
Dan Stickel
41:39 - 42:26
"if you compare this to slide 26, you'll see that there is a reduction in state revenues of about $7 billion, a very significant reduction in municipal revenues of over $13 billion."
“if you compare this to slide 26, you'll see that there is a reduction in state revenues of about $7 billion, a very significant reduction in municipal revenues of over $13 billion.”
And so slide 27 is the similar slide, which is the bill that the Governor introduced. And if you compare this to slide 26, you'll see that there is a reduction in state revenues of about $7 billion, a very significant reduction in municipal revenues of over $13 billion. And what does that do? Is it reduces the in-state cost of supply, breakeven from $4.86 to utilities down to $4.43. But more importantly, it reduces that breakeven cost into the global market from $9.07 under current law down to $8.48 under the bill as introduced by the governor.
The Alaska LNG project would struggle to compete in global markets even under the governor's proposed tax relief, with breakeven prices at the high end of current futures markets, according to state modeling presented to the House Finance Committee on Thursday.

The Alaska House Finance Committee heard Thursday that the governor's version of HB 381 would reduce municipal property tax revenue from the Alaska LNG project by over $13 billion compared to current law, while the House Resources version would actually increase municipal revenue by retaining property tax on the gas treatment plant and LNG facility.
