May 7, 2024

Good afternoon, my name is Connor Hajdukovich, External Affairs & Policy Coordinator for the Resource Development Council for Alaska or “RDC”.  Thank you for the opportunity to testify in opposition to the recent changes made to HB 50.

RDC represents Alaska’s fishing, tourism, timber, mining, and oil and gas industries.  For more than 49 years, we have advocated for a strong, diversified private sector in Alaska to expand the state’s economic base through the responsible development of our natural resources.

RDC has publicly supported HB 50 when it was originally introduced and after it was technically amended.  However, recent amendments made to the bill include taxation provisions retroactively targeting companies within one single industry – a position that RDC has long opposed. 

It was almost exactly one year ago today we were put through a fire drill of very late-noticed tax legislation that is meant to target one company, one industry.  This is not the way to effect sound tax policy or promote investment in Alaska.

RDC opposed SB 114 and SB 122 last year, and we maintain that opposition today as it appears some of the provisions in those bills are being shoved into HB 50, a bill which would otherwise provide Alaska with an opportunity to take advantage of unique carbon storage technologies.

The recently amended version of HB 50 should be opposed because the additional language increasing taxes threatens to disincentivize investment and chill future production at a time when our energy needs in Cook Inlet are most crucial. 

Thank you.