2/20 Oil Tax Testimony
Governor Parnell’s oil tax proposal will plunge our State into deficit spending this year and will lead to more cuts to our schools, roads and public safety.
The Governor’s proposal is before the Senate Resources Committee and they are taking public testimony. YOU DESERVE TO BE HEARD.
Speak out Wednesday evening at 5:15pm. Go to a Legislative information Office (click here for a list of locations)
or call-in to 855-463-5009. Comments will be limited to two minutes, so be brief!
Democratic legislators have introduced legislation (SB50, HB111) to partner with industry and to provide incentives to oil producers who drill here in Alaska. Read more about this common sense approach to get more oil in the pipeline without giving away the farm.
Some key points to make in your testimony:
Any oil tax reduction should TARGET NEW PRODUCTION, and invite competition to the North Slope
o Give producers tax breaks for:
§ New pools of oil in old fields
§ New oil that reverses the production decline
§ Production of heavy oil or unconventional oil
o New/More Competition on the Slope
§ Don’t pull the rug out from under new producers: The Governor’s proposal eliminates the “net operating loss” credit. This hurts independent explorers and producers. It is exciting to see so many new exploration and development companies coming to Alaska. We should be encouraging independents and the development of unconventional oil.
If we give up something, we must get something in return. Any oil tax reform should ENSURE A FAIR STATE AND INDUSTRY SPLIT AT EXTREME PRICES
o Don’t eliminate progressivity: Alaskans want their fair share of our oil when prices are high and we are paying more to heat our homes and operate our vehicles.
Any oil tax reform shouldn’t BREAK THE BANK.
o Alaskans want a good deal for our resources. If we give up revenue we want more investment, more wells, more jobs and more oil in the pipeline. Unfortunately the Governor’s bill does nothing to assure more investment on the North Slope.