the  benefit  of  their  investments,  either  by                                                               
carrying  forward  losses, or  "this  uplift."   The  purpose  of                                                               
uplift is  to provide  some parity, although  it is  difficult to                                                               
have full  parity without offering  cash credits.  He  opined the                                                               
state  needs  a role  in  these  enterprises, other  than  simply                                                               
affording  a deduction  against  liability in  the  future.   The                                                               
situation  is  further  influenced  by  "ring  fencing,"  whereby                                                               
decisions could be  made to take a loss in  one field knowing the                                                               
loss will be  largely offset by [profits in another  field].  Co-                                                               
Chair  Josephson   recalled  his  long-standing  interest   in  a                                                               
preapproval  process,  and  although  the  provision  needs  some                                                               
refinement, the state  should be entitled to know -  with a level                                                               
of  oversight -  the  expenses that  become allowable  deductions                                                               
when they become a loss.   He cautioned against allowing industry                                                               
to  ask the  state to  bear risk  without the  assurance of  good                                                               
management.                                                                                                                     
                                                                                                                                
REPRESENTATIVE RAUSCHER stressed  the importance of understanding                                                               
how  the  proposed  legislation could  affect  Alaska's  business                                                               
partners -  the oil  producers -  before voting.   He  warned the                                                               
committee  should not  proceed to  a vote  without a  fiscal note                                                               
that has identified the challenge the provision presents to DNR.                                                                
                                                                                                                                
CO-CHAIR  TARR  said   she  appreciated  Representative  Rauscher                                                               
bringing a level of scrutiny to this issue.                                                                                     
                                                                                                                                
3:34:34 PM                                                                                                                    
                                                                                                                                
REPRESENTATIVE PARISH  advised that  the legislature  is entering                                                               
into expensive  deals with Alaska's  industry clients to  whom it                                                               
sells  its oil  and to  whom it  [leases] the  right to  drill on                                                               
Alaska's lands;  the notion the state  cannot exercise discretion                                                               
into  those deals  is distressing.    For example,  if a  company                                                               
spends $1 billion on a  risky venture, without success, the state                                                               
would be co-invested for $350  million; therefore, it makes sense                                                               
to  hire  staff in  order  for  DNR  to provide  some  oversight.                                                               
Representative  Parish  emphasized  the   importance  of  -  when                                                               
interacting  with  the  state's  clients -  having  a  degree  of                                                               
control and discretion.                                                                                                         
                                                                                                                                
REPRESENTATIVE WESTLAKE said  he would also like to  see a fiscal                                                               
note from  DNR pertaining to  this provision.  Speaking  from his                                                               
experience representing House  District 40, he said  he knows the                                                               
oil, gas,  and mining  industries and the  oil and  gas companies                                                               
have a  lot of money to  hire the best [personnel]  in the field;                                                               
thus,  if the  state begins  micromanaging [projects],  "the best                                                               
we're probably  going to  get is second-best  in the  field ...."                                                               
He  cautioned that  the state  will  be micromanaging  companies'                                                               
leases and  questioned whether a  monthly accounting  is possible                                                               
given  that  the  state  is  already five  years  behind  in  its                                                               
accounting.    He asked,  "Is  this  going  to be  an  additional                                                               
pressure  for the  industry ...  how do  we make  this right  for                                                               
everyone?     They're  willing  to   talk,  they're   willing  to                                                               
negotiate, but we all have to be reasonable."                                                                                   
                                                                                                                                
3:37:51 PM                                                                                                                    
                                                                                                                                
CO-CHAIR TARR clarified that the  review process, as proposed, is                                                               
for a  single preapproval and  not approvals on a  monthly basis.                                                               
Further,  she  opined  statutes  should  be  written  in  a  less                                                               
prescriptive   manner  because   details  can   be  provided   in                                                               
regulations,  which are  easier to  update, and  that is  why the                                                               
provision directs  that the  regulations are  to be  developed by                                                               
expert DNR  staff and  industry, rather than  by the  sponsors of                                                               
the legislation.   Returning  to the  intent of  the legislation,                                                               
she stressed that the legislature  must be mindful of where state                                                               
dollars are spent  and/or where there are  reductions in revenue.                                                               
Although DNR is  not prepared to offer a detailed  fiscal note at                                                               
this time,  if the  legislation is  reported from  the committee,                                                               
then it will  advance to the House Finance Committee  and then to                                                               
the floor of the House for consideration and further refinement.                                                                
                                                                                                                                
CO-CHAIR  TARR  returned  attention  to  the  aforementioned  DNR                                                               
fiscal note analysis on page 2, paragraph 2, which read:                                                                        
                                                                                                                                
     This  bill  also  requires  the  department  to  manage                                                                    
     additional  data  associated  with   a  new  "dry  hole                                                                    
     credit."    It  is  indeterminable how  many  of  these                                                                    
     credit  applications  would  be filed,  but  additional                                                                    
     staff  time would  be required  to review  applications                                                                    
     and manage the data.                                                                                                       
                                                                                                                                
CO-CHAIR  TARR reiterated  that  the first  paragraph  on page  2                                                               
applies to preapproval;  the second paragraph refers  to the "dry                                                               
hole  credit,"   which  was  recommended  by   Richard  Ruggiero,                                                               
Managing  Partner,   Castle  Gap  Advisors,  Castle   Gap  Energy                                                               
Partners,  [consultant  to  the   Legislative  Budget  and  Audit                                                               
Committee].   In response to Representative  Birch's comment that                                                               
it  was  indeterminable how  many  credit  applications would  be                                                               
filed, she acknowledged DNR would need  more time to work on this                                                               
detail.  She said there was  support within the committee for Mr.                                                               
Ruggiero's recommendation  of establishing  a dry hole  credit as                                                               
it  would  not discourage  exploration  because  there is  always                                                               
potential  that  an  exploration company  will  be  unsuccessful.                                                               
Given  the high  costs of  starting  an oil  and gas  exploration                                                               
company  in  Alaska, a  dry  hole  credit  would be  a  financial                                                               
mechanism  to   compensate  should   a  company   experience  the                                                               
unfortunate  event   of  performing   work,  spending   money  on                                                               
exploration, and then finding a dry hole.                                                                                       
                                                                                                                                
CO-CHAIR  TARR   returned  attention  to  the   DNR  fiscal  note                                                               
analysis, page 2, paragraph 3, which read:                                                                                      
                                                                                                                                
     Finally,  this  bill  contemplates  the  use  of  staff                                                                    
     resources  to  participate  in  a  legislative  working                                                                    
     group.  This additional  work would require backfilling                                                                    
     of  other  assignments by  those  employees.   For  the                                                                    
     reasons  stated  above,  the department  is  unable  to                                                                    
     determine  the fiscal  impact  of  this legislation  at                                                                    
     this  time; therefore,  a[n] indeterminate  fiscal note                                                                    
     is submitted.                                                                                                              
                                                                                                                                
