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Juneau, AK 99801
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The 24th Alaska State Legislative 2nd Session House Majority Newsletter - Issue 3, Mar. 29, 2006

It is day 80 of the second session of the 24th Alaska State Legislature, and lawmakers are busy trying to get a budget passed and a new oil tax agreed upon, in addition to all of their other legislation.
The legislature has been working diligently on producing a sustainable budget, while also maintaining programs and saving a substantial portion of the surplus. The House Finance Committee has produced an Operating Budget that the members believe achieve this in the best way possible.
The House Resources Committee spent the better part of March examining the Governor's proposed Petroleum Production Tax plan, House Bill 488. A committee substitute was drafted and passed out of committee Friday, March 17th. HB 488 is currently being heard in the House Finance Committee.
The Resources Committee Co-chairs, Representative Ralph Samuels (R-Anchorage) and Representative Jay Ramras (R-Fairbanks), worked hard to achieve a balanced and progressive plan to benefit all Alaskans. Representative Samuels has written an Opinion Editorial that may offer new insight into the process and goal of this new oil tax system.
With the link between a natural gasline and new oil tax system still unclear, the House Republican Majority has continued their campaign to educate all Alaskans about the opportunities that face the state. The Majority hosted an open Caucus on March 2nd, featuring representatives from TransCanada. Another open caucus of this nature was held on Thursday, March 23rd, with Harold Heinze, CEO of Alaska Natural Gas Development Authority.
Despite the busy legislative session, a few members were able to attend the Federal Energy and Environmental Matters Conference in Washington, D.C., in early March. Representative Norman Rokeberg (R-Anchorage), a member of the Energy Council's Executive Committee, was one of the Alaskan lawmakers to make the trip. The council focuses on the issues surrounding oil production, providing insight for the decisions our lawmakers are facing.
In their time off, a few legislators have helped raise money for charities, while others have welcomed new additions. Representative Gatto (R-Palmer) raised more than $2,500 for children's cancer research by shaving his head at a fundraiser known as St. Baldrick's. Several legislative staff joined the Representative in going bald for a good cause, at the March 17th event, held at Juneau's Hanger on the Wharf. Last week, however, the attention of the Majority has been on another bald man, Grayson David McGuire Anderson. Grayson, son of Representatives Tom Anderson (R-Anchorage) and Lesil McGuire (R-Anchorage) was welcomed to Juneau on March 21st.
Family issues seem to be a recurring theme this session. House Bill 408, The Family Rights Act 2006, sponsored by Representative Coghill (R-North Pole) passed the House last week; the Senate is now considering it.

The House Finance Committee has been hard at work on the Budgets. The Fast Track Supplemental Appropriations bill, SB 232, passed out of Committee on Wednesday, March 22.
In response to the Majority Caucus' desire to set aside a portion of the state's surplus, the bill includes a provision that would save $600 million. The bill would place $300 million in the public education fund for future education needs and $300 million in a sub-corporation within the Alaska Housing Finance Corporation for future capital projects across Alaska.
The Finance Committee Subsititute for the Fast Track Supplemental Appropriations bill passed the House Floor on March 27th.
The Finance Committee also passed out the committee substitute for the Operating Budget on Thursday, March 23rd. The committee reduced the Governor's request by over $120 million in general funds. The Finance Subcommittees looked at the Governor's budget and were very cautious about funding new or expanded programs or backfilling programs experiencing a loss of federal funds.
The Operating Budget will be before the full House this week.
Read Full Text - House Finance Committee Focuses on Savings
Press Release - Fast Track Supplemental Passes House Floor
Press Release - House Finance Committee Passes Operating Budget

When discussing how much money the State should make from our natural resource extraction that is the key word. Balance.
If we take too much, we will hurt investment, if we take too little, we can never get it back, and when the resource runs out, or the price drops precipitously, we will not have the reserves to keep the State running properly.
When we say, "hurt investment," what exactly does that mean, and what are the consequences? Currently, the oil industry invests over one billion dollars annually producing current oil fields and exploring for new ones. This money keeps production from dropping at an even higher rate than it is, and gives us a chance that new smaller fields will increase the amount of oil flowing through the pipeline. This being said, the production continues to decline. The geologists tell us that there are no Prudhoe Bay size fields left on the North Slope, and that we need the investment dollars to squeeze more oil from the major fields of Kuparek and Prudhoe. This in turn begs the big question, "At what tax rate will investment slow, and by how much will it decrease?"
Read The Full Text of Rep. Samuels Op-Ed

