2013-02-19                     Senate Journal                      Page 0332
SB 59                                                                                                                         
SENATE BILL NO. 59 BY THE SENATE RULES COMMITTEE                                                                                
BY REQUEST OF THE GOVERNOR, entitled:                                                                                           
                                                                                                                                
             "An Act relating to approval for oil and gas or gas                                                               
              only exploration and development in a geographical                                                               
          area; and providing for an effective date."                                                                           
                                                                                                                                
was read the first time and referred to the Senate Special Committee                                                            
on Trans Alaska Pipeline System Throughput, Resources and Finance                                                               
Committees.                                                                                                                     
                                                                                                                                
The following fiscal information was published today:                                                                           
 Fiscal Note No. 1, Department of Natural Resources                                                                             
                                                                                                                                
Governor's transmittal letter dated February 18:                                                                                
                                                                                                                                
Dear President Huggins,                                                                                                         
                                                                                                                                
Under the authority of Article III, Section 18 of the Alaska                                                                    
Constitution, I am transmitting a bill relating to approval for oil and                                                         
gas or gas only exploration and development in a geographical area.                                                             
This bill will reduce the time required to get oil into production and                                                          
flowing through TAPS, while protecting Alaska's environment.                                                                    
                                                                                                                                
                                                                                                                                
                                                                                                                                

2013-02-19                     Senate Journal                      Page 0333
Under current procedures, the Department of Natural Resources                                                                   
(DNR) grants lease exploration and development approval in                                                                      
conjunction with individual plans of operation for a lease or project.                                                          
As such, a separate public notice is required for each approval, often                                                          
resulting in repetitive approvals within the same geographical area. In                                                         
order to streamline the State's permitting process, this bill allows DNR                                                        
to comprehensively evaluate oil and gas exploration and development                                                             
in a geographical area, and define the criteria by which specific                                                               
projects are evaluated and approved. Approvals made under the                                                                   
provisions of this bill are valid for up to ten years as specified by                                                           
DNR's Director of the Division of Lands.                                                                                        
                                                                                                                                
Creating economic opportunity in Alaska requires a clear, predictable,                                                          
and timely permitting process that encourages resource development                                                              
while protecting the environment. I urge your prompt and favorable                                                              
action on this measure to create a streamlined permitting process in the                                                        
interests of increasing oil throughput and growing Alaska's economy.                                                            
                                                                                                                                
Sincerely,                                                                                                                      
/s/                                                                                                                             
Sean Parnell                                                                                                                    
Governor