Walker v. House Republicans: battle of gas line wills escalates
 Click here to go directly to this story within the full PDF version of this issue, with any maps, photos or other artwork that appears in some of the articles.
Email it to an associate.
The battle of philosophical gas line development wills between Alaska Gov. Bill Walker and leading House members continues to escalate.
The two sides have been sparring ever since Walker announced his intent to expand the scope of the in-state line two weeks ago.
This puzzled some House members, including Speaker Mike Chenault and Rep. Mike Hawker, architects of the in-state line known as ASAP.
They now believe Walker has created unnecessary competition with the producer-backed line, or AKLNG, of which the state is a partner.
Leaving meetings with the governor feeling ill informed about his plan, Chenault introduced a bill March 2 he hopes will force Walker’s hand to provide answers.
Restrictions on AGDC House Bill 132 places restrictions on the Alaska Gasline Development Corp., which manages ASAP and the state’s interest in the producer-backed line, or AKLNG.
If passed, AGDC can no longer work on the upsized gas project before one of three milestones are reached:
•The state or one if its partners established last year under Senate Bill 138 withdraws from AKLNG;
•AKLNG enters its next phase, or the front end engineering and design;
•July 1, 2017.
Walker responds The bill triggered a passionate - perhaps fiery - response from Walker not seen during his short tenure in office or perhaps from any recent governor advancing a plan, according to some who have worked in the Capitol for the last two decades.
Walker accused Chenault and co-sponsor colleagues Hawker, Rules Chair Craig Johnson, Majority Leader Charisse Millett and Majority Whip Bob Herron of tying his hands.
“I am absolutely shocked,” Walker said during an uninterrupted, three-minute news conference introduction. “This flies in the face of everything the state stands for. Alaskans should be outraged. I am outraged.
“This is the epitome of why we don’t have a gas line. Us not being able to have another option. What kind of negotiating position does that put us in? A horrible negotiating position.
“I’m shocked that it got this many sponsors. I really question who do these people work for. They are certainly not reading the same constitution that I’m reading. This is an outrage. The only thing that gives me pleasure today is that I’m governor and Alaska should be pretty happy about that.”
Walker even broke from his normal stance on prospective bill vetoes.
“You know historically I’ve always said I’ll wait until it gets to my desk,” he said. “Today I’ll say I would veto this in a minute. This is the most un-Alaskan thing I’ve seen put together. I would absolutely veto this.”
Chenault fires back Chenault, a Nikiski Republican now serving his fourth consecutive term as House Speaker, took offense to Walker’s diatribe.
“To say that he wonders who I work for, or that I don’t believe in the constitution or that I’m un-Alaskan, you bet I’m insulted. Those are names that people throw around when they don’t want to have an intelligent conversation with you. Hopefully we can work out our differences. Just because you and I don’t agree on an idea doesn’t mean I have to stoop to calling you names.”
Chenault and other House and Senate leaders were to meet with Walker on Wednesday to address his burning concern: what’s the plan?
“We haven’t seen a plan,” he said. “All we’ve heard is we are going to up size the line, we are going to compete against our partners who are currently moving forward on a project.
“We feel we should be negotiating with the folks who are like us and want to sell our resource for the largest amount. I think that’s what the constitution says: Alaskans should be receiving the biggest benefit.”
Meanwhile, House Resources had scheduled HB132 for a hearing the afternoon of March 6.
“You look and you say where are we headed? Where are we going?” Chenault said. “This bill will ferret out that information: Where are you going? What is your proposal? Who is going to pay for it?”
Even with answers, Chenault believes Walker’s plan could still create pause and uncertainty among the AKLNG producing partners: ExxonMobil; ConocoPhillips and BP.
Another option Walker says his intent to expand is simply another option and the state’s past failures to advance a project warrant this approach.
“We have done everything we can in support of AKLNG,” he said “We haven’t slowed anything down. We fully support AKLNG. We are just not going to bet on one particular set of companies who have competing projects elsewhere, who have different options elsewhere. That’s all we are saying. “
From the sidelines on the Senate side, Anchorage Democrat Bill Wielechowski called the sparing a philosophical “tug-o-war on how you should build a pipeline.”
“In some ways I think what the governor is doing is brilliant,” Wielechowski said. “It forces everyone to sharpen their pencils and get the best deal they possibly can. The state project is not going to go unless everybody makes money. Neither project is going to go unless everybody makes money. I just think this is a period of adjustment.”
Chenault has repeatedly acknowledged the adjustment period, adding he’s been willing to give Walker some space and time to learn his job. Having watched several governors enter the fray anew, all of whom had their own plans to advance a gas line, Chenault says he understands there’s a daunting learning curve.
Still, he believes any governor needs to offer substance to a plan he or she puts forward.
“Normally if you have a project like what the governor has proposed, you would have the pieces in place when you roll it out so that people would at least semi understand,” Chenault said. “They might not agree. They might not think that’s the right way to go. But at least the plan would be out there for everyone to sit down and talk about.”
- Steve Quinn
| 
