Legislature(2009 - 2010)

2010-04-05 House Journal

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2010-04-05                     House Journal                      Page 2022
HCR 19                                                                                                                        
The following was read the second time:                                                                                         
    HOUSE CONCURRENT RESOLUTION NO. 19                                                                                          
    Urging the Alaska Industrial Development and Export Authority                                                               
    to present a business case to the Alaska State Legislature that                                                             
    includes a method for financing, a plan to solicit proposals for a                                                          
    public and private venture, and an analysis of the economic                                                                 
    feasibility of a state-built and privately operated fuel storage                                                            
    facility that would serve the public interest by providing Alaskans                                                         
    with a reliable source of jet fuel, diesel, and gasoline at                                                                 
    competitive prices.                                                                                                         
with the:                                                   Journal Page                                                        
 L&C RPT 3DP 1DNP 2NR                                               1644                                                        
 FN1: ZERO(H.L&C)                                                   1645                                                        
 FIN RPT 5DP 5NR                                                    1929                                                        
 FN1: ZERO(H.L&C)                                                   1930                                                        
Amendment No. 1 was offered  by Representative Petersen:                                                                         
Page 2, following line 18, insert:                                                                                              
"WHEREAS historically average gasoline and diesel prices in                                                                   
Alaska, and the margins charged by Alaskan refineries, have been only                                                           
slightly higher than, and at times even lower than, prices in                                                                   
Washington state; and                                                                                                           
 WHEREAS since the summer of 2008 average Alaskan gasoline                                                                    
prices have consistently been the highest prices in the nation,                                                                 
excluding state taxes, and these high prices have had a devastating                                                             
effect on the economy of communities across the state and hurt small                                                            
business development; and                                                                                                       

2010-04-05                     House Journal                      Page 2023
 WHEREAS separate investigations by the House Judiciary                                                                       
Committee, Attorney General, and the Legislative Research Services                                                              
have shown that these high prices have been caused by high margins                                                              
charged by Alaska's two major oil refineries; and                                                                               
 WHEREAS U.S. Department of Energy reports have shown that                                                                    
since the summer of 2008 Alaskan refinery margins have been                                                                     
dramatically higher than refinery margins in the other 49 states; and                                                           
 WHEREAS there has been no major disaster or state regulation to                                                              
cause Alaskan refinery margins to be so much higher than historical                                                             
levels; and                                                                                                                     
 WHEREAS the Attorney General has concluded that the two                                                                      
refineries that dominate Alaska's gasoline market constitute an                                                                 
"oligopoly" and do not compete with each other for prices; and                                                                  
 WHEREAS the constitution of Alaska requires that Alaskan                                                                     
natural resources be used to the "maximum benefit" of Alaskan                                                                   
people; and                                                                                                                     
 WHEREAS 75 percent of the crude oil used to make gasoline                                                                    
used at one of the major refineries comes from Alaska, and 100                                                                  
percent of the crude oil used by the other refinery comes from Alaska;                                                          
 WHEREAS Alaska has no law protecting businesses and                                                                          
consumers from excessive or exorbitant prices for gasoline, diesel, or                                                          
heating oil; and"                                                                                                               
Page 2, line 29, following "RESOLVED", insert:                                                                                
"that the Alaska Legislature finds that it is unconstitutional for                                                              
Alaskans and Alaskan businesses to be charged excessive or                                                                      
exorbitant price for fuel refined from Alaskan crude oil; and be it                                                             
 FURTHER RESOLVED that the Attorney General is requested                                                                      
to prepare legislation to protect Alaskans and Alaskan businesses from                                                          
excessive or exorbitant prices for fuel refined from Alaskan crude oil                                                          

2010-04-05                     House Journal                      Page 2024
and to submit this legislation to the Alaska legislature at the convening                                                       
of the Twenty-Seventh Alaska Legislature; and be it                                                                             
 FURTHER RESOLVED"                                                                                                            
Page 3, line 3, following "prices.", insert:                                                                                    
 "COPIES of this resolution shall be sent to the Honorable Dan                                                                
Sullivan, Attorney General of Alaska, and Ted Leonard, Executive                                                                
Director, Alaska Industrial Development and Export Authority."                                                                  
Representative Petersen moved and asked unanimous consent that                                                                  
Amendment No. 1 be adopted.                                                                                                     
Representative Ramras objected.                                                                                                 
The question being:  "Shall Amendment No. 1 be adopted?"  The roll                                                              
was taken with the following result:                                                                                            
HCR 19                                                                                                                          
Second Reading                                                                                                                  
Amendment No. 1                                                                                                                 
YEAS:  16   NAYS:  21   EXCUSED:  3   ABSENT:  0                                                                              
Yeas:  Buch, Cissna, Crawford, Doogan, N.Foster, Gara, Gardner,                                                                 
Gruenberg, Guttenberg, Holmes, Kawasaki, Kerttula, Lynn, Petersen,                                                              
Salmon, Tuck                                                                                                                    
Nays:  Austerman, Chenault, Dahlstrom, Edgmon, Fairclough, Gatto,                                                               
Harris, Hawker, Johansen, Johnson, Joule, Keller, Kelly, Munoz,                                                                 
Olson, Ramras, Seaton, Stoltze, Thomas, P.Wilson, T.Wilson                                                                      
Excused:  Herron, Millett, Neuman                                                                                               
And so, Amendment No. 1 was not adopted.                                                                                        
The question being:  "Shall HCR 19 pass the House?"  The roll was                                                               
taken with the following result:                                                                                                

2010-04-05                     House Journal                      Page 2025
HCR 19                                                                                                                          
Second Reading                                                                                                                  
Final Passage                                                                                                                   
YEAS:  32   NAYS:  5   EXCUSED:  3   ABSENT:  0                                                                               
Yeas:  Austerman, Buch, Crawford, Dahlstrom, Edgmon, Fairclough,                                                                
N.Foster, Gara, Gardner, Gatto, Gruenberg, Guttenberg, Harris,                                                                  
Hawker, Holmes, Johansen, Johnson, Joule, Kawasaki, Keller, Kelly,                                                              
Kerttula, Lynn, Munoz, Olson, Petersen, Ramras, Salmon, Seaton,                                                                 
Stoltze, Thomas, P.Wilson                                                                                                       
Nays:  Chenault, Cissna, Doogan, Tuck, T.Wilson                                                                                 
Excused:  Herron, Millett, Neuman                                                                                               
And so, HCR 19 passed the House and was referred to the Chief Clerk                                                             
for engrossment.