Legislature(2007 - 2008)SENATE FINANCE 532
07/22/2008 09:00 AM Senate FINANCE
| Audio | Topic |
|---|---|
| Start | |
| SB4001 | |
| Adjourn |
* first hearing in first committee of referral
+ teleconferenced
= bill was previously heard/scheduled
+ teleconferenced
= bill was previously heard/scheduled
| += | SB4001 | TELECONFERENCED | |
| += | SB4002 | TELECONFERENCED | |
| += | SB4003 | TELECONFERENCED | |
| += | SB4004 | TELECONFERENCED | |
SENATE BILL NO. 4001
"An Act making supplemental appropriations, capital
appropriations, re-appropriations, and other
appropriations; making appropriations to capitalize a
fund; and providing for an effective date."
9:13:21 AM
KAREN REHFELD, DIRECTOR, OFFICE OF MANAGEMENT AND BUDGET
(OMB), explained the bill totals $377 million in new funds
requested for the Alaska Gas Line Inducement Act (AGIA) and
requests consideration for re-appropriation of $336 million
currently in the Alaska Housing Finance Corporation's (AHFC)
account to go towards the AGIA reimbursement fund. New funds
requested would support infrastructure projects along
Alaska's road systems, workforce development, instate gas
use and project implementation required under the Department
of Natural Resources (DNR).
9:15:04 AM
Senator Elton asked Ms. Rehfeld to discuss the connection
between appropriations requested for fiscal year 2009 and
the $2 billion plus expected for follow up in the next four
to five years. He stated his concern for constrained capital
budgets in other arenas due to significant expenditures that
will be needed for the project in the future. Ms. Rehfeld
explained that the departments had been working on
identifying all the infrastructure needs in building the
pipeline and developing a 10 year plan, which has yet to be
mapped out but will be included in OMB's budget for next
year. She stressed that there are significant infrastructure
needs.
Senator Elton reiterated that there would be significant
future expenditures and questioned if there would be
constrained capital budgets in other arenas in future years.
9:17:30 AM
Ms. Rehfeld noted that significant improvements would be
needed in transportation infrastructure: ports, highways,
and bridges. Some of the appropriations such as training are
designed to be for five years, but others are only in the
initial stages and would require future requests.
Senator Elton expressed concern regarding the impact on
future capital needs not related to AGIA.
9:19:20 AM
Co-Chair Stedman observed that the Senate Finance Committee
asked the administration for historical analysis of
expenditures dealing with AGIA in particular, and the gas
line in general. He hoped that this information would
address Senator Elton's concerns.
Senator Elton asked "How many capital dollars could be spent
if the workforce was place?" Ms. Rehfeld stated that the
administration is currently having that conversation.
9:23:09 AM
Senator Huggins believed it was important to approach the
situation programmatically. He wanted to look at the project
within the context of the operation of the rest of the
state.
9:25:02 AM
PAT GALVIN, COMMISSIONER, DEPARTMENT OF REVENUE, provided
information regarding the requested appropriation of $500
million to be set aside for qualified expenditures as they
are presented to the Department of Revenue (DOR) for
reimbursement under the AGIA license. The request would
transfer funds that were set aside in prior years by the
AHFC for future gas line expenditures ($300 million) as well
as the interest earnings to the AGIA account. General funds
would be added to fully fund the AGIA reimbursable account.
He emphasized that it would be a good faith gesture on the
part of the state, the money is available, and the state has
the obligation under the license.
9:27:17 AM
Co-Chair Stedman observed that use of money set aside in the
AHFC fund has been discussed before. He asked why the
legislature would use money from the capital fund when ample
cash resources are available from the constitutional,
statutory, and earnings reserves. Commissioner Galvin stated
that DOR believes that the money had been set aside, on the
record, for the purpose of the gas line. He maintained that
the $500 million needs go into the AGIA fund at this time,
but indicated the administration would not object if the
legislature wished to use general funds.
9:29:31 AM
Senator Elton asked how much of the $500 million needs to be
in the reimbursable fund by July 1, 2009. Commissioner
Galvin estimated that $30 million would be needed under the
TransCanada work plan. Senator Elton observed that the
current legislature may make different decisions regarding
appropriations for the project than future legislatures. He
suggested it might be more appropriate to fund what is
needed in the current fiscal year and allow the next
legislature to consider what is appropriate for the next
fiscal year. Commissioner Galvin argued that the funding
should be available immediately so the project can advance
as quickly as possible. He did not want to see the project
slowed down in order to allow an appropriation to catch up.
