Funding for federal pipeline not in budget

  • By Becky Bohrer
  • Tuesday, March 4, 2014 11:25pm
  • News

JUNEAU — President Barack Obama has proposed cutting the funding for the federal coordinator’s office for Alaska gas line projects.

Federal coordinator Larry Persily said Tuesday that it’s not just a matter of money but also of the office’s authority. The office was created as part of a 2004 law aimed at helping advance an Alaska gas pipeline project that would serve North American markets. The project has shifted focus in recent years, and the state Legislature is currently weighing whether the state should pursue an equity stake in a liquefied natural gas project that would be capable of overseas exports.

Persily said his office provides a service in educating the public and policymakers on how liquefied natural gas projects work. He said he doesn’t lobby or advocate, just provides information.

He recently testified before the Legislature’s Senate Finance Committee, which is considering a bill aimed at advancing the Alaska project into a stage of preliminary engineering and design, and on Tuesday he was one of the scheduled speakers on the gas line effort at a meeting of the Seattle Metropolitan Chamber of Commerce.

Persily said having the office around as a project progresses would be helpful. But he said if the office went away, it would not stop the project.

U.S. Sen. Mark Begich, in a speech to state lawmakers Monday, said he was working to extend the benefits of the office to any Alaska gas project.

In addition to Persily, the office of federal coordinator for Alaska Natural Gas Transportation Projects currently has three full-time and two part-time employees. The office had had a budget of $1 million a year, a figure that was zeroed out in Obama’s budget request for next fiscal year.

Persily said the office will have enough money to get through the rest of this fiscal year and for an orderly shutdown, if necessary.

More in News

Seward Deputy Fire Chief Katherine McCoy stands for a photo with Seward Fire Chief Clinton Crites and Assistant State Fire Marshal Mark Brauneis after McCoy was presented the 2024 Ken Akerley Fire Service Leadership Award at Seward Fire Department in Seward, Alaska. (Photo provided by Seward Fire Chief Clinton Crites)
Seward deputy fire chief earns state leadership award

Katherine McCoy this month received the 2024 Ken Akerley Fire Service Leadership Award.

Bill Elam speaks during a meeting of the Kenai Peninsula Borough Assembly in Soldotna, Alaska, on Tuesday, Jan. 7, 2025. (Jake Dye/Peninsula Clarion)
Elam prepares for freshman legislative session

He’s excited to get onto the floor and start legislating.

Sen. Jesse Bjorkman, a Nikiski Republican, speaks in favor of overriding a veto of Senate Bill 140 during floor debate of a joint session of the Alaska State Legislature on Monday, March 18, 2024 (Mark Sabbatini / Juneau Empire)
Bjorkman readies for start of legislative session

His priorities this year won’t look much different from those of his freshman legislative session.

Tim Daugharty speaks during a meeting of the Kenai Peninsula Borough School District Board of Education in Soldotna, Alaska, on Monday, Jan. 13, 2025. (Jake Dye/Peninsula Clarion)
KPBSD launches conversation on $17 million deficit

The district says overcoming the deficit without heavy cuts would require a substantial increase to the BSA.

Member Jordan Chilson speaks in support of an ordinance that would establish a residential property tax exemption during a meeting of the Soldotna City Council in Soldotna, Alaska, on Wednesday, July 10, 2024. (Jake Dye/Peninsula Clarion)
Soldotna defines legislative priorities for upcoming session

Roof replacement, signalization study and road improvements top the list.

The sign in front of the Homer Electric Association building in Kenai, Alaska as seen on April 1, 2020. (Photo by Brian Mazurek/Peninsula Clarion)
HEA extends contract with Enstar

HEA also plans to reduce its annual consumption of natural gas by approximately 21% over the next three years.

Sen. Jesse Bjorkman, R-Nikiski, delivers a legislative update to the joint Kenai and Soldotna Chambers of Commerce in Kenai, Alaska, on Wednesday, June 19, 2024. (Jake Dye/Peninsula Clarion)
Vance, Bjorkman prefile bills ahead of session

In total, 37 House bills, 39 Senate bills and five Senate joint resolutions had been filed as of Friday.

Sockeye salmon caught in a set gillnet are dragged up onto the beach at a test site for selective harvest setnet gear in Kenai, Alaska, on Tuesday, July 25, 2023. (Jake Dye/Peninsula Clarion)
Borough accepts fishery disaster funds, calls for proclamation of fishery disaster

The funding stems from fishery disasters that were first recognized and allocated in 2022.

Students embrace Aubrie Ellis after she was named National Outstanding Assistant Principal of 2025 by the Alaska Association of Elementary School Principals at Mountain View Elementary School in Kenai, Alaska, on Friday, Jan. 10, 2025. (Jake Dye/Peninsula Clarion)
Mountain View assistant principal earns national recognition

Aubrie Ellis named Alaska’s National Outstanding Assistant Principal of 2025.

Most Read