Legislature(2021 - 2022)BELTZ 105 (TSBldg)

04/14/2021 01:30 PM LABOR & COMMERCE

Note: the audio and video recordings are distinct records and are obtained from different sources. As such there may be key differences between the two. The audio recordings are captured by our records offices as the official record of the meeting and will have more accurate timestamps. Use the icons to switch between them.

Download Mp3. <- Right click and save file as

Audio Topic
02:00:13 PM Start
02:00:46 PM SB123
03:13:27 PM Adjourn
* first hearing in first committee of referral
+ teleconferenced
= bill was previously heard/scheduled
-- Delayed until 2:00 PM --
Heard & Held
-- Invited & Public Testimony --
Uniform Rule 23 Waived
+ Bills Previously Heard/Scheduled: TELECONFERENCED
Scheduled but Not Heard
-- Testimony <Invitation Only> --
**Streamed live on AKL.tv**
                    ALASKA STATE LEGISLATURE                                                                                  
          SENATE LABOR AND COMMERCE STANDING COMMITTEE                                                                        
                         April 14, 2021                                                                                         
                           2:00 p.m.                                                                                            
MEMBERS PRESENT                                                                                                               
Senator Mia Costello, Chair                                                                                                     
Senator Roger Holland, Vice Chair                                                                                               
Senator Joshua Revak                                                                                                            
Senator Gary Stevens                                                                                                            
Senator Elvi Gray-Jackson                                                                                                       
COMMITTEE CALENDAR                                                                                                            
SENATE BILL NO. 123                                                                                                             
"An Act  establishing the Alaska energy  independence program and                                                               
the  Alaska energy  independence  fund in  the Alaska  Industrial                                                               
Development and Export Authority;  and providing for an effective                                                               
     - HEARD & HELD                                                                                                             
SENATE BILL NO. 6                                                                                                               
"An  Act relating  to retirement  incentives for  members of  the                                                               
defined  benefit  retirement  plan of  the  teachers'  retirement                                                               
system  and the  defined benefit  retirement plan  of the  Public                                                               
Employees'  Retirement System  of  Alaska; and  providing for  an                                                               
effective date."                                                                                                                
     - SCHEDULED BUT NOT HEARD                                                                                                  
PREVIOUS COMMITTEE ACTION                                                                                                     
BILL: SB 123                                                                                                                  
SHORT TITLE: ENERGY INDEPENDENCE PROGRAM & FUND: AIDEA                                                                          
SPONSOR(s): RULES BY REQUEST OF THE GOVERNOR                                                                                    
04/09/21       (S)       READ THE FIRST TIME - REFERRALS                                                                        
04/09/21       (S)       L&C, FIN                                                                                               
04/12/21       (S)       L&C  WAIVED  PUBLIC HEARING  NOTICE,RULE                                                               
04/14/21       (S)       L&C AT 1:30 PM BELTZ 105 (TSBldg)                                                                      
WITNESS REGISTER                                                                                                              
MORGAN NEFF, Chief Investment Officer                                                                                           
Alaska Industrial Development and Export Authority                                                                              
Anchorage, Alaska                                                                                                               
POSITION STATEMENT:  Delivered a  PowerPoint to introduce  SB 123                                                             
and the Alaska Energy Independence Fund (Alaska EIF).                                                                           
CHRIS ROSE, Executive Director                                                                                                  
Renewable Energy Alaska Project (REAP)                                                                                          
Juneau, Alaska                                                                                                                  
POSITION  STATEMENT:  Delivered  a PowerPoint  titled  "Financing                                                             
Clean Energy in Alaska" during the hearing on SB 123.                                                                           
BERT HUNTER, Executive Vice President & Chief Investment Officer                                                                
Connecticut Green Bank                                                                                                          
POSITION  STATEMENT:  Delivered  a  PowerPoint  overview  of  the                                                             
Connecticut Green Bank during the hearing on SB 123.                                                                            
JEFFREY SCHUB, Executive Director                                                                                               
Coalition for Green Capital (CGC)                                                                                               
POSITION STATEMENT:  Delivered a PowerPoint about  the Green Bank                                                             
model and the Alaska Energy  Independence Fund during the hearing                                                               
on SB 123.                                                                                                                      
ACTION NARRATIVE                                                                                                              
2:00:13 PM                                                                                                                    
CHAIR MIA COSTELLO called the  Senate Labor and Commerce Standing                                                             
Committee meeting  to order at 2:00  p.m. Present at the  call to                                                               
order were  Senators Gray-Jackson,  Holland, and  Chair Costello.                                                               
Senator Stevens arrived soon after the meeting convened.                                                                        
        SB 123-ENERGY INDEPENDENCE PROGRAM & FUND: AIDEA                                                                    
2:00:46 PM                                                                                                                    
CHAIR  COSTELLO announced  the consideration  of SENATE  BILL NO.                                                               
123, "An Act establishing the  Alaska energy independence program                                                               
and the Alaska energy independence  fund in the Alaska Industrial                                                               
Development and Export Authority;  and providing for an effective                                                               
She invited Morgan Neff to introduce the bill.                                                                                  
2:01:56 PM                                                                                                                    
MORGAN   NEFF,  Chief   Investment  Officer,   Alaska  Industrial                                                               
Development and Export Authority,  Anchorage, Alaska, delivered a                                                               
PowerPoint  on  SB  123,  which   introduces  the  Alaska  Energy                                                               
Independence Fund  (Alaska EIF). He  advised that he  would start                                                               
by  reviewing Alaska's  unique energy  needs and  its consumption                                                               
profile.  He  pointed  out  that  as of  2018,  the  U.S.  Energy                                                               
Information  Administration (EIA)  ranked  Alaska  fourth in  the                                                               
nation for  total energy consumption  per capita and  eleventh in                                                               
personal  income per  capita. In  addition, electrical  rates for                                                               
residential, commercial,  and industrial  use averaged  twice the                                                               
national average on a kilowatt per hour (KWh) basis.                                                                            
He reported that  the combination of the high cost  of energy and                                                               
among the  highest rates of consumption  burdens Alaska's economy                                                               
with  the third  highest  total energy  expenditures per  capita.                                                               
This  amounts to  about $8,000  per person,  which translates  to                                                               
about $6  billion spent  per year on  energy or  approximately 11                                                               
percent of Alaska's annual gross domestic product (GDP).                                                                        
2:03:39 PM                                                                                                                    
SENATOR REVAK joined the committee.                                                                                             
MR. NEFF directed attention to  slide 4 that describes the Alaska                                                               
Energy Independence  Fund. Often referred  to as a  "green bank,"                                                               
Alaska EIF  functions as a  public-private entity that  uses some                                                               
public funding  to leverage private sector  capital to accelerate                                                               
investments  in  clean  energy projects.  Specifically,  Alaska's                                                               
banks  will be  an instrumental  partner  to Alaska  EIF for  the                                                               
benefit of all  Alaskan communities. He advised  that every green                                                               
bank can be modeled to fit  the needs of the expected demographic                                                               
and geographic region but they  all serve the public purpose. The                                                               
Alaska  EIF proposes  to  meet the  public  purpose by  promoting                                                               
sustainable and clean  energy projects that fill  market gaps and                                                               
