AlaskaNatural gas projects would face conditional taxes and oversight rules
The failed measure would condition natural gas project tax treatment on developer payments and commitments while adding business taxes and legislative oversight, if enacted.
What it does
A qualifying natural gas project would avoid certain property taxes for a limited period, then pay a per-volume gas tax, but only after the developer meets payment, labor, construction, and investment conditions.
The gasline corporation would publish more project information and give lawmakers review or approval roles over bonds, ownership changes, and possible state investments.
Certain noncorporate oil and gas businesses would pay a graduated income tax starting in 2029, while filing an earlier return to help estimate future revenue.
Argument forThe measures could give communities and heating programs access to project-related money while requiring public updates about construction and state financial exposure.
Argument againstCovered businesses could face new tax payments and reporting duties, which may reduce the income they retain from oil and gas activities.
More detail
Natural gas project property would receive a temporary tax abatement and then pay a tax based on the amount of gas moving through the project. This applies to a defined project that includes North Slope gas lines, a gas pipeline, treatment and liquefied natural gas plants, and a marine terminal. The tax treatment would apply only if the project developer pays $50 million after the phase-one investment decision, agrees to pay another $40 million after the phase-two investment decision, and meets labor, Fairbanks spur-line, and state-investment-option conditions. The abatement would end when the project reaches an average throughput of 500 million cubic feet per day for 30 straight days or five years after phase-one commercial operations, whichever comes first. The commissioner could extend project deadlines for events beyond the project owner's or developer's reasonable control, but not for changes in gas or liquefied natural gas prices. The tax provisions would take effect only after the revenue commissioner confirms the conditions, and then would apply the day after that determination. The tax would begin the day after the abatement ends.
The Alaska Gasline Development Corporation would provide regular public project reports and online dashboards, and the legislature would review certain bonds, ownership transfers, and investment options. The rules would cover the corporation, its subsidiaries, natural gas pipeline projects, revenue-producing projects, related developers, and certain foreign-investment or ownership transactions. The corporation could redact or summarize confidential or commercially sensitive information in required reports and dashboards. The legislature would need to approve bond issuance and state investment in a revenue-producing project by law. A municipality could be offered part of the corporation's unused right to acquire additional project ownership, but could not directly own that project interest. Reports would be due by February 15 and August 15 each year. Dashboards would be updated at least monthly before commercial operations and at least quarterly afterward. The legislature would generally have 90 days to act on bond or subsidiary-ownership matters.
Certain business entities earning income from oil or gas production, transportation, processing, or related activities would pay a graduated state income tax. Covered entities would include sole proprietorships, partnerships, limited liability companies, and certain S corporations, but not individuals, regular corporations already subject to the corporate tax, exempt entities, or Alaska liquefied natural gas project income. No tax would be due on taxable income below $1 million. The tax would be calculated as if the entity were a C corporation, with listed credits and deductions allowed under the corporate tax rules. A covered entity would also file a one-time informational return by March 16, 2028, even though the tax would not yet be due. The income tax would apply to taxable income earned on or after January 1, 2029. The one-time informational return would cover the most recent completed tax year before January 1, 2028.
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Where it stands
- Introduced
- Passed House
- Passed Senate
- To Governor
- Became Law
Looking ahead
No hearings or votes scheduled.
