Legislature(2009 - 2010)SENATE FINANCE 532
04/05/2010 10:00 AM Senate FINANCE
Audio | Topic |
---|---|
Start | |
SB235 | |
SB236 | |
SB312 | |
SB301 | |
SB287 | |
Adjourn |
* first hearing in first committee of referral
+ teleconferenced
= bill was previously heard/scheduled
+ teleconferenced
= bill was previously heard/scheduled
*+ | SB 312 | TELECONFERENCED | |
+ | SB 301 | TELECONFERENCED | |
+= | SB 220 | TELECONFERENCED | |
+ | SB 287 | TELECONFERENCED | |
+ | TELECONFERENCED | ||
= | SB 235 | ||
= | SB 236 | ||
SENATE BILL NO. 301 "An Act relating to the power project fund; authorizing the Alaska Energy Authority to charge and collect fees relating to the power project fund; authorizing the Alaska Energy Authority to sell and authorizing the Alaska Industrial Development and Export Authority to purchase loans of the power project fund; providing legislative approval for the sale and purchase of loans of the power project fund under the memorandum of understanding dated February 17, 2010; and providing for an effective date." 11:19:22 AM AT EASE 11:20:06 AM RECONVENE SARAH FISHER-GOAD, DEPUTY DIRECTOR OF OPERATIONS, ALASKA ENERGY AUTHORITY, DEPARTMENT OF COMMERCE, COMMUNITY AND ECONOMIC DEVELOPMENT, stated that SB 301 authorizes the Alaska Energy Authority (AEA) to sell loans from the power project fund to raise capital for new projects and authorizes the Alaska Industrial Development and Export Authority to purchase the loan portfolio. The bill also authorizes AEA to establish fees for the power project fund loans. She continued that the bill is straightforward. She provided a sectional analysis. Section 1: AS 42.45.010(a) is amended to allow proceeds from the sale of power project loans to be deposited into the power project fund (PPF). Section 2: AS 42.45.010(D) repeals and reenacts AEA authority to adopt regulations relating to the loan program by specifically allowing AEA to establish fees for applications and loan originations. Section 3: AS 42.45.010 is amended by adding new subsections- (k) to provide that fees collected will be deposited into the general fund. (l) provides authority to AEA to sell loans fo the PPF with legislative approval, allows AEA to repurchase loans sold under this subsection which default, allows proceeds received to be deposited into the fund. Section 4: AS 44.88.080 is amended by adding new subsection (30) allowing AIDEA to purchase from AEA, as an investment of the revolving fund, PPF loans. Section 5: Uncodified law is amended by adding a new section providing for legislative approval for AEA to sell and AIDEA to purchase certain power project fund loans. This section references the 2/17/10 MOU between AIDEA and AEA that memorializes the proposed terms of the sale and purchase. Section 6: Provides for an immediate effective date Senator Olson asked who benefits from the legislation. Ms. Fisher-Goad responded that the benefit is to future borrowers of the power project fund. Capital is raised in order to issue more loans. The authority to repurchase any loan that would perhaps default, allows AEA to receive the highest price possible. A discount rate is applied to this purchase. A risk analysis of the projects is not necessary. Senator Olson asked if a discount exists to purchase the loans in the event of default. Ms. Fisher-Goad responded that the rate for repurchase is an annual rate of four percent if the loan was not repurchased within 30 days. Co-Chair Stedman discussed the four zero fiscal notes. 11:25:29 AM Senator Egan asked about the interest rates on the loans. He pointed out that none of the interest rates are at six percent. Ms. Fisher-Goad explained that the discount rate equals the six percent and is applied to the purchase of the portfolio. The discount rate accounts for the long term cash flow of the loan payments. The discount rate was determined by running the cash flow of the loan payments out to arrive at a present value computation. The six percent discount rate accommodates that cash flow. SB 301 was HEARD and HELD in Committee for further consideration.