removing barriers to green energy  investment in partnership with                                                               
the financial  sector and  other investors. The  idea is  to meet                                                               
criteria  to  access  federal funds  that  may  become  available                                                               
through pending federal legislation.                                                                                            
2:05:33 PM                                                                                                                    
MR. NEFF reported  that the proposed initial  capitalization is a                                                               
$10  million  UGF  appropriation.  This  benchmark  came  through                                                               
comparison against  several existing Green Banks,  primarily from                                                               
New  York,  Connecticut, and  Maryland.  The  comparisons at  the                                                               
state and  county levels  were GDP,  GDP per  capita, population,                                                               
and total energy  consumption per capita. He  highlighted that as                                                               
each  of  these  Green  Banks  gained  scale,  they  successfully                                                               
leveraged  private  capital  to  accelerate  their  programs.  He                                                               
pointed  out that  New York's  leverage ratio  was $6  in private                                                               
capital for every green bank  dollar. Connecticut's ratio was 8:1                                                               
and  Montgomery County  Maryland's  ratio was  7:1.  He said  the                                                               
Alaska EIF  anticipates a  similar ratio as  it gains  scale. For                                                               
perspective,  the Connecticut  Green  Bank  leveraged nearly  $37                                                               
million  initially   to  provide  over  $312   million  in  total                                                               
investments for FY2020.                                                                                                         
MR. NEFF pointed out that  the initial $10 million capitalization                                                               
was weighed against the coalition  of green capital 2020 study of                                                               
the  Municipality of  Anchorage  that estimated  that $5  million                                                               
could be deployed into Anchorage  through a directed program that                                                               
would ultimately  create a significant  amount of  energy savings                                                               
and job  growth. That being  said, he assured the  committee that                                                               
the proposed  $10 million  capitalization is  for the  benefit of                                                               
the entire state, not just for Anchorage.                                                                                       
MR. NEFF directed  attention to the two fiscal  notes attached to                                                               
SB 123. One is for the  initial capitalization of $10 million and                                                               
the second  is for  an increase in  AIDEA's budget  for operating                                                               
expenses. He  explained that the fund  is designed to be  a self-                                                               
sufficient entity  where the  returns will  more than  offset the                                                               
proposed  expenses and  operating costs.  It  will also  be in  a                                                               
position to accept operating capital  and additional funding from                                                               
the federal legislation that he would discuss later.                                                                            
2:08:21 PM                                                                                                                    
SENATOR  GRAY-JACKSON  asked  how   the  line  item  "Population"                                                               
relates to the numbers.                                                                                                         
MR. NEFF explained:                                                                                                             
     We   backed    into   the   population    per   initial                                                                    
     capitalization  for each  one  of the  Green Banks  and                                                                    
     then  weighted  the  capital expenditures  per  capita,                                                                    
     which,  again  is   a  population-driven  number,  into                                                                    
     figuring out  where the ultimate  capitalization should                                                                    
     be for the Alaska Energy Independence Fund.                                                                                
MR.  NEFF  said the  expectation  is  that  the Alaska  EIF  will                                                               
generate many economic benefits. It  has the potential to provide                                                               
a meaningful economic effect through  lower cost of energy, lower                                                               
cost of living, creation of  substantial new jobs and businesses,                                                               
and increased discretionary income  that can help drive long-term                                                               
compounded GDP growth for the state.                                                                                            
MR. NEFF directed attention of  slide 7 to highlight the economic                                                               
benefits of the  Alaska EIF. He said this fund  is an opportunity                                                               
for the  $8,000 average annual cost  of energy per Alaskan  to be                                                               
offset  and the  savings redeployed  into the  Alaska economy  as                                                               
discretionary spending. He  pointed to the examples  on the slide                                                               
that show the savings for  Alaskans if their average energy costs                                                               
were 10  percent to 30  percent lower.  He noted that  this could                                                               
free  up  from $589  million  to  $1.7 billion  in  discretionary                                                               
spending every year.                                                                                                            
2:10:40 PM                                                                                                                    
MR.  NEFF turned  to slide  8 and  reiterated that  this fund  is                                                               
aligned  with  federal  legislation  H.R. 806  Clean  Energy  and                                                               
Sustainability Accelerator  Act and S. 283  National Climate Bank                                                               
Act so  it can receive  capital to enhance the  total investments                                                               
in  the  Alaska  Energy   Independence  Fund.  Current  estimates                                                               
indicate  that  Alaska  could  receive   about  $130  million  in                                                               
MR. NEFF stated  that the mission of the fund  is to make capital                                                               
more accessible  to borrowers for sustainable  energy development                                                               
projects. It  also emphasizes the incentive  for co-investment in                                                               
the  non-fossil-fuel  energy  sector  through  partnerships  with                                                               
AIDEA and  AEA, the Alaska  financial sector,  private investors,                                                               
and philanthropic donors.                                                                                                       
2:12:39 PM                                                                                                                    
MR. NEFF directed  attention to slide 10  regarding financing and                                                               
investments  and paraphrased  the  bulleted points  that read  as                                                               
   • The Fund would leverage its capital alongside Alaska's                                                                     
     financial  sector to  enhance  total  investment in  Alaskan                                                               
     clean energy programs and projects.                                                                                        
   • Eligible to make loans, provide credit enhancement                                                                         
     structures, purchase loans,  provide development funding and                                                               
     other forms of financing  for sustainable energy development                                                               
     in Alaska's  commercial, residential, and  industrial market                                                               
   • The Fund would consist of appropriations made by the                                                                       
     legislature, loans  or other assets transferred  to the Fund                                                               
     by  AIDEA, unrestricted  loan payments,  interest, or  other                                                               
     income earned on  loans, investments or assets  of the fund,                                                               
     and available federal funding.                                                                                             
2:13:06 PM                                                                                                                    
SENATOR STEVENS joined the committee.                                                                                           
MR.   NEFF  discussed   the  functions   of  the   Alaska  Energy                                                               
Independence Fund  from slide 11.  He stated that the  market for                                                               
loans for  sustainable energy development is  greatly underserved                                                               
and a  foreign concept to  conventional lenders. Alaska  EIF thus                                                               
will  play  a  pivotal  role   in  incentivizing  private  sector                                                               
participation.   He   suggested   that  the   various   financing                                                               
structures  will  help  address  the  conventional  barriers  and                                                               
mitigate the perceived risk.  Ultimately, the typical investments                                                               
of the fund will look and  feel like a loan or credit enhancement                                                               
structure,  which  aligns  with AIDEA's  current  and  historical                                                               
management expertise.                                                                                                           