9:32:44 AM
Co-Chair Stedman asked for clarification regarding the
funding match set up in the AGIA license. Commissioner
Galvin explained that the AGIA license is set up as a 50/50
match for all expenditures between TransCanada and the state
up to an open season. After an open season is held the state
would be responsible for 90 percent of $500 million. He
explained that the full $500 million would be reimbursed in
approximately five years.
CoChair Stedman asked what kind of a timeframe was set for
the reimbursement. Commissioner Galvin said the AGIA statute
sets out the reimbursement schedule.
9:37:23 AM
Senator Thomas asked a question regarding accounting.
Commissioner Galvin stated that the issue was having the
funds available at the time they are needed. He maintained
the project timeframe should not be limited to the
appropriation the state allows; rather it should be able to
move along as quickly as physically possible. He emphasized
that setting the money aside now is a good faith gesture.
9:39:39 AM
Senator Thomas asked for clarity regarding the use of AHFC
for the project. Commissioner Galvin responded that the
money would not move and would still be managed by AHFC, but
would be dedicated to the AGIA reimbursement fund under the
terms of the license.
9:41:38 AM
Senator Elton asked if interest earned on the reimbursement
fund over time would go back into the general fund.
Commissioner Galvin said it could be set up that way.
JERRY BURNETT, DIRECTOR, DIVISION OF ADMINISTRATIVE
SERVICES, DEPARTMENT OF REVENUE, clarified that inducement
is limited to the $500 million and any excess interest would
be available to the legislature.
Co-Chair Stedman asked if reimbursement could be less that
$500 million with a successful open season. Commissioner
Galvin explained that reimbursement up to $500 million was
expected regardless of the outcome of the open season.
Senator Stedman asked about the issue of triple damages.
Commissioner Galvin clarified that the incursion of treble
damages would be the result of any future action by the
state and would be calculated upon the expenditures to date.
Treble damages would be addressed in the future if there is
a decision to support a competing project.
Mr. Burnett observed that interest on the fund would be
accounted for separately and available for appropriation on
an annual basis. The interest does not automatically stay in
the fund; it can be appropriated back to the fund or for any
other purpose.
9:45:00 AM
Senator Huggins suggested educating the public in phases and
funding the project in phases.
Commissioner Galvin maintained that putting money aside now
would be best for expediency. He stressed the state needs to
make the same full commitment to the project that
TransCanada has made.
Senator Elton voiced that he understood "political football"
and pointed out that this is not a dedicated fund;
TransCanada is not guaranteed the $500 million by future
legislatures.
9:49:30 AM
Senator Elton asked if the removal of the $336 million from
AHFC would alter the way the AHFC dividend is calculated.
Mr. Burnett said no. He explained that the money is
currently invested by the Department of the Treasury instead
of AHFC.
Commissioner Galvin agreed with Senator Elton that the
legislature would retain all authority to re-appropriate out
of the fund in the future. He asserted that the level of
comfort for the licensee would be higher knowing there was
the availability of the funds now, rather than having to
come back and ask for them to be added, while also
recognizing that at any time the legislature can re-
appropriate said funds.
AT EASE: 9:51:28 AM
RECONVENED: 10:03:09 AM
10:03:26 AM
Co-Chair Stedman provided a revised spreadsheet: 7/22
Revised Special Session Appropriation Summary (Copy on
File).
TOM IRWIN, COMMISSIONER, DEPARTMENT OF NATURAL RESOURCES,
provided members with a slide presentation, "AGIA, Gas
Pipeline Implementation" (Copy on File).
10:06:04 AM
In response to a question by Senator Elton, Commissioner
Irwin clarified that the slides pertain to the DNR fiscal
note for $15 million.
Commissioner Irwin explained the roles of DNR, DOR and the
governor's office:
· monitor TransCanada Alaska activities to ensure that it
fulfills its license obligations,
· to work to ensure that the first open season is
successful,
· monitor and audit pipeline expenditures,
· facilitate the issuance of environmental permits and
other government approvals.
Commissioner Irwin addressed the next slide titled
"Conformance with License." which notes that TransCanada is
required to diligently pursue its work plan and a team will
be assembled to ensure that it does so.
