Legislature(2017 - 2018)SENATE FINANCE 532

02/14/2017 09:00 AM Senate FINANCE

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09:06:58 AM Start
09:07:31 AM Presentation: Agdc Financials
11:10:24 AM Adjourn
* first hearing in first committee of referral
+ teleconferenced
= bill was previously heard/scheduled
Mr. Keith Meyer, President, Alaska Gasline
Development Corporation
+ Bills Previously Heard/Scheduled TELECONFERENCED
                 SENATE FINANCE COMMITTEE                                                                                       
                     February 14, 2017                                                                                          
                         9:06 a.m.                                                                                              
9:06:58 AM                                                                                                                    
CALL TO ORDER                                                                                                                 
Co-Chair MacKinnon called the Senate Finance Committee                                                                          
meeting to order at 9:06 a.m.                                                                                                   
MEMBERS PRESENT                                                                                                               
Senator Lyman Hoffman, Co-Chair                                                                                                 
Senator Anna MacKinnon, Co-Chair                                                                                                
Senator Click Bishop, Vice-Chair                                                                                                
Senator Mike Dunleavy                                                                                                           
Senator Peter Micciche                                                                                                          
Senator Donny Olson                                                                                                             
Senator Natasha von Imhof                                                                                                       
MEMBERS ABSENT                                                                                                                
ALSO PRESENT                                                                                                                  
Senator  Cathy  Giessel;   Keith  Meyer,  President,  Alaska                                                                    
Gasline  Development   Corporation;  Frank   Richards,  Vice                                                                    
President,  Program Management,  Alaska Gasline  Development                                                                    
PRESENT VIA TELECONFERENCE                                                                                                    
PRESENTATION: AGDC FINANCIALS                                                                                                   
^PRESENTATION: AGDC FINANCIALS                                                                                                
9:07:31 AM                                                                                                                    
Co-Chair MacKinnon indicated that Senator Cathy Giessel was                                                                     
invited to join the committee at the table.                                                                                     
9:08:31 AM                                                                                                                    
KEITH   MEYER,   PRESIDENT,   ALASKA   GASLINE   DEVELOPMENT                                                                    
CORPORATION,  discussed  the   presentation  "Alaska  Moving                                                                    
Forward:  AGDC Update"  (copy  on file).  He  felt that  the                                                                    
dialogue  between   the  legislature   and  AGDC   had  been                                                                    
fruitful. He spoke  to the request from  the legislature for                                                                    
greater transparency from the  corporation, and relayed that                                                                    
a  letter had  been  sent  to the  Senate  President and  to                                                                    
Senator Geissel  pledging greater  clarity and  frequency of                                                                    
information. He related that  his communications group would                                                                    
prepare  a semi-monthly  report detailing  the corporation's                                                                    
activities  and  that  corporate vice  presidents  had  been                                                                    
informed   that   they   would   be   interviewed   by   the                                                                    
communications  department,   which  would  result   in  the                                                                    
electronic report that would be  distributed to the senators                                                                    
and   representatives   that    signed   a   confidentiality                                                                    
agreement.  He hoped  that there  could be  a feedback  loop                                                                    
between legislators  and the corporation that  would provide                                                                    
the  opportunity for  legislators to  comment on  the report                                                                    
and offer  constructive criticism.  He thought that  in 2017                                                                    
the  corporation had  more latitude  to be  more transparent                                                                    
and communicative, now that the  state was the project lead.                                                                    
He spoke  of the transition  agreements signed in  2016 that                                                                    
allowed the state  to take the lead on the  project. He said                                                                    
that  there would  be three  main areas  of focus  for 2017:                                                                    
regulatory,  commercial, and  financial structuring  and the                                                                    
introduction   and   engagement   of  the   global   finance                                                                    
9:12:19 AM                                                                                                                    
Mr. Meyer discussed Slide 27, "AGDC PROJECT FUND STATUTES":                                                                     
     AS 31.25.100.  In-state natural  gas pipeline  fund was                                                                  
     created in  HB4 for the corporation's  use in planning,                                                                    
     financing,   development,   acquisition,   maintenance,                                                                    
     construction,  and operation  of  the in-state  natural                                                                
     gas  pipeline  described  in AS  31.25.005(4)  and  for                                                                  
     purposes in AS 31.25.005 (4), (6), and (7).                                                                                
     AS  31.25.110.  Alaska  liquefied natural  gas  project                                                                  
     fund was  created in SB  138 for the  corporation's use                                                                  
     in purposes related to an  Alaska liquefied natural gas                                                                  
     project  and  for  the   purpose  of  transferring  net                                                                  
     revenue received  by the corporation related  to equity                                                                    
     interests,  contracts,  and  other  activities  to  the                                                                    
     appropriate  fund of  the state  as  determined by  the                                                                    
     commissioner of revenue in consultation with the                                                                           
     commissioner of natural resources.                                                                                         
9:12:43 AM                                                                                                                    
Mr. Meyer looked  at Slide 28, "AFE'S,  OPERATING BUDGETS, &                                                                    
FUND BALANCES":                                                                                                                 
     EXPENDITURE AUTHORIZATIONS                                                                                                 
     Composite AFE total (capital budget): $ 86.4mm                                                                             
     Remaining FY2017 Operating Budget (Feb-Jun): $ 5.2mm                                                                       
     FY2018 Operating Budget: $ 10.4mm                                                                                          
     Total: $102.0mm                                                                                                            
     AGDC FUND BALANCES                                                                                                         
     In-State (incl Alaska USA account) Fund 1229: $26.0mm                                                                      
     Alaska LNG Fund 1235: $76.0mm                                                                                              
     Total: $102.0mm                                                                                                            
Mr. Meyer emphasized  that his goal was for  AGDC to operate                                                                    
within  the funds  that  had  been allocated  to  it by  the                                                                    
state.  He felt  that  the corporation  had done  sufficient                                                                    
work on engineering and optimization  of the project and had                                                                    
narrowed  the  capital cost  from  a  range  of $45  to  $65                                                                    
billion, down to a range of  $40 to $45 billion. He stressed                                                                    
that  AGDC  would  not  be coming  to  the  legislature  for                                                                    
additional  funding   until  a  customer  commitment   or  a                                                                    
strategic  financing partner  was secured.  He spoke  to the                                                                    
numbers  for   expenditure  authorizations  and   AGDC  fund                                                                    
balances illustrated on the slide.                                                                                              
9:15:54 AM                                                                                                                    
Senator Dunleavy  asked about HB  4 [passed in 2013]  and SB                                                                    
[passed  in 2014]  138, and  asked whether  the funds  under                                                                    
each piece of legislation were accounted for separately.                                                                        
Mr. Meyer replied in the affirmative.                                                                                           
Senator  Dunleavy queried  the coding  of the  funds on  the                                                                    
three documents entitled, "FY  16 Contractors," which listed                                                                    