He  reviewed  the  barriers  to  investment,  the  solution,  and                                                               
examples. The  first barrier  is perceived  credit risk.  In that                                                               
situation, the fund can offer  credit enhancement through a loan-                                                               
loss  reserve that  can provide  risk mitigation  and incentivize                                                               
private capital  to lend at  a lower rate  for a longer  time. He                                                               
highlighted that  the fund can address  the administrative burden                                                               
associated with  multiple small projects by  aggregation of small                                                               
loans until they  meet scale to attract private  capital. He said                                                               
one of  the largest  barriers is  that most  conventional private                                                               
capital lenders do not have  the technical expertise to fund more                                                               
labor  intensive  or  innovative transactions.  Due  to  Alaska's                                                               
unique energy landscape,  the combination of AIDEA,  AEA, and the                                                               
proposed  five-member   advisory  board  will  able   to  provide                                                               
technical legwork that ultimately  will add incremental value and                                                               
partnership relationships  through Alaska's  financial community.                                                               
Ultimately,  this  will  further enhance  energy  investments  in                                                               
communities  throughout Alaska.  The fund  can address  the final                                                               
barrier to  investment of  marginal economics  by stepping  in to                                                               
improve the overall economics for  both private capital investors                                                               
and the  borrower. He said this  will help promote the  scale and                                                               
adoption of the program's initiatives.                                                                                          
2:16:17 PM                                                                                                                    
MR. NEFF  directed attention to  the program workflow  graphic on                                                               
slide  12.  He   said  it  exemplifies  how   the  Alaska  Energy                                                               
Independence  Fund  would  deploy   its  financing  tools  as  it                                                               
interacts with  the private  lending sector,  borrowers, lenders,                                                               
and contractors. This relationship  will require a full training,                                                               
certification, and  engagement program with  approved contractors                                                               
and vendors to enhance compliance  and efficiency of the program.                                                               
He noted that on the proposed  advisory board, AIDEA and AEA will                                                               
continue  to  run  parallel  studies  to  identify  leading  edge                                                               
technologies and  critical relationships to advance  the fund and                                                               
serve communities more effectively.                                                                                             
2:17:10 PM                                                                                                                    
MR. NEFF  displayed the  mission statements of  AIDEA and  AEA at                                                               
the top  of slide  13. He  read the following  text in  the first                                                               
paragraph on the slide:                                                                                                         
     The  purpose and  function of  the AK  EIF aligns  with                                                                    
     AIDEA's existing scope  managing investment funds, such                                                                    
     as   the   Arctic  Infrastructure   Development   Fund,                                                                    
     Sustainable Energy Transmission  and Supply Development                                                                    
     Fund,    Loan    Participation   Program    (Enterprise                                                                    
     Development    Account),   and    Development   Project                                                                    
     Financing (Economic Development Account).                                                                                  
He  highlighted that  since 1967,  AIDEA has  been a  financially                                                               
self-sustaining public  corporation that  has directed  more than                                                               
$3  billion into  economic  development  throughout Alaska  while                                                               
returning about $40  million in dividends to the  state, which is                                                               
well in  excess of its  initial capitalization. AIDEA  ended 2020                                                               
with $1.4 billion  in assets. AIDEA's sister  company, the Alaska                                                               
Energy  Authority,  currently  serves about  197  communities  in                                                               
rural Alaska,  provides technical assistance to  entities through                                                               
the circuit  rider program, and provides  engineering and project                                                               
management expertise.                                                                                                           
MR. NEFF  stated that SB  123 factors  in the combined  effort of                                                               
AIDEA as investment and management  expertise in partnership with                                                               
AEA's energy  and technical  expertise. This  allows the  fund to                                                               
leverage  the combined  existing infrastructure  to help  service                                                               
and  keep the  Alaska  Energy Independence  Fund operating  costs                                                               
low,  which  could  benefit  borrowers.  Additionally,  the  bill                                                               
proposes a five-member board selected  by the Governor to provide                                                               
guidance  and   information  but  it  would   not  supersede  the                                                               
governing authority of AIDEA's and AEA's independent board.                                                                     
MR.    NEFF   concluded    the    presentation   displaying    AS                                                               
44.88.010(a)(10). It  is the primary  driver for  AIDEA's mission                                                               
and goals and aligns with the Alaska Energy Independence Fund.                                                                  
2:19:25 PM                                                                                                                    
At ease                                                                                                                         
2:19:42 PM                                                                                                                    
CHAIR COSTELLO reconvened the meeting  and asked Mr. Neff to walk                                                               
through the sectional analysis.                                                                                                 
2:20:07 PM                                                                                                                    
MR. NEFF read the following sectional analysis for SB 123:                                                                      
Section 1                                                                                                                     
     Amends  AS 44.88.070    Purpose  of the  authority    to add                                                               
"sustainable  energy  development"  under the  various  means  of                                                               
financing and means of facilitating financing provided.                                                                         
Section 2                                                                                                                     
     Amends AS 44.88.159(a)   under  Interest rates   to add "the                                                               
Alaska  energy   independence  fund   (AS  44.88.452)   under  AS                                                               
Section 3                                                                                                                     
     Amends AS 44.88.159(b)   under  Interest rates   to add "the                                                               
Alaska  energy   independence  fund   (AS  44.88.452)   under  AS                                                               
Section 4                                                                                                                     
     Amends  AS 44.88.159(g)     under Interest  rates    to  add                                                               
reference to "sustainable energy development".                                                                                  
Section 5                                                                                                                     
     Amends AS  44.88.178   Creation  of subsidiaries    to allow                                                               
the  authority  to  create  one or  more  subsidiaries  "for  the                                                               
purpose  of administering,  operating,  or  expanding the  Alaska                                                               
energy  independence  program."  It   also  states,  "Subject  to                                                               
limitations  for  the use  of  the  economic development  account                                                               
under AS 44.88.172 and the  Alaska energy independence fund under                                                               
AS 44.88.450-44.88.456," in reference  to the authority's ability                                                               
to transfer assets to a subsidiary created under this section.                                                                  
Section 6                                                                                                                     
     Amends AS 44.88 by adding four (4) new sections:                                                                           
     AS 44.88.450   Alaska  energy independence program   creates                                                               
the program  within AIDEA to  make loans and provide  other forms                                                               
of financing for sustainable energy  development in the state and                                                               
establishes  an  Advisory  Board,   consisting  of  five  members                                                               
appointed by  the Governor, to  make recommendations to  AIDEA on                                                               
