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Contact Information:
Toll Free:(800) 665-2689
In the Homer Area:(907) 235-2921
Via Mail or in Person: 345 W. Sterling Hwy., Suite 102B
Homer, Alaska 99603
Fax:(907) 235-4008
Website:
Email:
Greetings from Juneau on this 19th day of our second legislative special session this year. The main purpose of this special session is to concentrate on a rewrite of the oil and gas tax system, and amendments to the Alaska Stranded Gas Act. The "call" for the special session has been expanded by the Governor to include extension of police powers to hold and secure the identity of witnesses to a crime, and an appropriation measure to fund a study of a gas spur line following the construction of a gas pipeline. I am unsure whether the House will act on either of these expanded agenda items. If the appropriation measure comes to the floor I anticipate a motion (which I will support) to add the vetoed "railbelt energy fund" distribution. Under that vetoed distribution the Alaska Industrial Development and Export Authority would have received $12.5 million for the Homer Electric Association start-up of the Healy Clean Coal power plant and Seward would have received money for replacement electric generators.
Petroleum Production Tax
We have had three days of hearings in House Finance on the three bills currently under consideration for the oil tax rewrite. is the Governor's PPT bill while and are modifications of the current production tax system and repeal of ELF. There was very good discussion of the advantages and disadvantages of the bills. The consensus among legislators is that any adopted structure needs to raise a greater share for Alaska while providing an incentive for production to stop or slow the 6% average annual decline in production of oil from the North Slope.
The latest HB 3001 committee substitute attempted to tie modest increase or decrease in individual company tax rates to increase or decrease in production, (which generates royalty payments for the State.) A number of complications were evident from testimony and the sponsor's are trying to correct those by developing amendments. The Finance Committee is now adjourned to the call of the chair awaiting developments.
House State Affairs
The House State Affairs Committee, which I Chair, introduced . This bill separates the 'progressivity' element that we will use to approximate a windfall profit tax from diverse issues of the comprehensive tax rewrite. The intent of introducing this bill is to give us a back-up plan if we are unable to agree on a comprehensive rewrite of the tax structure. This would allow us to capture some of the unexpected returns from the recent high oil prices. The committee held two hearings on this bill, and sent it on to the House Finance Committee. We also sent along accompanying amendments for House Finance to consider. The amendments extend for 10 years the 2007 deadline for the use of exploration credits and create a credit system to incentivize development of heavy oil resources. You can see the bill, sponsor statement, accompanying amendments, and memo to House Finance at the following link:
Health Education and Social Services
On Monday the HESS committee looked into the state-run Alaska Psychiatric Institute (API). API has received criticism for requiring nurses to work mandatory overtime on a regular basis, allegations of differing level of oversight of care in some cases, and staff and patient safety.
The Department of Health and Social Services (DHSS) and the director of API provided an overview of the institute. However, there remain many unanswered questions. The committee requested the department report back with additional information on nurse retention, when mandatory overtime is used, and ways to increase staff appreciation, among other requests. The committee also asked for the department to come up with suggestions on how the legislature can help API improve. I will continue to work on this issue and welcome your comments.
Following Bills
All bills can be accessed through the state’s Bill Action and Status Inquiry System (BASIS). You can see what committee a bill is in, when it will be heard, how committee members voted, and much more. You can view all bills relating to your specific areas of interest by selecting "Subject Summary" from the menu on the right. Access BASIS through the link below, or by doing a search for "BASIS Alaska".
http://www.legis.state.ak.us/basis/start.asp
Live on the Web
Most committee hearings can be seen and heard on Gavel-to-Gavel, which is broadcast on both local access TV and on the Internet. You can also access online archives from their website. .
Contact Us
If you would like to speak to me regarding a specific issue, it is helpful to first get in touch with the member of my staff handling related issues. You can click on their email addresses to send them a note, or just give us a call at the office. Please provide your full name, address and phone number on any correspondence with the office. Your time and effort are much appreciated.
Louie Flora
State Affairs, Resources, Fisheries, HB 328
(907) 465-4963
Katie Shows
Health Education and Social Services, PERS/TRS, Budget, HCR 5, HCR 28, HB 238
(907) 465-2028
Rep. Paul Seaton
House District 35
(800) 665-2689
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