ALASKA STATE LEGISLATURE  HOUSE RESOURCES STANDING COMMITTEE  April 30, 2025 1:03 p.m. DRAFT MEMBERS PRESENT Representative Robyn Niayuq Burke, Co-Chair Representative Maxine Dibert, Co-Chair Representative Carolyn Hall Representative Donna Mears Representative Zack Fields Representative Dan Saddler Representative George Rauscher Representative Julie Coulombe Representative Bill Elam MEMBERS ABSENT  All members present COMMITTEE CALENDAR  HOUSE JOINT RESOLUTION NO. 18 Supporting the continued development of the Alaska Liquefied Natural Gas Project; recognizing the importance of the Alaska Liquefied Natural Gas Project to the economy of the state, energy independence, and national security; and urging the United States Congress, President Donald J. Trump, Secretary of the Interior Douglas Burgum, and relevant federal agencies to take all necessary actions to expedite the success of the Alaska Liquefied Natural Gas Project. - MOVED CSHJR 18(RES) OUT OF COMMITTEE PREVIOUS COMMITTEE ACTION  BILL: HJR 18 SHORT TITLE: URGING SUPPORT FOR AKLNG SPONSOR(s): REPRESENTATIVE(s) COSTELLO 04/09/25 (H) READ THE FIRST TIME - REFERRALS 04/09/25 (H) RES 04/16/25 (H) RES AT 1:00 PM BARNES 124 04/16/25 (H) Scheduled but Not Heard 04/30/25 (H) RES AT 1:00 PM BARNES 124 WITNESS REGISTER REPRESENTATIVE MIA COSTELLO Alaska State Legislature Juneau, Alaska POSITION STATEMENT: As prime sponsor, introduced HJR 18. REPRESENTATIVE GEORGE RAUSCHER Alaska State Legislature Juneau, Alaska POSITION STATEMENT: As co-sponsor, explained his support of HJR 18. FRANK RICHARDS, President Alaska Gasline Development Corporation Anchorage, Alaska POSITION STATEMENT: Testified in support of HJR 18 and answered questions. LISA PARKER, Member Soldotna City Council Soldotna, Alaska POSITION STATEMENT: Testified in support of HJR 18. WARREN CHRISTIAN, Board Chair Alaska Gasline Development Corporation North Pole, Alaska POSITION STATEMENT: Testified in support of HJR 18. MIKE COONS, representing self Wasilla, Alaska POSITION STATEMENT: Testified in support of HJR 18. KYLE KAISER, President and Founder VIPER Transitions Chugiak, Alaska POSITION STATEMENT: Testified in support of HJR 18. TIM NAVARRE, representing self Kenai, Alaska POSITION STATEMENT: Testified in support of HJR 18. DOUGLAS TANSY, Business Manager International Brotherhood of Electrical Workers (IBEW) Fairbanks, Alaska POSITION STATEMENT: Testified in support of HJR 18. ACTION NARRATIVE 1:03:48 PM CO-CHAIR BURKE called the House Resources Standing Committee meeting to order at 1:03 p.m. Representatives Coulombe, Fields, Rauscher, Saddler, Hall, Mears, Elam, Dibert, and Burke were present at the call to order. HJR 18-URGING SUPPORT FOR AKLNG  1:04:28 PM CO-CHAIR BURKE announced that the first order of business would be HOUSE JOINT RESOLUTION NO. 18, Supporting the continued development of the Alaska Liquefied Natural Gas Project; recognizing the importance of the Alaska Liquefied Natural Gas Project to the economy of the state, energy independence, and national security; and urging the United States Congress, President Donald J. Trump, Secretary of the Interior Douglas Burgum, and relevant federal agencies to take all necessary actions to expedite the success of the Alaska Liquefied Natural Gas Project. 1:04:32 PM REPRESENTATIVE MIA COSTELLO, Alaska State Legislature, as prime sponsor, introduced HJR 18. She explained that the resolution affirms Alaska's strong support for the Alaska Liquefied Natural Gas project (AKLNG) and urges Alaska's federal partners to help move the project forward. She reviewed AKLNG's history and pointed out recent progress in permitting, global interest, and renewed momentum from the federal government as demonstrated by the Executive Order titled "Unleashing Alaska's Extraordinary Resource Potential." She emphasized that the AKLNG was not just about Alaska but was also about American energy security and America's place in the world. The resolution urges the President, Congress, the Secretary of the Interior, and relevant federal agencies to coordinate, remove unnecessary red tape, and fully support the final approvals and financing that AKLNG needs. 