CO-CHAIR TARR opined that the  bulk of the aforementioned working                                                               
group's  tasks  would  be  done  through  the  legislature,  with                                                               
participation from  DNR and  DOR; however,  this work  would take                                                               
place  during interim  and the  departments will  be under  fewer                                                               
time constraints and more available to assist the legislature.                                                                  
                                                                                                                                
3:41:59 PM                                                                                                                    
                                                                                                                                
The committee took an at-ease from 3:41 p.m. to 3:43 p.m.                                                                       
                                                                                                                                
3:43:27 PM                                                                                                                    
                                                                                                                                
CO-CHAIR  TARR said  committee members  have  received an  e-mail                                                               
regarding the "confidentiality provision" in the bill.                                                                          
                                                                                                                                
3:43:45 PM                                                                                                                    
                                                                                                                                
The committee took an at-ease from 3:43 p.m. to 3:53 p.m.                                                                       
                                                                                                                                
3:53:09 PM                                                                                                                    
                                                                                                                                
CO-CHAIR TARR  referred to the  confidentiality provision  of the                                                               
bill  related   to  legislators'   access  to   confidential  tax                                                               
information and stated that the  committee had received an e-mail                                                               
advising that the confidentiality provision  is new language.  In                                                               
explanation, she  said the language  was taken from  Amendment 45                                                               
[labeled 29-GH2609\P.57,  Nauman/Shutts, 3/21/16, that  failed to                                                               
be adopted during the House  Resources Standing Committee meeting                                                               
of  3/22/16]  to the  committee  substitute  for House  Bill  247                                                               
[passed  in  the  Twenty-Ninth  Alaska  State  Legislature],  and                                                               
advised that she submitted the  language to Legislative Legal and                                                               
Research  Services to  be incorporated  into the  CS for  HB 111,                                                               
Version N.   She then directed the committee to  the bill on page                                                               
3,  lines 26-31,  and continuing  to  page 4,  lines 1-20,  which                                                               
read:                                                                                                                           
                                                                                                                                
     Sec.  5.  AS  43.05.230  is amended  by  adding  a  new                                                                    
     subsection to read:                                                                                                        
          (m) The  department may disclose  confidential tax                                                                    
     information, documents,  or other materials  related to                                                                    
     a  credit  for  oil and  gas  investment,  exploration,                                                                    
     production,  delivery, storage,  or use  against a  tax                                                                    
     imposed under AS 43.20 or  AS 43.55 to a legislator, an                                                                    
     agent of a legislator or  a legislative committee, or a                                                                    
     contractor of  a legislator or a  legislative committee                                                                    
     if                                                                                                                         
               (1)  the information  is disclosed  during an                                                                    
     executive  session   of  a  committee  hearing   or  an                                                                    
     executive  session of  a meeting  of one  house of  the                                                                    
     legislature as a committee of the whole;                                                                                   
               (2)    only    legislators,    agents,    and                                                                    
     contractors  complying  with   the  remainder  of  this                                                                    
     subsection are in attendance at the committee meeting;                                                                     
               (3) written information,  documents, or other                                                                    
     materials  are  clearly  labeled  as  confidential  tax                                                                    
     information;                                                                                                               
               (4) the legislator,  agent, or contractor has                                                                    
     executed an agreement with the department                                                                                  
                    (A)    that   acknowledges    that   tax                                                                    
     information,  documents, and  materials received  under                                                                    
     this subsection are confidential by law;                                                                                   
                    (B)   that  acknowledges   that  it   is                                                                    
     illegal   to   publicly   disclose   confidential   tax                                                                    
     information,  documents,  or materials  received  under                                                                    
     this  subsection unless  the  information is  otherwise                                                                    
     publicly available; and                                                                                                    
                    (C) in  which the legislator,  agent, or                                                                    
     contractor agrees not to                                                                                                   
                         (i)   disclose    the   information                                                                    
     received  during   the  meeting  or  the   contents  of                                                                    
     documents  or  materials   viewed  during  a  committee                                                                    
     meeting under this section; and                                                                                            
                         ii)     remove      any     written                                                                    
     information, documents, or  materials from the physical                                                                    
     location of the committee meeting                                                                                          
                                                                                                                                
CO-CHAIR TARR related  that this is the exact  language which she                                                               
drafted last  year, with the  support of  the Alaska Oil  and Gas                                                               
Association (AOGA).  Co-Chair Tarr  posited AOGA may have changed                                                               
its stance on the provisions, but the language is unchanged.                                                                    
                                                                                                                                
REPRESENTATIVE RAUSCHER questioned the legality of the language.                                                                
                                                                                                                                
CO-CHAIR TARR remarked:                                                                                                         
                                                                                                                                
     It's  confidential  tax  information, which  is  why  I                                                                    
     think the  provisions here are  so strict, in  terms of                                                                    
     who  has access  - that  no information  can leave  the                                                                    
     room,  that there  [are] IRS  rules, for  example, that                                                                    
     would  require a  background check  and fingerprinting,                                                                    
     so people could choose not  to participate - there's no                                                                    
     requirement.    Similar  to  right  now,  for  example,                                                                    
     they're  working   on  the   confidentiality  agreement                                                                    
     related   to   [the   Alaska   LNG   Project   (AKLNG)]                                                                    
     information,  and you  know, someone  has to  read that                                                                    
     and  agree to  the very  tough restrictions  available.                                                                    
     And this  would be  situated very  similar to  that, so                                                                    
     that   ...  no   information   could   be  shared,   no                                                                    
     information could be removed from  the room.  There are                                                                    
     criminal  penalties  actually   associated  with  this,                                                                    
     because it's  privileged tax  information, so  ... from                                                                    
     my   perspective,  that,   that   would   be  sort   of                                                                    
     restrictive enough and challenging enough that people                                                                      
     would really think about it.                                                                                               
                                                                                                                                
CO-CHAIR TARR added  that although it is unknown  how many people                                                               
would want to see the  information, Mr. Ruggiero advised that one                                                               
of the challenges legislators face  as policymakers is not having                                                               
access  to  enough information  in  order  to understand  "what's                                                               
working or what's not working."   She recalled a statement by Ken                                                               
Alper, Director, Tax Division, DOR,  that hundreds of millions of                                                               
dollars  have  been  spent  on   credits.    She  said  this  was                                                               
determined   by  the   division  from   aggregate  [income   tax]                                                               
information, and  his conclusion was  [50 percent of  the credits                                                               
led to production and 50 percent did not].                                                                                      
                                                                                                                                
CO-CHAIR TARR expressed her concern  that hundreds of millions of                                                               
dollars  were  spent that  didn't  lead  to production,  and  she                                                               
suggested  that [confidential  tax information]  "is the  type of                                                               
information   that  might   help   us   understand  it   better."                                                               
Furthermore, the goal is for  the legislature to improve [oil and                                                               
gas tax] policy, and the policy  would work better as a result of                                                               
having  certain   information.    She  acknowledged   this  is  a                                                               
sensitive  issue, which  is why  it  was important  to work  with                                                               
industry representatives  last year  to draft the  language found                                                               
in the bill; in fact, she  said she thought the concerns had been                                                               
resolved and was surprised by the  e-mail, but in the interest of                                                               
full  disclosure,  she  wanted  to  discuss  the  source  of  the                                                               
language in the bill.                                                                                                           
                                                                                                                                
