00 HOUSE BILL NO. 119 01 "An Act relating to an in-state natural gas pipeline developed by the Alaska Gasline 02 Development Corporation; and providing for an effective date." 03 BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF ALASKA: 04 * Section 1. AS 31.25.005 is amended to read: 05 Sec. 31.25.005. Purpose. The corporation shall, for the benefit of the state, to 06 the fullest extent possible, 07 (1) develop and have primary responsibility for developing natural gas 08 pipelines, an Alaska liquefied natural gas project, and other transportation mechanisms 09 to deliver natural gas in-state for the maximum benefit of the people of the state; 10 (2) when developing natural gas pipelines, an Alaska liquefied natural 11 gas project, and other transportation mechanisms to deliver natural gas in-state, 12 provide economic benefits in the state and revenue to the state; 13 (3) assist the Department of Natural Resources and the Department of 14 Revenue to maximize the value of the state's royalty natural gas, natural gas delivered 01 to the state as payment of tax, and other natural gas received by the state; 02 (4) advance an in-state natural gas pipeline as described in the July 1, 03 2011, project plan prepared under former AS 38.34.040 by the corporation while a 04 subsidiary of the Alaska Housing Finance Corporation, with modifications determined 05 by the corporation to be appropriate to develop, finance, construct, and operate an in- 06 state natural gas pipeline in a safe, prudent, economical, and efficient manner, for the 07 purpose of making natural gas, including propane and other hydrocarbons associated 08 with natural gas other than oil, available to Fairbanks, the Southcentral region of the 09 state, and other communities in the state at the lowest rates possible; an in-state 10 natural gas pipeline advanced under this paragraph must include a direct spur 11 line to the City of Fairbanks and the Fairbanks North Star Borough; 12 (5) advance an Alaska liquefied natural gas project by developing 13 infrastructure and providing related services, including services related to 14 transportation, liquefaction, a marine terminal, marketing, and commercial support; if 15 the corporation provides a service under this paragraph to the state, a public 16 corporation or instrumentality of the state, a political subdivision of the state, or 17 another entity of the state, the corporation may not charge a fee for the service in an 18 amount greater than the amount necessary to reimburse the corporation for the cost of 19 the service; 20 (6) endeavor to develop natural gas pipelines and other transportation 21 mechanisms to deliver natural gas, including propane and other hydrocarbons 22 associated with natural gas other than oil, to public utility and industrial customers in 23 areas of the state to which the natural gas, including propane and other hydrocarbons 24 associated with natural gas other than oil, may be delivered at commercially 25 reasonable rates; and 26 (7) endeavor to develop natural gas pipelines and other transportation 27 mechanisms that offer commercially reasonable rates for shippers and access for 28 shippers who produce natural gas, including propane and other hydrocarbons 29 associated with natural gas other than oil, in the state. 30 * Sec. 2. This Act takes effect immediately under AS 01.10.070(c).