H. R. 4837—45
(A) update the study at least once every 5 years until
construction of an Alaska natural gas transportation project
is completed; and
(B) on completion of each update, submit to Congress
a report containing the results of the update.
SEC. 113. ALASKA PIPELINE CONSTRUCTION TRAINING PROGRAM.
(a) PROGRAM.—
(1) ESTABLISHMENT.—The Secretary of Labor (in this sec-
tion referred to as the ‘‘Secretary’’) shall make grants to the
Alaska Workforce Investment Board—
(A) to recruit and train adult and dislocated workers
in Alaska, including Alaska Natives, in the skills required
to construct and operate an Alaska gas pipeline system;
and
(B) for the design and construction of a training facility
to be located in Fairbanks, Alaska, to support an Alaska
gas pipeline training program.
(2) COORDINATION WITH EXISTING PROGRAMS.—The training
program established with the grants authorized under para-
graph (1) shall be consistent with the vision and goals set
forth in the State of Alaska Unified Plan, as developed pursuant
to the Workforce Investment Act of 1998 (29 U.S.C. 2801 et
seq.).
(b) REQUIREMENTS
FOR GRANTS.—The Secretary shall make
a grant under subsection (a) only if—
(1) the Governor of the State of Alaska requests the grant
funds and certifies in writing to the Secretary that there is
a reasonable expectation that the construction of the Alaska
natural gas pipeline system will commence by the date that
is 2 years after the date of the certification; and
(2) the Secretary of Energy concurs in writing to the Sec-
retary with the certification made under paragraph (1) after
considering—
(A) the status of necessary Federal and State permits;
(B) the availability of financing for the Alaska natural
gas pipeline project; and
(C) other relevant factors.
(c) AUTHORIZATION OF APPROPRIATIONS.—There are authorized
to be appropriated to the Secretary to carry out this section
$20,000,000. Not more than 15 percent of the funds may be used
for the facility described in subsection (a)(1)(B).
SEC. 114. SENSE OF CONGRESS CONCERNING NATURAL GAS DEMAND.
It is the sense of Congress that—
(1) North American demand for natural gas will increase
dramatically over the course of the next several decades;
(2) both the Alaska Natural Gas Pipeline and the Mac-
kenzie Delta Natural Gas project in Canada will be necessary
to help meet the increased demand for natural gas in North
America;
(3) Federal and State officials should work together with
officials in Canada to ensure both projects can move forward
in a mutually beneficial fashion;
(4) Federal and State officials should acknowledge that
the smaller scope, fewer permitting requirements, and lower
cost of the Mackenzie Delta project means it will most likely
be completed before the Alaska Natural Gas Pipeline;
H. R. 4837—46
(5) natural gas production in the 48 contiguous States
and Canada will not be able to meet all domestic demand
in the coming decades; and
(6) as a result, natural gas delivered from Alaskan North
Slope will not displace or reduce the commercial viability of
Canadian natural gas produced from the Mackenzie Delta or
production from the 48 contiguous States.
SEC. 115. SENSE OF CONGRESS CONCERNING ALASKAN OWNERSHIP.
It is the sense of Congress that—
(1) Alaska Native Regional Corporations, companies owned
and operated by Alaskans, and individual Alaskans should
have the opportunity to own shares of the Alaska natural
gas pipeline in a way that promotes economic development
for the State; and
(2) to facilitate economic development in the State, all
project sponsors should negotiate in good faith with any willing
Alaskan person that desires to be involved in the project.
SEC. 116. LOAN GUARANTEES.
(a) AUTHORITY.—(1) The Secretary may enter into agreements
with 1 or more holders of a certificate of public convenience and
necessity issued under section 103(b) of this division or section
9 of the Alaska Natural Gas Transportation Act of 1976 (15 U.S.C.
719g) to issue Federal guarantee instruments with respect to loans
and other debt obligations for a qualified infrastructure project.
(2) Subject to the requirements of this section, the Secretary
may also enter into agreements with 1 or more owners of the
Canadian portion of a qualified infrastructure project to issue Fed-
eral guarantee instruments with respect to loans and other debt
obligations for a qualified infrastructure project as though such
owner were a holder described in paragraph (1).