3:57:02 PM                                                                                                                    
                                                                                                                                
REPRESENTATIVE  RAUSCHER   said  he  was  unsure   how  strict  a                                                               
provision  is that  states "legislators,  agents of  legislators,                                                               
contractors of legislators, [and]  legislative committees" and is                                                               
prefaced  by:    the  department may  disclose  confidential  tax                                                               
information  [to].   He  again  questioned  the legality  of  the                                                               
provision  and   advised  that  [confidential   information]  may                                                               
include  well  depth, viscosity,  static  line,  what control  is                                                               
needed, other  moving parts involved,  and the exact  location of                                                               
the oilfield.   Representative Rauscher  opined the  provision is                                                               
too broad, which is a problem.                                                                                                  
                                                                                                                                
3:58:18 PM                                                                                                                    
                                                                                                                                
REPRESENTATIVE BIRCH stated he did not  want to move the bill out                                                               
of committee.   He  read in part  from the  aforementioned fiscal                                                               
note  analysis,   on  page  2,   paragraph  1   [text  previously                                                               
provided], and then directed attention to the following:                                                                        
                                                                                                                                
     1.  Version N on page 28, line 15, which read:                                                                             
                                                                                                                                
            RETROACTIVITY. Section 2 of this Act is                                                                             
          retroactive to January 1, 2017.                                                                                       
                                                                                                                                
     2.  Version N on page 28, line 18, which read:                                                                             
                                                                                                                                
           Sec. 35. Except as provided in sec. 34 of                                                                          
          this Act, this Act takes effect January 1, 2018.                                                                      
                                                                                                                                
     3.  Fiscal note analysis on page 1, which read:                                                                            
                                                                                                                                
               ASSOCIATED REGULATIONS                                                                                           
          Does the bill direct, or  will the bill result in,                                                                    
          regulation changes adopted by your agency?  Yes.                                                                      
          If yes,  by what  date are  the regulations  to be                                                                    
          adopted, amended, or repealed?  01/01/19.                                                                             
                                                                                                                                
REPRESENTATIVE BIRCH inquired  as to how someone will  be able to                                                               
comport to  regulations that are  not written until  01/01/19 and                                                               
which the  legislature expects to  take effect one  year earlier.                                                               
Although the regulations  are key, the department  has until 2019                                                               
to develop  the regulations, while  the bill has  a retroactivity                                                               
provision in effect  January 2017.  He indicated  that the timing                                                               
is not in sync.                                                                                                                 
                                                                                                                                
CO-CHAIR TARR  noted that Representative  Birch brought  up three                                                               
different  components  of the  bill,  which  is confusing.    The                                                               
component that  is retroactive to  January 1, [2017],  is related                                                               
to the  interest on delinquent  taxes for expenditures  that have                                                               
already occurred;  the January 1, 2017,  date is set to  "sync up                                                               
with the existing  statute on interest on delinquent  taxes.  And                                                               
so, there wouldn't  be a gap in ... there  being one period where                                                               
one portion of  law applied, and then you'd have  a year gap, and                                                               
then you'd  have another statute.   So,  that syncs up  those two                                                               
sections.  So, that's why  there's retroactivity just on that one                                                               
part  of  the bill  -  that's  the  interest rate  on  delinquent                                                               
taxes."                                                                                                                         
                                                                                                                                
CO-CHAIR TARR, turning  to other provisions in  the bill, advised                                                               
that because all the taxes are  done on a calendar year basis and                                                               
this is  all prospective -  it changes neither  expenditures that                                                               
are  occurring  in the  current  calendar  year  nor any  of  the                                                               
accumulation of  credits that have  certificates due -  thus "the                                                               
rest of the  bill doesn't apply until January 1,  2018, so that's                                                               
the effective date  for that."  Once the bill  takes effect [DNR]                                                               
starts   drafting  the   regulations,  and   because  there   are                                                               
requirements  through the  regulatory process  to provide  public                                                               
comment  periods and  opportunities  for stakeholder  engagement,                                                               
the  producers would  not be  subject  to the  provisions of  the                                                               
regulatory  process  for  preapproval  until  such  time  as  the                                                               
regulations are completed.  She  concluded, "And so, that's [why]                                                               
... there's three different parts there with those dates."                                                                      
                                                                                                                                
REPRESENTATIVE BIRCH  argued that  it appears backwards  that the                                                               
bill   will  impose   legislation  on   the  industry,   but  the                                                               
regulations with which they are  supposed to conform are provided                                                               
a year later.                                                                                                                   
                                                                                                                                
CO-CHAIR TARR  responded that unfortunately that's  how it always                                                               
works; for example, the audits  from Alaska's Clear and Equitable                                                               
Share (ACES) tax policy [passed  in the Twenty-Fifth Alaska State                                                               
Legislature] were delayed because of  the amount of time taken to                                                               
draft  regulations.    She  pointed   out  that  regulations  are                                                               
specific to the  law that is taking effect and  therefore are not                                                               
drafted until the  law is enacted.  Co-Chair Tarr  added, "And on                                                               
that particular provision,  that's only the one part of  it - the                                                               
preapproval part of it - so  the regulations are specific to that                                                               
preapproval process.   You know, the other provisions  of the law                                                               
that could take effect on  January 1, 2018, would [take effect]."                                                               
Furthermore, the  delay in regulations  includes a  30-day public                                                               
comment period, during which all  the producers may want to weigh                                                               
in, and  after which the  comments are considered and  may result                                                               
in a second draft of  the regulations, followed by further public                                                               
comment; hopefully, this process  strengthens the work product by                                                               
allowing  time  for  the  producers and  DNR  to  work  together.                                                               
Although this  is not the  first time someone has  criticized the                                                               
length of  time it takes  to put regulations in  place, companies                                                               
are  not  subject to  the  provisions  of the  legislation  until                                                               
regulations are adopted, she said.                                                                                              
                                                                                                                                
4:04:45 PM                                                                                                                    
                                                                                                                                
REPRESENTATIVE BIRCH  asserted it  is wrong to  enact legislation                                                               
effective January  1, 2018, but not  formulate regulations during                                                               
the intervening eight  or nine months, and thus wait  a full year                                                               
for regulations  to be  in place.   He cautioned  the legislature                                                               
should be  wary of the  uncertainty it  is creating, not  only by                                                               
this  action, but  with  other efforts  that  "sow confusion  and                                                               
uncertainty"; for  example, a $300  million tax increase  and the                                                               
question of whether an initial investment can be recovered.                                                                     
                                                                                                                                
CO-CHAIR  TARR  stated that  allowing  the  department to  follow                                                               
regulatory procedures  would lead  to a stronger  review process,                                                               
because the  regulatory procedure would engage  the industry more                                                               
intimately than  during legislative  hearings.  For  example, she                                                               
said the  committee may  hear a  department budget  overview, but                                                               
during  the   regulatory  procedure  stakeholders   are  directly                                                               
engaged with the department and  its divisions.  She restated the                                                               
value of  public comment and  industry engagement to  all aspects                                                               
of legislation.                                                                                                                 
                                                                                                                                
