Legislature(2017 - 2018)SENATE FINANCE 532

05/08/2017 03:30 PM LEGISLATIVE BUDGET & AUDIT

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Audio Topic
03:32:52 PM Start
03:33:51 PM Approval of the Agenda
03:34:06 PM Approval of the Minutes
03:34:17 PM Executive Session
04:44:06 PM Oil & Gas Consultant Contracts
04:47:56 PM Contract Assignment Agreement
04:49:14 PM Adjourn
* first hearing in first committee of referral
+ teleconferenced
= bill was previously heard/scheduled
-- Teleconference <Listen Only> --
RFP - 17-33-01 - EXECUTIVE SESSION
Contract Assignment Agreement
                    ALASKA STATE LEGISLATURE                                                                                  
             LEGISLATIVE BUDGET AND AUDIT COMMITTEE                                                                           
                          May 8, 2017                                                                                           
                           3:32 p.m.                                                                                            
                                                                                                                                
MEMBERS PRESENT                                                                                                               
                                                                                                                                
Senator Gary Stevens, Chair                                                                                                     
Senator Anna MacKinnon                                                                                                          
Senator Cathy Giessel                                                                                                           
Senator Click Bishop                                                                                                            
Senator Lyman Hoffman                                                                                                           
Senator Natasha von Imhof (alternate)                                                                                           
                                                                                                                                
Representative Andy Josephson, Vice Chair                                                                                       
Representative Paul Seaton                                                                                                      
Representative Ivy Spohnholz (via teleconference)                                                                               
Representative Jennifer Johnston                                                                                                
Representative Dan Ortiz (alternate - via teleconference)                                                                       
                                                                                                                                
MEMBERS ABSENT                                                                                                                
                                                                                                                                
Representative Scott Kawasaki                                                                                                   
                                                                                                                                
OTHER LEGISLATORS PRESENT                                                                                                     
                                                                                                                                
Representative Lora Reinbold                                                                                                    
                                                                                                                                
COMMITTEE CALENDAR                                                                                                            
                                                                                                                                
APPROVAL OF AGENDA                                                                                                              
APPROVAL OF THE MINUTES                                                                                                         
EXECUTIVE SESSION                                                                                                               
OIL & GAS CONSULTANT CONTRACTS                                                                                                  
CONTRACT ASSIGNMENT AGREEMENT                                                                                                   
                                                                                                                                
PREVIOUS COMMITTEE ACTION                                                                                                     
                                                                                                                                
No previous action to record                                                                                                    
                                                                                                                                
WITNESS REGISTER                                                                                                              
                                                                                                                                
No witnesses to record                                                                                                          
                                                                                                                                
ACTION NARRATIVE                                                                                                              
                                                                                                                                
3:32:52 PM                                                                                                                    
                                                                                                                                
CHAIR  GARY  STEVENS  called the  Legislative  Budget  and  Audit                                                             
Committee meeting to  order at 3:32 p.m.   Representatives Seaton                                                               
Spohnholz  (via  teleconference),  Johnston, and  Josephson,  and                                                               
Senators   MacKinnon,  Bishop,   Giessel,   Hoffman,  von   Imhof                                                               
(alternate),  and Stevens  were  present at  the  call to  order.                                                               
Representative Ortiz (alternate)  arrived (via teleconference) as                                                               
the meeting was in progress.                                                                                                    
                                                                                                                                
^APPROVAL OF THE AGENDA                                                                                                         
                     APPROVAL OF THE AGENDA                                                                                 
                                                                                                                              
3:33:51 PM                                                                                                                    
                                                                                                                                
REPRESENTATIVE JOSEPHSON  moved that  the Legislative  Budget and                                                               
Audit Committee  approve the agenda.   There being  no objection,                                                               
the agenda was approved.                                                                                                        
                                                                                                                                
^APPROVAL OF THE MINUTES                                                                                                        
                    APPROVAL OF THE MINUTES                                                                                 
                                                                                                                              
3:34:06 PM                                                                                                                    
                                                                                                                                
REPRESENTATIVE JOSEPHSON  moved that  the Legislative  Budget and                                                               
Audit  Committee  approve the  minutes  of  the March  10,  2017,                                                               
meeting  as presented.   There  being no  objection, the  minutes                                                               
were approved.                                                                                                                  
                                                                                                                                
^EXECUTIVE SESSION                                                                                                              
                       EXECUTIVE SESSION                                                                                    
                                                                                                                              
3:34:17 PM                                                                                                                    
                                                                                                                                
CHAIR STEVENS announced that the  next order of business would be                                                               
an executive  session to discuss  the request for  proposal (RFP)                                                               
17-33-01.                                                                                                                       
                                                                                                                                
3:34:35 PM                                                                                                                    
                                                                                                                                
REPRESENTATIVE JOSEPHSON  moved that  the Legislative  Budget and                                                               
Audit  Committee go  into executive  session  under Uniform  Rule                                                               
22(b)(1),  discussion  of  matters, the  immediate  knowledge  of                                                               
which would  adversely affect the  finances of a  government unit                                                               
and  22 (b)(3),  discussion  of a  matter that  may,  by law,  be                                                               
required  to  be  confidential.   He  asked  that  the  following                                                               
individuals remain in  the room:  Kris Curtis,  Tina Strong, Doug                                                               
Gardner,  and   any  legislative  staff  working   for  committee                                                               
members.   There being no  objection, the Legislative  Budget and                                                               
Audit Committee took an at-ease to go into executive session.                                                                   
                                                                                                                                
3:35:10 PM                                                                                                                    
                                                                                                                                
The committee took an at-ease from 3:35 p.m. to 4:44 p.m.                                                                       
                                                                                                                                
