HB2001
HB2001: Natural Gas Tax Rules, AGDC Powers, and Project Funds
In one sentence
This bill creates an alternative tax option for a specific natural gas project, changes how property values are counted for school funding, defines the powers of the Alaska Gasline Development Corporation (AGDC), and establishes funds to help communities.
What it does
- Creates an alternative volumetric tax on natural gas throughput as another way to tax certain project properties.
- Exempts property taxed under this new system from being counted in local school funding calculations or municipal tax limits.
- Defines the Alaska Gasline Development Corporation (AGDC) as a separate public corporation that can own, build, and operate pipelines.
- Gives AGDC the power to buy land using eminent domain if needed for gas projects.
- Requires AGDC to follow specific rules when buying supplies or hiring contractors, including preferences for Alaska veterans.
- Establishes an Alaska liquefied natural gas project mitigation fund.
Who it affects
- Companies developing North Slope natural gas projects and related facilities.
- The Alaska Gasline Development Corporation (AGDC).
- Municipalities that calculate property taxes for school funding limits.
- Communities located near or affected by the natural gas project.
Limits and unknowns
- The bill states these tax rules apply only to this specific natural gas project and cannot be used as a rule for other properties.
- The text does not list the exact dollar amounts or dates when taxes will start being collected.
- The effective date of the law is mentioned in the title but no specific calendar date appears in the provided excerpt.
Plain language
Terms to know
- Volumetric tax
- A tax based on the amount of natural gas that moves through a pipeline rather than the value of the property itself.
- Eminent domain
- The legal power to take private land for public use, such as building a pipeline.
- Mitigation fund
- A pool of money set aside to help reduce negative effects on communities caused by the project.
Official record
Sources
Official summary
GAS PIPELINE VOLUMETRIC TAX; AGDC; RCA An Act relating to the taxation of certain natural gas project property and related facilities; relating to the determination of the value of taxable real and personal property for purposes of calculating local contributions for public school funding; relating to municipal property taxes; relating to the Alaska Gasline Development Corporation; relating to revenue from a North Slope natural gas project; relating to an alternative volumetric tax on natural gas throughput; relating to agreements and payments related to a natural gas project; relating to community impact grants; relating to the regulation of liquefied natural gas import facilities by the Regulatory Commission of Alaska; relating to an Alaska liquefied natural gas project mitigation fund; and providing for an effective date.
Official activity
Bill history
- (H) REFERRED TO FINANCE3024
- (H) GOVERNOR'S TRANSMITTAL LETTER3024
- (H) FN3: (CED)3024
- (H) FN2: ZERO(CED)3024
- (H) FN1: (REV)3024
- (H) FIN3024
- (H) READ THE FIRST TIME - REFERRALS3024