REPRESENTATIVE  BIRCH, on  the topic  of public  comment, pointed                                                               
out public comment has been  overwhelmingly opposed to HB 111 and                                                               
in support  of continuing with  the tax policy enacted  by Senate                                                               
Bill 21  [passed in the  Twenty-Eighth Alaska  State Legislature]                                                               
and  House Bill  247.   He restated  his concern  related to  the                                                               
delay in writing regulations.                                                                                                   
                                                                                                                                
REPRESENTATIVE  JOHNSON expressed  her  belief  the committee  is                                                               
feeling pressured  to move the  bill out of committee,  an action                                                               
which she does  not support; furthermore, discussion  of the bill                                                               
has   raised   many   issues  that   are   unknown,   unintended,                                                               
unsubstantiated, and  illogical, and she questioned  the sense of                                                               
turning  over the  legislature's responsibility  to a  regulatory                                                               
agency.  In fact, doing so  may indicate that the legislature has                                                               
not  "written  clear law,  [and]  that  you  don't have  a  clear                                                               
understanding of where  you want to go."   Representative Johnson                                                               
suggested  oversight happens  when  the  producers oversee  their                                                               
business and the state protects  its own interests.  She recalled                                                               
experts  said  that HB  111  could  "put  us  at the  bottom"  of                                                               
companies   that   are  producing   oil,   in   terms  of   their                                                               
profitability, and their interest  in exploration and production.                                                               
Many  of her  constituents  have testified  against  HB 111,  and                                                               
across the state testimony has been  about two to one against the                                                               
bill;  further,  key  constituents  from the  North  Slope,  NANA                                                               
Regional Corporation,  and the Arctic Slope  Regional Corporation                                                               
have almost consistently testified against the bill.                                                                            
                                                                                                                                
4:10:39 PM                                                                                                                    
                                                                                                                                
CO-CHAIR TARR pointed out a motion  has not been made to move the                                                               
bill,  and,  at this  time,  the  committee  is invited  to  make                                                               
comments about  issues that  have been  raised.   In the  event a                                                               
motion  is  made,  there  will  be  an  opportunity  for  closing                                                               
comments.                                                                                                                       
                                                                                                                                
REPRESENTATIVE  RAUSCHER suggested  many of  the duties  the bill                                                               
charges to DNR  fall under the purview of the  Alaska Oil and Gas                                                               
Conservation Commission (AOGCC).  He  restated his belief that it                                                               
is illegal  for DOR to  release [confidential  information], thus                                                               
the bill  seeks to subvert  law and obtain said  information from                                                               
DNR  instead.   Furthermore,  he  questioned whether  legislators                                                               
have   the  ability   to  keep   secrets  as   required  by   the                                                               
confidentiality  provision in  the  legislation.   Representative                                                               
Rauscher also expressed  concern about tripling the  work of some                                                               
departments   and   reiterated   his  caution   about   obtaining                                                               
information   through   other   means  and   entrusting   it   to                                                               
legislators.                                                                                                                    
                                                                                                                                
CO-CHAIR TARR shared  Representative Rauscher's concern; however,                                                               
criminal  penalties for  disclosure would  be enough  to persuade                                                               
people to follow the law.   She recalled that the Alaska Stranded                                                               
Gas Development Act (SGDA) [passed  in the Twentieth Alaska State                                                               
Legislature  and updated  in 2003]  was a  circumstance in  which                                                               
legislators  had  to  sign a  confidentiality  agreement  to  see                                                               
certain  information, which  will be  the  same for  AKLNG.   She                                                               
acknowledged  the   industry's  perspective   is  that   when  in                                                               
competition  with  other  companies, [confidentiality]  is  their                                                               
biggest  concern.    Co-Chair Tarr  stressed  the  separation  of                                                               
powers  between DNR,  the agency  that  is acting  as the  actual                                                               
resource manager, and DOR, the agency that is reviewing taxes.                                                                  
                                                                                                                                
CO-CHAIR TARR  observed that the  committee has held  17 hearings                                                               
of HB 111,  received over 104 written comments, and  heard over 5                                                               
hours  of public  testimony from  approximately 125  individuals.                                                               
She  said  the  written  comments   were  not  overwhelmingly  in                                                               
opposition.    Also heard  were  4  hours of  industry  testimony                                                               
during the  overview of [Alaska's oil  and gas tax system]  and 4                                                               
hours  of industry  testimony related  to the  proposed bill,  as                                                               
well  as  multiple presentations  from  DOR  and the  legislative                                                               
consultant, Mr.  Ruggiero, thus the co-chairs  feel the committee                                                               
has thoroughly vetted the bill.                                                                                                 
                                                                                                                                
4:15:02 PM                                                                                                                    
                                                                                                                                
CO-CHAIR  JOSEPHSON  moved  to   report  CSHB  111,  Version  30-                                                               
LS0450\N,  Nauman,  3/10/17,  out of  committee  with  individual                                                               
recommendations and the accompanying two fiscal notes.                                                                          
                                                                                                                                
4:15:14 PM                                                                                                                    
                                                                                                                                
REPRESENTATIVE JOHNSON  objected.   She disagreed that  the final                                                               
version  of  the  bill  has been  thoroughly  vetted;  the  first                                                               
hearings  were focused  on modeling  and  discussion, which  were                                                               
characterized as "educational," and  therefore, the committee has                                                               
not had  sufficient time to  review the bill.   Furthermore, much                                                               
of the  debate has not  been specific  as to the  consequences of                                                               
the legislation,  and the committee  does not "have a  good sense                                                               
of where  this will  take us."   Representative Johnson  said she                                                               
was  reluctant to  vote  on legislation  without  complete -  not                                                               
indeterminate   -  fiscal   notes.     She  concluded   that  the                                                               
legislation contains  too many unknowns  which cause her  to vote                                                               
against the bill.                                                                                                               
                                                                                                                                
REPRESENTATIVE PARISH  commented that HB  111 is a small  step in                                                               
the right  direction.  He  said Mr. Ruggiero advised  that Alaska                                                               
was  near  the  bottom  in  the world  in  terms  of  information                                                               
transparency, and he  agreed with the consultant  that before the                                                               
state  makes   a  35  percent   investment  in  a   project,  the                                                               
legislature  should know  in what  it is  investing the  people's                                                               
money;  however, the  legislature doesn't  have a  right to  that                                                               
information under current law, which  is an overwhelming problem.                                                               
Representative Parish  expressed appreciation for the  work on HB                                                               
111, and although  it is somewhat more  generous toward industry,                                                               
said he is content with the  proposed bill; in fact, HB 111 would                                                               
eliminate  paying   "the  people's   money"  to  industry.     He                                                               
reemphasized that currently  the state does not  have the ability                                                               
to determine  its investment because  producers do not  choose to                                                               
disclose pertinent  information.   In fact,  Alaska has  been lax                                                               
and irresponsible,  failing in its  responsibility to  the people                                                               
of  the  state  to  getting   the  information  necessary  to  be                                                               
responsible investors.  Furthermore,  he said the legislature has                                                               
sunk  billions of  dollars into  projects from  which, hopefully,                                                               
the  state will  see substantial  returns, but  he urged  for the                                                               
legislature  to  be better  informed,  and  he expressed  support                                                               
specific to the dry hole credit and uplift.                                                                                     
                                                                                                                                