FRANK RICHARDS,  VICE PRESIDENT, PROGRAM  MANAGEMENT, ALASKA                                                                    
GASLINE DEVELOPMENT CORPORATION  (AGDC), elaborated that the                                                                    
documents pertained to contractor  that AGDC had secured for                                                                    
FY 16, FY 17, and  reimbursable service agreements for those                                                                    
same   years.  He   said  that   AGDC  had   identified  the                                                                    
contractors  and  their  scope  of  work,  as  well  as  the                                                                    
authorized  contracted "not  to  exceed"  amount. He  stated                                                                    
that  the figures  had not  be identified  by specific  fund                                                                    
Co-Chair   MacKinnon  requested   that   the  contracts   be                                                                    
delineated  by  fund source,  which  had  been the  goal  of                                                                    
reviewing the records.                                                                                                          
9:17:45 AM                                                                                                                    
Co-Chair  MacKinnon recalled  that  she had  heard AGDC  was                                                                    
requesting a reappropriation of over $10 million.                                                                               
Mr. Meyer replied  that the request was for  $14 million. He                                                                    
relayed  that most  of  the $86.4  in  composite AFE  total,                                                                    
under expenditure  authorizations on  Slide 28,  was devoted                                                                    
to the AKLNG project and not the ASAP project.                                                                                  
9:18:46 AM                                                                                                                    
Vice-Chair Bishop  requested that the presenter  explain any                                                                    
acronyms he used.                                                                                                               
Senator Dunleavy asked  whether there was a  way to identify                                                                    
if  the listed  contractors  were from  in-state  or out  of                                                                    
state. He thought  it would be helpful to  know fund sources                                                                    
and where the contractors were located.                                                                                         
Mr.  Richards  explained  that  AFE  was  authorization  for                                                                    
expenditure, which  was a process  mandated by the  board in                                                                    
which  authorizations  for  amounts greater  than  what  was                                                                    
provided  to the  president be  presented to  the board.  He                                                                    
stated  that the  authorization  for expenditures  currently                                                                    
under discussion had been presented  to the board last week,                                                                    
and had received board approval to move forward.                                                                                
9:20:16 AM                                                                                                                    
Mr. Meyer showed Slide 29,  "AGDC EXPEDITURES AND FORECAST,"                                                                    
which showed  a table  that separated the  operating budget,                                                                    
AGDC capital (AKLNG/ASAP), the Huston  office, and the Japan                                                                    
office, and  presented the  numbers for FY  16, 17,  and 18.                                                                    
He  noted  that  the  expenditures   were  detailed  in  the                                                                    
previous slides.                                                                                                                
Mr.  Meyer  discussed  the fourth  component  on  Slide  29,                                                                    
"Japan  Office." He  relayed that  the space  was small.  He                                                                    
said that Japan was an  epicenter for liquefied natural gas.                                                                    
He shared that Masatoshi "Nick"  Shiratori was the new state                                                                    
representative focusing  on marketing the AKLNG  project and                                                                    
other  trade  issues.  He  stated  that  Mr.  Shiratori  was                                                                    
facilitating  important meetings  and  was an  asset to  the                                                                    
9:25:20 AM                                                                                                                    
Senator Micciche wondered  whether further detail concerning                                                                    
the Huston contractors could be made available.                                                                                 
Mr.  Meyer  relayed  that  AGDC   had  five  contractors  in                                                                    
Houston,  largely with  commercial roles,  and who  had been                                                                    
involved  in   senior  LNG  activities.  He   described  the                                                                    
employees as a  "core team," most of whom worked  on a part-                                                                    
time  basis. He  expected  that once  AGDC began  commercial                                                                    
engagement those contractors would  be tasked with executing                                                                    
a commercial agreement.                                                                                                         
Senator  Micciche asked  whether  the contract  cost in  the                                                                    
Tokyo office was solely for Mr. Shiratori.                                                                                      
Mr. Meyer replied in the affirmative.                                                                                           
9:27:05 AM                                                                                                                    
Co-Chair  MacKinnon asked  whether the  contractors incurred                                                                    
Public Employees' Retirement System (PERS) liability.                                                                           
Mr.  Richards  answered that  there  was  no PERS  liability                                                                    
associated with the contractors.                                                                                                
Co-Chair  MacKinnon asked  about the  aforementioned reduced                                                                    
rate that was negotiated on the Huston office space.                                                                            
Mr. Meyer replied  that the lease had not  gone into service                                                                    
until February 2017,  and the cost reductions  would be seen                                                                    
further into 2018.                                                                                                              
Co-Chair  MacKinnon understood  that  the  reduced cost  was                                                                    
reflected on the slide.                                                                                                         
Mr. Meyer replied in the affirmative.                                                                                           
9:28:35 AM                                                                                                                    
Mr.  Meyer  turned  to  Slide   30,  "AGDC  EXPEDITURES  and                                                                    
FORECAST,"  which  showed  two   tables  that  detailed  the                                                                    
Operating and Capital FY 17  and FY 18 budgets. He explained                                                                    
that the slide showed the  consistency between the years for                                                                    
each budget.                                                                                                                    
9:29:23 AM                                                                                                                    
Mr. Meyer spoke to Slide 31, "SATELLITE OFFICE COSTS":                                                                          
     • Tokyo                                                                                                                    
     - 135 sq. ft. office (9'x15')                                                                                              
     - Shared conference rooms                                                                                                  
     - Ability for Japan representative to have meetings                                                                        
     and work space                                                                                                             
     - Japan represents 32% of global LNG purchases                                                                             
     • Houston                                                                                                                  
     - Occupying a portion of existing AKLNG project space.                                                                     
     - 6,500 sq. ft., $2.43/sq ft until July 31 (existing                                                                       
     lease), then reduced to                                                                                                    
     $1.94/sq. ft.                                                                                                              
     - Fully furnished space with all desks, conference                                                                         
     rooms, and video projection capability.                                                                                    
     - Important asset for the project to be connected to                                                                       
     the US energy hub that hosts most LNG commercial and                                                                       
     legal expertise.                                                                                                           
Mr.  Meyer  pointed out  to  the  committee that  the  slide                                                                    
provided more detail on the Tokyo and Houston offices.                                                                          
9:30:42 AM                                                                                                                    
Mr. Meyer  spoke to Slide  32, "CY17 to FY18  QUARTERLY PLAN                                                                    
BY  FUND," which  detailed the  allocation  between the  two                                                                    
plans. He deferred further discussion to Frank Richards.                                                                        
Mr. Richards  explained that  the table  identified spending                                                                    
