Alaska Legislative Budget and Audit Committee

23rd Legislature Interim Hearings: June 2004

June 19, 2013

LB&A Committee Agenda – Senate Resources Committee
Hearing on Gas Pipeline Costs and Tariffs, Alaska Natural Gas Pipeline

June 16-17, 2004

The Legislative Audit & Budget Committee and Senate Resources Committee will conduct three joint hearings this summer on Alaska natural gas pipeline issues. All hearings will be held in Anchorage at the Legislative Information Offices, 716 West Fourth Avenue, in the second floor conference room. The schedule for the first hearing is as follows:

First Hearing: June 16-17, 2004 – Pipeline Costs and Tariffs

Full Minutes

8:30 The Impact of Pipeline Costs or Tariffs on Royalty and Production Tax Payments Due the State
Mark Myers, Director, Division of Oil & Gas, Dept. of Natural Resources;
Dan Dickinson, Director, Tax Division, Dept. of Revenue
Minutes
Presentation 1
Presentation 2

9:10 The Impact of Tariffs on In-State Exploration Activities
Mark Hanley, Manager, Public Affairs for Alaska, Anadarko
Minutes

9:40 Is the Lowest Cost Pipeline Necessarily the Lowest Tariff Pipeline? – How Debt/Equity Ratios, Differences between Taxable and Tax-Free Debt, and Potential Federal Loan Guarantees Impact Tariffs
Nancy Rohman, V.P., JP Morgan Chase and Co.;
Garth Salisbury, Managing Director, JP Morgan Chase and Co.
Minutes
Presentation 1

10:30 Break

10:45 Estimated Costs of and Tariff for a Gas Pipeline
On behalf of producers BP, ConocoPhillips, and ExxonMobil:
William Benham, Vice President, Regulatory Affairs, BP
Dave McDowell, Director, External Affairs – Gas, BP
Minutes

11:30 Alternatives for Addressing Construction Cost Overruns in Pipeline Tariffs
Tony Palmer, Vice President, Alaska Business Development, TransCanada
Minutes
Presentation 1
Presentation 2

12:00 Lunch (provided)

1:30 Gas Pipeline Costs and Tariffs
William “Bill” Walker, Attorney at Law for Walker & Levesque and General Counsel for Alaska Gasline Port Authority
Rigdon Boykin, Attorney at Law for O’Melvany & Myers and Special Counsel for Alaska Gasline Port Authority
Minutes

2:15 What Agreements Must Be Reached Before the Federal Energy Regulatory Commission Weighs In on Tariff Issues
Dan Ives, Vice President and Principal, Lukens Energy Group, Inc., presenter for Dept. of Law
Minutes

3:00 Range of Permissible Tariff Methodologies
Robert “Bob” Loeffler, Senior Partner, Morrison & Foerster
Minutes
Presentation 1

3:45 Break

4:00 Just and Reasonable Pipeline Tariffs
Nan Thompson, Commissioner, Regulatory Commission of Alaska (RCA), Dept. of Commerce, Community, and Economic Development
Minutes

June 17

Full Minutes

8:45 Tariffs on Pipeline Not Subject to FERC Regulation
Harold Heinze, Chief Executive Officer, Alaska Natural Gas Development Authority (ANGDA)
Minutes

9:30 Alaska Property and Net Income Taxes: How Do They Impact Tariffs?
Roger Marks, Petroleum Economist, Tax Division, Dept. of Revenue
Minutes

10:00 Costs and Tariffs from Alberta to Lower 48: New Pipeline vs. Use of Existing Pipelines
John Carruthers, Vice President, Northern Development, Enbridge
Jack Crawford, Executive Vice President and Chief Operating Officer, Alliance Pipeline
Tony Palmer, Vice President, Alaska Business Development, TransCanada
Minutes
Presentation 1
Presentation 2
Presentation 3
Presentation 4

11:00 Break

11:15 Tariff Rate-Making: Getting It Right
Robin Brena, Partner, Brena Bell & Clarkson
John Carruthers, Vice President, Northern Development, Enbridge
Jack Crawford, Executive Vice President and Chief Operating Officer, Alliance Pipeline
Minutes
Presentation 1

12:00 Lunch (provided)

1:15 How Will Your Company Build Up a Pipeline Tariff? (e.g., debt/equity ratio, period and method of depreciation, treatment of cost overruns)
Optional Appearances by All Entities Interested in Building an Alaska Natural Gas Pipeline

Tony Palmer, Vice President, Alaska Business Development, TransCanada
Minutes
Presentation 1
Presentation 2

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