History
- 2026
- Sep 30(H) PERMANENTLY FILED IN THE (H)Latest
- Sep 30(H) ENGROSSED
- Jul 16(S) Minutes (SHB381)
- Vote recorded (S) EFFECTIVE DATE(S) ADOPTED Y19 N- E1 #3185. Result: pass.Upper
- Vote recorded (H) CC REPORT FAILED Y19 N19 E2 #3182. Result: fail.Lower
- Vote recorded (S) CC REPORT ADOPTED Y11 N8 E1 CCS HB 381 #3184. Result: pass.Upper
- Jul 16(S) Moved CCS HB 381 Out of Committee -- Rescheduled from 07/15/2026 --
- Jul 16(S) CONFERENCE COMMITTEE ON HB381 at 08:00 AM SENATE FINANCE 532
- Jul 16(H) Minutes (HHB381)
- Jul 16(H) Moved CCS HB 381 Out of Committee
- Jul 16(H) CONFERENCE COMMITTEE ON HB381 at 08:00 AM SENATE FINANCE 532
- Jul 16(H) VERSION: CCS HB 381(FLD H)
- Jul 16(H) CC REPORT FAILED Y19 N19 E2Major
- Jul 16(H) CC REPORT READ AND TAKEN UP
- Jul 16(H) FN7: (REV)
- Jul 16(H) FN6: (CED)
- Jul 16(H) FN5: (CED)
- Jul 16(H) CC REPORT: CCS HB 381 RECEIVED 7/16/26
- Jul 16(H) LIMITED POWERS FREE CONFERENCE GRANTED
- Jul 16(S) EFFECTIVE DATE(S) ADOPTED Y19 N- E1
- Jul 16(S) CC REPORT ADOPTED Y11 N8 E1 CCS HB 381
- Jul 16(S) CC REPORT READ AND TAKEN UP
- Jul 16(S) FN7: (REV)
- Jul 16(S) FN6: (CED)
- Jul 16(S) FN5: (CED)
- Jul 16(S) CC REPORT: CCS HB 381 RECEIVED 7/16 11:39 AM
- Jul 16(S) LIMITED POWERS FREE CONFERENCE GRANTED
- Jul 15(S) -- Rescheduled to 07/16/2026 --
- Jul 15(S) CONFERENCE COMMITTEE ON HB381 at 04:00 PM SENATE FINANCE 532
- Jul 15(H) -- MEETING CANCELED --
- Jul 15(H) CONFERENCE COMMITTEE ON HB381 at 04:00 PM SENATE FINANCE 532
- Jul 2(S) Minutes (SHB381)
- Jul 2(S) Heard & Held
- Jul 2(S) CONFERENCE COMMITTEE ON HB381 at 10:30 AM SENATE FINANCE 532
- Jul 2(H) Minutes (HHB381)
- Jul 2(H) Heard & Held
- Jul 2(H) CONFERENCE COMMITTEE ON HB381 at 10:30 AM SENATE FINANCE 532
- Jul 1(S) ENGROSSED
- Jun 27(S) Minutes (SHB381)
- Jun 27(S) Heard & Held
- Jun 27(S) CONFERENCE COMMITTEE ON HB381 at 02:00 PM SENATE FINANCE 532
- Jun 27(S) Minutes (SHB381)
- Jun 27(S) Heard & Held
- Jun 27(S) CONFERENCE COMMITTEE ON HB381 at 10:00 AM SENATE FINANCE 532
- Jun 27(H) Minutes (HHB381)
- Jun 27(H) Heard & Held
- Jun 27(H) CONFERENCE COMMITTEE ON HB381 at 02:00 PM SENATE FINANCE 532
- Jun 27(H) Minutes (HHB381)
- Jun 27(H) Heard & Held
- Jun 27(H) CONFERENCE COMMITTEE ON HB381 at 10:00 AM SENATE FINANCE 532
- Jun 26(S) Minutes (SHB381)
- Jun 26(S) Heard & Held
- Jun 26(S) CONFERENCE COMMITTEE ON HB381 at 02:00 PM SENATE FINANCE 532
- Jun 26(H) Minutes (HHB381)
- Jun 26(H) Heard & Held
- Jun 26(H) CONFERENCE COMMITTEE ON HB381 at 02:00 PM SENATE FINANCE 532
