Governor names co-chairs of gas policy council, legislators deny funding

Steve Sutherlin

Gov. Tony Knowles said in January that the Governor’s Alaska Highway Natural Gas Policy Council is to be chaired by retired ARCO Alaska Senior Vice President Frank Brown of Anchorage and former Fairbanks North Star Borough Mayor Jim Sampson of Fairbanks.

Brown is president of Fairweather International of Anchorage. Sampson is a former state labor commissioner and a current Permanent Fund board trustee.

The council, established by administrative order, will analyze gas questions and issues and engage the public while presenting recommendations to Alaskans, the governor said.

At a Senate Finance Committee meeting Feb. 15, legislators attacked the governor’s request for $400,000 to fund the activities of the council, saying that the group was biased in favor of an Alaska Highway route at the expense of other options such as a tidewater LNG plant at Valdez or Nikiski.

Ken Freeman, the governor’s special assistant for economic development said the money was needed for office space, staffing and equipment. He said the governor is not opposed to a spur line to tidewater.

The council would examine benefits of state ownership of the gas line, the best use of the state’s 12.5 percent royalty share of gas, the feasibility of a petrochemical industry here, and how Alaska communities and workers can benefit from gas development.

The governor asked the council to begin its work soon and report back with recommendations by Nov. 30, so its work can be incorporated into gas line legislation and project development.

Freeman, will provide staff assistance to the council. Cambridge Energy will assist the council and Alaskans in analyzing the many aspects of gas development.