the fund programs and best practices.                                                                                           
     AS   44.88.452      Alaska   energy   independence  fund                                                                   
establishes the  fund within AIDEA  for the uses and  purposes of                                                               
AS 44.88.450-.456.  It states the fund  consist of appropriations                                                               
made by  the legislature,  loans or  other assets  transferred to                                                               
the  fund by  AIDEA, unrestricted  loan repayments,  interest, or                                                               
other  income earned  on  loans, investments,  or  assets of  the                                                               
fund, and available  federal funding. The fund is  not an account                                                               
in the revolving  loan fund (AS 44.88.060) and  requires AIDEA to                                                               
account  for  the  fund  separately   from  the  revolving  fund.                                                               
Finally, this section allows AIDEA  to create additional accounts                                                               
in  the fund;  and to  transfer amounts  between accounts  in the                                                               
funds (subject  to agreements  made with  the holders  of AIDEA's                                                               
bonds or with other persons).                                                                                                   
AS 44.88.454   Sustainable energy  development; powers and duties                                                               
of  the authority    outlines  AIDEA's abilities,  subject to  AS                                                               
   • Establish a   subsidiary   corporation  subject   to   the                                                                 
     requirements of AS 44.88.178;                                                                                              
   • Establish financing programs and products that AIDEA deems                                                                 
     necessary to encourage and promote sustainable energy                                                                      
     development in the state;                                                                                                  
   • Invest in eligible sustainable energy development alone or                                                                 
     with other investors (including private capital providers);                                                                
   • Provide capital and fund management to eligible sustainable                                                                
     energy development and specifies in what forms this is                                                                     
   • Make and  execute  contracts  and  other   instruments  to                                                                 
     implement AS 44.88.450.456;                                                                                                
   • Acquire real or personal property by purchase, transfer, or                                                                
     foreclosure when the acquisition is necessary to protect                                                                   
     AIDEA's interest in a loan or other financial product;                                                                     
   • Enter into  lease-purchase   agreements  (subject   to  AS                                                                 
 • Defer principal payments or capitalize interest on loans;                                                                    
   • Provide financing  and   services   to  municipal   energy                                                                 
     improvement assessment programs established in accordance                                                                  
     with AS 29.55.100; and                                                                                                     
   • Exercise any  other  power   necessary  to   implement  AS                                                                 
     This  section  (AS 44.88.454)  also  allows  AIDEA to  adopt                                                               
regulations to implement AS 44.88.450-.456, including:                                                                          
   • An application process for acquiring  financing under  the                                                                 
     Alaska energy independence program;                                                                                        
   • Qualifications for applicants applying for financing under                                                                 
     the program;                                                                                                               
   • Record keeping  requirements   to  accumulate   and  track                                                                 
     measurable data related to the fund; and                                                                                   
   • Fiscal controls for the fund.                                                                                              
AS  44.88.456    Limitations  on  financing;  use as  security                                                                  
prohibits AIDEA from  using the fund established  in AS 44.88.452                                                               
to  make a  loan  guarantee  if the  amount  exceeds $20  million                                                               
unless  AIDEA  has  obtained   legislative  approval.  It  states                                                               
financing under AS  44.88.454 is limited to the  life of eligible                                                               
sustainable  energy development,  with financing  limited by  the                                                               
estimated useful  life of the  project. Finally, it  states AIDEA                                                               
may use  the fund established in  AS 44.88.452 as security  for a                                                               
bond guarantee  as long as  it does not conflict  with subsection                                                               
(1) of this section.                                                                                                            
Section 7                                                                                                                     
     Amends AS 44.88.900    Definitions   to  add definitions for                                                               
"sustainable  energy   development"  and   "eligible  sustainable                                                               
energy development".                                                                                                            
Section 8                                                                                                                     
     Provides a January 1, 2022 effective date for this Act.                                                                    
2:25:57 PM                                                                                                                    
CHAIR COSTELLO referred  to the language on page  1, lines 10-13,                                                               
and asked for  examples of sustainable energy  development and if                                                               
there was  a definition in  statute. She also asked  for examples                                                               
of the energy  projects AIDEA has been involved in  prior to this                                                               
MR. NEFF replied the definition is  on page 8, lines 26-28, under                                                               
AS 4.88.900. He  explained that it is written  broadly to address                                                               
both  urban and  rural access  to this  type of  program. To  the                                                               
second  question, he  said AIDEA  has been  involved in  multiple                                                               
energy  projects, most  recently with  oil and  gas developments.                                                               
They  have also  collaborated  with the  Alaska Energy  Authority                                                               
under the SETS  program, which is the  statutory transmission and                                                               
supply program  for the SSQ  transmission line. He  restated that                                                               
the Alaska Energy Independence Fund  focuses specifically on non-                                                               
hydrocarbon,   renewable  energy   sources  typically   used  for                                                               
scalable sustainable projects throughout Alaska.                                                                                
CHAIR COSTELLO asked  him to read the  definition of "sustainable                                                               
energy development" into the record.                                                                                            
2:28:32 PM                                                                                                                    
MR.  NEFF  read the  definition  in  Section  7 of  the  proposed                                                               
paragraph in AS 44.88.900. It read as follows:                                                                                  
         Sec. 7. AS 44.88.900 is amended by adding new                                                                          
     paragraphs to read:                                                                                                        
        (20) "sustainable energy development" means                                                                             
             (A) renewable  energy  generation from  sources                                                                    
             that are  continually  replenished  by  nature,                                                                    
             such as the sun, wind, water,  and biological 6                                                                    
             (B) building energy efficiency,  including fuel                                                                    
             switching   to    8    renewable   fuels    and                                                                    
             electrification;            (C)      industrial                                                                    
             (D) electrical infrastructure incorporating                                                                        
                    (i)  energy  storage  to  support  clean                                                                    
                    energy  distribution,  including  remote                                                                    
                    and  non-remote  microgrids  and  smart-                                                                    
                   grid 13 applications; and                                                                                    
                    (ii)   other  sustainable   technologies                                                                    
                    including     distributed    generation,                                                                    
                    advanced battery, and  combined heat and                                                                    
             (E) greenhouse gas emissions  reduction through                                                                    
             processes including  regenerative  agriculture,                                                                    
             reforestation, afforestation,  and forestry  18                                                                    