(3) The authority of the Secretary to issue Federal guarantee
instruments under this section for a qualified infrastructure project
shall expire on the date that is 2 years after the date on which
the final certificate of public convenience and necessity (including
any Canadian certificates of public convenience and necessity) is
issued for the project. A final certificate shall be considered to
have been issued when all certificates of public convenience and
necessity have been issued that are required for the initial transpor-
tation of commercially economic quantities of natural gas from
Alaska to the continental United States.
(b) CONDITIONS.—(1) The Secretary may issue a Federal guar-
antee instrument for a qualified infrastructure project only after
a certificate of public convenience and necessity under section 103(b)
of this division or an amended certificate under section 9 of the
Alaska Natural Gas Transportation Act of 1976 (15 U.S.C. 719g)
has been issued for the project.
(2) The Secretary may issue a Federal guarantee instrument
under this section for a qualified infrastructure project only if
the loan or other debt obligation guaranteed by the instrument
has been issued by an eligible lender.
(3) The Secretary shall not require as a condition of issuing
a Federal guarantee instrument under this section any contractual
commitment or other form of credit support of the sponsors (other
than equity contribution commitments and completion guarantees),
or any throughput or other guarantee from prospective shippers
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greater than such guarantees as shall be required by the project
owners.
(c) LIMITATIONS ON AMOUNTS.—(1) The amount of loans and
other debt obligations guaranteed under this section for a qualified
infrastructure project shall not exceed 80 percent of the total capital
costs of the project, including interest during construction.
(2) The principal amount of loans and other debt obligations
guaranteed under this section shall not exceed, in the aggregate,
$18,000,000,000, which amount shall be indexed for United States
dollar inflation from the date of enactment of this Act, as measured
by the Consumer Price Index.
(d) LOAN TERMS AND FEES.—(1) The Secretary may issue Fed-
eral guarantee instruments under this section that take into account
repayment profiles and grace periods justified by project cash flows
and project-specific considerations. The term of any loan guaranteed
under this section shall not exceed 30 years.
(2) An eligible lender may assess and collect from the borrower
such other fees and costs associated with the application and origi-
nation of the loan or other debt obligation as are reasonable and
customary for a project finance transaction in the oil and gas
sector.
(e) REGULATIONS.—The Secretary may issue regulations to carry
out this section.
(f) AUTHORIZATION OF APPROPRIATIONS.—There are authorized
to be appropriated such sums as may be necessary to cover the
cost of loan guarantees under this section, as defined by section
502(5) of the Federal Credit Reform Act of 1990 (2 U.S.C. 661a(5)).
Such sums shall remain available until expended.
(g) DEFINITIONS.—In this section:
(1) CONSUMER PRICE INDEX.—The term ‘‘Consumer Price
Index’’ means the Consumer Price Index for all-urban con-
sumers, United States city average, as published by the Bureau
of Labor Statistics, or if such index shall cease to be published,
any successor index or reasonable substitute thereof.
(2) ELIGIBLE LENDER.—The term ‘‘eligible lender’’ means
any non-Federal qualified institutional buyer (as defined by
section 230.144A(a) of title 17, Code of Federal Regulations
(or any successor regulation), known as Rule 144A(a) of the
Securities and Exchange Commission and issued under the
Securities Act of 1933), including—
(A) a qualified retirement plan (as defined in section
4974(c) of the Internal Revenue Code of 1986 (26 U.S.C.
4974(c)) that is a qualified institutional buyer; and
(B) a governmental plan (as defined in section 414(d)
of the Internal Revenue Code of 1986 (26 U.S.C. 414(d))
that is a qualified institutional buyer.
(3) FEDERAL GUARANTEE INSTRUMENT.—The term ‘‘Federal
guarantee instrument’’ means any guarantee or other pledge
by the Secretary to pledge the full faith and credit of the
United States to pay all of the principal and interest on any
loan or other debt obligation entered into by a holder of a
certificate of public convenience and necessity.
(4) QUALIFIED INFRASTRUCTURE PROJECT.—The term ‘‘quali-
fied infrastructure project’’ means an Alaskan natural gas
transportation project consisting of the design, engineering,
finance, construction, and completion of pipelines and related
transportation and production systems (including gas treatment
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plants), and appurtenances thereto, that are used to transport
natural gas from the Alaska North Slope to the continental
United States.
Speaker of the House of Representatives.
Vice President of the United States and
President of the Senate.