Alaska 2025-2026 Regular Session

Alaska Senate Bill SB125 Compare Versions

Only one version of the bill is available at this time.

Old	New	Differences
1	1
2	2	SB0125A -1- SB 125
3	3	New Text Underlined [DELETED TEXT BRACKETED]
4	4
5	5	34-LS0469\N
6	6
7	7
8	8
9	9
10	10
11	11	SENATE BILL NO. 125
12	12
13	13	IN THE LEGISLATURE OF THE STATE OF ALASKA
14	14
15	15	THIRTY-FOURTH LEGISLATURE - FIRST SESSION
16	16
17	17	BY SENATOR YUNDT
18	18
19	19	Introduced: 3/12/25
20	20	Referred: Resources, Finance
21	21
22	22
23	23	A BILL
24	24
25	25	FOR AN ACT ENTITLED
26	26
27	27	"An Act establishing the Alaska Gasline Finance Corporation; and relating to 1
28	28	contributions from permanent fund dividends for the financing of a natural gas 2
29	29	pipeline." 3
30	30	BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF ALASKA: 4
31	31	* Section 1. AS 31 is amended by adding a new chapter to read: 5
32	32	Chapter 27. Alaska Gasline Finance Corporation. 6
33	33	Sec. 31.27.010. Alaska Gasline Finance Corporation. The Alaska Gasline 7
34	34	Finance Corporation is established in the Department of Revenue. The corporation is a 8
35	35	public corporation and government instrumentality managed by a board of directors. 9
36	36	The purpose of the corporation is to finance a natural gas pipeline in the state. 10
37	37	Sec. 31.27.020. Board of directors. (a) The corporation shall be governed by a 11
38	38	board of directors consisting of 12
39	39	(1) four public members; and 13
40	40	(2) the commissioner of revenue. 14 34-LS0469\N
41	41	SB 125 -2- SB0125A
42	42	New Text Underlined [DELETED TEXT BRACKETED]
43	43
44	44	(b) The governor shall appoint the public members of the board. When 1
45	45	appointing a public member to the board, the governor shall consider an individual's 2
46	46	expertise and experience in natural gas project construction financing, large project 3
47	47	financing, and other expertise and experience that is relevant to the purpose, powers, 4
48	48	and duties of the corporation. Public members of the board serve staggered five-year 5
49	49	terms. A public member serves at the pleasure of the governor. A vacancy shall be 6
50	50	filled in the same manner as the original appointment. 7
51	51	Sec. 31.27.030. Purpose; powers. (a) The corporation shall develop and have 8
52	52	primary responsibility for financing a natural gas pipeline in the state. 9
53	53	(b) The corporation may enter into agreements with other state agencies as 10
54	54	necessary or convenient to implement this chapter. 11
55	55	(c) The corporation may contract for the services of underwriters, paying 12
56	56	agents, trustees, escrow agents, rating agencies, insurance providers, credit 13
57	57	enhancement providers, accountants, financial advisors, legal counsel, and other 14
58	58	services as are necessary or desirable to accomplish the financing of a natural gas 15
59	59	pipeline. 16
60	60	Sec. 31.27.040. Fund. (a) The Alaska Gasline Finance Corporation fund is 17
61	61	established in the corporation. The fund consists of 18
62	62	(1) money appropriated to the fund by the legislature; 19
63	63	(2) proceeds from the sale of ownership shares in a natural gas 20
64	64	pipeline, including from share purchases under AS 43.23.135; and 21
65	65	(3) other money of the corporation that the corporation decides to 22
66	66	deposit in the fund. 23
67	67	(b) Money in the fund may be invested in the same manner and on the same 24
68	68	conditions as permitted for investment of funds belonging to the state or held in the 25
69	69	treasury under AS 37.10.070. 26
70	70	Sec. 31.27.050. Shares. (a) The corporation shall offer shares of a natural gas 27
71	71	pipeline to the public. Except as provided in (b) of this section, the minimum 28
72	72	investment amount is $2,500. 29
73	73	(b) At the time of the initial share offering, the corporation shall offer shares 30
74	74	of a natural gas pipeline with no minimum or maximum investment amount.
75	75	31 34-LS0469\N
76	76	SB0125A -3- SB 125
77	77	New Text Underlined [DELETED TEXT BRACKETED]
78	78
79	79	Sec. 31.27.060. Regulations. The corporation may adopt regulations necessary 1
80	80	to implement the provisions of this chapter. 2
81	81	Sec. 31.27.090. Definitions. In this chapter, 3
82	82	(1) "corporation" means the Alaska Gasline Finance Corporation; 4
83	83	(2) "fund" means the Alaska Gasline Finance Corporation fund; 5
84	84	(3) "natural gas pipeline" has the meaning given in AS 31.25.390. 6
85	85	* Sec. 2. AS 43.23 is amended by adding a new section to read: 7
86	86	Sec. 43.23.135. Natural gas pipeline share purchase. (a) Notwithstanding 8
87	87	AS 43.23.200, the electronic Alaska permanent fund dividend application must allow 9
88	88	an applicant to direct that the applicant's dividend payment be invested in shares of a 10
89	89	natural gas pipeline financed by the Alaska Gasline Finance Corporation. A share 11
90	90	purchase under this subsection must be for the entire amount of the permanent fund 12
91	91	dividend that the applicant is entitled to receive. An applicant may not make 13
92	92	contributions under AS 43.23.130 or donations under AS 43.23.230 if the applicant 14
93	93	makes a share purchase under this subsection. 15
94	94	(b) To make a share purchase under this section, an applicant must agree to 16
95	95	purchasing shares with at least three consecutive years of permanent fund dividend 17
96	96	payments. There is no penalty for violation of an agreement under this subsection. 18
97	97	(c) A parent, guardian, or other authorized representative may elect to 19
98	98	purchase shares under this subsection on behalf of an individual. A public agency that 20
99	99	claims a permanent fund dividend on behalf of an individual under AS 43.23.015(e) 21
100	100	may not elect to make a share purchase from the dividend under this section. 22
101	101	* Sec. 3. The uncodified law of the State of Alaska is amended by adding a new section to 23
102	102	read: 24
103	103	ALASKA GASLINE FINANCE CORPORATION BOARD. Notwithstanding 25
104	104	AS 39.05.055, the governor shall set the terms of the initially appointed public members of 26
105	105	the board as follows: 27
106	106	(1) two members shall serve two-year terms; 28
107	107	(2) one member shall serve a three-year term; and 29
108	108	(3) one member shall serve a five-year term. 30