by  individual funds.  He said  that  the top  of the  table                                                                    
identified  the  indirect   cost  allocation,  or  corporate                                                                    
split, the funding allocation by  individual fund sources to                                                                    
cover   the  operating   expenses   within  AGDC:   personal                                                                    
services, travel  cost, utilities, and other  service lines.                                                                    
He  stated   that  the  current   FY  17   Operating  budget                                                                    
authorization  was split  40 percent  AKLNG, and  60 percent                                                                    
ASAP.   He  expounded   that  now   that  AGDC   was  solely                                                                    
responsible  for  filing   with  Federal  Energy  Regulatory                                                                    
Commission (FERC),  the spending would predominately  be out                                                                    
of the  Alaska AKLNG project  fund. He said that  AGDC would                                                                    
be looking to have a  new indirect cost allocation plan that                                                                    
would be 90 percent AKLNG  project fund and 10 percent ASAP.                                                                    
He believed the  plan was within the  legislative intent for                                                                    
the  allocated   funds.  He   continued  that   the  overall                                                                    
operating   budget  for   the   remainder  of   FY  17   was                                                                    
approximately  $5.2 million.  He  furthered that  FY 18,  by                                                                    
quarter, represented  approximately $10.4 million.  He spoke                                                                    
of the  capital spend illustrated  on the bottom  table, and                                                                    
was listed in allocation by  the individual fund sources. He                                                                    
relayed that  through the remainder  of FY 17, and  the full                                                                    
FY 18, a  spend rate out of the AKLNG  fund of approximately                                                                    
$78.9  million  had been  identified,  $7.5  million out  of                                                                    
ASAP.  He related  that the  capital and  operating spending                                                                    
combined totaled  $102 million. He  noted that the  last two                                                                    
lines  of  the  table   identified  the  amounts  that  were                                                                    
anticipated to be taken out of the individual funds.                                                                            
9:34:15 AM                                                                                                                    
Senator Micciche  asked why  the capital  spending reflected                                                                    
80 percent of the spending  for that specific time period of                                                                    
the permitting stage.                                                                                                           
Mr. Richards  relayed that when the  joint venture agreement                                                                    
was  terminated at  the end  of 2016,  AGDC had  been tasked                                                                    
with  the responsibility  of  advancing  the AKLNG  project,                                                                    
both  commercially  and   financially,  and  the  regulatory                                                                    
aspects of FERC filing. He  said that the regulatory expense                                                                    
over the next  year and a half would  include the completion                                                                    
of  the   resource  reports,   assembly  of   complete  FERC                                                                    
application,  and  filing  the  application  with  FERC.  He                                                                    
continued that the National  Environmental Policy Act (NEPA)                                                                    
would follow, where the review  of the project was conducted                                                                    
with FERC  as the  lead federal  agency. He  summarized that                                                                    
AGDC   would  have   the  responsibility   to  provide   the                                                                    
environmental,   the   land,    engineering,   and   program                                                                    
management efforts to be able to advance the project.                                                                           
9:36:04 AM                                                                                                                    
Senator  Micciche surmised  that  the  operating costs  were                                                                    
essentially AGDC labor costs.                                                                                                   
Mr. Richards  stated that  AGDC had a  small number  of PCNs                                                                    
allocated by  the legislature, and that  the operating costs                                                                    
represented the cost only those  employees. He said that the                                                                    
contractor costs  were paid  for out  of the  capital budget                                                                    
because those positions were project related.                                                                                   
Senator Micciche  understood that  federal tax  status would                                                                    
be important tot  eh project moving forward.  He referred to                                                                    
the  document,  "FY16-FY18  RSAs  and  Agreements  (copy  on                                                                    
file)," and specifically cited  the Nixon-Peabody RSA, which                                                                    
was  $100,000 versus  the Millbank  RSA for  $1 million.  He                                                                    
asked  whether Millbank  was assisting  with the  tax status                                                                    
work, or were they  specifically dedicated to commercial and                                                                    
permitting work.                                                                                                                
Mr. Meyer replied that Millbank  was largely involved in the                                                                    
structuring, the papering of  the financial transactions and                                                                    
the commercial  agreements. He  said that  the Nixon-Peabody                                                                    
work would be related to  the Internal Revenue Service (IRS)                                                                    
interface  and  tax  matters.  He   stressed  that  the  tax                                                                    
treatment  of  the project  was  not  a binary  criticality,                                                                    
meaning  that it  would not  make or  break the  project. He                                                                    
asserted  that the  third party  finance was  more important                                                                    
than  anything  on the  project,  with  respect to  lowering                                                                    
costs.  He said  that a  structure would  be developed  that                                                                    
would allow for tax efficiency,  as well as third party, but                                                                    
if a  choice had  to be  made between  the two,  third party                                                                    
finance would take precedent.                                                                                                   
Senator  Micciche   asked  whether  the   Greenberg  Traurig                                                                    
contract was commercial.                                                                                                        
Mr. Meyer noted that  the Greenberg Traurig contract handled                                                                    
commercial  work,   had  been  instrumental   in  transition                                                                    
agreements, and they  had been engaged in  the FERC process.                                                                    
He noted  that the  group had  different billing  rates than                                                                    
that of Millbank.                                                                                                               
9:39:44 AM                                                                                                                    
Co-Chair MacKinnon  referred to  Slides 32  and 28,  and the                                                                    
difference of $2.9 million between the two spending totals.                                                                     
9:40:29 AM                                                                                                                    
AT EASE                                                                                                                         
9:40:42 AM                                                                                                                    
Mr. Richards  responded that  the fund  balance for  the In-                                                                    
State  (including  Alaska USA  account)  Fund  1229 was  $26                                                                    
million, and  the AKLNG fund  was $76 million. He  said that                                                                    
the  capital portion  on Slide  32  showed a  spend rate  of                                                                    
approximately  $78.9 million;  the difference  was the  need                                                                    
for  a reappropriation  between  the funds,  to  be able  to                                                                    
appropriately  spend   for  the  work  that   needed  to  be                                                                    
9:41:29 AM                                                                                                                    
Mr.  Richards   spoke  to  Slide   33,  "FUND   BALANCE  RE-                                                                    
     AGDC FUND BALANCES                                                                                                       
     In-State (incl Alaska USA account) Fund 1229: $ 26.0mm                                                                     
     Alaska LNG Fund 1235: $ 76.0mm                                                                                             
     Total: $102.0mm                                                                                                            
     ANTICIPATED EXPENDITURE BY FUND                                                                                          
    In-state Natural Gas Pipeline Fund (ISNGP) $ 11.7mm                                                                         