10:08:16 AM
Commissioner Irwin emphasized the desire of the state to
work with TransCanada to help ensure a successful open
season. He reviewed slide three: "Monitor Commercial
Developments and Conditions." He said DNR will:
· implement AGIA's upstream inducements:
- through Royalty Valuation and RIV/RIK switching
regulations
- possible fiscal certainty regulations
· Determine possible additional state inducements to help
ensure success of the first open season:
- resource assessments, manage state's relationship with
TransCanada, ongoing assessment of project costs and
economic conditions
- examination of Alaska's gas fiscal regime
The funding will provide DNR, DOR and the Governor's
Pipeline Coordinator with outside expertise to perform these
activities.
Senator Huggins asked Commissioner Irwin to expand upon the
term "resource assessments." Commissioner Irwin explained
that they will start at the gas fields and look at the
resources there, at the progress of TransCanada, and the
resource assessment they are putting into the project such
as the engineering and design aspects.
10:11:23 AM
Commissioner Irwin observed they would also monitor market
and consumer conditions. He added that 82 percent of
Canada's gas is currently exported to the United States and
they project the relationship will be similar in 2020.
Senator Huggins said the term "resource assessment"
automatically brought to mind "gas off-take." Commissioner
Irwin answered that was part of the assessment.
10:12:53 AM
Senator Huggins suggested a timeline to anticipate
milestones in the project such as gas off-take and in- state
gas. He specifically mentioned Point Thompson.
Senator Elton questioned if the $15 million was what would
be needed through fiscal year 2014. Commissioner Irwin said
that was correct. Senator Elton also questioned if the
administration needs that much money to monitor the work of
TransCanada, whether or not the legislature should be
monitoring the program as well and would the legislature
have access to the administration's experts. Commissioner
Irwin answered the administration would be accountable to
and in co-operation with the legislature.
10:14:45 AM
Commissioner Irwin emphasized that the stronger the unity
between the administration and the legislature the better
chance for success with the project. Senator Elton responded
that the project should be funded on a year by year basis to
make sure the legislature has access in the future. He
wondered if the best approach would be to fund the project
on a year by year basis. Commissioner Irwin maintained that
the project is going to move quickly and the money needs to
be available immediately.
10:16:45 AM
Commissioner Irwin stated that he could not project exact
numbers year to year, only estimated numbers over time.
Senator Elton requested a timeline of expected expenditures.
Commissioner Irwin said he would address that in the last
slide of his presentation.
Senator Huggins expressed frustration with Special Sessions
and the presentation. He asked for a timeline with fiscal
milestones.
10:20:01 AM
Commissioner Irwin stressed that TransCanada will
immediately go to work on a detailed design. The department
will update the costs and enter into discussions with all
parties on the North Slope, based on factual information. He
promised to give the legislature as much notice as possible
if the factual information indicates the need for further
inducements. He felt that the legislature would not want
them to delay.
Senator Huggins reiterated his request for a timeline.
Commissioner Irwin stressed that the more united the
legislature and the administration is the more likelihood
for success.
Commissioner Irwin continued with his presentation The
funding would provide DNR, DOR, and the governor's Pipeline
Coordinator with outside expertise to perform activities
stated on slide five:
-Tariffs and ratemaking
-Policies of the FERC, RCA and NEB
-Gas pipeline access
-Engineering and Project costs
-Project Economics
-Federal loan guarantees
-Project management
-Worldwide gas investment opportunities
-Pipeline development accounting
-Environmental oversight
10:23:44 AM
Commissioner Irwin broke down the estimated budget on the
final slide:
· Conformance with license provisions estimated cost
$7,500,000
· Monitoring commercial developments and conditions
estimated cost $6,500,000
· Oversight and Environmental Permit Coordination
estimated cost $1,000,000
· Total of $15,000,000.
Commissioner Irwin went further to break the budget down
with his best estimates to date. He would immediately shift
resources if there are opportunities to move the process
forward. Conformance with license conditions, using a
contracted team of four experts would be $1.25 million per
year. There is $250 thousand a year to provide outside
consultants to help with reimbursements and audit support.
There is a one year appropriation for $250 thousand in FY 09
for contractors to help develop royalty inducements and
another $1.25 million per year for a contractor team to
assess and possibly develop additional state inducements to
ensure a successful first open season. There would be
$200,000 per year for the pipeline coordinator. The funds
would be expended by DNR, but they could also be transferred
as a reimbursable services agreement (RSA) to the Department
of Law or the governor's office as appropriate.