- Jun 20(S) HOFFMAN (CHAIR), STEDMAN, CRONK
- Vote recorded (H) FAILED CONCUR (S) AM Y12 N28 #3132. Result: fail.Lower
- Jun 20(S) CONFERENCE COMMITTEE APPOINTED
- Jun 20(S) FAILED RECEDE (S) AM Y- N16 E4Major
- Jun 20(S) RECEDE MESSAGE READ AND TAKEN UP
- Jun 20(H) SCHRAGE (CHAIR), EDGMON, RUFFRIDGE
- Jun 20(H) CONFERENCE COMMITTEE APPOINTED
- Jun 20(H) FAILED CONCUR (S) AM Y12 N28Major
- Jun 20(H) CONCUR MESSAGE TAKEN UP
- Jun 20(H) CONCUR MESSAGE READ
- Jun 20(H) THIRD SPECIAL SESSION BILL
- Jun 20(S) THIRD SPECIAL SESSION BILL
- Jun 19(S) Moved SCS CSHB 381(FIN) Out of Committee
- Vote recorded (S) AM 1 TO AM 2 FAILED Y7 N13 #3056. Result: fail.Upper
- Vote recorded (S) EFFECTIVE DATE(S) ADOPTED Y20 N- #3084. Result: pass.Upper
- Vote recorded (S) PASSED Y12 N8 #3084. Result: pass.Upper
- Vote recorded (S) AM NO 13 FAILED Y9 N11 # 3066. Result: fail.Upper
- Vote recorded (S) AM NO 7 FAILED Y9 N11 # 3062. Result: fail.Upper
- Vote recorded (S) AM NO 16 ADOPTED Y13 N7 # 3070. Result: pass.Upper
- Vote recorded (S) AM NO 6 FAILED Y7 N13 # 3061. Result: fail.Upper
- Vote recorded (S) AM NO 5 ADOPTED Y16 N4 # 3060. Result: pass.Upper
- Vote recorded (S) AM NO 1 FAILED Y9 N11 # 3044. Result: fail.Upper
- Vote recorded (S) AM NO 4 FAILED Y8 N12 # 3057. Result: fail.Upper
- Vote recorded (S) AM NO 10 FAILED Y10 N10 # 3064. Result: fail.Upper
- Vote recorded (S) AM NO 14 ADOPTED Y14 N6 # 3067. Result: pass.Upper
- Vote recorded (S) AM NO 2 ADOPTED Y11 N9 # 3050. Result: pass.Upper
- Vote recorded (S) AM NO 19 ADOPTED Y11 N9 # 3073. Result: pass.Upper
- Vote recorded (S) AM NO 11 FAILED Y9 N11 # 3065. Result: fail.Upper
- Vote recorded (S) AM NO 15 ADOPTED Y14 N6 # 3068. Result: pass.Upper
- Jun 19(S) FINANCE at 09:00 AM SENATE FINANCE 532
- Jun 19(S) VERSION: SCS CSHB 381(FIN) AM S
- Jun 19(S) TRANSMITTED TO (H) AS AMENDEDMajor
- Jun 19(S) EFFECTIVE DATE(S) ADOPTED Y20 N-
- Jun 19(S) PASSED Y12 N8Major
- Jun 19(S) READ THE THIRD TIME SCS CSHB 381(FIN) AM SMinor
- Jun 19(S) ADVANCED TO THIRD READING UCMinor
- Jun 19(S) AM NO 19 ADOPTED Y11 N9Major
- Jun 19(S) AM NO 18 NOT OFFERED
- Jun 19(S) AM NO 17 FAILED Y10 N10Minor
- Jun 19(S) AM NO 16 ADOPTED Y13 N7Major
- Jun 19(S) AM NO 15 ADOPTED Y14 N6Major
- Jun 19(S) AM NO 14 ADOPTED Y14 N6Major
- Jun 19(S) AM NO 13 FAILED Y9 N11Minor
- Jun 19(S) AM NO 12 ADOPTED Y14 N6Major
- Jun 19(S) AM NO 11 FAILED Y9 N11Minor
- Jun 19(S) AM NO 10 FAILED Y10 N10Minor
- Jun 19(S) AM NO 9 NOT OFFERED
- Jun 19(S) AM NO 8 FAILED Y10 N10Minor