     Alaska LNG Project Fund (AKLNG) $ 90.3mm                                                                                   
     Total: $102.0mm                                                                                                            
     Capital budget re-appropriation of ~$14.3mm from ISNGP                                                                     
    (Fund 1229) to AKLNG (Fund 1235) will be requested                                                                          
Mr. Richards  said that  the $26 million  for ASAP,  and $76                                                                    
million for AKLNG represented  the remaining funds available                                                                    
for AGDC to  advance its legislative charges.  He added that                                                                    
the   bottom   of   the   slide   showed   the   anticipated                                                                    
expenditures. The  anticipated expenditures would  require a                                                                    
reappropriation from the In-State  Natural Gas Pipeline Fund                                                                    
of $14.3 million to the AKLNG fund.                                                                                             
9:42:38 AM                                                                                                                    
Mr.  Richards displayed  Slide  34,  "HISTORICAL AKLNG  FUND                                                                    
APPROPRIATIONS,  EXPENDITURES  and  CASH CALLS."  The  slide                                                                    
identified the initial appropriation  from the passage of SB
138,  and  showed  historical  appropriations,  cash  calls,                                                                    
balance and uses of the AKLNG Project Fund (1235).                                                                              
9:44:20 AM                                                                                                                    
Co-Chair Hoffman  asked whether additional  authorization by                                                                    
the legislature would be required for the project.                                                                              
Mr. Richards replied  that the corporation would  be able to                                                                    
live within the means already  provided for the work program                                                                    
that  AGDC hoped  to accomplish  over  the next  year and  a                                                                    
Co-Chair Hoffman repeated his question.                                                                                         
Mr. Meyer  interjected that the  corporation did  not intend                                                                    
to    request     additional    authorization     until    a                                                                    
commercialization  event had  been demonstrated,  either the                                                                    
signing of a viable customer  contract, or the engagement of                                                                    
a  strategic funding  partner. He  stated  that the  capital                                                                    
budget reappropriation would be the exception.                                                                                  
Co-Chair  Hoffman  clarified the  reappropriation  mentioned                                                                    
was the $2.9 million.                                                                                                           
Mr.  Meyer corrected  that the  reappropriation request  was                                                                    
for $14.3 million.                                                                                                              
9:45:54 AM                                                                                                                    
Co-Chair   MacKinnon   asked   whether   AGDC   needed   the                                                                    
reappropriation   was   necessary,   or   could   funds   be                                                                    
transferred internally.                                                                                                         
Mr. Richards explained  that when AGDC had  been created and                                                                    
provided   responsibilities  under   HB   4   and  SB   138,                                                                    
respectively, that  the intent  of the legislature  was that                                                                    
the funds  should be  clearly demarcated.  He said  that the                                                                    
legislative requirement  was that authority to  move between                                                                    
the funds should not be granted to AGDC.                                                                                        
Co-Chair  MacKinnon stated  that  the  legislature passed  a                                                                    
bill in 2016 that requested  access to the internal workings                                                                    
of the  corporation. She felt  that transparency  had become                                                                    
worse since the  transfer of the funds. She  asked whether a                                                                    
bill  that  allowed a  representative  from  both bodies  to                                                                    
participate  in closed  door AGDC  meetings would  help with                                                                    
transparency issues.                                                                                                            
Mr.  Meyer responded  that financial  information about  the                                                                    
corporation  was  presented  at   every  board  meeting.  He                                                                    
reiterated  his pledge  for more  openness and  transparency                                                                    
going  forward. He  said that  the previous  confidentiality                                                                    
agreement had been restrictive and  believed that the latest                                                                    
version  would open  up the  doorway to  a more  transparent                                                                    
commitment.  He  asserted  that there  was  nothing  in  the                                                                    
agreements    with   producers    that   was    commercially                                                                    
proprietary,  which was  the  only  information he  believed                                                                    
should be confidential.                                                                                                         
9:49:16 AM                                                                                                                    
Co-Chair MacKinnon said that action  on the senate's request                                                                    
for transparency  had been two  years coming,  and expressed                                                                    
appreciation that  the relationship between  the legislature                                                                    
and AGDC  was going to  be more  open. She relayed  that the                                                                    
committee wanted  to understand whether AKLNG  and ASAP were                                                                    
independent of each other, or  if the funds were being cross                                                                    
pollinated. She  lamented that the  legislature had  not had                                                                    
access to records in order  to audit how the corporation had                                                                    
handled the funds, which was  why questions were being asked                                                                    
regarding the  fund balances; the legislature  was trying to                                                                    
determine how  the money had  been spent and whether  it had                                                                    
been spent consistent with the law.                                                                                             
Mr. Meyer  stated that there  had been segregation  of funds                                                                    
and  activities.  He assured  the  committee  that he  would                                                                    
provide the information in detail.                                                                                              
9:50:47 AM                                                                                                                    
Senator Dunleavy  spoke of additional  fund requests  by the                                                                    
corporation.  He   wondered  whether  AGDC  would   ask  the                                                                    
legislature  for  additional  funding before  committing  to                                                                    
commercial agreements, or after contacts had been signed.                                                                       
Mr. Meyer responded  that he intended to inform  the body of                                                                    
activities  as  they developed,  with  the  caveat that  the                                                                    
corporation  had  to  be careful  about  the  disclosure  of                                                                    
individual  entities the  corporation was  negotiating with.                                                                    
He  reiterated that  he  had  instructed his  communications                                                                    
group  to   produce  a  semi-monthly  report   in  order  to                                                                    
facilitate transparency and feedback.  He expounded that the                                                                    
state being in  the lead represented a "new  day" with three                                                                    
main  areas   of  focus  for  2017:   regulatory,  financial                                                                    
structuring  and engagement  with  the financial  community,                                                                    
and  the commercial  sales of  LNG into  the broader  market                                                                    
with  a focus  on Asia  and securing  tolling customers.  He                                                                    
said that any requests  brought before the legislature would                                                                    
be very detailed.                                                                                                               
9:54:43 AM                                                                                                                    
Senator Dunleavy  expressed concern that AGDC  could request                                                                    
additional funds without fully  informing the legislature of                                                                    
all of the project details.                                                                                                     
Mr. Meyer  replied that the  corporation would  provide full                                                                    
and   transparent   project    details   before   requesting                                                                    
additional funding.                                                                                                             
9:56:04 AM                                                                                                                    