10:26:20 AM
Commissioner Irwin expanded on the question "Why DNR?" He
stated that the department's Division of Oil and Gas is the
business arm of oil and gas. He elaborated that most of the
contracts done with consultants during the last process came
out of the oil and gas side of the world because of needed
knowledge and relationships specific to DNR.
Co-Chair Stedman asked what was new on the list of
expenditures that had not been requested during the regular
2008 legislative session. Commissioner Irwin said he wanted
to wait for the legislature to vote on AGIA. He felt it
would be presumptuous to ask for the funding for the program
before it had been voted on. Senator Stedman asked again for
a year-to-year breakdown for this section of the project.
Commissioner Irwin promised to provide him with a copy of
the estimated breakdown adding that flexibility with the
funds would be necessary.
Senator Elton reiterated his concerns regarding Reimbursable
Service Agreements (RSA). He asked why it would be necessary
to have outside contract accountants detailing how accounts
are dealt with rather than OMB or DOR. Commissioner Irwin
stated that the accounting could be done within the
department and emphasized that the plan for outside
contractors is a contingency. He stressed that the
department would work to enhance the process where possible.
10:33:09 AM
Commissioner Irwin insisted that DOR, DNR, and Department of
Law have worked well together to ensure that the funds will
go to the department that is accountable for providing the
expertise. The RSA from the governor's office is for the
individual who will provide oversight and environmental
permit co-ordination.
10:35:02 AM
LETA SIMONS, DIRECTOR, DIVISION OF SUPPORT SERVICES,
DEPARTMENT OF NATURAL RESOURCES, provided information about
past appropriations for the purpose of AGIA and gas
pipeline. She explained that the state has had $19,225,000
appropriated in the past, beginning at FY 05' for AGIA type
gas line purposes. There have been appropriations to the
commissioner's office for gas line workload, appropriations
to Oil and Gas for gas line workload, specifically capital
budget projects. Of those funds approximately $3 million
remains. There is also an on going $1.3 million that has
been moved to the governor's office that supports an
increased workload for the division of Oil and Gas, which
could be available for increased staff in the future.
10:37:21 AM
CLARK BISHOP, COMMISSIONER, DEPARTMENT OF LABOR AND
WORKFORCE DEVELOPMENT presented workforce division funding
request slides, "Gasline Workforce Development" (Copy on
File).
10:39:18 AM
GUY BELL, ASSISTANT COMMISSIONER AND DIRECTOR, DIVISION OF
ADMINISTRATIVE SERVICES, DEPARTMENT OF LABOR AND WORKFORCE
DEVELOPMENT, informed the committee that the total request
for workforce development is $42.7 million and that it is a
multi-agency partnership between DOL, the Department of
Education, the Post Secondary Education Commission, and the
University of Alaska. The Gasline Workforce Scholarship
Program would cost $4,500,000 over a five year period, and
would establish a scholarship program for recent high school
or general education degree graduates preparing for careers
in AGIA-related occupations requiring associates or
certificate level training and enrolling in programs of a
minimum of eight weeks in length and up to two years in
length. This would be a one-time project.
10:42:09 AM
Senator Elton queried funding all five years at once if the
program is $900,000 dollars per year as an operating
expense. why is it necessary to fund all five years at once,
He suggested appropriating $900,000 for FY 09' and see if
the program is successful before giving it more funding.
Commissioner Bell responded that the full five-year funding
would reflect a commitment on the part of the state.
Co-Chair Stedman asked why these funds were not asked for in
April 2008.
10:44:17 AM
Commissioner Bishop said that the training plan was not
finalized until February 2008' and that this particular AGIA
Training Strategic Plan was not completed until May 2008'.
Co-Chair Stedman questioned the timing of the funding
request. Commissioner Bishop stated he had not wanted to ask
for funding until the program had been confirmed.
10:45:59 AM
Ms. Rehfeld added that OMB felt that it was appropriate to
keep some cost separate so they could be clearly looked at
as the project advances.
Co-Chair Stedman asked if the training program is
appropriate to the goal of putting Alaskan's to work on a
gas line regardless of who owns it. Commissioner Bishop
replied in the affirmative.
10:47:57 AM
Ms. Rehfeld elaborated that additional funding was necessary
to provide more training to more Alaskans.
Senator Elton admitted to bias against dedicated funds and
called for more fiscal clarity. He wants the ability to
determine from year to year how much money the program would
merit.