1:06:33 PM REPRESENTATIVE GEORGE RAUSCHER, Alaska State Legislature, as co- sponsor, spoke in support of HJR 18 and said the resolution was very important for Alaska. He described why he supported the amendment including that it upholds liquefied natural gas (LNG) export approval by the federal government, private industry's support, Japan's interest in the project, and that carbon capture would be included in the plan. He pointed out that ADGC had announced that Glenfarne would not need a previously requested 20 million backstop from AGDC. 1:08:07 PM REPRESENTATIVE SADDLER commented that this resolution would help Alaska in numerous ways including jobs for Alaskans, revenue for the state, and energy security for every region in the state. It would restore a sense of optimism in Alaska and its economy, aid national security, and help the national balance of trade. 1:08:56 PM CO-CHAIR BURKE opened invited testimony on HJR 18. 1:09:07 PM FRANK RICHARDS, President of the Alaska Gasline Development Corporation (AGDC), testified in support of HJR 18. He explained that AGDC was created by the Alaska State Legislature and provided with broad powers and authorities to tackle the Alaska LNG project. It was created as an independent corporation with commercial and confidentiality powers to insulate AGDC and enable it to conduct market-driven transactions. In this role, they have been Alaska's representative and developer for the LNG project. He explained that in March of 2025, AGDC signed an agreement with Glenfarne, a private developer and industry leader, and this agreement meant that Alaska no longer had the financial obligation to invest in in Alaska LNG. He stated that Alaska would receive the benefits of the project without further investment but that in the future there would be investment opportunities for Alaska and Alaskan corporations. He described the market interest in Alaska LNG, listing Taiwan, Japan, South Korea, Thailand, the Philippines, Viet Nam, and other countries, saying that a non- binding letter of intent had been signed with Taiwan. He read a quote from the U.S. Treasury Secretary regarding the Alaska LNG project. He stated that the President and his administration have insisted that the Alaska LNG project be part of every U.S. trade negotiation. 1:14:24 PM REPRESENTATIVE FIELDS commented that for private companies to invest in building the gas pipeline, there would need to be large scale buyer for the LNG exports and that such a buyer had not materialized. He observed that the situation remained the same as it had been for the last 50 years. He explained that AGDC gave ownership of the assets of the project to Glenfarne, but that in the future, Alaska could purchase up to 25 percent through 8 Star Alaska. Under the structure of the deal, Alaska would have to buy back the property that AGDC disposed of under SB 38. He said he did not believe that Alaska would have sufficient resources to do so. 1:16:05 PM REPRESENTATIVE RAUSCHER explained that the letter would go to congress and to the President and is about why it is so important to the state of Alaska. 1:16:42 PM REPRESENTATIVE COSTELLO responded to Representative Field's comments by reiterating the importance of the resolution. 1:17:28 PM REPRESENTATIVE COULOMBE stated that Enstar was about to raise the heating bills in Anchorage by $100 a month. She expressed her support for the resolution because it would give her constituents hope that the LNG project would eventually lower the cost of heating their homes. 1:18:23 PM CO-CHAIR DIBERT pointed out that Fairbanks had some of the highest energy costs in Alaska with roughly 16 percent of income going to heating. She emphasized the importance of including a spur line to Fairbanks from the gaslines. 1:19:29 PM The committee took an at-ease from 1:19 p.m. to 1:21 p.m. 1:21:33 PM REPRESENTATIVE MEARS moved Conceptual Amendment 1 to remove the words "billion in" on page 1, line 13, so it would read "create thousands of high-paying jobs for state residents and generate long-term state and local revenue?" 1:22:12 PM The committee took an at-ease at 1:22 p.m. 1:22:30 PM CO-CHAIR BURKE reiterated the conceptual amendment. REPRESENTATIVE COSTELLO explained that she was fine with the amendment. 1:25:13 PM REPRESENTATIVE ELAM objected. 1:25:50 PM A roll call vote was taken. Representatives Fields, Hall, Mears, Dibert, and Burke voted in favor of Conceptual Amendment 1 to HJR 18. Representatives Coulombe, Elam, Saddler, and Rauscher voted against it. Therefore, Conceptual Amendment 1 to HJR 18 passed by a vote of 5-4. 1:27:13 PM CO-CHAIR BURKE opened public testimony on HJR 18 1:27:30 PM LISA PARKER, Member, Soldotna City Council, spoke in support of HJR 18, describing the benefits of the Alaska LNG project including increased revenues, guaranteed supplies of gas, and jobs for Alaskans and Alaska businesses. She encouraged committee members to support HJR 18. 