Senator von Imhof  thought that it would be  helpful to have                                                                    
regular  progress reports  on the  five "big  deliverables":                                                                    
the  FERC  and  pre-feed,   tolling  customers,  tax  exempt                                                                    
status, LNG  buyers, and the funding  structure. She queried                                                                    
how much the  corporation had donated to  become an Iditarod                                                                    
Sled  Dog  Race sponsor.  She  wondered  how sponsoring  the                                                                    
race's ceremonial start would  help the corporation to reach                                                                    
its business goals.                                                                                                             
Mr.  Meyer responded  that the  corporation  was hosting  an                                                                    
Alaska LNG Summit, which would  host Asian companies and was                                                                    
timed  around the  race. He  said that  the sponsorship  was                                                                    
related to  commercial efforts and  was also  in recognition                                                                    
of  the  corporation's  in-state  obligation  and  increased                                                                    
local  presence. He  asserted that  the race  was an  iconic                                                                    
Alaskan  event  that  would  offer  wide  exposure  for  the                                                                    
corporation across  a broad geography. He  revealed that the                                                                    
sponsorship was for $50,000.                                                                                                    
10:00:06 AM                                                                                                                   
Co-Chair  MacKinnon understood  that AGDC  spent $50,000  to                                                                    
sponsor the Iditarod Sled Dog Race.                                                                                             
Mr. Meyer  responded in the  affirmative. He added  that the                                                                    
sponsorship would afford AGDC  event seating, which would be                                                                    
enjoyed by the visitors from Asia.                                                                                              
Co-Chair  MacKinnon   wondered  who   was  paying   for  the                                                                    
attendees of the planned summit and the total cost.                                                                             
Mr. Meyer stated that there would  be a fee to attend; there                                                                    
were  sponsors secured  and pending,  and  AGDC was  funding                                                                    
some of the  event. He was not able to  provide exact detail                                                                    
as to the cost to the corporation.                                                                                              
Co-Chair MacKinnon asked for a  report on the conference and                                                                    
breakdown of  expenditures. She  acknowledged that  at times                                                                    
it was necessary to spend money  to make money, but that the                                                                    
current financial  climate in  the state  warranted prudence                                                                    
over frivolity.                                                                                                                 
10:03:10 AM                                                                                                                   
Senator  Micciche  highlighted   that  the  legislature  had                                                                    
reduced  its spending  by 44.6  percent over  the past  four                                                                    
years, but  still faced public  scrutiny about  its spending                                                                    
habits.  He  lamented   that  there  had  been   a  lack  of                                                                    
transparency   between   AGDC   and  the   legislature.   He                                                                    
threatened  that  without  transparency  and  knowledge  the                                                                    
legislature would  fight the corporation "every  step of the                                                                    
way"  moving forward  with the  project. He  warned that  it                                                                    
would  be  in   Mr.  Meyer's  best  interest   to  keep  the                                                                    
legislature informed.                                                                                                           
Mr.  Meyer  acknowledged  Senator  Micciche's  comments.  He                                                                    
pointed  out  to  the committee  that  the  corporation  had                                                                    
public support for  the project. He furthered  that once the                                                                    
pipeline was  in service  people would be  able to  take gas                                                                    
right off  of the line and  use it, which would  result in a                                                                    
liberation of the north and  mining projects launched in the                                                                    
interior of  the state, as well  of a security of  supply in                                                                    
placed like Anchorage and Fairbanks.                                                                                            
10:07:37 AM                                                                                                                   
Senator Micciche emphasized the  project's importance to his                                                                    
district and to the state.  He feared the "lifelong quest to                                                                    
build it  at all cost." He  hoped that the project  would be                                                                    
built on sound economics.                                                                                                       
Vice-Chair  Bishop  pointed  out  that  the  AGDC  Board  of                                                                    
Trustees  was  equally  responsible  for  providing  project                                                                    
Mr.  Meyer   agreed.  He  said   that  the   commitment  for                                                                    
transparency and  greater frequency of reporting  was strong                                                                    
with the board.                                                                                                                 
10:10:02 AM                                                                                                                   
Vice-Chair Bishop commented on  the tradition of dog-mushing                                                                    
in the state. He wondered  about RSAs, and whether the other                                                                    
project partners had RSA agreements with state agencies.                                                                        
Mr. Richards  stated that  what would  be reported  would be                                                                    
the RSAs that solely AGDC  had been funding with other state                                                                    
Senator Dunleavy asserted that  the project was important to                                                                    
his district. He  asked about a rumor that there  had been a                                                                    
second look taken at a Valdez route for the project.                                                                            
Mr. Meyer  said that a  second look  was not being  taken at                                                                    
the  Valdez  route.  He  relayed  that  there  had  been  an                                                                    
intervention  filed by  a group  in Valdez,  suggesting that                                                                    
Valdez would be  a better site. He said that  there had been                                                                    
so  much work  done on  the  current route  to Nikiski,  the                                                                    
Nikiski site was acceptable, and  many alternatives had been                                                                    
discussed.  He  thought  that  Valdez   was  a  fine  enough                                                                    
location, but  Nikiski would  be the  site; 33,700  pages of                                                                    
resource reports had been filed  using the Nikiski location.                                                                    
He mentioned that an inner  connect could be established for                                                                    
Valdez, but that there was no intent to switch sites.                                                                           
10:14:03 AM                                                                                                                   
Co-Chair  MacKinnon said  that  the committee  was still  in                                                                    
need of  information about the  profitability of  moving the                                                                    
project forward. She expressed  concern that the state would                                                                    
buy from producers.  She asserted that the  state would take                                                                    
all  of the  risk by  taking lead  of the  project, some  of                                                                    
which could be mitigated by  bringing in other partners. She                                                                    
wondered what the actual profit  would be for the state, and                                                                    
whether  the project  would result  in  energy security  for                                                                    
Co-Chair  MacKinnon  discussed  payment  in  lieu  of  taxes                                                                    
(PILT) payments. She  referred to a working  group formed by                                                                    
the administration, Municipal Advisory  Group (MAG), and was                                                                    
gathering information on how to  divide up the profit from a                                                                    
project  that  had economic  challenges.  She  spoke of  the                                                                    
issue of  access to low  cost energy. She restated  that the                                                                    
concern  of  the committee  was  that  the project  was  not                                                                    
economically feasible.  She mentioned  the idea  of allowing                                                                    
Alaskans  to donate  their permanent  funds,  and for  state                                                                    
departments  to  contribute  funds,   to  help  finance  the                                                                    
project. She  wondered when the legislature  could expect to                                                                    
