00                             HOUSE BILL NO. 398                                                                          
01 "An Act requiring the Department of Natural Resources to evaluate current incentives                                    
02 and recommend additional incentives that would increase gas exploration, development,                                   
03 and production in the state; requiring the Department of Natural Resources to evaluate                                  
04 the means by which the department may explore for oil and gas and tender                                                
05 subscriptions for information gathered through exploration-related activity; and                                        
06 providing for an effective date."                                                                                       
07 BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF ALASKA:                                                                
08    * Section 1. The uncodified law of the State of Alaska is amended by adding a new section                          
09 to read:                                                                                                                
10       STUDY AND REPORT BY THE DEPARTMENT OF NATURAL RESOURCES                                                           
11 RELATING TO INCENTIVES FOR INCREASING OIL AND GAS PRODUCTION AND                                                        
12 THE MEANS BY WHICH THE DEPARTMENT COULD EXPLORE FOR OIL AND GAS                                                         
13 AND PROVIDE OIL AND GAS EXPLORATION DATA BY SUBSCRIPTION. (a) The                                                       
01 Department of Natural Resources shall                                                                                   
02            (1)  identify and evaluate incentives the state may offer under current law to                               
03 increase the exploration for, development of, and production of oil and gas;                                            
04            (2)  identify and evaluate additional incentives that may be enacted by the                                  
05 legislature to increase the exploration for, development of, and production of oil and gas;                             
06            (3)  determine the cost, feasibility, and a proposed organizational structure for                            
07 the Department of Natural Resources to                                                                                  
08                 (A)  conduct geological fieldwork and gather seismic data on land open                                  
09       to exploration licensing that the commissioner of natural resources finds to have the                             
10       greatest potential for oil and gas exploration, development, and production; and                                  
11                 (B)  offer subscriptions to the information collected in (A) of this                                    
12       paragraph that will remain confidential for two years after receipt by a person that                              
13       subscribes to the information with an option to extend the period of confidentiality for                          
14       two additional years if the subscriber obtains an exploration license under                                       
15       AS 38.05.132 for the land from which the information was gathered.                                                
16       (b)  The Department of Natural Resources shall report its findings, conclusions, and                              
17 recommendations on the subjects described in (a) of this section to the legislature before                              
18 November 1, 2010.                                                                                                       
19    * Sec. 2. This Act takes effect immediately under AS 01.10.070(c).