- Jun 19(S) AM NO 7 FAILED Y9 N11Minor
- Jun 19(S) AM NO 6 FAILED Y7 N13Minor
- Jun 19(S) AM NO 5 ADOPTED Y16 N4Major
- Jun 19(S) AM NO 4 FAILED Y8 N12Minor
- Jun 19(S) AM NO 3 ADOPTED UCMajor
- Jun 19(S) AM 1 TO AM 2 FAILED Y7 N13Major
- Jun 19(S) AM NO 2 ADOPTED Y11 N9Major
- Jun 19(S) AM NO 1 FAILED Y9 N11Minor
- Jun 19(S) FIN SCS ADOPTED UC
- Jun 19(S) READ THE SECOND TIMEMinor
- Jun 19(S) RULES TO FIRST SUP CALENDAR 6/19/26
- Jun 19(S) ENGROSSMENT WAIVED, RULE 43(B)
- Jun 19(S) FN7: (REV)
- Jun 19(S) FN6: (CED)
- Jun 19(S) FN5: (CED)
- Jun 19(S) AM: OLSON, KAUFMAN, CRONK, MERRICK, KIEHL
- Jun 19(S) DP: STEDMAN, HOFFMAN
- Jun 19(S) TITLE CHANGE: SCR 203
- Jun 19(S) FIN RPT SCS 2DP 5AM NEW TITLE
- Jun 18(S) -- MEETING CANCELED --
- Jun 18(S) FINANCE at 01:30 PM SENATE FINANCE 532
- Jun 18(S) **Streamed live on AKL.tv** -- MEETING CANCELED --
- Jun 18(S) FINANCE at 09:00 AM SENATE FINANCE 532
- Jun 17(S) -- MEETING CANCELED --
- Jun 17(S) FINANCE at 01:30 PM SENATE FINANCE 532
- Jun 17(S) -- MEETING CANCELED --
- Jun 17(S) FINANCE at 09:00 AM SENATE FINANCE 532
- Jun 16(S) Heard & Held -- Please Note Time Change --
- Jun 16(S) FINANCE at 01:30 PM SENATE FINANCE 532
- Jun 16(S) Heard & Held
- Jun 16(S) FINANCE at 09:00 AM SENATE FINANCE 532
- Jun 15(S) Minutes (SFIN)
- Jun 15(S) Heard & Held -- Please Note Time Change --
- Jun 15(S) FINANCE at 01:30 PM SENATE FINANCE 532
- Jun 15(S) Overview of Legislation -- MEETING CANCELED --
- Jun 15(S) FINANCE at 09:00 AM SENATE FINANCE 532
- Jun 15(S) FIN
- Jun 15(S) READ THE FIRST TIME - REFERRALSMinor
- Jun 12(H) VERSION: CSHB 381(FIN) AM
- Jun 12(H) TRANSMITTED TO (S)Passed Senate
- Jun 12(H) EFFECTIVE DATE(S) SAME AS PASSAGE
- Jun 12(H) PASSED Y34 N5 E1Passed House
- Jun 12(H) READ THE THIRD TIME CSHB 381(FIN) AMMinor
- Jun 12(H) ADVANCED TO THIRD READING UCMinor
- Jun 12(H) AM NO 4 ADOPTED UCMajor
- Jun 12(H) AM NO 3 FAILED Y8 N31 E1Minor
- Jun 12(H) AM NO 2 FAILED Y12 N27 A1Minor
- Jun 12(H) AM NO 1 OFFERED AND WITHDRAWN
- Jun 12(H) FIN CS ADOPTED UC
- Jun 12(H) READ THE SECOND TIMEMinor
- Jun 12(H) RULES TO CALENDAR 6/12/26
- Jun 12(H) FN4: (REV)
- Jun 12(H) FN3: (CED)
- Jun 12(H) AM: JIMMIE, GALVIN, SCHRAGE, JOSEPHSON, FOSTER
- Jun 12(H) NR: HANNAN
- Jun 12(H) DP: MOORE, ALLARD, TOMASZEWSKI, STAPP, BYNUM
- Jun 12(H) FIN RPT CS(FIN) NEW TITLE 5DP 1NR 5AM
- Jun 11(H) -- MEETING CANCELED --
- Jun 11(H) FINANCE at 11:00 AM ADAMS 519
- Jun 10(H) Moved CSHB 381(FIN) Out of Committee
- Jun 10(H) FINANCE at 11:00 AM ADAMS 519