see real numbers  related to how much the gas  would be sold                                                                    
for  and what  real opportunities  were available  in actual                                                                    
dollars and cents.                                                                                                              
10:19:35 AM                                                                                                                   
Mr. Meyer  said that he  could provide the information  at a                                                                    
later date. He  said that one of the major  work efforts for                                                                    
the  corporation  as  the   project  transitioned  to  state                                                                    
leadership, which he  clarified did not mean  that the state                                                                    
would be assuming  all of the risk, was that  risks would be                                                                    
managed  and  appropriately  allocated to  ensure  a  viable                                                                    
project  and an  acceptable risk  profile for  investors. He                                                                    
said that  part of the  process was structural,  but another                                                                    
aspect was  phasing; the lowest  unit cost was to  build the                                                                    
project  all at  once, but  would be  a massive  project. He                                                                    
said  that the  construction profile  should be  flexible in                                                                    
order  to regulate  the overall  cost. He  said that  the 42                                                                    
inch pipe  presented the  least execution  risk and  was the                                                                    
optimal  design  for  the  future.   He  lamented  that  the                                                                    
corporation could not  set the price in the  LNG market, but                                                                    
stressed  that  the  state  had  advantages  over  competing                                                                    
suppliers. Mr.  Meyer spoke of  the non-price  attributes of                                                                    
the state that  were attractive to the market.  He said that                                                                    
the buyers  would be taking  a career risk by  advocating or                                                                    
recommending the  state as a  supply source under a  20 year                                                                    
contract. He  related that the  pricing would depend  on the                                                                    
size of the  project; three trains all at  once was optimal,                                                                    
backing   up  from   that  would   result  in   a  loss   of                                                                    
10:23:25 AM                                                                                                                   
Mr.  Meyer said  that  funding the  project  with high  cost                                                                    
capital would put  pricing out of the market,  if the majors                                                                    
were required to  fund the project with their  hurdle rate -                                                                    
the project would not be  economically viable in the current                                                                    
market.  He said  that third-party  financing would  put the                                                                    
price  in  the zone  of  competitiveness,  and removing  all                                                                    
taxes would make  the price point even  more competitive. He                                                                    
believed that a PILT would  be inevitable, the size of which                                                                    
would be  determined by  the size  and affordability  of the                                                                    
project.  He  thought  that  the  project  had  three  major                                                                    
variables: the  rate of  return, the  PILT payment,  and the                                                                    
price of  the gas. He said  that a new project  could not be                                                                    
built for the Japanese price  of $7btu, a higher price would                                                                    
be necessary, possible  $70btu. He noted that  the state did                                                                    
not have  to link the price  of LNG to oil,  which meant the                                                                    
AGDC would  not need to  take the commodity  risk associated                                                                    
with a  gas purchase. He  said that  the state would  be the                                                                    
pipeline company and  the terminal company and  that the gas                                                                    
cost  would  be a  pass  through.  He  stated that  the  gas                                                                    
producers would have a net  backed type of price because the                                                                    
price would  need to  clear the  market daily.  He discussed                                                                    
the variables  for keeping the unit  cost for infrastructure                                                                    
as low as possible.                                                                                                             
10:27:31 AM                                                                                                                   
Mr.  Meyer shared  that the  project benefits  to the  state                                                                    
were many  and should  not be  underestimated. He  said that                                                                    
the reserves in the north would  far outlast the debt on the                                                                    
pipeline.  He noted  that gasoline  was  not corrosive,  and                                                                    
that  once  the debt  was  paid  off  the state  could  reap                                                                    
billions  of  dollars  per  year.  He  reiterated  that  the                                                                    
project structure was a main area of focus for 2017.                                                                            
10:28:42 AM                                                                                                                   
Co-Chair  MacKinnon appreciated  the comments.  She stressed                                                                    
that the committee needed to  fully understand the financial                                                                    
benefit to the  state, the rate of the return  to the state,                                                                    
and how well  head value negotiations would  be handled. She                                                                    
believed all  of the scenarios  presented by AGDC  should be                                                                    
modeled  for the  committee. She  understood  that AGDC  was                                                                    
currently  in search  of a  financial advisor,  and lamented                                                                    
that  a financial  report requested  by the  legislature was                                                                    
two years overdue.  She said that the  corporation should be                                                                    
prepared to provide the committee  with models of all of the                                                                    
assumptions that  AGDC had put  forward. She stated  that if                                                                    
the producers  did not have  risk because they  were selling                                                                    
at  a   particular  price  point,  the   details  should  be                                                                    
illustrated in a graph and an  argument should be made as to                                                                    
why this was a good deal for Alaska.                                                                                            
10:31:01 AM                                                                                                                   
Co-Chair MacKinnon  asked whether Mr. Meyer  believed that a                                                                    
20 year contract with a utility could be secured.                                                                               
Mr. Meyer replied  in the affirmative. He  thought that long                                                                    
term contracts  were necessary  because they  were currently                                                                    
common  in the  industry. He  relayed that  "larger players"                                                                    
were currently trying  to move the market to  a shorter term                                                                    
timeframe,  but believed  that the  state would  be able  to                                                                    
make  an  offer  attractive  enough   to  secure  long  term                                                                    
contracts.   He  thought   that   the   demand  growth   and                                                                    
contestable contracts limited the  window of opportunity for                                                                    
the project.                                                                                                                    
10:33:43 AM                                                                                                                   
Mr.  Meyer asserted  that the  financial structuring  of the                                                                    
project would be made available  to the committee as soon as                                                                    
possible. He  pointed out  that municipalities  and regional                                                                    
corporations were covered under SB 138.                                                                                         
Co-Chair MacKinnon noted the 20  year contracts were in flux                                                                    
and  that  due  to  surplus the  market  was  changing.  She                                                                    
wondered who the corporation would  be using for third-party                                                                    
10:35:48 AM                                                                                                                   
Senator von  Imhof thought that  it made sense to  model the                                                                    
ranges  of all  of the  different inputs  of the  project in                                                                    
order to locate the "sweet spot"  of what would be needed to                                                                    
execute the project.                                                                                                            
10:36:42 AM                                                                                                                   
Senator Micciche refuted  the claim that there  was a window                                                                    