4:19:42 PM                                                                                                                    
                                                                                                                                
REPRESENTATIVE  TALERICO   stated  that   the  committee   has  a                                                               
responsibility  to  look  at  actual trends  and  data  that  are                                                               
currently available,  for example, the increase  in throughput in                                                               
the Trans-Alaska Pipeline System  (TAPS).  Testimony from Alyeska                                                               
Pipeline  Service Company  was  compelling in  that  more oil  is                                                               
needed in  TAPS.  He  said the existing  oil and gas  tax system,                                                               
and  the  adjustments  thereto,   have  garnered  enthusiasm  and                                                               
promise on the  producers' part to go ahead and  produce more oil                                                               
and  get more  oil in  the pipeline,  as shown  by data  from the                                                               
first two  months of this  year.   Referring to the  stability of                                                               
the system, he pointed out  the legislation adopted last year has                                                               
not  been put  in  place, yet  HB 111  would  bring more  change.                                                               
Turning to  DNR's preapproval of  lease expenditures,  he assured                                                               
the  committee   DOR  follows  criteria  to   determine  what  it                                                               
considers to  be a  legitimate lease  expenditure, and  he asked,                                                               
"Does  [HB 111]  have  a  blanket policy  where  the criteria  is                                                               
established so  the people  know well  ahead of  time -  prior to                                                               
bidding on a lease  and paying the State of Alaska  for it - what                                                               
that  expense   might  be,  or  regulatory-wise   would  this  be                                                               
individual cases to  be looked at?"  He  cautioned the [provision                                                               
for review] regulatory  structure would cause a  lot of questions                                                               
from  the  industry,  because  DNR  would  be  looking  at  lease                                                               
expenditures, but another department would  handle the money.  He                                                               
urged for  DOR to  continue in its  responsibility, as  DOR staff                                                               
"are  our  money  experts,  there's   no  question  about  that";                                                               
conversely, DNR  staff are  the state's  land experts,  and could                                                               
develop a regulatory  system that is "a blanket with  a full list                                                               
of ... what those approvals might be."                                                                                          
                                                                                                                                
REPRESENTATIVE  TALERICO acknowledged  that  there are  a lot  of                                                               
different  attitudes  and opinions  in  the  room, creating  some                                                               
disagreement.  He remarked:                                                                                                     
                                                                                                                                
     When  we talk  about multi-nationals  and writing  them                                                                    
     checks, I'm not sure that  happens.  And I think [there                                                                    
     are]  people  [who]  have  produced  more  than  50,000                                                                    
     barrels  a day  and never  get any  money -  I'm pretty                                                                    
     sure that's  what happens.   And  I think  the cashable                                                                    
     credits  were really  designed for  the mid-major  type                                                                    
     and  smaller explorers  and operators  that would  come                                                                    
     in, and ... the history  of that was to encourage those                                                                    
     people to  come up  here and produce  more.   So, those                                                                    
     are ... the biggest concerns that I have.                                                                                  
                                                                                                                                
REPRESENTATIVE  TALERICO  recalled   a  presentation  related  to                                                               
another  bill,   noting  his  previous  concern   about  programs                                                               
affecting other areas  of the state that  were providing enormous                                                               
incentives without  much return; these incentives  were addressed                                                               
with  great  difficulty two  years  ago,  and  he urged  for  the                                                               
adjustments   to   be   given   the  chance   to   take   effect.                                                               
Representative Talerico  acknowledged the legislature  will never                                                               
come  up  with  a  perfect   tax  scenario  for  the  state,  the                                                               
producers,  and  others,  and  said  he  would  not  support  the                                                               
proposed legislation.                                                                                                           
                                                                                                                                
4:24:55 PM                                                                                                                    
                                                                                                                                
REPRESENTATIVE BIRCH  opined that the committee,  the legislature                                                               
and the  state "can do  better."  He  remarked on the  history of                                                               
the development  of the state's  resources and  said predecessors                                                               
serving on the House Resources  Standing Committee had the vision                                                               
and wisdom to realize that  to be really successful, Alaska needs                                                               
to  develop  a  collaborative   partnership  [with  business]  in                                                               
building Alaska's  future.  Although the  proposed legislation is                                                               
focused  on   raising  revenue,   the  state  needs   to  attract                                                               
investment and  to keep oil  flowing through  TAPS.  He  said the                                                               
existing tax  structure -  which should be  allowed to  remain in                                                               
place -  has met with success  in that there have  been promising                                                               
finds in  the oilfields,  and the  state must  remain competitive                                                               
from an  investment standpoint.   Representative Birch  urged the                                                               
committee  to  be  embracing  and supporting  the  oil  and  gas,                                                               
mining,   timber,  and   fishing  industries   -  "not   throwing                                                               
roadblocks  and   striking  fear  and  putting   uncertainty  and                                                               
instability in front  of ... everybody," which is  what he opined                                                               
this legislation does.                                                                                                          
                                                                                                                                
CO-CHAIR  JOSEPHSON agreed  in part  with Representative  Johnson                                                               
that some  of the early presentations  on the bill were  meant to                                                               
be  educational; however,  the proposed  legislation has  existed                                                               
for almost 45  days.  He said  the intent of the  co-chairs is to                                                               
focus  the  bill  on  the  unfinished work  in  House  Bill  247;                                                               
although House Bill  247 mostly affected Cook Inlet,  it placed a                                                               
cap on  the eligibility for  cash for  non-producers [statewide].                                                               
Many of the features of Version  N are consistent with House Bill                                                               
247 and are not far from the  original version of HB 111, such as                                                               
increasing  the gross  floor to  assure  the state  a hard  floor                                                               
minimum.  For  example, prior to House Bill 247,  and even today,                                                               
many credits  can penetrate the  [percentage of  interest] floor,                                                               
so the  4 percent [interest  rate} within  Senate Bill 21  is not                                                               
guaranteed.  He acknowledged industry  is suffering at this time;                                                               
however, Senate  Bill 21  provided a  very generous  portfolio of                                                               
credits that were  affordable when the state  received $9 billion                                                               
a year, but  that are not affordable when the  state brings in $1                                                               
billion a  year - much  of which is royalty  - as in  fiscal year                                                               
2017 (FY 17).                                                                                                                   
                                                                                                                                
