2006-05-31                     House Journal                      Page 4102
HB 2002                                                                                           
HOUSE BILL NO. 2002 by the House Rules Committee by request of                                      
the Governor, entitled:                                                                             
                                                                                                    
     "An Act conferring original jurisdiction on the Alaska Supreme                                 
     Court for the purpose of providing judicial review of a contract                               
     executed under the Alaska Stranded Gas Development Act, and                                    
     setting the time in which a contract developed under that Act, or a                            
     statute of limitations regarding that contract, must be legally                                
     challenged; and providing for an effective date."                                              
                                                                                                    
was read the first time and referred to the Judiciary Committee.                                    
                                                                                                    
The following fiscal note(s) apply:                                                                 
                                                                                                    
1.  Zero, Dept. of Natural Resources                                                                
2.  Zero, Dept. of Revenue                                                                          
                                                                                                    
                                                                                                    
The Governor's transmittal letter dated May 31, 2006, follows:                                      
                                                                                                    
"Dear Speaker Harris:                                                                               
                                                                                                    
Under the authority of art. III, sec. 18, of the Alaska Constitution, I am                          
transmitting a bill conferring original jurisdiction on the Alaska                                  
Supreme Court for the purpose of providing judicial review of a                                     
contract executed under the Alaska Stranded Gas Development Act,                                    
and setting the time in which a contract developed under that Act, or a                             
statute of limitations regarding that contract, must be legally                                     
challenged.                                                                                         
                                                                                                    
This bill would give the Alaska Supreme Court original and exclusive                                
jurisdiction to hear a challenge to a fiscal contract under the Alaska                              
Stranded Gas Development Act (AS 43.82).  This bill would also                                      
shorten from 120 to 60 days the period during which such a challenge                                
must be filed.                                                                                      
                                                                                                    

2006-05-31                     House Journal                      Page 4103
The bill's provisions are intended to allow for prompt and direct                                   
resolution of any challenge to a stranded gas fiscal contract or its                                
authorizing law.  Pending lawsuits cause uncertainty in the minds of                                
project developers.  It is in everyone's interests to have in place a                               
process that expedites ultimate resolution of such challenges and                                   
thereby eliminates uncertainty about the validity and enforceability of                             
an authorizing law or the terms of a fiscal contract.                                               
                                                                                                    
I urge your prompt and favorable action on this measure.                                            
                                                                                                    
                                Sincerely yours,                                                    
                                /s/                                                                 
                                Frank H. Murkowski                                                  
                                 Governor"