of time  to consider;  sound economic were  sound economics.                                                                    
He said that  when oil was cheap there  was little incentive                                                                    
to convert to LNG. He thought  that there would be a "reset"                                                                    
to energy prices  and that the long-term horizon  of oil and                                                                    
LNG related prices was unpredictable.  He asked how the risk                                                                    
of  a long-term  lower commodity  price could  be adequately                                                                    
10:38:34 AM                                                                                                                   
Mr. Meyer  replied that when  he talked about the  window of                                                                    
opportunity, part  of that was  not only demand  growth, but                                                                    
was  the expiration  of significant  contracts in  Japan and                                                                    
Korea.  He  thought  that  it   would  be  helpful  for  the                                                                    
corporation to  illustrate on  a graph  a better  picture of                                                                    
the contracts and  their fall off dates.  He reiterated that                                                                    
most  of   the  buyers   would  be  utilities,   which  were                                                                    
conservative  entities. He  said  that in  the Asia  Pacific                                                                    
most of  the LNG had traded  on an oil linked  basis; if the                                                                    
volatility   of  Korean   and  Japanese   LNG  were   to  be                                                                    
superimposed over  the oil volatility  curve it  would track                                                                    
identically. He  furthered that  those companies  were tired                                                                    
of that volatility  in their gas arena, and  were working to                                                                    
separate LNG  from the oil.  He expounded on the  effects of                                                                    
the Henry  Hub price assessments on  investor confidence. He                                                                    
explained  that  AGDC  was  not   an  oil  company,  but  an                                                                    
infrastructure  company,  which would  be  able  to offer  a                                                                    
long-term, stable price.                                                                                                        
10:42:39 AM                                                                                                                   
Mr. Meyer  believed that the  corporation had  an attractive                                                                    
product  offering  to  the  Asian  utilities  through  their                                                                    
ability to  contract for a  stable price. He said  that part                                                                    
of his  enthusiasm stemmed from  the fact that LNG  could be                                                                    
offered at a  stable price, which allowed  for leverage over                                                                    
the competition.                                                                                                                
10:43:43 AM                                                                                                                   
Senator  Micciche  said that  buying  countries  used to  be                                                                    
isolated  and  in  competition. He  shared  that  unanswered                                                                    
supply  several years  ago resulted  in market  organization                                                                    
between the  countries, and heavy  downward pressure  on the                                                                    
price of LNG. He agreed  that working against volatility was                                                                    
a  good  idea, but  he  feared  that  this would  result  in                                                                    
substantially lower  prices for  the long term.  He wondered                                                                    
whether the lower  cost would prove to be  favorable only to                                                                    
the buyer.                                                                                                                      
Mr. Meyer  offered a brief  history of oil sales  and prices                                                                    
in  the  world. He  thought  that  current buyers  had  more                                                                    
supplier choices  than in the  past. He believed  that AGDCs                                                                    
pricing  for  utility  would be  attractive  to  buyers  and                                                                    
sellers alike. He reiterated that  a long-term, stable price                                                                    
was critical to the project.  He stated that large utilities                                                                    
that served  millions of rate  payers would be  attracted to                                                                    
stability, rather  than volatility. He thought  that because                                                                    
the project  was a larger,  capital intensive  project, that                                                                    
reached hard to access land in the north.                                                                                       
10:47:43 AM                                                                                                                   
Mr. Meyer continued that the  project was also conventional.                                                                    
He likened  shale drilling to  walking up a  down escalator;                                                                    
you had to keep moving just  to keep the production flat. He                                                                    
believed  that   the  LNG  reserve   in  the  state   was  a                                                                    
conventional resource that was unique and attractive.                                                                           
10:49:09 AM                                                                                                                   
Co-Chair MacKinnon asked whether  AGDC had submitted the tax                                                                    
ruling letter to the IRS.                                                                                                       
Mr. Meyer replied in the negative.  He said that when it was                                                                    
done it  would be  done twice.  He elaborated  that Millbank                                                                    
and Nixon-Peabody  were working  together on the  letter. He                                                                    
thought  that a  significant investor  would want  to see  a                                                                    
specific  letter on  a specific  structure. He  said that  a                                                                    
"straw man" structure letter would  be written, as well as a                                                                    
final structure letter.                                                                                                         
10:50:16 AM                                                                                                                   
Co-Chair  MacKinnon  expressed  concern  with  a  straw  man                                                                    
letter. She wondered whether it  was like the email that the                                                                    
Alaska  Gasline  Port  Authority (AGPA)  had  received  that                                                                    
stated  that Exxon  was interested  in buying  gas from  the                                                                    
state. She  said that  the committee had  a letter  from the                                                                    
IRS based on that email.                                                                                                        
Mr.  Meyer   understood  that  only  one   letter  currently                                                                    
existed. He clarified that, if he  had a letter from the IRS                                                                    
today  giving  the go  ahead,  AGDC  would need  to  compose                                                                    
another   letter.   He   expounded  that   lenders,   equity                                                                    
investors,  and  other  interested  parties  would  talk  to                                                                    
legislators,  the  federal   government,  and  many  parties                                                                    
before  making   an  investment.  He   anticipated  mulitple                                                                    
request letters.                                                                                                                
10:51:53 AM                                                                                                                   
Co-Chair  MacKinnon   asked  to  view  Slides   38  and  39,                                                                    
pertaining to AKLNG acquisition.                                                                                                
Mr. Meyer showed Slide 39, "KENAI LNG PLANT ACQUISITION                                                                         
     · ConocoPhillips announces Kenai LNG plant for sale in                                                                   
        December 2016.                                                                                                        
        · Data room open from 9 January until 3 March, 2017                                                                     
        · Bids due 17 March, 2017                                                                                               
     · Acquisition of the Kenai Plant fits broader AGDC                                                                       
        · Alternative LNG supply to FNG/IGU; no need to                                                                         
          expand liquefaction plant.                                                                                            
        · Encourages Cook Inlet production.                                                                                     
        · Increases waterfront access for the Alaska LNG                                                                        
        · Early revenue for the Alaska LNG project.                                                                             
        · Additional incremental LNG production capacity at                                                                     
          reduced cost vs greenfield.                                                                                           
        · Enables AGDC early commercial engagement with LNG                                                                     
         Buyers and other Alaska LNG participants.                                                                              
        · Consistent with statutory responsibility "for                                                                         
          developing an Alaskan liquefied natural gas                                                                           