CO-CHAIR  JOSEPHSON said  adjusting  the per  barrel credit  that                                                               
impacts  the  $70 to  $120  range  in  oil  price per  barrel  is                                                               
appropriate.  He restated that  one thing that was not understood                                                               
in Senate Bill  21 was that the effective tax  rate was not going                                                               
to match  the operating loss  credit -  except at $170  a barrel,                                                               
thus  it is  reasonable to  change the  interest rate.   Although                                                               
there  is criticism  that the  state's auditors  are slow  to get                                                               
their work done, and there are  efforts to increase the number of                                                               
auditors,  the elimination  of compounding  interest after  three                                                               
years  may  instigate  litigation   and  more  dispute  over  tax                                                               
returns.                                                                                                                        
                                                                                                                                
4:30:56 PM                                                                                                                    
                                                                                                                                
CO-CHAIR  JOSEPHSON,  in  response to  Representative  Rauscher's                                                               
concern   about  taxpayer   confidentiality,   pointed  out   the                                                               
legislation gives 60 legislators,  and certain others, the option                                                               
of  using  their  own  discretion  in a  manner  similar  to  the                                                               
restraint  required  when convening  in  executive  session.   In                                                               
addition, constituents  may rightly question why  legislators are                                                               
privy to  information and they  are not.   Although there  is now                                                               
some dispute  with the Alaska  Oil and Gas Association  (AOGA) on                                                               
confidentiality, he  assured the committee a  compromise could be                                                               
reached.   Turning to the  projections of billions of  dollars in                                                               
return on state  investment from oilfields such as  Smith Bay, he                                                               
reminded  the committee  Colleen Glover,  Tax Division,  DOR, [in                                                               
testimony  before  the committee  on  2/22/17],  pointed out  the                                                               
project's net  present value (NPV) greatly  reduced the projected                                                               
return  and suggested  there were  other options  for what  to do                                                               
with the  state's money.   He stated his support  for independent                                                               
[oil and gas companies], for the  uplift feature in the bill, and                                                               
for the  state to begin to  substantially pay down the  amount of                                                               
"owed" tax credits, contingent on a fiscal plan.                                                                                
                                                                                                                                
4:33:08 PM                                                                                                                    
                                                                                                                                
CO-CHAIR JOSEPHSON remarked  that HB 111 would  also provide that                                                               
the  gross  value at  the  point  of  production could  never  be                                                               
beneath zero,  because "one would  think that if  you're standing                                                               
at the wellhead,  the oil is always going to  have some value; if                                                               
it's not,  it probably shouldn't  be drilled."  In  comparison to                                                               
other  proposed oil  and gas  tax legislation,  and proposals  by                                                               
Robin O. Brena [in testimony  before the committee on 2/3/17], HB                                                               
111  is a  very  moderate  bill that  attempts  to establish  the                                                               
state's reasonable  share during periods  of both low  prices and                                                               
moderate  to high  prices;  under existing  law,  the state  gets                                                               
nowhere near  the 33  percent target set  by former  Governor Jay                                                               
Hammond.   He concluded that  HB 111 may have  its imperfections,                                                               
but it is a reasonable improvement, and he stated his support.                                                                  
                                                                                                                                
4:34:23 PM                                                                                                                    
                                                                                                                                
CO-CHAIR TARR thanked  the committee for its  work; the diversity                                                               
of background  and points of view  is what makes the  work by the                                                               
committee  stronger.   She recalled,  as the  only member  of the                                                               
House Resources  Standing Committee who  was a member  during the                                                               
contemplation  of Senate  Bill  21,  oil was  $94  a barrel;  the                                                               
committee did  not study the  effects of  $40 to $50  oil prices,                                                               
because over  the prior 10 years,  the price of oil  had remained                                                               
between $60 and $100, except for  one spike to $147.  She offered                                                               
her view that the committee at  that time did not consider that a                                                               
lower price environment [could become] the new normal.                                                                          
                                                                                                                                
CO-CHAIR  TARR said  she  heard previous  testimony  that at  the                                                               
current lower  oil prices, more  credits will be earned  than the                                                               
state  receives   in  production   taxes,  which  is   a  problem                                                               
considering the  legislature must determine  how to fund  all the                                                               
state's  responsibilities  including   providing  public  safety,                                                               
education,  resource management,  the University  of Alaska,  and                                                               
health  care  services.   Furthermore,  in  response to  industry                                                               
testimony of the  strains the lower price environment  has put on                                                               
the industry,  more modest adjustments  were made to  the minimum                                                               
tax and  to the per barrel  credit in the bill,  and the windfall                                                               
provision was added.                                                                                                            
                                                                                                                                
CO-CHAIR  TARR said  the information  gathering component  of the                                                               
bill  will help  legislators be  good policymakers  and to  build                                                               
trust with  the public in  light of  the public awareness  of the                                                               
build-up   of  credits   and  the   resulting  pressure   on  the                                                               
legislature   to  address   this   issue.     She  reviewed   the                                                               
recommendations made by  the consultant that are  included in the                                                               
bill:  carry forward losses,  uplift, dry hole credit, and access                                                               
to information.   Co-Chair Tarr said  she hopes that if  the bill                                                               
is passed out  of committee, members would continue  to work with                                                               
the sponsors and bring ideas forward.  She closed as follows:                                                                   
                                                                                                                                
     Our goal is  stability for the industry and  ... to get                                                                    
     more  oil  into the  pipeline.    And I  heard  Admiral                                                                    
     Barrett [president,  Alyeska Pipeline  Service Company]                                                                    
     loud and clear  like all of you, that that's  got to be                                                                    
     a priority for  both, you know, our  revenue and what's                                                                    
     necessary  to  maintain that  critical  infrastructure.                                                                    
     ... We  have, I  think, similar  goals, coming  at them                                                                    
     from a little  bit different ways, but,  again, I feel,                                                                    
     just really  fortunate to have  worked with all  of you                                                                    
     to work through the process  and all the good ideas you                                                                    
     brought along, and all the  challenges, and so we could                                                                    
     try and get it right.                                                                                                      
                                                                                                                                
4:38:42 PM                                                                                                                    
                                                                                                                                
REPRESENTATIVE JOHNSON [maintained her objection].                                                                              
                                                                                                                                
4:38:44 PM                                                                                                                    
                                                                                                                                
A roll  call vote was  taken.  Representatives  Parish, Westlake,                                                               
Drummond, Josephson,  and Tarr  voted in favor  of the  motion to                                                               
report  CSHB 111,  Version 30-LS0450\N,  Nauman, 3/10/17,  out of                                                               
committee  with individual  recommendations and  the accompanying                                                               
fiscal  notes.   Representatives  Birch,  Johnson, Rauscher,  and                                                               
Talerico  voted  against  it.     Therefore,  CSHB  111(RES)  was                                                               
reported out of the House  Resources Standing Committee by a vote                                                               
of 5-4.                                                                                                                         

