Enrolled HB 349: Relating to the establishment of oil and gas drilling units, spacing, and patterns; providing for the transfer of and addition of names to a personal use cabin permit for a cabin on state land; and providing for an effective date.
00Enrolled HB 349 01 Relating to the establishment of oil and gas drilling units, spacing, and patterns; providing for 02 the transfer of and addition of names to a personal use cabin permit for a cabin on state land; 03 and providing for an effective date. 04 _______________ 05 * Section 1. AS 31.05.100(a) is amended to read: 06 (a) For the prevention of waste, to protect and enforce [THE] correlative rights 07 [OF LESSEES IN A POOL], and to avoid the augmenting and accumulation of risks 08 arising from the drilling of an excessive number of wells, or the reduced recovery that 09 [WHICH] might result from too small a number of wells, the commission may 10 [SHALL, AFTER A HEARING,] establish a drilling unit or units for each pool. The 11 establishment of a unit for gas shall be limited to the production of gas. 12 * Sec. 2. AS 31.05.100(b) is amended to read: 13 (b) Each well permitted to be drilled on a drilling unit shall be drilled under 14 the rules and regulations and in accordance with the spacing pattern as the commission
01 prescribes for the pool in which the well is located. Exceptions to the rules and 02 spacing pattern may be granted where it is shown [, AFTER NOTICE AND 03 HEARING,] that the unit is partly outside the pool, or that for some other reason a 04 well [SO] located on the unit would be nonproductive, or topographical conditions 05 [ARE SUCH AS TO] make the drilling at [SUCH] a location unduly burdensome. If 06 an exception is granted, the commission shall take [SUCH] action to [AS WILL] 07 offset any advantage that [WHICH] the person securing the exception may have over 08 other producers because [BY REASON] of the drilling of the well as an exception, 09 and so that drainage from developed units to the tract with respect to which the 10 exception is granted will be prevented or minimized, and the producer of the well 11 drilled as an exception will be allowed to produce not [NO] more than a just and 12 equitable share of the oil and gas in the pool. 13 * Sec. 3. AS 31.05.100 is amended by adding a new subsection to read: 14 (f) The commission may adopt well spacing regulations to protect correlative 15 rights. 16 * Sec. 4. The uncodified law of the State of Alaska is amended by adding a new section to 17 read: 18 CONVEYANCE OF STATE LAND TO THE CITY AND BOROUGH OF JUNEAU. 19 The Department of Natural Resources shall, without cost, convey all rights, titles, and 20 interests to the following parcels of land situated within United States Survey No. 7, Townsite 21 of Juneau and Alaska Tidelands Survey No. 3, Juneau Recording District, First Judicial 22 District, Juneau, Alaska, containing 3.55 acres of land, more or less, to the City and Borough 23 of Juneau, subject to the reservations described in AS 38.05.125 and the provisions of 24 AS 38.05.127: 25 (1) All of Tract A, Downtown Transportation Center Plat, recorded at Plat No. 26 2009-11, Juneau Recording District; 27 (2) Lots 7 and 8, Block 1, United States Survey No. 7, Townsite of Juneau; 28 (3) Lots, 1, 2, 3, 6, 7, and 8, Block 6, United States Survey No. 7, Townsite of 29 Juneau, excluding the following particularly described parcel: 30 Beginning at the west corner of Lot 8; thence South 41 degrees 17 31 minutes East, along the southwest line of Lot 8, a distance of 14.13 feet; thence
01 northerly a distance of 20.0 feet, more or less, to a point on the northwest line of Lot 8, 02 said point being North 48 degrees 43 minutes East a distance of 14.13 feet from the 03 point of beginning; thence South 48 degrees 43 minutes West, along the northwest line 04 of Lot 8, a distance of 14.13 feet to the point of beginning; 05 (4) Lots 3, 4, 5, and 6, Block D, United States Survey No. 7, Townsite of 06 Juneau, and the following particularly described parcel: 07 Beginning at the north corner of Lot 5; thence South 48 degrees 43 08 minutes West, on the northwest lot line a distance of 50.0 feet to the west corner of 09 Lot 5; thence North 41 degrees 17 minutes West a distance of 20.0 feet; thence North 10 48 degrees 43 minutes East a distance of 61.58 feet; thence South 36 degrees 44 11 minutes East a distance of 120.78 feet; thence South 48 degrees 43 minutes West a 12 distance of 2.0 feet to the east corner of Lot 5; thence North 41 degrees 17 minutes 13 West, along the northwest lot line, a distance of 100.40 feet to the point of beginning; 14 excluding the southwest 8.94 feet of Lot 6, Block D; 15 (5) Lots 2, 3, 4, 5, 6, and 7, Block E, United States Survey No. 7, Townsite of 16 Juneau, excluding the following particularly described parcels: 17 (A) Beginning at the west corner of Lot 2; thence North 48 degrees 43 18 minutes East along the northwest line of Lot 2, a distance of 18.06 feet; thence South 19 82 degrees 25 minutes 10 seconds East a distance of 149.86 feet to a point on the 20 southeast line of said Lot 4; thence South 48 degrees 43 minutes West a distance of 21 17.83 feet to the most southerly corner of Lot 4; thence North 76 degrees 36 minutes 22 West a distance of 40.30 feet to an angle point on the south line of Lot 3, said point 23 being Corner 10 of Alaska Tidelands Survey No. 3; thence North 84 degrees 38 24 minutes West a distance of 110.0 feet to the point of beginning; 25 (B) Beginning at the south corner of Lot 7; thence North 52 degrees 42 26 minutes West along the southwest line of Lot 7 a distance of 66.90 feet, the line being 27 coincident with the boundary line between United States Survey No. 7 and Alaska 28 Tideland Survey No. 3; thence North 43 degrees 23 minutes East a distance of 7.87 29 feet; thence South 52 degrees 42 minutes East a distance of 50.40 feet to the southeast 30 line of Lot 7; thence South 48 degrees 43 minutes West along the lot line a distance of 31 18.06 feet to the point of beginning.