On Thursday, March 2, the House Republican Majority hosted an open caucus allowing officials from TransCanada to speak about a possible North Slope natural gas pipeline. Tony Palmer, a vice president of the Canadian pipeline company, spoke to legislators about a U.S.-Canadian treaty that TransCanada believes entitles them to develop the pipeline through Canada. The 1970s treaty along with a Canadian law are argued to give the company exclusive rights to develop the Yukon and British Columbia sections of the proposed pipeline. Palmer said the company hopes to resolve the issues commercially and avoid litigation.
A similar caucus was held on Thursday, March 23, hosting Harold Heinze, CEO of Alaska Natural Gas Development Authority, who also spoke about the possibilities of a gasline in the state's future.
The Majority has hosted two other caucuses of this nature; all in an effort to better educate the public and lawmakers about the options available to the state. In January, Speaker Harris hosted the former Commissioner of the Department of Natural Resources, and representatives from the Alaska Gasline Port Authority spoke in February.
Transcript of the ANGDA Open Caucus - March 23, 2006
Transcript of the TransCanada Open Caucus - March 2, 2006
Transcript of the AGPA Open Caucus - February 16, 2006
Transcript of the Natural Resources Open Caucus - January 12, 2006

The Energy Council held its annual spring Federal Energy and Environmental Matters Conference in Washington, D.C., in the first part of March. The Council is composed of ten oil-producing states, four Canadian provinces, and the country of Venezuela.
As a member of the Energy Council's Executive Committee, I had the honor of serving as a Vice President and moderator of the spring meeting. Other Alaskan attendees included Representatives John Coghill, Kurt Olson, Jim Holm and Carl Gatto, along with Senators Fred Dyson and Gene Therriault.
Opening keynote speakers included our senior Senator Ted Stevens and Louisiana Senator Mary Landrieu, Alaska's favorite democrat and the only "yes" vote for ANWR among her colleagues.
Other key speakers included the Venezuelan Ambassador to the United States, Bernardo Alvarez; former Senator Drue Pearce, now a Senior Advisor on Alaskan Affairs to the U.S. Department of Interior; Murray Smith a Minister Counselor of Alberta at the Canadian Embassy for natural gas and petroleum issues; the Honorable Brendan Bell, Minister of Industry, Tourism & Investment for the Northwest Territories; and Federal Energy Regulatory Commission Chairman, Joseph Kelliher.
Panels included a presentation on new technology for heavy oil production and transportation, which included Don Dunham of BP Alaska and Luis Vierma of Petróleos de Venezuela. We also had a panel on natural gas lines and North American relations, which included Minister Murray Smith, Drue Pearce and David McInnis, President of the Canadian Energy Pipeline Association.
In addition, the Council had a presentation on methane hydrates by Dr. Robert Woolsey of the Mississippi Center for Marine Resources and Environmental Technology. Additional speakers included an EPA representative covering mercury issues and power plants and a GE representative speaking on sustainable energy development. A key element of the conference was a briefing on critical energy infrastructure protection carried out by the Department of Homeland Security.
The Alaskan delegation took advantage of the opportunity to meet with Senators Lisa Murkowski and Ted Stevens to get a briefing on current Washington issues as well as passing on our concerns about what is happening at home.
The conference was a valuable educational experience and well worth the efforts of attendance.
Rep. Norman Rokeberg represents House District 27 and serves as Chairman of the House Rules Committee

The Family Rights Act of 2006, omnibus legislation carried by Representative John Coghill (R-North Pole) for Governor Frank Murkowski, passed the House by a vote of 36 to 0, on March 20th. This legislation was crafted with support from Representatives Norman Rokeberg (R-Anchorage) and Mike Chenault (R-Nikiski), as well as the Office of Children's Services and the Department of Law.
This legislation makes a number of substantive changes to current law regarding children in need of aid, including an increase in the standard of proof required to terminate parental rights to clear and convincing evidence, providing OCS with more ability to discuss cases, and restricting the distribution of permanent fund dividends of foster or adopted children.
Amendments on the floor provided more inclusion of information that OCS can release about a case. It also clarified mandatory reporting of the duties of those involved in the delivery of a child when they determine the baby has adverse conditions from controlled substance or alcohol exposure.
Representative Coghill said of the bill, "We want to make sure every effort is made to preserve the family. We continue to make government more accountable and more transparent."
The bill is currently being heard in the Senate Judiciary Committee.
Definition Of Child Abuse And Neglect Online Information

Representatives Tom Anderson (R-Anchorage) and Lesil McGuire (R-Anchorage) welcomed their first child, a son, named Grayson David McGuire Anderson, on March 2, 2006.
Grayson weighed 7 lbs and 4 oz and both mother and son are doing well.
"At least we know that whatever happens when we go back to Juneau, something great happened this session," said Representative McGuire.
"Tom and I are lifelong Alaskans and we both grew up in Anchorage, attended schools there and have come back to raise a family here. As we welcome the next generation, we realize even more the importance of this job. The future of Alaska is truly in our hands," said Representative McGuire.
Representatives McGuire and Anderson have returned to Juneau with Grayson.

Newsletter Available in Adobe PDF at: .
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