Document Name Date/Time Subjects
HB087 Sponsor Statement 2.7.17.pdf HFSH 2/9/2017 10:00:00 AM
HRES 3/14/2017 3:00:00 PM
HRES 3/20/2017 7:00:00 PM
HB 87
HB087 Sponsor Statement ver R 3.10.17.pdf HRES 3/13/2017 1:00:00 PM
HRES 3/14/2017 3:00:00 PM
HRES 3/15/2017 1:00:00 PM
HRES 3/20/2017 7:00:00 PM
HB 87
HB087 Supporting Document APHA 3.13.17.pdf HRES 3/13/2017 1:00:00 PM
HRES 3/14/2017 3:00:00 PM
HRES 3/15/2017 1:00:00 PM
HRES 3/20/2017 7:00:00 PM
HB 87
HB087 Supporting Document - Letter of Support UFA 3.13.17.pdf HRES 3/14/2017 3:00:00 PM
HRES 3/15/2017 1:00:00 PM
HRES 3/20/2017 7:00:00 PM
HB 87
HB087 ver R H FSH CS 3.12.17.PDF HRES 3/13/2017 1:00:00 PM
HRES 3/14/2017 3:00:00 PM
HRES 3/15/2017 1:00:00 PM
HRES 3/20/2017 7:00:00 PM
HB 87
HB087 Support Lynch.pdf HRES 3/13/2017 1:00:00 PM
HRES 3/14/2017 3:00:00 PM
HRES 3/15/2017 1:00:00 PM
HRES 3/20/2017 7:00:00 PM
HB 87
HB087 Oppose RHAK.pdf HRES 3/13/2017 1:00:00 PM
HRES 3/14/2017 3:00:00 PM
HRES 3/15/2017 1:00:00 PM
HRES 3/20/2017 7:00:00 PM
HB 87
HB087 Support CDFU.pdf HFSH 2/14/2017 10:00:00 AM
HRES 3/13/2017 1:00:00 PM
HRES 3/14/2017 3:00:00 PM
HRES 3/15/2017 1:00:00 PM
HRES 3/20/2017 7:00:00 PM
HB 87
HB087 Support ATA.pdf HFSH 2/9/2017 10:00:00 AM
HRES 3/13/2017 1:00:00 PM
HRES 3/14/2017 3:00:00 PM
HRES 3/20/2017 7:00:00 PM
HB 87
HB087 Support SEAFA.pdf HFSH 2/9/2017 10:00:00 AM
HRES 3/14/2017 3:00:00 PM
HRES 3/20/2017 7:00:00 PM
HB 87
HB087 Support SPC.pdf HFSH 2/14/2017 10:00:00 AM
HRES 3/13/2017 1:00:00 PM
HRES 3/14/2017 3:00:00 PM
HRES 3/15/2017 1:00:00 PM
HRES 3/20/2017 7:00:00 PM
HB 87
HB111 DOR Fiscal Note Back-Up for CSHB111(RES).pdf HRES 3/13/2017 1:00:00 PM
HRES 3/14/2017 3:00:00 PM
HB 111
HB111 Version N 3.10.17.pdf HRES 3/10/2017 1:00:00 PM
HRES 3/13/2017 1:00:00 PM
HRES 3/14/2017 3:00:00 PM
HB 111
HB 111- CS Ver N Comparison 3.10.17.pdf HRES 3/10/2017 1:00:00 PM
HRES 3/13/2017 1:00:00 PM
HRES 3/14/2017 3:00:00 PM
HB 111
HJR012 Sponsor Statement 2.22.17.pdf HFSH 2/28/2017 10:00:00 AM
HRES 3/13/2017 1:00:00 PM
HRES 3/14/2017 3:00:00 PM
HRES 3/15/2017 1:00:00 PM
HRES 3/20/2017 7:00:00 PM
HRES 3/22/2017 6:00:00 PM
HJR 12
HJR012 ver A 2.22.17.PDF HFSH 2/28/2017 10:00:00 AM
HRES 3/13/2017 1:00:00 PM
HRES 3/14/2017 3:00:00 PM
HRES 3/15/2017 1:00:00 PM
HRES 3/20/2017 7:00:00 PM
HRES 3/22/2017 6:00:00 PM
HJR 12
HJR012 Fiscal Note LEG-SESS-02-23-17.pdf HFSH 2/28/2017 10:00:00 AM
HRES 3/13/2017 1:00:00 PM
HRES 3/14/2017 3:00:00 PM
HRES 3/20/2017 7:00:00 PM
HRES 3/22/2017 6:00:00 PM
HJR 12
HJR012 Support - Alaska Trollers Association 2.27.17.pdf HFSH 2/28/2017 10:00:00 AM
HRES 3/13/2017 1:00:00 PM
HRES 3/14/2017 3:00:00 PM
HRES 3/15/2017 1:00:00 PM
HRES 3/20/2017 7:00:00 PM
HRES 3/22/2017 6:00:00 PM
HJR 12
HJR012 Support - Southeast Alaska Fishermen's Alliance 2.27.17.pdf HFSH 2/28/2017 10:00:00 AM
HRES 3/13/2017 1:00:00 PM
HRES 3/14/2017 3:00:00 PM
HRES 3/15/2017 1:00:00 PM
HRES 3/20/2017 7:00:00 PM
HRES 3/22/2017 6:00:00 PM
HJR 12
HJR012 Support - Petersburg Vessel Owners Association 2.27.17.pdf HFSH 2/28/2017 10:00:00 AM
HRES 3/13/2017 1:00:00 PM
HRES 3/14/2017 3:00:00 PM
HRES 3/15/2017 1:00:00 PM
HRES 3/20/2017 7:00:00 PM
HRES 3/22/2017 6:00:00 PM
HJR 12
HJR012 Support - Southeast Alaska Seiners Association 2.27.17.pdf HFSH 2/28/2017 10:00:00 AM
HRES 3/13/2017 1:00:00 PM
HRES 3/14/2017 3:00:00 PM
HRES 3/15/2017 1:00:00 PM
HRES 3/20/2017 7:00:00 PM
HRES 3/22/2017 6:00:00 PM
HJR 12
HJR012 Support - United Southeast Alaska Gillnetters 2.27.17.pdf HFSH 2/28/2017 10:00:00 AM
HRES 3/13/2017 1:00:00 PM
HRES 3/14/2017 3:00:00 PM
HRES 3/15/2017 1:00:00 PM
HRES 3/20/2017 7:00:00 PM
HRES 3/22/2017 6:00:00 PM
HJR 12
HJR012 Supporting Document-Alaska Dispatch News Article 2.22.17.pdf HFSH 2/28/2017 10:00:00 AM
HRES 3/13/2017 1:00:00 PM
HRES 3/14/2017 3:00:00 PM
HRES 3/15/2017 1:00:00 PM
HRES 3/20/2017 7:00:00 PM
HRES 3/22/2017 6:00:00 PM
HJR 12
HJR012 Supporting Document-Reps. Young and Defazio 2.22.17.pdf HFSH 2/28/2017 10:00:00 AM
HRES 3/13/2017 1:00:00 PM
HRES 3/14/2017 3:00:00 PM
HRES 3/15/2017 1:00:00 PM
HRES 3/20/2017 7:00:00 PM
HRES 3/22/2017 6:00:00 PM
HJR 12
HJR012 Supporting Document-Sen. Murkowski 2.22.17.pdf HFSH 2/28/2017 10:00:00 AM