^OIL & GAS CONSULTANT CONTRACTS                                                                                                 
                 OIL & GAS CONSULTANT CONTRACTS                                                                             
                                                                                                                                
4:44:06 PM                                                                                                                    
                                                                                                                                
SENATOR  STEVENS   called  the   Legislative  Budget   and  Audit                                                               
Committee  back  to  order.   Representatives  Seaton,  Johnston,                                                               
Josephson, Spohnholz  (via teleconference), and  Ortiz (alternate                                                               
- via  teleconference), and Senators MacKinnon,  Bishop, Giessel,                                                               
Hoffman, von Imhof  (alternate), and Stevens were  present at the                                                               
call back to order.                                                                                                             
                                                                                                                                
4:45:15 PM                                                                                                                    
                                                                                                                                
REPRESENTATIVE JOSEPHSON  moved that  the Legislative  Budget and                                                               
Audit Committee  award RFP  17-33-01 Oil  and Gas  Fiscal Systems                                                               
Economic Analysis  and Expertise to  IN3NERGY, LLC, in  an amount                                                               
not  to exceed  $100,000, from  the date  the contract  is signed                                                               
through June 30, 2019.                                                                                                          
                                                                                                                                
4:45:38 PM                                                                                                                    
                                                                                                                                
A roll  call vote was  taken.  Representatives  Seaton, Spohnholz                                                               
(via  teleconference),  Johnston,  and  Josephson,  and  Senators                                                               
MacKinnon, Bishop,  Giessel, Hoffman, and Stevens  voted in favor                                                               
of the motion.  Therefore, the motion  passed by a vote of 9 yeas                                                               
- 0 nays.                                                                                                                       
                                                                                                                                
4:46:18 PM                                                                                                                    
                                                                                                                                
REPRESENTATIVE JOSEPHSON  moved that  the Legislative  Budget and                                                               
Audit Committee  award RFP  17-33-01 Oil  and Gas  Fiscal Systems                                                               
Economic  Analysis and  Expertise  to Palantir  USA,  Inc, in  an                                                               
amount  not to  exceed $150,000,  from the  date the  contract is                                                               
signed through June 30, 2019.                                                                                                   
                                                                                                                                
4:46:41 PM                                                                                                                    
                                                                                                                                
A roll  call vote was  taken.  Representatives  Seaton, Spohnholz                                                               
(via  teleconference),  Johnston,  and  Josephson,  and  Senators                                                               
MacKinnon, Bishop,  Giessel, Hoffman, and Stevens  voted in favor                                                               
of the motion.  Therefore, the motion  passed by a vote of 9 yeas                                                               
- 0 nays.                                                                                                                       
                                                                                                                                
4:47:11 PM                                                                                                                    
                                                                                                                                
REPRESENTATIVE JOSEPHSON  moved that  the Legislative  Budget and                                                               
Audit Committee  award RFP  17-33-01 Oil  and Gas  Fiscal Systems                                                               
Economic Analysis  and Expertise to Gaffney,  Cline & Associates,                                                               
Inc., in  an amount  not to  exceed $200,000,  from the  date the                                                               
contract is signed through June 30, 2019.                                                                                       
                                                                                                                                
4:47:32 PM                                                                                                                    
                                                                                                                                
A roll  call vote was  taken.  Representatives  Seaton, Spohnholz                                                               
(via  teleconference),  Johnston,  and  Josephson,  and  Senators                                                               
MacKinnon, Bishop,  Giessel, Hoffman, and Stevens  voted in favor                                                               
of the motion.  Therefore, the motion  passed by a vote of 9 yeas                                                               
- 0 nays.                                                                                                                       
                                                                                                                                
^CONTRACT ASSIGNMENT AGREEMENT                                                                                                  
                 CONTRACT ASSIGNMENT AGREEMENT                                                                              
                                                                                                                              
4:47:56 PM                                                                                                                    
                                                                                                                                
CHAIR STEVENS announced that the  next order of business would be                                                               
to  address a  contract assignment  agreement.   He related  that                                                               
[Richard] Ruggiero did  work for the State of Alaska  when he was                                                               
with Castle  Gap Advisors, LLC,  and since  then has moved  on to                                                               
create his  own company.   Chair Stevens noted that  the attorney                                                               
who had  been present had left.   He said, "It's  simply a matter                                                               
of being  able to pay  him for work he  has already done,  and it                                                               
should not go to the company that he was with."                                                                                 
                                                                                                                                
4:48:27 PM                                                                                                                    
                                                                                                                                
REPRESENTATIVE JOSEPHSON  moved that  the Legislative  Budget and                                                               
Audit Committee  approve the  Assignment Agreement  and Amendment                                                               
No.  2 to  the  professional services  contract  with Castle  Gap                                                               
Advisors, LLC to IN3NERGY, LLC.                                                                                                 
                                                                                                                                
4:48:41 PM                                                                                                                    
                                                                                                                                
A roll  call vote was  taken.  Representatives  Seaton, Spohnholz                                                               
(via  teleconference),  Johnston,  and  Josephson,  and  Senators                                                               
MacKinnon, Bishop,  Giessel, Hoffman, and Stevens  voted in favor                                                               
of the motion.  Therefore, the motion passed by a vote of 9 yeas                                                                
- 0 nays.                                                                                                                       
                                                                                                                                
4:49:14 PM                                                                                                                    
                                                                                                                                
ADJOURNMENT                                                                                                                   
                                                                                                                                
There being no further business before the committee, the                                                                       
Legislative Budget and Audit Committee meeting was adjourned at                                                                 
4:49 p.m.                                                                                                                       

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