Legislature(1997 - 1998)

1998-04-20 Senate Journal

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1998-04-20                     Senate Journal                      Page 3387
HB 380                                                                       
Senator Halford requested that the reconsideration on SENATE CS                
FOR CS FOR HOUSE BILL NO. 380(FIN) An Act relating to a                        
temporary reduction of royalty on oil and gas produced for sale from           
certain fields described as being located within the Cook Inlet                
sedimentary basin, as having been discovered before January 1, 1988,           
and as having been undeveloped or shut in from at least January 1,             
1988, through December 31, 1997 be taken up. The bill was before               
the Senate on reconsideration.                                                 
                                                                               
Senator Halford moved that the bill be returned to second reading for          
the purpose of a specific amendment, that being Amendment No. 2.               
Without objection, the bill was returned to second reading.                    
                                                                               
Senators Halford, Phillips offered Amendment No. 2 :                            
                                                                               
Page 1, following line 6:                                                      
	Insert a new bill section to read:                                            
   "* Section 1.  AS31.05.030 is amended by adding a new                     
subsection to read:                                                            
                                                                               
                                                                               

1998-04-20                     Senate Journal                      Page 3388
HB 380                                                                       
	(i)  The commission shall accept written plans submitted by                   
lessees for purposes of AS38.05.180(f)(5).  If a lessee submits a              
plan, the commission shall hold a public hearing on the plan and,              
within 45 days after receipt of the plan, grant approval of the plan           
if the plan contains a voluntary agreement by the lessee to use its            
best efforts to employ residents of this state, consistent with law, and       
to contract with firms in this state for work in connection with the           
development of the field, including the fabrication and installation of        
required facilities, whenever feasible.  The decision of the                   
commission to grant approval may not be appealed."                             
                                                                               
Page 1, line 7:                                                                
	Delete "Section 1."                                                         
	Insert "Sec. 2."                                                            
                                                                               
Renumber the following bill section accordingly.                               
                                                                               
Page 1, line 12, following "section that" through page 2, line 6:              
	Delete all material.                                                          
	Insert "has been granted approval of a written plan submitted to              
the Alaska Oil and Gas Conservation Commission under                           
AS31.05.030(i) shall, subject to (dd) of this section"                         
                                                                               
Page 2, line 7:                                                                
	Delete "2004"                                                                 
                                                                               
Page 2, line 19, through page 3, line 11:                                      
	Delete all material and insert:                                               
   "* Sec. 3.  AS38.05.180 is amended by adding a new subsection             
to read:                                                                       
	(dd)  A lessee is eligible for the royalty in (f)(5) of this section          
only if production of oil or gas for sale begins from the eligible field       
before January1, 2004.  However, if the state or an agency of the              
state is a party to a suit, other than a suit brought by the lessee or         
agent of the lessee, and if the suit challenges (f)(5) of this section         
or AS31.05.030(i) or an act under (f)(5) of this section or AS                 
31.05.030(i), the January1, 2004, deadline is extended by the                  
number of days the state or agency of the state is a party to the suit,        
including any appeals."                                                        

1998-04-20                     Senate Journal                      Page 3389
HB 380                                                                       
Senator Halford moved for the adoption of Amendment No. 2.                     
Without objection, Amendment No. 2 was adopted.                                
                                                                               
SENATE CS FOR CS FOR HOUSE BILL NO. 380(FIN) am S was                          
automatically in third reading.                                                
                                                                               
Senators Pearce, Taylor, Kelly, Torgerson, Halford, Sharp, Donley              
moved and asked unanimous consent that they be shown as cross                  
sponsors on the bill. Without objection, it was so ordered.                    
                                                                               
The question to be reconsidered: Shall SENATE CS FOR CS FOR                    
HOUSE BILL NO. 380(FIN) am S An Act relating to a temporary                    
reduction of royalty on oil and gas produced for sale from certain             
fields described as being located within the Cook Inlet sedimentary            
basin, as having been discovered before January 1, 1988, and as                
having been undeveloped or shut in from at least January 1, 1988,              
through December 31, 1997 pass the Senate? The roll was taken                  
with the following result:                                                     
                                                                               
SCS CSHB 380(FIN) am S                                                         
Third Reading - On Reconsideration                                             
                                                                               
YEAS:  14   NAYS:  4   EXCUSED:  1   ABSENT:  1                              
                                                                               
Yeas:  Donley, Green, Halford, Kelly, Leman, Mackie, Miller,                   
Parnell, Pearce, Phillips, Sharp, Taylor, Torgerson, Wilken                    
                                                                               
Nays:  Duncan, Ellis, Hoffman, Lincoln                                         
                                                                               
Excused:  Ward                                                                 
                                                                               
Absent:  Adams                                                                 
                                                                               
and so, SENATE CS FOR CS FOR HOUSE BILL NO. 380(FIN) am                        
S passed the Senate on reconsideration and was referred to the                 
Secretary for engrossment.