Rep. LeDoux’s July 21st Newsletter: End of cash credits & adjournment

Late Saturday night, the legislature found compromise and passed HB111, ending cash payments to oil companies. This effort will save the state $150-200 million annually for the next 10 years. These cash payments incentivized exploration and production efforts, but paying the companies cash just didn’t make sense as we try to balance the budget and fill this $2.5’ish billion deficit. Instead, the companies can now recover their costs once fields go into production.

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Rep. Tarr’s July 20th Newsletter: Negotiating a Compromise to End Cash Payments to Oil Companies & Russian Jack Picnic

I’m pleased to write this after having worked hard to negotiate a compromise bill to end oil and gas cash subsidy payments. When asked about these subsidies in a recent budget survey, 93% of respondents in our area said they needed to end. I listened and worked with my colleagues, and as the Chair of the Conference Committee on HB 111, to make that a reality.

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Rep. Tuck’s July 20th Newsletter: Agreement Reached to End Cash Subsidies to Oil Companies

This past weekend the House and Senate formed a compromise on HB 111 to eliminate cash credits to oil companies. The House passed the bill by a vote of 33-6 and Senate passed it 18-0. After weeks of negotiating, the bill is estimated to save the state about $200 million per year over the next 10 years. With some limitations, companies can instead claim tax deductions after they start producing oil, which makes a lot more sense than handing money over with no way to tell if it is resulting in increased production.

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Rep. Kawasaki’s July 18th Newsletter: Oil Taxes, Capital Budget and Great Fairbanks Events

Late last Saturday night, the House and Senate formed a compromise on HB 111 to eliminate cash credits to oil companies. The House passed the bill by a vote of 33-6 and Senate passed it 18-0. After weeks of negotiating, the bill is estimated to save the state about $200 million per year by ending the cash subsidies retroactively to July 1, 2017 over 10 years. With some limitations, companies can instead claim tax deductions when they start producing oil.

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Rep. Claman’s July 17th Newsletter: Legislature Reaches Compromise on Oil & Gas Subsidy Reform

On Saturday, July 15, the legislature agreed to a compromise version of House Bill 111, the bill that eliminated oil and gas cash subsidies. On June 30, the Governor signed the FY18 operating budget. With an operating budget approved before the start of the new fiscal year, the legislature still has more work to do for a long-term solution.

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