Alaska State Legislature

News From The Senate and House Majorities

Ken Freeman (907) 465-3804
Wendy Lindskoog (907) 465-4582
State Capitol
Juneau, AK 99801
Actuality line: 1-800-478-6540
web site: http://www.akrepublicans.org

Legislative Leaders Sign Gas Pipeline Resolution

Confirm Commitment By Legislature To Promote Alaska Jobs

For Immediate Release: February 10, 1997 Contact: Ken Freeman (907) 465-3804

JUNEAU - Moving forward with their Commitment to promote Jobs for Alaskans, Legislative Leaders on Monday signed and transmitted House Concurrent Resolution 1. HCR 1, known as the gas-pipeline resolution, urges the establishment of a stable fiscal and regulatory environment in order to provide the best opportunity for a new Liquid Natural Gas (LNG) project to transport gas from Alaska's North Slope to market.

Oil and gas industry representatives and members of the Legislative Task Force formed to promote a gas pipeline looked on as House Speaker Gail Phillips and Senate President Mike Miller signed the resolution that could help spur jobs for Alaskans.

A House Resolution becomes effective after being signed by the Legislative Leadership and does not require the signature of the Governor. However, given the necessary role the state administration will play in the development of the gas pipeline, Speaker Phillips said it is important the Governor sign and support this resolution.

"The Legislature has made the development of an Alaska Gas Pipeline one of its highest priorities. We have sent a strong message to industry that we want this project to go forward. Next, we call upon the Governor to spur his administration into action to make this project a reality by the year 2005," said Speaker Phillips.

Senator Mike Miller explained that with HCR 1’s passage, everything is in place to move forward. The Legislature, Governor, Congressional Delegation and Alaska's oil and gas industry are teaming up to bring the gas pipeline to Alaska.

"The gas-pipeline will be an enormous boost for Alaska’s economy," said Senator Mike Miller. "Over a projected seven year period, an estimated 10,000 construction jobs will be generated from this project. What’s more, this number doesn’t even account for those jobs that will be created once operation of the gas pipeline begins."

"This is a project I have worked on for many years during my tenure in the Alaska Legislature," said Representative Ramona Barnes, sponsor of HCR 1. "This has become my number one legislative priority and an issue I will follow closely until completion.

"The gas pipeline makes good economic sense at this time. We need to get it on line as soon as possible in order to secure our place in the global market," said Rep. Barnes.

HCR 1 asks the Governor to work with leaseholders to develop a contract for execution with those who appear likely to become sponsors of the project. The contract would describe the nature, degree and duration of fiscal terms for the project and contractually guarantee the terms. The contract would be submitted to the Legislature for ratification. The Governor would also provide the Legislature with enabling legislation to authorize the State of Alaska to formally enter the contract.

Barnes said the Governor is asked to work with leaseholders and Alaska's Congressional delegation to identify appropriate federal action to help expedite the project. He is also asked to identify and report to the Legislature, the form of participation in the project by the State of Alaska.

"It is exciting the first piece of legislation to pass both bodies of the Legislature promotes jobs and economic development for Alaskans," said House Speaker Gail Phillips.

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