          project, and other transportation mechanisms to                                                                       
          deliver natural gas in-state".                                                                                        
     · Future value increase under multiple scenarios.                                                                        
10:52:53 AM                                                                                                                   
Mr. Meyer advanced to Slide  40, which showed a diagram that                                                                    
illustrated the future value uplift  for the Kenai LNG plant                                                                    
acquisition.  Under current  use the  plant provided  a site                                                                    
for  in-state LNG  delivery  by truck  and  rail, and  barge                                                                    
loading  for  coastal  communities,  and  could  export  LNG                                                                    
during the summer. He believed  that the facility had a high                                                                    
probability of  future value  increase under  two reasonable                                                                    
scenarios: with  the gasline, refurbishment of  the existing                                                                    
LNG  trains  at  Kenai  would  result  in  a  low  cost  LNG                                                                    
production   capacity   (1.5Mtpa),  compared   to   newbuild                                                                    
facilities; or,  without a gasline, Alaska  would eventually                                                                    
face  a   gas  crisis   as  Cook  Inlet   production  became                                                                    
inadequate  to  supply  Anchorage plus  Fairbanks;  at  this                                                                    
point,  the COP  Kenai plant  would  have high  value as  an                                                                    
import  facility   and  the  only  alternative   supply.  He                                                                    
admitted that the funds already  allocated to AGDC would not                                                                    
be sufficient to purchase the Kenai LNG plant.                                                                                  
Co-Chair MacKinnon asked whether  the facility was currently                                                                    
on the tax rolls in the borough.                                                                                                
Mr. Meyer answered in the affirmative.                                                                                          
Co-Chair  MacKinnon surmised  that if  the acquisition  were                                                                    
successful, the state  would be required to pay  PILT to the                                                                    
city of Kenai.                                                                                                                  
Mr. Meyer  thought that it  was too  soon in the  process to                                                                    
determine whether a PILT payment would be necessary.                                                                            
10:55:44 AM                                                                                                                   
Co-Chair MacKinnon  understood that  the Kenai  facility and                                                                    
gas conversion  was a  huge cost  driver inside  the overall                                                                    
project. She  queried how the  purchase would  be beneficial                                                                    
to the state.                                                                                                                   
Mr. Meyer  thought the purchase  had value under any  of the                                                                    
three scenarios listed  on Slide 40. He  amplified that with                                                                    
the  gasline  facility  would  be  the  cheapest  source  of                                                                    
1.5Mtpa because it would be a  brown field. He said that the                                                                    
facility  would  not  be  a  storage  area  for  20Mtpa.  He                                                                    
relented that  the asset  was not  critical to  the gasline,                                                                    
stressed  that  it  was  important for  Alaska  to  own  and                                                                    
control the facility.                                                                                                           
10:58:38 AM                                                                                                                   
Co-Chair MacKinnon asked whether  there was understanding of                                                                    
operating costs when considering purchase of the facility.                                                                      
Mr.   Meyer  explained   that  the   site  that   AKLNG  was                                                                    
considering was down the road  from the Kenai site, and that                                                                    
the  Kenai  site  could  be tied  into  the  AKLNG  gasline,                                                                    
because many  off-take points were  optimal. He  stated that                                                                    
the Kenai  LNG plan acquisition  was a stand-alone  idea and                                                                    
would not be included in  the FERC application. He furthered                                                                    
that  if the  plant were  going to  be refurbished  it would                                                                    
have  its own  application,  be reiterated  that he  thought                                                                    
that  the  asset would  incorporate  well  into the  overall                                                                    
project. He claimed that it  was existing capacity and could                                                                    
reduce the execution risk of the LNG facility.                                                                                  
11:00:34 AM                                                                                                                   
Co-Chair  MacKinnon reiterated  her request  for information                                                                    
about costs for operating the Kenai plant.                                                                                      
Mr. Meyer replied that he  had some confidential information                                                                    
pertaining to  current operating costs of  the facility, but                                                                    
those numbers would change under different scenarios.                                                                           
Co-Chair MacKinnon  reiterated that  she was looking  for an                                                                    
estimate of what  the projected operating costs  would be to                                                                    
the state.                                                                                                                      
Mr. Meyer  reiterated that  it would  not be  appropriate to                                                                    
share the numbers  in a public setting. He said  that when a                                                                    
case was made  for additional funding, the  numbers would be                                                                    
included in the scenarios.                                                                                                      
11:03:14 AM                                                                                                                   
Co-Chair MacKinnon referred to  the document "FY16-FY18 RSAs                                                                    
and  Agreements," (copy  on file)  and  queried the  $50,000                                                                    
allocation for a contract  involving former Attorney General                                                                    
Craig Richards.                                                                                                                 
Mr. Meyer said that the contract was no longer active.                                                                          
11:04:16 AM                                                                                                                   
Senator Micciche  requested information about  the potential                                                                    
for a tax-free status.                                                                                                          
11:05:24 AM                                                                                                                   
AT EASE                                                                                                                         
11:05:42 AM                                                                                                                   
Co-Chair  MacKinnon expressed  hope that  the process  would                                                                    
continue   to  be   transparent.  She   relayed  that   some                                                                    
constituents  believed that  it  would not  be  in the  best                                                                    
interest of the state to  move forward with the gasline. She                                                                    
asserted  that  if an  executive  session  was necessary  in                                                                    
order for  the committee  to view the  financial information                                                                    
on  the  project,  then  she  was  willing  to  arrange  the                                                                    
meeting.  She stressed  that  conversations were  important,                                                                    
but that the  numbers were crucial to the  committee, and to                                                                    
the people of the State of Alaska.                                                                                              
11:08:39 AM                                                                                                                   
Mr.  Meyer appreciated  Senator MacKinnon'  closing remarks.                                                                    
He understood that the corporation  needed to demonstrate to                                                                    
all Alaskans  the viability and  economic importance  of the                                                                    
project to the state.                                                                                                           
Co-Chair MacKinnon discussed housekeeping.                                                                                      
11:10:24 AM                                                                                                                   
The meeting was adjourned at 11:10 a.m.                                                                                         

Document Name Date/Time Subjects
021417 AGDC SFC FINAL.pdf SFIN 2/14/2017 9:00:00 AM
Operating Budget FY18
021417 AGDC FY17 Contractors.pdf SFIN 2/14/2017 9:00:00 AM
Operating Budget FY18
021417 AGDC FY16 Contractors.pdf SFIN 2/14/2017 9:00:00 AM
Operating Budget FY18
021417 AGDC FY16-FY18 RSAs.pdf SFIN 2/14/2017 9:00:00 AM
Operating Budget FY18
021417 AGDC Presentation Topics.pdf SFIN 2/14/2017 9:00:00 AM
Operating Budget FY18
021417 AGDC Letter - Contracts and Reimbursement Service Agreements.pdf SFIN 2/14/2017 9:00:00 AM
Operating Budget FY18