Halcro slams AGIA, implying it's a setup for the all-Alaska gas pipeline route...
Lawmakers, heed this gas line warning
adn.com
ANDREW HALCRO
COMMENT
Published: May 13, 2007
Last Modified: May 13, 2007 at 04:13 AM
There were warning signs all along the way. Unfortunately, it took front page photos of handcuffed politicians being paraded into court to provide a painful I-told-you-so. Over the last few years many different Alaska voices raised concerns about influence peddling, but much of it was written off as partisan politics or sour grapes.
Five years ago, while still serving as a state representative, I saw that the courting by large political donors who were using the lure of election year donations to gain support for poorly thought-out public policies had reached epic levels. From sole-sourced private prison contracts to premature tax breaks, I turned to the one group of individuals who could change things: Alaskans.
On May 3, 2002, I published an opinion column on these very pages titled "At session's end follow the money":
The next two weeks represent not only the end of the 2002 legislative session but the beginning of another campaign season. Traditionally this is the time of the legislative session when poorly thought-out pieces of special interest legislation suddenly start gaining momentum around the Capitol. The fact is the same well-connected individuals who write campaign checks will benefit from these actions.
The latest fast-moving concern is a premature $760 million tax credit for a natural gas pipeline project that hasn't even been given the green light. According to committee testimony, even the availability of this tax credit won't make the project happen for sure. By granting this tax credit at such an early juncture, the legislature forfeits any leverage it might have to use this tax credit to gain concessions on Alaska hire and other important partnering issues. The amended proposal can be likened to giving away your paycheck and then attempting to negotiate some of it back.
That was May 3, 2002. Almost five years later to the day, those same players are now under federal indictments for a variety of corruption and bribery charges. But while the old saying "I told you so" might provide comedic relief in certain life situations, when the saying is used to describe a failure by policymakers that could have easily been avoided, that's not funny. It's dangerous.
The biggest risk of collateral damage from this fallout is Alaska's hope for a natural gas pipeline. There is no question that the gas line represents Alaska's economic future and the current debate over Gov. Sarah Palin's gas line proposal (AGIA) has fallen on deaf ears.
Today, our legislators don't appear to have the courage to adopt the necessary amendments to AGIA to make it viable. Instead, the recent indictments have created a political environment where few wish to publicly question the governor's flawed proposal. One lawmaker was quoted as saying although he thought AGIA was "fraught with difficulties and complexities," he was going to give the governor a "free swing."
This is not only irresponsible but it abdicates the role of the Legislature.
So far, the governor and her gas line team have been steadfast against any proposed changes that would allow the producers to participate. The reason the administration has declined changes is because AGIA is written to support a predetermined outcome that calls for awarding an exclusive license to anyone but the producers.
For the last two weeks, independent experts have pointed out the countless flaws in AGIA. Everything from the state's economic modeling of pipeline costs to the fairy-tale notion that the pipeline can be built without negotiations with the legal leaseholders. For the last eight weeks, independent pipeline builders, producers and Alaska's two largest newspapers have continued to warn that AGIA will not deliver a pipeline and will put Alaska's economy at risk unless sensible changes to the proposal are adopted.
Instead, the governor, her gas line team and a majority of state lawmakers are playing a dangerous game with Alaska's future. And just like five years ago when I was on these pages predicting the growing threat of undue influence, I'm here today predicting that AGIA won't bring us a pipeline. Instead, next year someone will be on these very pages writing the most expensive I-told-you-so columns in Alaska's history.
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Andrew Halco represented Sand Lake in the state House of Representatives from 1999 to 2003. He runs a car rental agency. |