             (F)  clean  transportation,  including  battery                                                                    
             electric vehicles,  hydrogen vehicles,  plug-in                                                                    
             hybrid  electric  vehicles,  and   other  zero-                                                                    
             emissions vehicles  for consumers,  businesses,                                                                    
             government, and  public  transit; (G)  electric                                                                    
             vehicle charging  and  fueling  infrastructure;                                                                    
             (H) any  other  emissions  reduction or  energy                                                                    
             efficiency technology the  authority determines                                                                    
             to be  consistent  with  the Alaska  energy  25                                                                    
             independence program;                                                                                              
2:30:01 PM                                                                                                                    
SENATOR STEVENS noted that the  definition seems to be applicable                                                               
to business and perhaps municipalities.  He asked if a percentage                                                               
of the  funds would be  allocated for  loans to homeowners  or if                                                               
they might be left out.                                                                                                         
MR.  NEFF  replied  the  design is  to  benefit  homeowners  with                                                               
weatherization  and rooftop  solar type  projects. He  emphasized                                                               
that the definition provides broad  access for sustainable energy                                                               
projects. He added  that Green Banks typically  are available for                                                               
the residential  community. That  is one reason  for the  tool to                                                               
aggregate small loans  to make it more attractive  to the private                                                               
investment community.                                                                                                           
SENATOR STEVENS said he appreciated hearing that.                                                                               
CHAIR COSTELLO thanked  Mr. Neff and invited Chris  Rose to start                                                               
his presentation.                                                                                                               
2:32:04 PM                                                                                                                    
CHRIS ROSE,  Executive Director, Renewable Energy  Alaska Project                                                               
(REAP), Juneau, Alaska,  stated support for SB  123 and applauded                                                               
Governor Dunleavy  for introducing  the legislation  to establish                                                               
the Alaska  Energy Independence  Fund (AK  EIF). He  thanked Bert                                                               
Hunt for  the hours  he spent explaining  the green  bank concept                                                               
over the last 4.5 years and  Jeff Schub for his tireless advocacy                                                               
of clean energy  financing and both for their time  and effort to                                                               
understand Alaska's unique energy landscape.                                                                                    
2:33:12 PM                                                                                                                    
MR. ROSE  began his  presentation by giving  a brief  overview of                                                               
REAP. He paraphrased the text on slide 2 that read as follows:                                                                  
     Founded  in   2004,  REAP  is  a   statewide  nonprofit                                                                    
     coalition of over 60  electric utilities, Alaska Native                                                                    
     Corporations, clean  energy developers,  businesses and                                                                    
     other NGOs                                                                                                                 
         REAP's mission is to increase renewable energy                                                                         
     development and promote energy efficiency in Alaska                                                                        
MR.  ROSE   described  the  education  and   programs  that  REAP                                                               
supports, focusing  on the people  who will operate  and maintain                                                               
the energy projects.                                                                                                            
   • Three K-12 educators, with support from the Office of Naval                                                                
     Research (ONR), work with teachers and students statewide                                                                  
     on STEM [Science, Technology, Engineering, and Math]                                                                       
   • With ONR support, REAP helped launch the Alaska Network for                                                                
     Energy Education and Employment (ANEEE) to fill gaps in                                                                    
     sustainable energy education throughout the state.                                                                         
   • REAP is involved in the Sustainable Southeast Partnership                                                                  
     (SSP) with small communities in Southeast Alaska.                                                                          
   • REAP is a new partner in the national Energy Transition                                                                    
     Initiative   Partnership    Program.   As   one    of   five                                                               
     subcontractors, REAP is helping the U.S. Department of                                                                     
     Energy bring the expertise of four national labs to Alaska                                                                 
     and other rural communities nationwide.                                                                                    
MR. ROSE  displayed examples  of REAP Advocacy  from 2008  to the                                                               
present. The list included the following:                                                                                       
     2008: Renewable Energy Fund, $100 million ($270 million                                                                    
     2008: $360 million to AHFC for home weatherization ($640                                                                   
     million total)                                                                                                             
     2010: Emerging Energy Technology Fund House Bill 306 (State                                                                
     Energy Policy)                                                                                                             
     2016: SB 196 (PCE Endowment)                                                                                               
     2017: Property Assessed Clean Energy (C-PACE) 2014-2021:                                                                   
     Railbelt Electric Grid Reform                                                                                              
     2017-2021: Green Bank                                                                                                      
MR.  ROSE  related  that  REAP  was a  primary  advocate  of  the                                                               
Renewable  Energy   Fund,  which  helped  put   renewable  energy                                                               
projects on the  map, particularly in rural Alaska.  The fund has                                                               
financed the building of more than 80 projects over the last 12-                                                                
13 years.  Last year,  REAP supported  legislation to  create the                                                               
Electric Reliability Organization mandate  for the Railbelt. REAP                                                               
also  has been  working on  the  green bank  concept for  several                                                               
2:35:30 PM                                                                                                                    
MR. ROSE displayed  a graphic that illustrates  how much Alaskans                                                               
collectively  spend  on  electric,  heating,  and  transportation                                                               
energy each year. He noted that  when an intern created the slide                                                               
several  years  ago,  Alaskans  were  spending  approximately  $5                                                               
billion  annually and  Mr. Neff  pointed out  that the  figure is                                                               
close to $6 billion today.  Importantly, about 20 percent of that                                                               
energy is wasted.  Thus the title on the  slide, "Alaska's Annual                                                               
Billion  Dollar  Bonfire." This  translates  to  each of  730,000                                                               
Alaskans per year throwing away  more than $1,000. He agreed with                                                               
Mr. Neff that a goal is to redeploy that money into the economy.                                                                
He  pointed  to the  next  slide  that  warns against  waste  and                                                               
describes  energy  efficiency  as   the  "First  Fuel."  He  said                                                               
employing efficiency  measures is always the  fastest and easiest                                                               
way to achieve energy independence.  To Senator Stevens' question                                                               
about whether homeowners  would be included, he  said he believes                                                               
that one of the first  programs will be for residential consumers                                                               
and commercial  consumers who are  more rural and unable  to take                                                               
advantage  of  programs  like  the  commercial  property-assessed                                                               
clean  energy (CSPACE)  that the  legislature authorized  and the                                                               
Municipality of Anchorage developed.                                                                                            
MR. ROSE  described the weatherization  and rebate  programs that                                                               
the   Alaska  Housing   and   Finance   Corporation  (AHFC)   has                                                               
administered  since  2008 as  the  catalyst  for financing  clean                                                               
energy.  The initial  program allowed  more  than 50,000  Alaskan                                                               
