House Finance Committee votes unanimously, moves gasline bill

By SUZANNE DOWNING

June 10, 2026 – The Alaska LNG project cleared a significant hurdle Wednesday as the House Finance Committee advanced a clean version of Gov. Mike Dunleavy’s gasline tax legislation, sending the measure to the next stage of the legislative process with just days remaining in the special session. House Bill 381  passed unanimously.

HB 381 would replace traditional property taxes on the Alaska LNG project during construction with a volumetric tax based on gas flowing through the pipeline once operations begin. The change is necessary to improve the project’s economics and provide certainty to investors.

The version approved by House Finance did not include a proposed S corporation income tax amendment that could have increased costs for Cook Inlet natural gas producers and ultimately Southcentral Alaska consumers.

Gov. Dunleavy praised the committee’s action after the vote.

“This legislation provides the certainty and stability needed to move the Alaska LNG Project forward, strengthen our economy, create thousands of good-paying jobs, and deliver long-term benefits for Alaskans,” Dunleavy said in a statement.

“I appreciate the committee’s work and look forward to continued progress as this important bill now moves to the House floor and on to the Senate. Alaska has a tremendous opportunity before us, and this bill is a critical step toward making the Alaska LNG Project a reality.”

A statement from Glenfarne makes it clear the legislation is acceptable to proceed with construction.

“The bipartisan legislation unanimously passed today by the House Finance Committee carefully balances the need for a financeable tax structure for Alaska LNG while also providing meaningful, long-term state and community revenue. We look forward to seeing it taken up by the full House of Representatives later this week,” said Glenfarne Alaska LNG, LLC President Adam Prestidge. He pointed to the work of specific legislators on the committee:

“Co-Chair Calvin Schrage worked tirelessly to bring all parties together on a compromise that provides affordable energy and significant revenue to Alaskans. Representative Will Stapp has been instrumental in advocating for the Alaska LNG Gasline as well as a spur line to Fairbanks. Representative Alyse Galvin ensured that Anchorage receives appropriate community impact funding.  We also want to recognize the efforts of Representatives Frank Tomaszewski, Jeremy Bynum, Elexie Moore, and Jamie Allard for their committed work on this bill. The hard work by committee members produced a thoughtful bill that, if passed by the legislature, will enable Alaska LNG to go forward and unlock the long-awaited benefits of Alaska’s North Slope natural gas resources while protecting the state’s interests.”

The measure now heads to the House Rules Committee before reaching the House floor for a vote by the full chamber. It would then be transmitted to the Senate, where similar legislation is being debated in Senate Finance.

The action marks a milestone for the administration’s effort to secure legislative approval of tax terms seen as essential by project developers and potential investors. The Alaska LNG project, led by the Alaska Gasline Development Corporation and partner Glenfarne, would transport North Slope natural gas to Southcentral Alaska and an export terminal in Nikiski.

The legislation has been the central focus of the Legislature’s special session, with lawmakers hearing days of testimony from administration officials, local governments, industry representatives, and others.

While the House has now advanced its version of the bill, the Senate has yet to move its companion measure through the legislative process. Senate Finance has held extensive hearings on the proposal but has not yet reported the bill from committee.

With only nine days remaining in the special session, attention now shifts to whether the House can pass the measure quickly and whether the Senate will ultimately embrace a clean version of the legislation or attempt to add provisions that could complicate negotiations with the governor.

Time is of the essence as Alaska seeks to demonstrate to investors and international customers that the state is committed to seeing the long-discussed gasline project become a reality.

If approved by both chambers and signed by the governor, the legislation would establish the tax framework sought by project developers as they move toward final investment decisions on what would be one of the largest infrastructure projects in Alaska history.

Suzanne Downing: Nine days left to prove Alaska can still build something