AK Gasline Dev. Corp/Gas Pipeline Fund

Committee Substitute for House Bill 203 (FIN) establishes an In-state Gas Pipeline Fund to be managed and invested by the Alaska Gasline Development Corporation (AGDC). The Legislature may appropriate funds to the In-state Gas Pipeline Fund for the planning, development and construction of an in-state gas pipeline to transport natural gas from the North Slope for in-state natural gas needs.

Over the past few years, there have been a number of general fund appropriations for in-state gas pipeline development. These appropriations have gone to Departments of Natural Resources, Law and Revenue and the Governor's Office. I believe it is essential that one fund be established to alleviate the need for multiple appropriations and to make it easier to account for any expenditures that are made for in-state gas pipeline purposes. The establishment of the fund and separating it from other gasline projects brings clearer focus on the need to construct this all important in-state gas pipeline.

Through House Bill 369, which was passed last session, the Legislature authorized the Alaska Housing Finance Corporation to create a subsidiary for the purpose of planning, developing and constructing an in-state gas pipeline. The subsidiary created is the AGDC. By placing the fund within AGDC, the control and development of this project would be maintained by the Alaska Gasline Development Corporation.