homeowners  to  make  their homes  more  energy  efficient.  AHFC                                                               
estimated  that the  average cost-saving  for  homeowners was  30                                                               
percent. Collectively,  the average annual savings  is equivalent                                                               
to  more  than  25  million  gallons of  home  hearing  fuel.  He                                                               
acknowledged  that  the  state  cannot  afford  to  continue  the                                                               
weatherization program.                                                                                                         
2:38:21 PM                                                                                                                    
MR.  ROSE highlighted  that the  Renewable Energy  Grant Fund  is                                                               
responsible for  more than 80  projects since inception  in 2008.                                                               
AEA  estimates   that  collectively,  these  projects   save  the                                                               
equivalent  of 30  million gallons  of diesel  fuel on  an annual                                                               
basis.  He  noted  that  the  legislature  has  not  appropriated                                                               
significant funds  to this fund  for a  number of years.  This is                                                               
another  illustration   of  the   need  for  the   Alaska  Energy                                                               
Independence Fund; grants cannot do it all.                                                                                     
He  displayed the  chart  of Lazard's  Levelized  Cost of  Energy                                                               
Analysis  -  version  12.0.  He  said  this  is  an  unsubsidized                                                               
analysis  that looks  at  the  cost of  generating  power from  a                                                               
number   of  different   alternative   energy  and   conventional                                                               
resources. He  pointed out that  in the  last decade the  cost of                                                               
solar has dropped 90 percent and  the cost of wind has dropped 70                                                               
percent.  REAP  would  like  people   to  have  access  to  these                                                               
resources whenever possible.                                                                                                    
2:39:51 PM                                                                                                                    
MR. ROSE  reviewed the  following points  to explain  why private                                                               
financing for clean energy is lacking:                                                                                          
   • Currently, clean energy financing has a relatively short                                                                   
     track  record. His  analogy is  people could  not get  a car                                                               
     loan  when  cars  were first  invented  because  banks  were                                                               
     unfamiliar with  cars and  did not  understand how  to price                                                               
     the  risk. Now,  a  loan  for a  car  that depreciates  when                                                               
     driven  off  the  lot  is available  for  about  3  percent.                                                               
     However, somebody might have to  pay 8-10 percent for a loan                                                               
     to  make their  house more  energy efficient  or to  install                                                               
     rooftop solar.                                                                                                             
   • Clean energy projects of $10,000 to $20,000 are  small for                                                                 
     banks, but  they become more  interested when the  loans are                                                               
     aggregated so there is volume.                                                                                             
   • The secondary market for  these types  of  loans has  been                                                                 
   • Human and organizational inertia. Things do not change very                                                                
     fast  but a  green bank  or a  fund like  the Alaska  Energy                                                               
     Independence Fund can accelerate change.                                                                                   
MR. ROSE reviewed the following elements of Green Banks:                                                                        
   • A focus on  commercial   technologies.  This  is  not  for                                                                 
     experimental or emerging technologies.                                                                                     
   • A dedicated source of capital. The Governor is recommending                                                                
     a $10 million initial appropriation.                                                                                       
   • A focus on leveraging private investment.  The idea  is to                                                                 
     leverage the initial $10 million  and perhaps achieve an 8:1                                                               
     ratio  of  private  capital  to   green  bank  dollars  like                                                               
     Connecticut has done.                                                                                                      
   • A relationship with government. This is why it makes sense                                                                 
    for AIDEA to house the Alaska Energy Independence Fund.                                                                     
2:42:24 PM                                                                                                                    
MR. ROSE listed the following functions of Green Banks                                                                          
   • Design Loan Products & Programs to De-Risk and draw in the                                                                 
     private sector                                                                                                             
   • Educate Private Banks on the Opportunity                                                                                   
   • Market Loan Products and Programs so people actually use it                                                                
   • Leverage Private Investment Capital                                                                                        
MR. ROSE concluded his presentation listing the things that SB
123 would do, should it pass:                                                                                                   
   • Lower the energy burden for Alaskans                                                                                       
   • Develop new investment opportunities  for Alaskan  lending                                                                 
   • Create jobs and promote business development, just  as the                                                                 
     AHFC Weatherization program did                                                                                            
   • Keep precious energy dollars circulating  in the  economy.                                                                 
     Saving  a  billion dollars  per  year  in energy  costs  and                                                               
     redeploying the savings will be a boon to the economy                                                                      
   • Having the Alaska Energy Independence Fund will position                                                                   
     the state to receive federal operating and investment                                                                      
CHAIR COSTELLO thanked  him for his efforts to  make energy costs                                                               
in Alaska more affordable.                                                                                                      
SENATOR HOLLAND  asked when  the Green  Bank programs  started in                                                               
New York, Connecticut, and Maryland.                                                                                            
MR. NEFF replied the Connecticut  Green Bank started in 2012, the                                                               
New York  Green Bank started  in 2014, and the  Montgomery County                                                               
Maryland Green Bank started in 2018.                                                                                            
SENATOR   HOLLAND  commented   on   the  potential   difficulties                                                               
associated  with starting  a Green  Bank in  Alaska and  asked if                                                               
there would be tracking or the  ability to review the progress of                                                               
the program in 5-10 years.                                                                                                      
MR. NEFF answered  yes; it will be analyzed and  reported on like                                                               
other AIDEA funds.                                                                                                              
SENATOR HOLLAND asked for the projected length of the loans.                                                                    
MR.  NEFF  replied it  depends  on  the underlying  project,  the                                                               
ability  to  aggregate  small  loans,  delineate  the  risk,  and                                                               
replenish the capital to reinvest into Alaskan communities.                                                                     
CHAIR COSTELLO invited Bert Hunter to give his presentation.                                                                    
2:48:55 PM                                                                                                                    
BERT  HUNTER,  Executive  Vice  President  and  Chief  Investment                                                               
Officer, Connecticut Green Bank, stated  that his overview of the                                                               
state-sponsored Green  Bank would  talk about  what a  Green Bank                                                               
does, how  it interacts with  the market,  and the effect  it has                                                               
had. He  suggested that it  could serve  as a frame  of reference                                                               
for the proposed Alaska Energy Independence Fund.                                                                               
MR.  HUNTER  reviewed  the  following   points  to  describe  the                                                               
Connecticut Green Bank: [Includes some formatting changes.]                                                                     
       Quasi-public organization      Created in 2011 and                                                                   
     successor to the Connecticut Clean Energy Fund.                                                                            
      Focus  Finance clean energy (i.e. renewable energy,                                                                   
      energy efficiency, energy storage, alternative fuel                                                                       
     vehicles and infrastructure, etc.).                                                                                        