10:49:52 AM
Senator Elton agreed with Ms. Rehfeld regarding additional
funding and added he would like to keep operating and
capital projects separate. He maintained that he did not
want to commit to a five-year program that was currently
only a concept. Ms. Rehfeld asserted that it would be
difficult for training programs to provide sufficient
training without sufficient funding. Senator Elton stated
the importance of all operating requests and asked why this
one was so compelling. Ms. Rehfeld said she saw his point.
10:51:41 AM
Senator Thomas pointed out that the skilled workforce
created by the program could carry over to many different
Alaskan industries such as construction and mining.
Commissioner Bishop concurred.
10:53:31 AM
Commissioner Bishop agreed that the skills were
transferrable.
Senator Huggins stated he was excited for the Department of
Education and Early Development and the Department of Labor
and Workforce Development to be working together, but was
concerned about what would happen to the trained workforce
after the pipeline was built.
10:56:13 AM
Co-Chair Stedman referenced Ilisagvik College, a vocational
technical school in Point Barrow which had the same plan and
had its funding vetoed. He pointed out that there was no one
from Point Barrow employed in the oil industry. He was
curious about the reason for the funding veto.
10:57:59 AM
Ms. Rehfeld replied that DOL had some legal concerns because
Ilisagvik College is eligible for competitive training funds
from other sources.
Commissioner Bishop asked for clarification concerning
Senator Stedman's question. Senator Stedman answered that
during conversations with the people of Point Barrow they
were concerned that people from their community were not
employed on the oil field.
Senator Thomas thought the comment was directed more at the
producers. He said that the people of Point Barrow had
created their own company and worked through sub-contractors
to get their people hired. The frustration lay in getting
their people employed directly by the oil companies.
Co-Chair Stedman noted that his comment was broad. He
mentioned the Inuit Circumpolar Council's problem with
employment in Western Alaska. He asked how policy would be
crafted to deal with the issue of unemployment in Western
Alaska.
11:00:58 AM
Mr. Bell explained the workings of the job center in Barrow.
He asserted that the job proposals would be available to any
job training center in the state.
Senator Elton questioned why the fiscal notes contain no
funding for the University of Alaska Southeast.
Mr. Bishop shared his experience with touring the Point
Barrow facilities. The center seemed satisfied with the
placement of their students. He offered to meet Senator
Elton later to discuss his question.
Senator Elton stressed the urgency of the situation.
11:05:07 AM
Mr. Bell reported that scholarship programs for gasline job
training would be open to all Alaskans, as would be a number
of the other programs.
Mr. Bell addressed the appropriation for Gasline Workforce
Development. $34,800,000 would fund a five-year program
necessary to implement the strategies from the AGIA Training
Plan Steering Committee for skills development in
preparation for pipeline occupations. The program includes
job awareness and using various media forms to make Alaskans
aware of training possibilities.
11:07:10 AM
Mr. Bell explained that Pipeline Training Program
Administrator would be a new position requiring $800,000
spread over five years. He stated the Adult Basic Education
Increase would require $2.5 million, again over five years,
to prepare Alaskans for employment by providing instruction
in the basic skills of reading, writing, mathematics, and
General Education Development preparation and testing.
Co-Chair Stedman requested a cash-flow timeframe. Mr. Bell
agreed to provide that information. Ms. Rehfeld offered to
help.
11:09:07 AM
Commissioner Bell continued with a request for AGIA Training
Strategic Plan Strategy 3.1 the Alaska Vocation Technical
Center Instructional Expansion of $1.5 million (copy on
file).
11:10:47 AM
Senator Huggins asked if the organizations that already
provide this training are also receiving grants. Mr. Bell
explained how those entities are funded. Senator Huggins
encouraged the expansion of training programs. He inquired
if there is a funding component for training state troopers.
Commissioner Bishop said there was, through a grant
application process. Senator Huggins noted a shortfall in
troopers and strongly supported their training.
AT-EASE: 11:13:18 AM
RECONVENED: 11:22:11 AM
Co-Chair Stedman requested more information about the Alaska
Works Partnership. Commissioner Bishop explained that the
Alaska Works Partnership is a 501(c) (3) non-profit
available to all Alaskans for skill training that has been
in Barrow for about eight years. Co-Chair Stedman asked why
the Alaska Works Partnership qualified for funding and
Ilisagvik College did not. Ms. Rehfeld said she would
provide the legal memo that explained the veto of the
appropriation to Ilisagvik College.