1:29:26 PM WARREN CHRISTIAN, Board Chair, Alaska Gasline Development Corporation, spoke in support HJR 18. He explained that he was board chair of the AGDC as well as president of Doyon Associated. He discussed the support for the LNG project throughout the state. He pointed out that the resolution sends a message that "we are open for business." He stated that there were no other options on the table right now that would reduce Alaska's energy costs and pointed out the gas issues in the Cook Inlet. The project has the required permits, a lead developer, and unprecedented bipartisan federal support. He explained the project would create thousands of jobs, bring new industry to Alaska, and support the mining industry and utilities. He encouraged the committee to support HJR 18. 1:31:37 PM MR. CHRISTIAN, in response to Representative Saddler's question, explained that he spoke both for himself and AGDC. He referred a question about an offtake to AGDC staff. 1:32:29 PM MR. CHRISTIAN addressed a question posed by Representative Fields regarding the process and potential costs of the offtake spur line for Fairbanks. He explained that the complications include the sizing of the pipeline, the long-term agreements of the existing Fairbanks utility with North Slope LNG, and phasing the pipeline over time. 1:34:21 PM MIKE COONS, representing self, spoke in support of HJR 18. He explained that President Trump is all about America first which will also make Alaska great again. He blamed "eco terrorist" groups, President Biden, and lawsuits for delays in oil and gas projects including the LNG project. He spoke of possible displacement of people, especially seniors, by the expansion of the LNG plant in Nikiski. He also described the possibility of data centers that could tap into the pipeline, spoke of development not being impeded by government, and expressed opposition to heavy taxes. 1:37:14 PM KYLE KAISER, President and Founder, VIPER Transitions, spoke in support of HJR 18. He explained he was working with transitioning service members and veterans looking for homes and work opportunities. He pointed out that veteran employment in Alaska can be challenging, and the LNG project would provide work for electricians, mechanics, crafts people, truck drivers, and more. He explained that the project would help veterans stay in the state, would attract people from out of state, and would make Alaska a better place to live and work. 1:39:31 PM TIM NAVARRE, representing self, spoke in support of HJR 18. He described the past and present support for the Alaska LNG project, calling the gas pipeline a "no-brainer." He reviewed the costs of energy in the Mat-Su and said that Alaskans deserve to have reliable, low cost energy, especially when it is on the North Slope. 1:42:25 PM DOUGLAS TANSY, Business Manager, International Brotherhood of Electrical Workers (IBEW), spoke in support of HJR 18. He explained that he was speaking in his official capacity as business manager of the International Brotherhood of Electrical Workers (IBEW) for Alaska as well as representing himself. He described the energy issues in Fairbanks including affordability and air quality. He explained that he supported HJR 18 because it would provide for a different type of economy, good quality jobs, and the opportunity for career development. In terms of the economy, it would reduce the crushing effects of high overhead rates for heat and power. He mentioned the reliance on wood stove heating because of fuel costs and the effects that has on air quality, pointing out that gas is a much cleaner fuel. 1:45:25 PM CO-CHAIR BURKE, after ascertaining there was no one else who wished to testify, closed public testimony on HJR 18. 1:45:40 PM CO-CHAIR DIBERT moved to report HJR 18 as amended, work order 34-LS0837\I out of committee with individual recommendations and the accompanying zero fiscal note. 1:45:53 PM REPRESENTATIVE FIELDS objected. He explained, "There is a difference between optimism and delusion, and I don't want the Legislature to look delusional, seeming like we think this project is about to happen." A roll call vote was taken. Representatives Elam, Coulombe, Rauscher, Saddler, Hall, Mears, Dibert, and Burke voted in favor of HJR 18 as amended. Representative Fields voted against it. Therefore, HJR 18 was reported out of the House Resources Standing Committee by a vote of 8-1. 1:47:11 PM ADJOURNMENT  There being no further business before the committee, the House Resources Standing Committee meeting was adjourned at 1:47 p.m.