CSHB 44(FIN) am: "An Act relating to investments applicable to energy; clarifying the purpose of the Alaska Natural Gas Development Authority; relating to definitions of certain terms that relate to a project that may be developed by the Alaska Natural Gas Development Authority; and authorizing certain public corporations to issue bonds for energy projects."
00 CS FOR HOUSE BILL NO. 44(FIN) am 01 "An Act relating to investments applicable to energy; clarifying the purpose of the 02 Alaska Natural Gas Development Authority; relating to definitions of certain terms that 03 relate to a project that may be developed by the Alaska Natural Gas Development 04 Authority; and authorizing certain public corporations to issue bonds for energy 05 projects." 06 BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF ALASKA: 07 * Section 1. AS 18.56.089(c) is amended to read: 08 (c) The corporation shall make a dividend available to the state each fiscal 09 year. The corporation shall pay the dividend for a current fiscal year to the state before 10 the end of that fiscal year. The legislature may appropriate the dividend for capital 11 projects. The corporation shall notify the commissioner of revenue of the amount of 12 each dividend under this subsection for inclusion in the state operating budget and 13 shall also notify the commissioner when each dividend is available for payment to the
01 state. The amount of the dividend for a current fiscal year is calculated as follows: 02 (1) the lesser of $103,000,000 or 75 percent of the adjusted change in 03 net assets of the corporation for the base fiscal year; 04 (2) minus the amount of money from the corporation used during that 05 current fiscal year for bond repayment and other costs related to the bonds issued 06 under 07 (A) ch. 26, SLA 1996, up to a maximum of $1,000,000; 08 (B) sec. 10(b), ch. 130, SLA 2000; 09 (C) sec. 1, ch. 1, SSSLA 2002; 10 (D) sec. 4, ch. 120, SLA 2004; 11 (E) sec. 6 of this Act; and 12 (3) minus any appropriation of unrestricted unencumbered money of 13 the corporation during the current fiscal year, other than an appropriation for the 14 corporation's operating budget. 15 * Sec. 2. AS 41.41.010(a) is amended to read: 16 (a) There is established the Alaska Natural Gas Development Authority, the 17 purpose of which is to provide one or more of the following services and functions in 18 order to bring natural gas from the North Slope or other regions of the state to 19 market, including 20 (1) the acquisition and conditioning of [NORTH SLOPE] natural gas; 21 (2) the design and construction of the pipeline system; 22 (3) the operation and maintenance of the pipeline system; 23 (4) the design, construction, and operation [,] of other facilities 24 necessary for delivering the gas to market, including markets in the state [AND TO 25 SOUTHCENTRAL ALASKA]; and 26 (5) the acquisition of natural gas market share sufficient to ensure the 27 long-term feasibility of [THE] pipeline system projects [PROJECT]. 28 * Sec. 3. AS 41.41.010(d) is amended to read: 29 (d) The acquisition of natural gas from the North Slope and other regions of 30 the state, including the Alaska outer continental shelf, and its delivery to markets 31 in the state for use by markets in the state or to tidewater for shipment to market by
01 the authority are [IS AN] essential government functions [FUNCTION] of the state. 02 * Sec. 4. AS 41.41.990(3) is amended to read: 03 (3) "project" means the gas transmission pipeline, together with all 04 related property and facilities, to extend from [THE PRUDHOE BAY AREA ON] the 05 North Slope of Alaska or other regions of the state to a market in the state, or be 06 available to a market in the state, and [EITHER] to tidewater at a point on Prince 07 William Sound [AND THE SPUR LINE FROM GLENNALLEN TO THE 08 SOUTHCENTRAL GAS DISTRIBUTION GRID] or [TO TIDEWATER AT A 09 POINT ON] Cook Inlet, and includes planning, design, and construction of the 10 pipeline and facilities as described in AS 41.41.010(a)(1) - (5). 11 * Sec. 5. AS 41.41.990 is amended by adding a new paragraph to read: 12 (4) "North Slope" means that part of the state that lies north of 68 13 degrees North latitude and includes the Brooks Range foothills. 14 * Sec. 6. The uncodified law of the State of Alaska is amended by adding a new section to 15 read: 16 ALASKA HOUSING FINANCE CORPORATION: LEGISLATIVE 17 AUTHORIZATION AND APPROVAL OF ENERGY EFFICIENCY AND 18 CONSERVATION PROGRAM BONDS. (a) The Alaska Housing Finance Corporation is 19 authorized to issue bonds under the power granted to it in AS 18.56.110 to establish energy 20 efficiency and conservation programs for all homeowners. The maximum principal amount of 21 bonds that the Alaska Housing Finance Corporation may issue under this section is 22 $100,000,000. The Alaska Housing Finance Corporation may issue the bonds in a single 23 issuance or in several issuances, without limitation as to number of issuances or timing, and as 24 the Alaska Housing Finance Corporation determines best furthers the purpose of financing the 25 programs described in this section. The Alaska Housing Finance Corporation shall negotiate 26 with interested parties and shall enter into agreements with interested parties to provide 27 revenue sufficient to accomplish the purposes described in this subsection. 28 (b) This section constitutes the approval required by AS 18.56.110(g) for the issuance 29 of the bonds described in this section. 30 * Sec. 7. The uncodified law of the State of Alaska is amended by adding a new section to 31 read:
01 ALASKA NATURAL GAS DEVELOPMENT AUTHORITY: LEGISLATIVE 02 AUTHORIZATION AND APPROVAL OF BONDS FOR NATURAL GAS PROJECTS TO 03 ENSURE ENERGY SUFFICIENCY. (a) Subject to (b) of this section, the Alaska Natural 04 Gas Development Authority is authorized to issue bonds under the power granted to it in 05 AS 41.41.300 to acquire a gas supply, develop the Cook Inlet and Fairbanks markets, and 06 plan, permit, and design gas transmission systems to mitigate gas shortfalls, the effect on 07 consumers, and the economy of high cost energy, and ensure energy sufficiency for Alaskans. 08 The maximum principal amount of bonds that the Alaska Natural Gas Development Authority 09 may issue under this section is $250,000,000. The Alaska Natural Gas Development 10 Authority may issue the bonds in a single issuance or in several issuances, without limitation 11 as to number of issuances or timing, and as the Alaska Natural Gas Development Authority 12 determines best furthers the purpose of financing the projects described in this section. The 13 Alaska Natural Gas Development Authority shall negotiate with interested parties and shall 14 enter into agreements with interested parties to provide revenue sufficient to accomplish the 15 purposes described in this subsection. 16 (b) Unless the issuance is approved under this subsection by law, bonds may not be 17 issued under (a) of this section without the prior written approval of the Legislative Budget 18 and Audit Committee. If the Legislative Budget and Audit Committee approves or fails to 19 approve the issuance of bonds, the committee shall notify the Alaska Natural Gas 20 Development Authority and all members of the legislature in writing. On or before the fifth 21 day of the next session that convenes after the day notice is received by the Alaska Natural 22 Gas Development Authority, the authority may request the legislature to approve or 23 disapprove the bond issue by law. 24 (c) This section constitutes the approval required by AS 41.41.320 for the issuance of 25 the bonds described in this section.