HRES 3/13/2017 1:00:00 PM
HRES 3/14/2017 3:00:00 PM
HRES 3/15/2017 1:00:00 PM
HRES 3/20/2017 7:00:00 PM
HJR 12
HJR012 Support - United Fishermen of Alaska.pdf HFSH 2/28/2017 10:00:00 AM
HRES 3/14/2017 3:00:00 PM
HRES 3/15/2017 1:00:00 PM
HRES 3/20/2017 7:00:00 PM
HRES 3/22/2017 6:00:00 PM
HJR 12
HJR012 Supporting Document - Presentation House Resources Committee 3.12.17.pdf HFSH 2/28/2017 10:00:00 AM
HRES 3/13/2017 1:00:00 PM
HRES 3/14/2017 3:00:00 PM
HRES 3/15/2017 1:00:00 PM
HRES 3/20/2017 7:00:00 PM
HRES 3/22/2017 6:00:00 PM
HJR 12
HJR012 Version D (FSH) 3.12.17.PDF HRES 3/13/2017 1:00:00 PM
HRES 3/14/2017 3:00:00 PM
HRES 3/15/2017 1:00:00 PM
HRES 3/20/2017 7:00:00 PM
HRES 3/22/2017 6:00:00 PM
HJR 12
HJR012 Supporting Document - Letter of Support from SalmonState.pdf HRES 3/13/2017 1:00:00 PM
HRES 3/14/2017 3:00:00 PM
HRES 3/15/2017 1:00:00 PM
HRES 3/20/2017 7:00:00 PM
HRES 3/22/2017 6:00:00 PM
HJR 12
HJR012 Supporting Document - Letter of Support Nelson 3.13.17.pdf HRES 3/13/2017 1:00:00 PM
HRES 3/14/2017 3:00:00 PM
HRES 3/15/2017 1:00:00 PM
HRES 3/20/2017 7:00:00 PM
HRES 3/22/2017 6:00:00 PM
HJR 12
HB032 Supporting Document - Sponsor Statement.pdf HRES 3/13/2017 1:00:00 PM
HRES 3/14/2017 3:00:00 PM
HRES 3/15/2017 1:00:00 PM
HRES 3/20/2017 7:00:00 PM
HRES 3/22/2017 6:00:00 PM
HB 32
HB032 version A 3.12.17.PDF HRES 3/13/2017 1:00:00 PM
HRES 3/14/2017 3:00:00 PM
HRES 3/15/2017 1:00:00 PM
HRES 3/20/2017 7:00:00 PM
HRES 3/22/2017 6:00:00 PM
HB 32
HB032 Fiscal Note - DEC 3.12.17.pdf HRES 3/13/2017 1:00:00 PM
HRES 3/14/2017 3:00:00 PM
HRES 3/15/2017 1:00:00 PM
HRES 3/20/2017 7:00:00 PM
HRES 3/22/2017 6:00:00 PM
HB 32
HB32 Supporting Document - GMO Q & A 3.12.17.pdf HRES 3/13/2017 1:00:00 PM
HRES 3/14/2017 3:00:00 PM
HRES 3/15/2017 1:00:00 PM
HRES 3/20/2017 7:00:00 PM
HRES 3/22/2017 6:00:00 PM
HB 32
HB032 Supporting Document - Letter of Support UFA 3.13.17.pdf HRES 3/13/2017 1:00:00 PM
HRES 3/14/2017 3:00:00 PM
HRES 3/15/2017 1:00:00 PM
HRES 3/20/2017 7:00:00 PM
HRES 3/22/2017 6:00:00 PM
HB 32
HB32 Supporting Document - NY Times Article 3.12.17.pdf HRES 3/13/2017 1:00:00 PM
HRES 3/14/2017 3:00:00 PM
HRES 3/15/2017 1:00:00 PM
HRES 3/20/2017 7:00:00 PM
HRES 3/22/2017 6:00:00 PM
HB 32
HB32 Supporting Document - HB 92 - AK Trollers Association Letter of Support.pdf HRES 3/13/2017 1:00:00 PM
HRES 3/14/2017 3:00:00 PM
HRES 3/15/2017 1:00:00 PM
HRES 3/20/2017 7:00:00 PM
HRES 3/22/2017 6:00:00 PM
HB 32
HB32 Supporting Document - HB 92 Consolidated Letters of Support 3.12.17.pdf HRES 3/13/2017 1:00:00 PM
HRES 3/14/2017 3:00:00 PM
HRES 3/15/2017 1:00:00 PM
HRES 3/20/2017 7:00:00 PM
HRES 3/22/2017 6:00:00 PM
HB 32
HB32 Supporting Document - Info Graphic 3.12.17.pdf HRES 3/13/2017 1:00:00 PM
HRES 3/14/2017 3:00:00 PM
HRES 3/15/2017 1:00:00 PM
HRES 3/20/2017 7:00:00 PM
HRES 3/22/2017 6:00:00 PM
HB 32
HB32 Supporting Document - Letter of Support for HB 92 3.12.17.pdf HRES 3/13/2017 1:00:00 PM
HRES 3/14/2017 3:00:00 PM
HRES 3/15/2017 1:00:00 PM
HRES 3/20/2017 7:00:00 PM
HRES 3/22/2017 6:00:00 PM
HB 32
HB32 Supporting Document - News Article #2 3.12.17.pdf HRES 3/13/2017 1:00:00 PM
HRES 3/14/2017 3:00:00 PM
HRES 3/15/2017 1:00:00 PM
HRES 3/20/2017 7:00:00 PM
HRES 3/22/2017 6:00:00 PM
HB 32
HB32 Supporting Document - News Article #3 3.12.17.pdf HRES 3/13/2017 1:00:00 PM
HRES 3/14/2017 3:00:00 PM
HRES 3/15/2017 1:00:00 PM
HRES 3/20/2017 7:00:00 PM
HRES 3/22/2017 6:00:00 PM
HB 32
HB32 Supporting Document - News Article #4 3.12.17.pdf HRES 3/13/2017 1:00:00 PM
HRES 3/14/2017 3:00:00 PM
HRES 3/15/2017 1:00:00 PM
HRES 3/20/2017 7:00:00 PM
HRES 3/22/2017 6:00:00 PM
HB 32
HB32 Supporting Document - News Article #5 3.12.17.pdf HRES 3/13/2017 1:00:00 PM
HRES 3/14/2017 3:00:00 PM
HRES 3/15/2017 1:00:00 PM
HRES 3/20/2017 7:00:00 PM
HRES 3/22/2017 6:00:00 PM
HB 32
HB111 Opposing Document - AOGA Reaction to CS 03.14.17.pdf HRES 3/14/2017 3:00:00 PM
HB 111
HJR012 Supporting Document - Letter of Support from Trojan 3.14.17_Redacted.pdf HRES 3/14/2017 3:00:00 PM
HRES 3/15/2017 1:00:00 PM
HRES 3/20/2017 7:00:00 PM
HRES 3/22/2017 6:00:00 PM
HJR 12
HB111 Fiscal Note DNR-DOG 3.14.17.pdf HRES 3/14/2017 3:00:00 PM
HB 111