After governor’s veto threat, Alaska House votes down tax break for proposed natural gas pipeline
The vote followed a veto threat over a tax provision that opponents said would hit privately held oil and gas firms and the pipeline project.
- On Thursday, the Alaska House of Representatives voted down the tax break for the AKLNG project, falling short of the 21 votes needed after Governor Mike Dunleavy threatened a veto over a corporate tax provision.
- Proponents argued the tax restructure is essential to help investors finance the $54.5 billion AKLNG pipeline, which would funnel gas from the North Slope to Nikiski to supply the Railbelt.
- Contention centered on a provision eliminating tax exemptions for "pass-through corporations," which Governor Dunleavy labeled a "parasite," while residents criticized the project as a "boondoggle" and cited a $5.3 billion revenue loss.
- With the measure failing, legislators must navigate a second 30-day special session, and Governor Dunleavy announced plans to call the Legislature into a third session starting July 27.
- Uncertainty remains as the bill could return to the Senate Resources Committee or face inaction until the Legislature ends in December, despite developer claims that the tax break is necessary for financing.
11 Articles
11 Articles
Fairbanks Daily News-Miner
After governor’s veto threat, Alaska House votes down tax break for proposed natural gas pipeline
The Alaska House of Representatives on Thursday voted down a multibillion-dollar tax break for the proposed trans-Alaska natural gas pipeline project. Glenfarne LLC, the project’s lead developer, has said the tax break is necessary for it to obtain financing from…
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