- Jun 9(H) Heard & Held -- Recessed to a Call of the Chair --
- Jun 9(H) FINANCE at 11:00 AM ADAMS 519
- Jun 8(H) Heard & Held
- Jun 8(H) FINANCE at 11:00 AM ADAMS 519
- Jun 2(H) Heard & Held -- Please Note Location Change --
- Jun 2(H) FINANCE at 01:30 PM ANCH LIO DENALI Rm
- Jun 1(H) -- Please Note Location Change --
- Jun 1(H) FINANCE at 01:30 PM ANCH LIO DENALI Rm
- May 30(H) Minutes (HFIN)
- May 30(H) Heard & Held -- Please Note Time & Location Change --
- May 30(H) FINANCE at 12:00 PM ANCH LIO DENALI Rm
- May 29(H) Heard & Held -- Please Note Location Change --
- May 29(H) FINANCE at 01:30 PM ANCH LIO DENALI Rm
- May 28(H) Minutes (HFIN)
- May 28(H) Heard & Held -- Please Note Location Change --
- May 28(H) FINANCE at 01:30 PM ANCH LIO DENALI Rm
- May 27(H) Heard & Held -- Please Note Location Change --
- May 27(H) FINANCE at 01:30 PM ANCH LIO DENALI Rm
- May 26(H) Heard & Held -- Please Note Location Change --
- May 26(H) FINANCE at 01:30 PM ANCH LIO DENALI Rm
- May 21(H) Heard & Held
- May 21(H) FINANCE at 01:30 PM ADAMS 519
- May 21(H) SECOND SPECIAL SESSION BILL
- May 19(S) SECOND SPECIAL SESSION BILL
- May 18(H) -- Delayed to a Call of the Chair --
- May 18(H) FINANCE at 01:30 PM ADAMS 519
- May 18(H) -- MEETING CANCELED --
- May 18(H) FINANCE at 08:00 AM ADAMS 519
- May 17(H) Scheduled but Not Heard -- Delayed to 7:55 pm --
- May 17(H) FINANCE at 06:00 PM ADAMS 519
- May 17(H) Minutes (HFIN)
- May 17(H) Scheduled but Not Heard -- Delayed to a Call of the Chair --
- May 17(H) FINANCE at 01:30 PM ADAMS 519
- May 17(H) Scheduled but Not Heard -- Recessed to a Call of the Chair --
- May 17(H) FINANCE at 09:00 AM ADAMS 519
- May 16(H) -- Delayed to a Call of the Chair --
- May 16(H) FINANCE at 01:30 PM ADAMS 519
- May 15(H) Minutes (HFIN)
- May 15(H) Scheduled but Not Heard -- Delayed to 2:15 pm --
- May 15(H) FINANCE at 01:30 PM ADAMS 519
- May 14(H) Minutes (HFIN)
- May 14(H) Heard & Held -- Delayed to 2:00 pm --
- May 14(H) FINANCE at 01:30 PM ADAMS 519
- May 13(H) Heard & Held -- Delayed to 2:00 pm --
- May 13(H) FINANCE at 01:30 PM ADAMS 519
- May 12(H) Heard & Held
- May 12(H) FINANCE at 01:30 PM ADAMS 519
- May 11(H) Minutes (HFIN)
- May 11(H) Heard & Held -- Recessed to a Call of the Chair --
- May 11(H) FINANCE at 01:30 PM ADAMS 519
- May 8(H) Heard & Held
- May 8(H) FINANCE at 01:30 PM ADAMS 519
- May 8(H) FN2: (REV)
- May 8(H) FN1: ZERO(CED)
- May 8(H) AM: COULOMBE, SADDLER, FRIERIntroduced
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