Document Name | Date/Time | Subjects |
---|---|---|
Sectional Analysis for HB 411 and SB 301.pdf |
SFIN 4/5/2010 10:00:00 AM |
HB 411 SB 301 |
SB 301 Hearing Request Sen. Hoffman and Sen. Stedman.pdf |
SFIN 4/5/2010 10:00:00 AM |
SB 301 |
2-17-2010_MOU_AIDEA_AEA.pdf |
SFIN 4/5/2010 10:00:00 AM |
SB 301 |
Sponsor Statement SB 287.pdf |
SFIN 4/5/2010 10:00:00 AM |
SB 287 |
SEP OCT 09.pdf |
SFIN 4/5/2010 10:00:00 AM |
SB 287 |
JUNE 09.pdf |
SFIN 4/5/2010 10:00:00 AM |
SB 287 |
JULY 09.pdf |
SFIN 4/5/2010 10:00:00 AM |
SB 287 |
In-State Letter.pdf |
SFIN 4/5/2010 10:00:00 AM |
SB 287 |
Hearing Request for SB 287.docx |
SFIN 4/5/2010 10:00:00 AM |
SB 287 |
Governor Parnell Letter.pdf |
SFIN 4/5/2010 10:00:00 AM |
SB 287 |
Feb 10.pdf |
SFIN 4/5/2010 10:00:00 AM |
SB 287 |
DEC 09.pdf |
SFIN 4/5/2010 10:00:00 AM |
SB 287 |
SB 312 Head Tax reduction_Support.pdf |
SFIN 4/5/2010 10:00:00 AM |
SB 312 |
SB 312 Sponsor Statement.docx |
HFIN 4/15/2010 8:30:00 AM SFIN 4/5/2010 10:00:00 AM |
SB 312 |
SB 312 Visitor Industry Impact.pdf |
SFIN 4/5/2010 10:00:00 AM |
SB 312 |
SB 235 - Sponsor Statement[1].pdf |
SFIN 4/5/2010 10:00:00 AM |
SB 235 |
SB 235 - Sectional Analysis[1].pdf |
SFIN 4/5/2010 10:00:00 AM |
SB 235 |
SB 235 - PowerPoint[1].pdf |
SFIN 4/5/2010 10:00:00 AM |
SB 235 |
SB 235 - National Ranking[1].pdf |
SFIN 4/5/2010 10:00:00 AM |
SB 235 |
SB 235 - National Charter Alliance CSP Fact Sheet[1].pdf |
SFIN 4/5/2010 10:00:00 AM |
SB 235 |
SB 235 - Mat-Su Support Resolution[1].pdf |
SFIN 4/5/2010 10:00:00 AM |
SB 235 |
SB 235 - Letters of Support[1].pdf |
SFIN 4/5/2010 10:00:00 AM |
SB 235 |
SB 235 - Kern - Fed Dept Ed - Letter[1].pdf |
SFIN 4/5/2010 10:00:00 AM |
SB 235 |
SB 235 - DED Charter Grant Program[1].pdf |
SFIN 4/5/2010 10:00:00 AM |
SB 235 |
SB 235 - DED Charter Grant Program - Funding[1].pdf |
SFIN 4/5/2010 10:00:00 AM |
SB 235 |
SB 235 - Comeau Article[1].pdf |
SFIN 4/5/2010 10:00:00 AM |
SB 235 |
SB 235 - Alaska Charter Law Fact Sheet[1].pdf |
SFIN 4/5/2010 10:00:00 AM |
SB 235 |
SB 236 2010 SEDA ltter of support.pdf |
SFIN 4/5/2010 10:00:00 AM |
SB 236 |
SB 312 Sectional Analysis.docx |
HFIN 4/15/2010 8:30:00 AM SFIN 4/5/2010 10:00:00 AM |
SB 312 |
SB 312 Thoma Testimony SFIN 040510.pdf |
SFIN 4/5/2010 10:00:00 AM |
SB 312 |