00                      CS FOR HOUSE BILL NO. 298(FIN)                                                                    
01 "An Act exempting quarry rock, sand and gravel, and marketable earth mining                                             
02 operations from the mining license tax; and providing for an effective date."                                           
03 BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF ALASKA:                                                                
04    * Section 1. AS 43.65.010(a) is amended to read:                                                                   
05            (a)  A person prosecuting or attempting to prosecute, or engaging in the                                     
06       business of mining in the state shall obtain a license from the department. All new                               
07       mining operations are exempt from the tax levied by this chapter for three and one-                               
08       half years after production begins. [THE TAX EXEMPTION GRANTED TO NEW                                             
09       MINING OPERATIONS DOES NOT EXTEND OR APPLY TO THE MINING OF                                                       
10       SAND AND GRAVEL.]                                                                                                 
11    * Sec. 2. AS 43.65.060(2) is amended to read:                                                                      
12                 (2)  "mining" means an operation by which valuable metals, ores,                                        
13       minerals, asbestos, gypsum, coal, [MARKETABLE EARTH,] or stone, or any of them                                    
14       are extracted, mined, or taken from the earth; "mining" includes the ordinary treatment                           

01       processes normally applied by mine owners or operators to obtain the commercially                                 
02       marketable product, but does not include the extraction or production of oil and gas,                         
03       marketable earth, quarry rock, or sand and gravel;                                                            
04    * Sec. 3. The uncodified law of the State of Alaska is amended by adding a new section to                          
05 read:                                                                                                                   
06       RETROACTIVITY. Sections 1 and 2 of this Act are retroactive to January 1, 2012.                                   
07    * Sec. 4. This Act takes effect immediately under AS 01.10.070(c).