01 * Sec. 5. The uncodified law of the State of Alaska is amended by adding a new section to 02 read: 03 TRANSFER OF PERMIT FOR PERSONAL USE CABIN ON STATE LAND. (a) 04 Notwithstanding regulations adopted by the Department of Natural Resources in 1984 and 05 amendments to those regulations adopted by that department in 1993, 2001, and 2018 under 06 the authority of AS 38.04.035, 38.04.900, AS 38.05.020, AS 41.21.020, and AS 44.37.011, as 07 those provisions read on the date those regulations were adopted, that state that a personal use 08 cabin permit is not transferable or assignable and is valid only during the lifetime of the 09 original holder of the permit, the department shall, 10 (1) at the request of an original permit holder, 11 (A) transfer the permit holder's permit to an immediate family member 12 of the permit holder; or 13 (B) add an immediate family member of the permit holder as an 14 additional permittee with a right of survivorship in the permit; and 15 (2) if the original permit holder of a permit that has not been transferred or 16 assigned dies before the age provided by the National Center for Health Statistics as the 17 average life expectancy of a person residing in the state at the time of the permit holder's 18 birth, allow an immediate family member of the deceased permit holder to assume the 19 privileges of the permit for a period equal to the difference between the original permit 20 holder's age at death and the life expectancy determined under this paragraph. 21 (b) Notwithstanding the regulations that state that a personal use cabin permit is not 22 transferable or assignable and is valid only during the lifetime of the original holder, an 23 immediate family member of an original personal use cabin permit holder or deceased 24 personal use cabin permit holder may assume the privileges of a permit under (a) of this 25 section only if the person is qualified under regulations adopted by the Department of Natural 26 Resources. 27 (c) For an immediate family member of a personal use cabin permit holder 28 (1) to be added to or transferred a permit under (a)(1) of this section, the 29 original permit holder must submit the immediate family member's name to the Department 30 of Natural Resources; 31 (2) to assume the privileges of a permit under (a)(2) of this section, the
01 immediate family member must apply to the Department of Natural Resources within 30 days 02 after the permit holder's death. 03 (d) Once the original permit holder has died, a personal use cabin permit that an 04 immediate family member has been transferred, or had the individual's name added to, under 05 (a)(1) of this section is valid only during the lifetime of the immediate family member. 06 (e) The Department of Natural Resources shall adopt regulations to implement this 07 section. 08 (f) In this section, "personal use cabin permit" means a permit issued by the 09 Department of Natural Resources under regulations adopted by the department in 1984 and 10 amendments to those regulations that were adopted in 1993, 2001, and 2018 to an individual 11 to use an existing cabin that was placed on state land before August 1, 1984. 12 * Sec. 6. The uncodified law of the State of Alaska is amended by adding a new section to 13 read: 14 PERSONAL USE CABIN PERMITS THAT EXPIRED ON OR AFTER JANUARY 15 1, 2020, AND BEFORE THE EFFECTIVE DATE OF THIS SECTION. (a) The Department 16 of Natural Resources shall allow an immediate family member of the holder of a personal use 17 cabin permit that allowed the holder to use an existing cabin that was placed on state land and 18 that was issued by the Department of Natural Resources under regulations adopted by the 19 department in 1984 and amendments to those regulations that were adopted in 1993, 2001, 20 and 2018 that expired on or after January 1, 2020, and before the effective date of this section, 21 because of the death of the original permit holder, to assume the former privileges of the 22 expired permit as provided under sec. 5(a)(2) of this Act as though the permit had not expired. 23 (b) Notwithstanding sec. 5(c)(2) of this Act, for an immediate family member of a 24 personal use cabin permit holder to assume the former privileges of an expired permit under 25 (a) of this section, the immediate family member must apply to the Department of Natural 26 Resources within 60 days after the effective date of this section. 27 (c) In calculating the period for which an immediate family member may assume the 28 former privileges of an expired permit under (a) of this section, the Department of Natural 29 Resources shall count the period after January 1, 2020, that the original permit holder was 30 deceased against the period the family member may assume the former privileges of the 31 expired permit.
01 * Sec. 7. Sections 5 and 6 of this Act take effect immediately under AS 01.10.070(c).