     Balance Sheet   Approximately  $77 million net position                                                                
     & $213 million assets in FY20                                                                                              
     Revenue  &  Funding     from   a  variety  of  sources,                                                                
        State Support     $0.001/kWh  surcharge on  electric                                                                
     ratepayer bills (about $7-$10 per  household per year ˜                                                                    
     $24-26M   per  year)   and   Regional  Greenhouse   Gas                                                                    
     Initiative about  $3-5 million per year  (for renewable                                                                    
     energy)    Federal Support    competitive solicitations                                                                
     (e.g.,   SunShot,  USDA,   etc.)  and   non-competitive                                                                    
     resources (e.g., ARRA-SEP)                                                                                                 
       Portfolio Cash Flow  Approximately $8 million/year                                                                   
        Bonds &  Borrowing    issue  "green liberty  bonds,"                                                                
     bank  loan   facilities,  tax  equity   investors,  and                                                                    
     foundations (e.g., PRI's)                                                                                                  
MR.   HUNTER  displayed   the   organizational   chart  for   the                                                               
Connecticut  Green  Bank  Board  of Directors  on  slide  3.  The                                                               
governor and legislative leaders  appoint the members in addition                                                               
to three ex  officio members. They are  quasi-independent but the                                                               
state  is  active  in the  governance  process.  Four  committees                                                               
support the governance  of the Green Bank, one  of which approves                                                               
the transactions. The  board meetings are open to  the public and                                                               
all materials and videos from the meetings are posted online.                                                                   
2:52:41 PM                                                                                                                    
MR. HUNTER explained that the general  idea of all Green Banks is                                                               
to leverage  limited public resources with  private capital. Each                                                               
Green Bank  is formed  to address  the sustainable  energy issues                                                               
relative to  the area  where it  is formed and  the needs  of the                                                               
particular  demographic. He  advised that  the Connecticut  Green                                                               
Bank had  five key energy  challenges to address when  it formed.                                                               
These were very  high energy costs, a majority  of buildings over                                                               
50 years  old, an unreliable  grid, over-reliance on  nuclear and                                                               
natural   gas  energy   sources,   and  perennially   constrained                                                               
government spending.                                                                                                            
The  Connecticut  Green Bank  was  established  to take  over  an                                                               
existing clean energy fund. They  used that fund's revenue stream                                                               
to fund operations and investments.                                                                                             
MR. HUNTER  turned to the chart  on slide 5 that  illustrates the                                                               
three distinct ways Green Banks  leverage public capital to bring                                                               
in  private  capital.  First,  they  co-invest  in  transactions,                                                               
usually  as a  subordinated  lender, which  makes the  investment                                                               
more  attractive by  reducing risk  and/or enhancing  returns for                                                               
the co-investor.  Second, they offer  credit support,  usually in                                                               
the form of a loan loss  reserve, by shouldering a portion of the                                                               
credit  loss  with  private   capital.  Finally,  they  warehouse                                                               
smaller  transactions and  aggregate them  until they  attain the                                                               
critical size for investment by others.                                                                                         
He  directed  attention  to  the examples  of  the  programs  and                                                               
products on slide  6 of the three methodologies  described in the                                                               
previous slide  for leveraging public  capital with  more private                                                               
2:57:34 PM                                                                                                                    
MR. HUNTER explained that the graphics  on slide 7 are a reminder                                                               
that the  Connecticut Green  Bank works  with its  energy utility                                                               
partners  through  a  home energy  services  program,  a  similar                                                               
program for  multi-families, and a program  for small businesses.                                                               
Those  programs  are  also  available   to  state  and  municipal                                                               
2:58:04 PM                                                                                                                    
MR. HUNTER  directed attention to  the charts  on slide 8  of the                                                               
Green  Bank  aggregate  investments   by  source  from  inception                                                               
through  2020. He  highlighted that  it took  a year  to organize                                                               
staff  familiar  with  lending practices,  private  capital,  and                                                               
marketing. As  of 2020,  they have deployed  $2 billion  into the                                                               
market using about $300 million  of public capital for a leverage                                                               
ratio of more than 6:1.                                                                                                         
He described  the graphics on slide  9 as an illustration  of the                                                               
social and  environmental impact of  the Green Bank  working with                                                               
its  partners.  Two  billion in  investment  has  generated  $100                                                               
million  in  state  tax  revenues  from  individual,  state,  and                                                               
corporate  taxes.  Over  23,000  jobs  have  been  created  while                                                               
reducing the energy  burden on more than 55,000  families and 375                                                               
businesses.  Nearly  9  million  metric tons  of  greenhouse  gas                                                               
emissions have been avoided.                                                                                                    
MR. HUNTER said  the charts on slide 10 illustrate  the growth of                                                               
the  loans and  investments  overtime. In  2012, the  investments                                                               
totaled $13  million or 14  percent whereas the  cash represented                                                               
70 percent of  the balance sheet. In 2020,  loans and investments                                                               
totaled  $180 billion.  Slide 11  shows an  overview of  the loan                                                               
portfolio.  He   listed  C-PACE,  Commercial  Solar   &  EE,  the                                                               
discontinued  Residential Solar  Funds, and  Grid Tied  Projects.                                                               
The latter are larger projects  like fuel cells, wind, hydro, and                                                               
micro grids.                                                                                                                    
He described  slide 12 as  a somewhat  complicated organizational                                                               
overview  of the  Connecticut Green  Bank. He  noted that  SB 123                                                               
authorizes  the  Alaska  Energy   Independence  Fund  to  set  up                                                               
subsidiary entities  and advised that the  Connecticut Green Bank                                                               
has made  good use  of such  entities to  protect cash  flows for                                                               
investors. The slide shows an  array of funds and transactions as                                                               
well  as  banks  that  participated  in  different  ways  in  the                                                               
programs and investments.                                                                                                       
3:01:42 PM                                                                                                                    
MR. HUNTER  said slide 13  shows the public  private partnerships                                                               
of  the  Connecticut  Green  Bank  that  represent  nearly  every                                                               
conceivable  investor or  lender  in the  marketplace. He  listed                                                               
credit unions,  community banks, community  development financial                                                               
institutions, private  equity, major global banks,  and insurance                                                               
companies.  He   assured  the  committee  that   these  types  of                                                               
investors would find their way to Alaska.                                                                                       
3:02:27 PM                                                                                                                    
MR.  HUNTER turned  to  slide 14  that  highlights Green  Liberty                                                               
Bonds.     He      noted     the     investor      website     at                                                               
www.greenlibertybonds.com/  provides updated  information on  the                                                               
issuance activity. He turned to  slide 15 and reported that their                                                               
bond  issuances over  the last  three years  total more  than $80                                                               