11:25:40 AM
Mr. Bell spoke of the Gasline Occupations Grant Program for
$26.5 million to reestablish Career Technical Education
(CTE) programs around the state. He shared statistics on the
successes of the CTE program. He pointed out that schools
across the state have lost funding for this purpose and this
would be a chance to try to fix that.
11:26:58 AM
LARRY LEDOUX COMMISSIONER, DEPARTMENT OF EDUCATION AND EARLY
DEVELOPMENT, spoke in support of funding for vocational
education in Alaska. He told of the advantages of programs
directed at significant needs. He noted it takes time to
integrate grant programs and funding into school systems.
Using request for proposals allows programs to reach their
goals by leveraging their money and developing partnerships.
He listed several other benefits of partnerships.
11:29:34 AM
Senator Huggins asked if there are any charter schools with
a career or technology focus. Commissioner Ledoux admitted
he was not aware of any specific charter schools but he
would get back to Senator Huggins when he knew more.
Senator Huggins noted the importance of internships and the
connection between the education site and the work site.
Commissioner Ledoux commented on the importance of training
employees to have strong work ethic in order to keep a job.
Co-Chair Stedman voiced a concern about short-termed
sponsorship of programs. Mr. Bishop shared a story about a
successful welding program in Matanuska-Susitna due to
support. He stressed the importance of bringing industry and
business together to make such programs work.
11:34:07 AM
Senator Thomas commented on the importance of communication
between the school site and the job site. He supported a
class that would provide basic life skills such as balancing
a checkbook.
Co-Chair Stedman noted concern in the business world
regarding a migration toward higher paying jobs on the gas
pipeline, causing problems for other areas of Alaska's
economy. Commissioner Bishop shared those concerns.
11:37:36 AM
Senator Huggins thought that the state system contains
obstacles regarding vocational education. He asked what kept
the state from getting highschoolers and young workers to
the job site. Commissioner Ledoux thought it was a matter of
a lack of resources in some school districts. Mr. Bell
pointed out that additional emphasis has been put on
voluntary programs by employers.
11:40:03 AM
Mr. Bell discussed instruction academies, slated at $3.5
million per year, and partnerships around the state. He
stated that occupational preparation is still needed
throughout the state for this project. He pointed out the
Youth First programs directly connect to the CTE programs.
11:41:39 AM
Mr. Bell related that Regional Training Centers and Gasline
Training programs for $2 million are included in the
appropriation request. Co-Chair Stedman asked why the
appropriation was not included in the regular session
budget. Mr. Bell reported that this was a late-arriving
program after the budget was developed.
Co-Chair Stedman recalled a legislative leadership meeting
where there was no mention of a "multitude of
appropriations". He asked how long this request has been in
the works. Mr. Bishop replied about a month.
11:44:34 AM
Ms. Rehfeld recalled discussion of which appropriations
might be needed for AGIA. She thought the timing was
appropriate for the discussion.
Mr. Bell continued to explain the Skill Upgrade and
Supervisory Training appropriation for $750,000 total, or
$150,000 per year.
11:46:35 AM
Mr. Bell explained the Alaska Works Partnership Gasline
Workforce Development request for $2,287,500 to equip the
pipeline training center in Fairbanks. The training center
has already received just over $10 million from legislative
general fund appropriations.
Senator Huggins asked how much TransCanada was contributing
in dollars for equipment and assets. Mr. Bishop did not
know. Co-Chair Stedman asked when he would know. Mr. Bishop
thought within the next 30 days.
Co-Chair Stedman asked about shipping the steel flat and
rolling it in-state via a rolling mill. Mr. Bishop was not
familiar with the concept regarding this pipeline project.
He embraced the idea.
11:50:11 AM
Co-Chair Stedman questioned if Canada has a premium on the
American labor force, and if American contractors would be
on equal footing with Canadian contractors. Mr. Bishop
offered to ask in a meeting with TransCanada in Whitehorse
next week.
Co-Chair Stedman inquired if the field was level regarding
duty or supplies and would there be local bidder's
preference. Mr. Bishop stated he would find out.
11:51:58 AM
Senator Huggins noted that the agreements between
TransCanada and the state should be reciprocal.
11:52:25 AM
Mr. Bell spoke to the last appropriation request for the
University of Alaska Gasline Workforce Development in the
amount of $1,072,000, which would fund simulated work
scenarios for heavy equipment training.
Senator Huggins stressed avoiding competition with those
already in the business of providing simulated work
scenarios.
11:56:33 AM
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