million. They are proud to have won three awards.                                                                               
CHAIR  COSTELLO thanked  Mr. Hunter  and asked  Jeffrey Schub  to                                                               
begin his presentation.                                                                                                         
3:03:39 PM                                                                                                                    
JEFFREY SCHUB,  Executive Director,  Coalition for  Green Capital                                                               
(CGC), stated  that CGC  is a  nonprofit organization  that works                                                               
nationwide with  stakeholders, governments,  market participants,                                                               
and capital  providers to design  and launch public  clean energy                                                               
finance entities  like the Alaska  EIF and the  Connecticut Green                                                               
Bank. CGC has been delivering  technical assistance for more than                                                               
a decade at the state and federal level and multiple countries.                                                                 
MR. SCHUB  stated that  the model  of Green  Banks is  proven and                                                               
repeatable.  The  cumulative   investment  mobilized  by  similar                                                               
institutions totaled more than $5  billion in 2019 and the latest                                                               
numbers  bring the  total  investment to  more  than $7  billion.                                                               
These  kinds  of  institutions   are  mobilizing  $3  of  private                                                               
investment,  on average,  for each  public  dollar. The  leverage                                                               
ratio varies  by state, product,  and investment.  He highlighted                                                               
that a number  of Green Banks particularly  focus on underserved,                                                               
low-income communities  chronically left  out either due  to lack                                                               
of access to capital or lack  of marketing to those households so                                                               
the benefits of transitioning to  clean energy are sometimes hard                                                               
to  access.  Institutions  around  the country  like  the  Energy                                                               
Independence Fund have had  noteworthy success driving investment                                                               
into these underserved communities.                                                                                             
He displayed a color-coded map of  the U.S. that shows the states                                                               
with  existing  Green  Banks, Green  Banks  in  development,  and                                                               
states  that do  not have  Green Banks.  The map  shows that  the                                                               
Green Bank model is spreading  across the country irrespective of                                                               
politics. He said  it turns out that in any  state, using limited                                                               
public  funds efficiently  to drive  private sector  activity has                                                               
widespread appeal  for Lowering energy costs,  creating new jobs,                                                               
increasing resilience,  and sparking new business  creates value.                                                               
He  acknowledged that  Alaska's energy  needs are  different from                                                               
states that have proven track  records, but assured the committee                                                               
that the  Alaska Energy Independence  Fund will  finance projects                                                               
and  drive economic  activity that  fits the  state. That  is the                                                               
fundamental reason  the model has  been so successful.  The tools                                                               
and mechanisms  are portable, but  the markets to which  they are                                                               
applied, the customers  they serve, and the energy  needs vary by                                                               
state.  That is  why the  proposed EIF  must be  Alaska-based and                                                               
directed by Alaska experts.                                                                                                     
3:07:14 PM                                                                                                                    
MR. SCHUB reported that in  2020 CGC analyzed the opportunity for                                                               
a  Green  Bank  in  the   Municipality  of  Anchorage  and  found                                                               
significant  investment need  and opportunity  in three  markets.                                                               
These were  a small-scale  solar generation,  residential heating                                                               
and electric efficiency, and commercial  building upgrades via C-                                                               
PACE financing. He agreed with  the previous presenters that this                                                               
is representative  of the opportunities  statewide to  fill needs                                                               
and gaps in areas with different energy profiles.                                                                               
MR.  SCHUB directed  attention  to slide  6  that highlights  the                                                               
bipartisan legislation  co-sponsored by Representative  Don Young                                                               
to  establish  a $100  billion  Clean  Energy and  Sustainability                                                               
Accelerator to  provide capital to  entities nationwide  like the                                                               
Alaska Energy  Independence Fund.  There has been  strong support                                                               
from key Alaska  stakeholders and just last  week 250 businesses,                                                               
capital  providers, trade  groups,  organizations, and  utilities                                                               
across the  nation signed a  letter urging Congress to  pass this                                                               
policy.  Importantly,  President  Biden  expressly  endorsed  the                                                               
"Accelerator"  in   his  proposed  infrastructure   package,  The                                                               
American Jobs Plan.                                                                                                             
3:09:36 PM                                                                                                                    
MR. SCHUB  explained that slide  7 [that has images  of renewable                                                               
power,  buildings,  grid, transportation,  industry,  sustainable                                                               
agriculture, and  climate resilience] highlights the  broad scope                                                               
of potential uses of the  Alaska Energy Independence Fund to meet                                                               
Alaska's  energy needs.  He  concluded  the presentation  stating                                                               
that the  Alaska EIF  would provide  a new  pathway to  invest in                                                               
disadvantaged  and  underserved   remote  communities  to  ensure                                                               
equitable access to lower energy  costs and economic development.                                                               
He summarized his intention in  the brief presentation to provide                                                               
broad context  for what is  happening across the country  on this                                                               
policy,  express  strong support  specifically  for  SB 123,  and                                                               
thank Alaska  leaders for their  support of the Green  Bank model                                                               
and creation of the Alaska Energy Independence Fund.                                                                            
3:11:21 PM                                                                                                                    
CHAIR COSTELLO asked  if the timing of  the legislation coincides                                                               
with the  anticipated receipt of  American Recovery Act  funds to                                                               
provide the seed for the Alaska EIF.                                                                                            
MR. SCHUB  answered yes;  the expected  timeline for  passing The                                                               
American Jobs Plan  or "infrastructure package" is by  the end of                                                               
September. If  that becomes law,  it is highly likely  to include                                                               
the accelerator legislation.                                                                                                    
3:12:47 PM                                                                                                                    
CHAIR COSTELLO opened  public testimony on SB  123; finding none,                                                               
she closed public testimony. She  welcomed letters of support and                                                               
said she would share them with the committee.                                                                                   
[CHAIR COSTELLO held SB 123 in committee.]                                                                                      
3:13:27 PM                                                                                                                    
There being  no further  business to  come before  the committee,                                                               
Chair Costello  adjourned the Senate Labor  and Commerce Standing                                                               
Committee meeting at 3:13 p.m.                                                                                                  

Document Name Date/Time Subjects
SB 123 Sponsor Statement-Transmittal Letter 4.14.21.pdf SFIN 5/4/2021 9:00:00 AM
SL&C 4/14/2021 1:30:00 PM
SB 123
SB 123 Sectional Analysis (Version A).pdf SFIN 5/4/2021 9:00:00 AM
SL&C 4/14/2021 1:30:00 PM
SB 123
SB 123 AIDEA Presentation 4.14.21.pdf SL&C 4/14/2021 1:30:00 PM
SB 123
SB 123 REAP - Chris Rose - Presentation 4.14.21.pdf SL&C 4/14/2021 1:30:00 PM
SB 123
SB 123 Coalition for Green Capital - Jeffrey Schub - Presentation 4.14.21.pdf SL&C 4/14/2021 1:30:00 PM
SB 123
SB 123 CT Green Bank - Bert Hunter - Presentation 4.14.21.pdf SL&C 4/14/2021 1:30:00 PM
SB 123
SB 123 Supporting - A Green Bank for Alaska - REAP.pdf SL&C 4/14/2021 1:30:00 PM
SB 123
SB 123 Supporting - Green Bank Opportunity Report - MOA.pdf SL&C 4/14/2021 1:30:00 PM
SB 123
SB 123 Supporting - Green Banks in the U.S..pdf SFIN 5/4/2021 9:00:00 AM
SL&C 4/14/2021 1:30:00 PM
SB 123
SB 123 Letter of Support - REAP 4.14.21.pdf SL&C 4/14/2021 1:30:00 PM
SB 123
CSSB 6 (L&C) Version I.pdf SL&C 4/14/2021 1:30:00 PM
SB 6
CSSB 6 (L&C) Version I Explanation of Changes 4.14.21.pdf SL&C 4/14/2021 1:30:00 PM
SB 6